I am looking to start wholesaling properties. I am a newbie, but I do own my own home and currently have one rental unit. This forum has been extremely helpful providing much needed speficic info in the wholesale area. I currently have a friend (partner) that is a partner in a title co. She has access to many pre forclosure properties and also up to date appraisal info. This seems like extremely valuable info and we can make a good team as I have started to network with some local investors. My question is this…she had mentioned that she has negotiated with banks in the past as far as getting them to agree on a lower price than is owed, but wouldnt this need to be a short sale, and would that complicate things? Should we stick with properties with enough equity to purchase at the payoff price plus some walk away funds for the owner and still be around 70% ARV after any repairs? Just want to make sure before I get into something I am not ready for.
I don’t see any problem with you doing some short-sales and wholesaling the property. Most likely you will need to close on the property because the bank wouldn’t let you assign your deal once you’ve talked them into taking a discount. Once you’ve closed you can still wholesale it.