This is the product of a bunch of years run up in the market, too many people watching HGTV shows and think it is so easy, and the gurus selling their BS programs suggesting to newbies to start wholesaling as their first go at investing since it can be done with no money, no credit, no brains, and no skills.You are now seeing and receiving the product of these circumstances first hand, good luck stopping it yourself, only a nice stiff market correction sending many to the poor house will stop it for a bit, then the cycle will repeat again.

We hit our budget at the end of the project with no unforeseen expenses and now the property is fully rented out and refinance.Final NumbersThe final numbers for this project were as followed purchase price $120,000 and renovation came in right under our $50,000 budget.

In that circumstance it could be argued that it is a company car, thus having the registration location of your choice. 

I would only in very, very rare circumstances pay the wholesaler before the property has closed.

Has anyone dealt with this or are there any suggestions for getting around these circumstances? 

I purchased the property using a hard money loan under my llc (purchase price 80k , Rehab 35K) currentl HML $115k, i did have some unforeseen expenses come up and I will have to come out of pocket $20k to cover these expenses overall i'll be all into the property at $135k.

But is building a bad thing given my circumstances?

Great reminder that money can drive people to act emotionally or illogically given the right circumstances or desperation.

@Danna Gramme a couple thoughts1) Yes, I'm currently buying, but pro formas have changed significantly do to the inability to bring rents to market immediately for value add properties (except for certain circumstances the law allows).

But they'd better have some reserves available after acquisition costs because you can get bitten by the unforeseen.