Wholesaling fee

Bird Dogs, Wholesaling
1

I am a new wholesaler and will be wholesaling in California and wanted to know how much do people charge to sell the contract to someone else.

2

First make sure you have a good deal. Determine your ARV from recent comps. In most cases you can multiply that figure by .7 and subtract the repair costs for the property. From this figure you can subtract your assignment fee. I use a figure of 5% of the ARV or $5,000 (whichever is greater). This way I would get a minimum of $5,000.

3

You wholesaling fee will be determined by 2 things.

#1 Motivation of the seller- The deeper you can buy the house the greater your fee can be.

#2 Motivation of the buyer- If you are selling to retail buyers you can sell contracts for as high as 90% of value rather than the traditional 70%

4

Hey Eric,

I’m having great success in wholesaling to O-O. I rarely wholesale to investors anymore. Are you doing the same?

Always curious as to what others are doing,

Nate-WI

5

You’re having great success wholesaling to who?

6

Owner occupants. :cool

7

Thanks Steph :biggrin