That being said, as a wholesaler you are putting money down [to put (money) to use] in the form of a marketing campaign to attain seller leads to churn a profit [in something offering potential profitable returns].

Your "churn and burn" Turnkey providers need to be avoided like a snake. 

Impact to Real Estate,disregarding the Tax discussions, will be a higher churn in houses.

Especially one that sells their notes quickly so that your return on your investment is churned fast with you getting your cut with each cycle.Alternatively if you want to hold notes, some HMLs will be pleased to use your money for a special funding program for great borrowers and deals that don't qualify for their normal loan programs for some trivial technicality.

@Frankie Betancourt people who churn credit cards for points do this all the time, you buy grocery store pre paid visa gift cards and use the gift cards to buy money orders.

As a buyer, the advice I can give you is to make sure you present good numbers to your buyers list, or it'll churn like crazy as you lose credibility.  

@Julie Marquez - A great way to earn free/inexpensive trips. https://www.reddit.com/r/churning/

They made my stomach literally churn. 

2 reasons:1.Many HML's are not using their money but other people's money.So the HML makes money off of initial app fees and points and the interest rate spread is paid to their investors who loan them the money.So the more times they can churn the money the more times they make points and loan app fees.2.The credit score is real important.The HML's tell me if someone rehabs a house to sell for a flip and it doesn't sell.The HML lender doe snot want to foreclose and own the property.The HML wants to make sure the investor they have financed can refi into a conventional loan and pay the HML off.This is where credit score and income etc. comes into play.

You also better get good at picking poor people with good character so that when they have problems you can count on them to pay you back otherwise you are going to churn your property and just get someone else with the same kinds of problems.