Quote Originally Posted by TheFatMan View Post
I have this divine gift for seeing through BS. I'm amazing at it. It's like this home skillet. Dude be driving through the suburbs after a natural disaster or through a poor side of town where all the windows be boarded up. Notices a home still standing. Checks the public listing and is like "Hey dawg, the bank owns that property or that beast is in foreclosure, or it's in a transitional period. Let me call my money guy and get this place picked up cheap." The money man is like "Oakely Dokoley, OK, however you can have my money for a couple weeks, but it comes with a high arse interest rate Brah. No surfing on the job with Keanu Reeves yo diggity!" then the fella driving through the neighborhood tracks down the institution or entity that has the property and is like "Yo, me and my dude want to throw down on this property. Don't worry, we going to buy it low and sell it high." That's the bridge part... So this fat cat with all his money collects this big ole interest payment for loaning out his money for a couple weeks, this poor fella sells a property that he got for cheap because it was in fact, crap in the first place, for a substantial sum of money to make him a little cash... to someone with poor judgement who hopes to fix it up and live there or sell it for an even higher price, and then the cycle continues. You don't need a license to do this, just collateral to get a loan from a money man or "lender", and collateral isn't much for a buying a foreclosed home. You could probably use a 88 Oldsmobile Century as collateral. However, these homes are rarely up to housing codes, rarely inspected, and are typically the places where you can buy some crack or score a girl with loose morals for a pack of smokes and a 40 of some Colt .45
That is putting wholesaling in a very bad light. Wholesaling is no where near what you are trying to make it out to be, really.

You can wholesale any property, even commercial. They can be total crap, or ready to move in properties.



Yes, sometimes the homes are indeed bought at a low price, but that is because sometimes they need 10's of thousands in rehab cost.

You are also confusing wholesaling with bank foreclosed properties aka REOs. Those are mainly picked up by landlords/rehabbers.

Wholesalers can indeed wholesale those properties as well, but they are sold by banks for pennies on the dollar to clear their bad debts off.

Wholesaling got invented when people wanted to sell their homes, and they can't sell on their own, because they might not know how, or through a realtor, because of the properties needing work done to them.

Most individuals, need homes they can move into now, not 90 days from today.

Also, regarding the transfunding, and hard money lending, there is none of your personal collateral involved. They lend based on the deal. As long as there will be enough equity to justify it, and the numbers work for them, they lend you what you need.