Is this a good idea?

Bird Dogs, Wholesaling
1

I want to make a lot of low-ball offers (20 per week) on distressed (tlc, motivated sellers) properties from mls listings without even seeing the properties.

What if an owner accepts my offer and when I visit the property, I don’t like it. How do I get out of it?

What escape clause (provision) should I put in my initial offer?

2

This offer contingent upon Buyer’s approval after personal inspection of the property within … days after acceptance of this offer.

3

Thanks Gary.

I was thinking of the provision “Subject to Inspection.” I’ll add “buyer” to it to read “Subject to Buyer Inspection.”

4

You can always put option period. You may have to put $50 or so for this options. This is to take the house off the market and allow you to inspect and do deligence on the property. If you don’t like it you only loose $50. Your earnetst money – usually $500 or so is returned to you if you opt out in option period.

5

I don’t think you need to get fancy here. Just put in the usual subject to a satisfactory home inspection clause in there. There’s also a section on the form that states that the buyer can walk away if the repairs exceed a certain dollar amount. Some people put in $1000 or more and in your case you put in $1 or 0. Then when you see a light switch that’s dirty or whatever that will cost more than $1 to fix, you walk away.

Anyway, just curious how you’d handle the consideration part of the offer. I suppose if an agent wasn’t happy with what you were doing, he could insist that you drop off the check before he presented the low ball offer.

6

I’m pretty sure if it’s just an offer that you make after seeing the property you decide you don’t want it then there’s nothing they can really do. There was no contract if it was just an offer. It’s when you sign a contract that you will have some kind of recourse for not performing on your part of the agreement. If you go and make a bunch of lowball offers site unseen, and then backout of some of them, you might start getting a bad reputation for agents though. If that happens you won’t get much help from them in the future.