Your friend needs to discuss his options with a CPA to try to minimize his taxes.

I agree, if the potential is limitless and the risk is minimal, why not go for it?

They figure any money you make on the deal is money that's really theirs.With a private seller, though, you should be able to get away with minimal earnest money.

Its about making a deal while minimizing your risk as much as possible and in my opinion using the least amount of your own cash as possible.

Well said comments on the value of a real estate wholesaler...Wholesalers have specific skills related to "turning over rocks" and finding great deals.Investors that don't spend their time doing that reap the benefits of immediate access to deals.A great way to increase your value and minimize arguments as a wholesaler is to simply be transparent.

I've seen some courses that are absolutely worthless, and I've seen some that if followed you could build a thriving real estate business just from following the course.Now can that information or most of the information be obtained for free or for minimal costs through this and other forums, books, and charity mentoring?

If the seller is already late on their payments, and about to be foreclosed, the risk is minimal.

I must say , State farm has been GREAT with our policy since the fire, we had a good policy ,and they paid out quite well considering how minimal we thought our fire was.In my case , the insurance company has a law firm who goes after the responsible party, and tries to get $$$ from their insurance company.

I think minimal would have been better wording.

I knew what repairs needed to be made (minimal cosmetic), and I knew that the expenses would be 45% to 50% once I got the building stabilized.