hen You Rehab a home and resell it to someone using conventional funding what is the process usually like? If you are selling the home for $350k and you accept an offer for $350k but the buyer is…let’s say a first time home buyer with a loan from Bank of America or some entity similar to that. Do you receive the whole $350k at one time?
How does this work? Thanks
Hi,
Unless you agree to other terms or conditions you recieve all of the agreed purchase price minus your closing cost's, prorations, realtor fees, etc.
GR
you’ll get the net sale
lets say you purchased it for 180k and did 25k in repairs and borrowed 205k from a lender to cover the purchase and repair costs. you placed it on the market for 350k and got a buyer that agreed to buy it for that price. When you actually close the deal, the buyers bank will wire into he closing attorneys account 96.5% of the sales price (if buying with a fha loan) and the buyer will bring in the balance (3.5%). after all loans are paid off you’ll get whats left
350k-205k= 145k gross sale
subtract closing costs and other expenses 10k
net cash to you as seller 135k
I thought this place is for Wholesaling posts…???