I funded in 3 days fyi.. start to finish.. but a known borrower and i am not a bank or lender I am an experienced land developer who happens to also lend money.. so not your typical underwriting scenario. 

The reason why I want to go the wholesaling route is primarily because I have limited funds to go out and purchase a property for myself.

I bought a 3-unit residential property and met with a local contractor (insured, bonded, good references) to discuss doing the renovation of all 3 units for me.

Pros:Strong cash flowMajor affordable housing shortage in the countryBarrier to entry - zoning prohibits new parksPride of ownership - the residents own the homeLower operating costs - the residents own the homeLower touch - the residents own the homeSticky residents - costly to move a homeEasy to raise rents - costly to move a homeRecession resistant asset class - affordable rentLarge private equity funds are entering the space - drive prices upMom & pop ownership - opportunities to improve NOI and valueLower entry cost per door - less capital neededCons:Not sexy - smaller resale pool (but that's changing)Stigma - some counties try to stop operations (poorly operated parks, criminal activity)Stigma - some people don't want to live in oneLower credit quality residentLess appreciation potential, unless forcedNiche investment - helps to have scale to properly operateMany banks don't understand it - tougher to financeOlder assets in many cases

Which means your "INITIAL" (more on this in a minute) loan amount is $173,700.Now the FHA has what is called a "Funding Fee"...which is essentially a tax that you pay...and that funding fee is not brought to closing, but rather rolled into the loan itself. 

Posted in here on accident.  Don't know how to delete a post.

You would probably be better off investing in REITs or a income fund for security and higher returnes.

HELOCs fluctuate with the interest rate so you need to forecast if you have enough funds to cover yourself in the event of hardships where the interest rate rises, rental rates drop, vacancy rates increase etc. 

Your only requirement is to disclose the name and location of the institution holding the funds and (I think) your state requires you to provide a copy of the deposit receipt.READ HEREThe tenant should not be named on the account, know the account #, or have access to the account.

So I called the Seller and explained to her that I didn't have any additional funds to purchase this home with and that if she was not able to lower the price to the Appraised Value then we would have to go our separate ways.