I’ve been looking through the MLS recently (off of a website, this is a public one) and am searching through by building. I’d like to start wholesaling apartment units because I am familiar in that market. By looking at the recent sold property I can figure out how much they would go for.
I want to offer 60-70% FMV value for these properties. Do I just talk to the realtor and say I want it for a discount? If the deal is good I can surely get funding, and close quickly. I know I’ll get laughed out and booted out the door, but it’s a numbers game right? Somebody must want to get rid of their place ASAP.
Trying to cover all the bases. It seems like getting the deal would be the hardest part. If you can get these deals then it sounds like you can “flip” it for FMV, or a bit below, and earn the equity spread.
I do this all the time. I have several real estate agents that I work with. I get the offer forms they use and fill them out myself. I will make offers across the board for any property that fits my criteria. I include an inspection clause of course. Once I fill them all out I give them to my agent and he submit the offers to the listing agent via fax or delivery.
These are all cash deals as this is the only way this method works. Get you cash lined up first so you do not have to have a contingency for financing. Also have the closing set very short. This seems to motivate some sellers.
Then you sit back and start to get counter offers of rejections of no response at all. If just depends.
I fill out a promissory note for the earnest money. The note is converted to cash upon acceptance.
Most agents will not let you do this but if you look around you will find one that will work with you.
2 posts, 2 voices
dolsonk writes, Jun 12, 2007: (8 posts)
I’ve been looking through the MLS recently (off of a website, this is a public one) and am searching through by building. I’d like to start wholesaling apartment units because I am familiar in that market. By looking at the recent sold property I can figure out how much they would go for.
I want to offer 60-70% FMV value for these properties. Do I just talk to the realtor and say I want it for a discount? If the deal is good I can surely get funding, and close quickly. I know I’ll get laughed out and booted out the door, but it’s a numbers game right? Somebody must want to get rid of their place ASAP.
Trying to cover all the bases. It seems like getting the deal would be the hardest part. If you can get these deals then it sounds like you can “flip” it for FMV, or a bit below, and earn the equity spread.
Thank you for any answers.
calfm writes, Jun 12, 2007: (12 posts)
I do this all the time. I have several real estate agents that I work with. I get the offer forms they use and fill them out myself. I will make offers across the board for any property that fits my criteria. I include an inspection clause of course. Once I fill them all out I give them to my agent and he submit the offers to the listing agent via fax or delivery.
These are all cash deals as this is the only way this method works. Get you cash lined up first so you do not have to have a contingency for financing. Also have the closing set very short. This seems to motivate some sellers.
Then you sit back and start to get counter offers of rejections of no response at all. If just depends.
I fill out a promissory note for the earnest money. The note is converted to cash upon acceptance.
Most agents will not let you do this but if you look around you will find one that will work with you.
I get enough deals this way to keep me busy.
Good Luck.