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Wholesale Case

What Happens If I Can Not Find A Buyer For The Property That I Am Trying To Wholesale?
Ok so you have the Motivated Seller "locked-up" with an iron-clad sales contract on a deal that can make you a SWEET paycheck! CONGRADULATIONS man!
Now all you need is an Investor/Buyer to swoop in and cinch the deal for you! What? No Buyer? No takers for this incredibly fine deal? Uh-Oh! NOW WHAT?
Well, If you have build a strong enough buyers list this should never be the case, there should ALWAYS be a buyer waiting for your deals. But, sometimes when we are just getting started as new wholesalers this situation will rear its ugly head! So what happens when I have NO BUYER for my wholesale deal?
Well its really not that bad of a problem. Since wholesalers never buy anything themselves, and since we usually have only put a very small earnest money deposit down on the property to secure the sales contract, all we have to do is "walk form the deal". The worst that can happen to us as wholesalers is we might lose our deposit money, PERIOD! That's the worst that can possibly happen to us.
If we only put down the recommended $ 1.00 to $ 100.00 deposit when we signed the sales contract with the motivated seller we are ONLY at risk of losing at most $ 100.00 Max.! That's the only risk that a wholesaler will EVER take when putting deals together with sellers.
Not having an Investor/Buyer is not always the end of the deal. One great way to unload a property fast that you do not have a buyer for, is to flip your contract to another wholesaler in your town for a "Bird-Dog" fee. If the deal is really a good one, the other Wholesalers is your town will gladly pay you a nice "Bird-Dog" fee ($ 500.00 to $ 1,000.00 or more!) to take that deal off of your plate.
I tell all new wholesalers to get to know all of the competing wholesalers in their town. Get to know as many as you can, and NETWORK with them. Enough can not be said about the POWER of NETWORKING with other investors in your town.
If you have a deal that has a potential $ 7,500.00 to $ 10,000.00 or more in wholesale deal potential profit, another wholesaler will gladly pay you $ 500.00 to $ 1,000.00 or more for the interest in that "assignable contract. So all you have to do is assign the contract to the other wholesaler for an agreed upon fee. Its that simple.
If no other wholesale investor wants the deal you just simply forfeit your contract with the original seller and move on. This is the absolute worst case scenario that any wholesaler will ever face. Nothing gained, but nothing really lost either! Got it? Good!
20 Free FAQ videos about real estate wholesaling here? www.WholesalerSmarts.com
About the Author
Since 2001 Eddie Case has flipped several hundred houses in the Harrisburg, PA region. Eddie's "straight line" approach to Wholesaling revolves around the unique specialty of
"assigning his contracts" to other investor/buyers commonly, this technique is known as assignments. Eddie is the host of his own weekly radio talk show "Reality Real Estate" where he educates his listeners on the subjects of wholesaling and assignments. Eddie is dedicated to helping others succeed through understanding and applying his time tested, step-by-step approach to wholesaling houses.
Can I sell wholesale on ebay legally?
Hi- I have a small wholesale business which doesn't require a federal tax id #. I want to expand my client base, but don't know if selling on ebay is legal or not in my case. Is ebay acting as the third party selling goods? If so, then ebay would be acting as the retailer that I sell through. If not, then how do people sell their personal goods without a business license? Thanks in advance!
Yes you can open an ebay store to sell your wholesale goods. To be in business in Canada you must charge pst tax and remit to the gov. also if you are making over 30,000 per year, you must also charge gst tax and remit to the gov. If you donot charge the tax and the gov. finds out, then you will have to pay it yourself plus interest and possibly a penalty for trying to cheat on your tax return. I would strongly suggest that you file as a start up business so you can submit the taxes as they become due.
Learn to wholesale FREE TRAINING with Eddie Case
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