DO i NEED ANY UP FRONT CASH TO WHOLESALE A PROPERTY

Bird Dogs, Wholesaling
1

Hello Everyone,
I was just wondering do I need any up front cash to wholesale any property?If a lawyer, real estate agent etc get involved with a transaction, will I need to pay them up front or do they get paid when the deal closes?

Thanks in advance

2

If you are dealing with homeowners, you can get away with putting down a very small deposit.

If you are dealing with REOs, you will need $500-$1000 (minimum) to put down for an earnest money deposit.

If you’re low on cash, I’d recommend staying away from REOs and focusing on homeowner deals. Or, do some bird-dogging for other investors until you can build up some cash for deposits.

Good luck
Steph

3

To add to what Steph said;

If you’re wholesaling a property with a Realtor you don’t need to pay the Realtor up front. For example if you find a home listed with a Realtor and you put that home under contract then sell the contract…the Realtor will be paid when the contract closes with the seller.

Lawyers would more than likely demand to be paid up front…So don’t bother with a lawyer…90% of the time the Lawyers I have dealt with in real estate transactions couldn’t find their butt with both hands when it came to handling a deal.

If you don’t have a ton of money to spend you should read the forums over and over and/or You may want to check out ebay or something and snatch up a inexpensive wholesaling course…

Good luck

4

Eric, If I have an Option to Purchase contract a home with the owner and I wish to list with a Realtor who signs the listing agreement? And what if its a Purchase contract on a REO? Herbster

5

The best way is to work on a No Money down deal by Finding Buyers first. It’s easier to look for properties for a Buyer than look for Buyers for a property.

Dedicated to your financial success,
Trace Trajano

6

So if i have my own contracts do i need a lawyer to finish the deal?

Thank in advance

7

When dealing with FSBO’s, you can tie up the property with a 10 dollar option then go find the buyer you want to wholesale it to through a craigslist.org marketing campaign targeted to the area the property is in.

8

100% percent you can wholesale a deal and pay them when the deal closes. I dont think I have ever paid an attorney or real estate agent upfront. If you’re going to wholesale a deal though, it gets tricky depending if your borrower is coming to closing with cash or is financing the deal. Also, if you are wholesaling short sales, than it will be even more difficult. A short sale is very common in this economic environment.

9

Hello real estate consultant,
what do you mean that its going to be difficult to wholesale? Can you explain to me more on the fact that its going to be difficult?