Can you make a living on assignments

[ericmedem]

In my market you could make $100,000 plus dollars just doing HUD assignments. I have been at the closing table with my buyers who leave with $14,000 cash from just one HUD home all done using none of their own money and perfectly legal.

From my experiences anyone could easily make $100,000 assigning contracts, its so easy. People love to complicate things with learning and over analyizing things, and "what iffing",

There is not a person in this forum that could not make $100k plus assigning and wholesaling.  I am not smart at all, I graduated in the 10% of my highshcool that made the other 90% possible. If I can do it, in a very slow market then anybody can.

[xburbx]

eric, check you inbox

[newmlnair]

What would you all consider your bread & butter price range for properties? I've looked at a few properties that were in the range between $90k-$135k but was told be another investor to keep it around $15k-$70k. Does that seem like the average range that most of the properties some of you guys assign/wholesale are found in?

[bkar]

PropertyInvestor said:
My Contract terms are as follows:

All CASH.
Closing On/Before 30 Days.
"Offer Subject to Walk-Through Inspection and Partner's Approval"
(If you get some resistance with this clause, try to find another clause or "wording" that will allow you to get out of the contract if for ANY/SOME reason you didn't find a Buyer.)  If you are buying from an Institution, "AS IS", they will NOT allow the clause, but if you buy from a Seller (person), you can probably get away with using this "safety clause" in the Contract.  

Considering you've recently completed the course, I am curious regarding the wording of the escape clauses in your contract "Offer Subject to Walk-Through Inspection and Partner's Approval".

You need time to find a buyer, normally 12-15 days. That will be the time by the end of which the contingencies should be removed, or you should get out.
Why would the seller allow you "a walk-through" inspection, (versus "professional inspection of your choice").

Walk-through inspection implies that you can walk through AT THE TIME OF MAKING THE OFFER, so you will not need 12-15 days. Can you clarify.

[gccre]

If you already have a buyers list, It shouldn't take you 15 days to find a buyer. You get the contract and immediately - that day - fax or email blast your buyers list the info on that property. On occasion you can have it assigned in a day or two if all the cards fall right.

If your buyer isn't familiar with the neighborhood he might want to take a looksee at the house otherwise before committing. If he's a major player then all he needs to see is the numbers because he's already familiar with the property values in that particular neighborhood.

If he walks through and doesn't like what he sees and backs out, then you still have some time to find another buyer before your 30 days and/or your financing goes south.

[bkar]

If you already have a buyers list, It shouldn't take you 15 days to find a buyer. You get the contract and immediately - that day - fax or email blast your buyers list the info on that property. On occasion you can have it assigned in a day or two if all the cards fall right.

If your buyer isn't familiar with the neighborhood he might want to take a looksee at the house otherwise before committing. If he's a major player then all he needs to see is the numbers because he's already familiar with the property values in that particular neighborhood.

If he walks through and doesn't like what he sees and backs out, then you still have some time to find another buyer before your 30 days and/or your financing goes south.

To Gccre:

1. There is no doubt that we are all here to gain knowledge.
I am grateful for your response.
If you read my question to PropertyInvestor carefully, you would see that I specifically asked him about a particular wording in his contract regarding a "Walk-Through Inspection".
The escape clauses concerning, among other things, inspection, would make or break a contract.

The question was NOT about when and how one would find a buyer, immediately or within 15 days.
The question was: "Why would the original seller allow you the time for a walk-through inspection as a contingency" included in the contract. Walk-through implies "now".
And the main reason I asked that was because PropertyInvestor said he had just completed training. So I thought he might know something I didn't.
So we'll wait for the answer from PropertyInvestor.

2. Having said the above, this question is to you, Gccre.

You say "If he's a major player then all he needs to see is the numbers because he's already familiar with the property values in that particular neighborhood."

Even if the end buyer/investor is familiar with property values in a particular neighborhood, how can he commit to buying. What if the repairs are so extensive that it becomes prohibitive for him?

[gccre]

bkar,

I guess I should've clarified my explanation better.

When you give your numbers to a "player" on your buyers list who just has to look at the numbers to know whether or not it is a good deal because he's familiar with that particular neighborhood, my intentions were to say a "player" you already have an established relationship with. Someone who you know what he/she likes and who knows when you put a deal together that the numbers are pretty solid and he can take that deal from you KNOWING the numbers/breakdown are very accurate, his knowledge of the neighborhood, ability to close in 30 days or less and doesn't need to always do a walk-thru of the property.
THat is the exception to the rule tho but I do know wholesalers who have that kind of relationship with a few selected players on their buyers list and once they get a property under contract all they do is call or email them and their buyer takes it w/out so much as hesitating and often doesn't even go look at the property because they know the wholesaler and they've built some trust amongst each other and the numbers fit into the buyers perameters. And they've been investing in RE for many, many years.
Why would a seller allow you a walk-thru as a contingency? If I have a property under contract for 30 days, I'm going to bring my contractor through, my partner and whoever else I feel has some knowledge and can give me another opinion/advice. Someone might see something I initially over-looked as a major repair or is detrimental to my deal and it gives me an out or a re-negotiation tactic if I didn't figure in that expense in my initial offer.
Besides all that, if you're concentrating on wholesaling, almost 99.8% of the properties your buying and assigning are going to be vacant anyhow so walking thru as many times as you want with whomever you want isn't really that big of an issue if you've been given the lockbox combination so you don't have to call the homeowner or realtor everytime you want to bring a rehabber/investor/handyman/inspector through the door in your first couple weeks if need be.