Proof Of Funds and Wholesaling

Financing, Hard Money Lenders, Private Money
1

Hey, everyone: I want to wholesale signed contracts to rehabbers. My question: what do I do if a seller wants to know who I am getting a loan from or how I will finance the purchase? I do not intend to take title to the property, just flip it; therefore I do not actually need financing.
I have contacted a mortgage broker who specializes in rehab funding and also a hard money lender in case I actually want to rehab the property myself, but they do not want to give me a “prequalification letter” without actually having a subject property located. I want the seller to have confidence that I can close the deal (when actually I am selling the contract to someone else).

Any suggestions?

2

I’m not sure why you can’t get a hard money lender to give you a general pre-qualification letter. I have one that I use and it was easy to get.

The added bonus of using a hard money lender to qualify your deal is that, you are getting a second opinion on what the property is worth. If they don’t think it is worth what you offered, then you can get out of the contract using your financing contingiency.