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Author Topic: How can a Wholesaler get paid fast on a shortsale? I dont want to wait months.  (Read 13741 times)

UglyMiamiHomes

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My partner has a shortsale for sale that he got from a motivated homeowner. I found a buyer. I can make $X amount.

How long will it take to close? A few weeks or a few months.

Is there any creative way for me to get paid upfront at the time my buyer signs and makes escrow from their deposit money?

 :deal

 
« Last Edit: June 04, 2015, 12:48:39 pm by UglyMiamiHomes »

Offline Gold River

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Hi,

    A short sale is the hardest type of property to invest in and almost impossible to flip to a downstream buyer be it wholesale or retail as the short sale requires everything to be on the HUD 1 to purchase.

Virtually all short sales contain a clause prohibiting resale within 90 days. So you can not use transitional funding to close to you and close to your end buyer as you would need to own it over 90 days.

You can not do assignment of contract because short sales require the contract to be in buyers name!


             GR

UglyMiamiHomes

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Thanks
« Last Edit: June 05, 2015, 06:00:50 pm by UglyMiamiHomes »

Offline Rob in Atlanta

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    • Author of ™DEBT FOR PROFIT©
If you are seeking 'fast money,' then short sales are not for you.  Do not rely on bankers with desk jobs for you to earn a profit.

Looking back on 400+ transactions over the years, the quickest turn around is in 2 areas:

1.  find a vacant home for sale by owner, contract to take control on a long term lease purchase with no money down or have the seller pay you a fee for taking over their bad position, then sell on a shorter term lease purchase to one who has cash flow but is credit impaired.  Now don't say this can't be done; I've done this numerous times over the years and still do!  If you look at some of my other postings, you will find the details and reasoning why this works.

2.  find a cheap mobile home for sale by owner; put a small deposit down to hold for 30 days; advertise 'owner financing, no credit check' to sell at double your purchase price with down payment and monthly financing terms; find an investor to buy the note secured by title at 15-18% yield.  Do the double closing and walk away with you profit.  Again, I've done hundreds of these and details on other postings.

Quick money is still available in this market, even if you have no money and no credit to get started.

Hope this helps.

Rob
Rob in Atlanta
REI Consultant/Mentor,
Author of ™DEBT FOR PROFIT© and
Keynote Speaker for REI Clubs Across America
https://www.youtube.com/watch?v=G2iYVFk-Dbg

Offline matthewanderson

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Thanks for this tip I also have the same question in mind. Short sales is not meant for me either.

Offline victoryrealestate

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Short sales are what real estate nightmares are made of. They are exceedingly long to close - think an average of 4 to 6 months. The communication wall is difficult to climb over and meanwhile, you are tied to a transaction that cannot be double closed or assigned. Yuck!

Offline AlanMerle

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The process of short sale is generally as follows:
For bank acknowledgement receipt – 10 to 30 days
For BPO – 30 to 60 days
For reviewing a file – 30 to 60 days
Assigning a negotiator – 30 to 60 days
Assigning a level 2 negotiator – 30 to 90 days
Approval or rejection – 60 to 120
So in short it will take up to 6 months

Offline dannyspastics

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Well shortsale can be a worst idea if you don't about this process. if you asking for time period, I think there is no estimate for this it can be a 3-6 months or more and probably the amount can be stuck meanwhile. So i suggest here to take a advise first from professionals.
Innovative Estates | Sell Your House Fast DC, MD, VA
http://www.sellmydcmetrohouse.com

 




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