Wholesaling Properties - Very New to Everything

**bashirqaasim** · 03-14-2007, 01:30 PM

Dear Realtor,

I am twenty years old and a full time student at DePaul University studying marketing and advertising. I have just recently over the past year or so developed an interest in real estate, and have been looking for ways to get involved investing.

The problem is, I'm young, have almost no credit and make about $15k a year with my part time job. I would never be given a loan to purchase anything, nor would I have the time and money to maintain/repair the property for flipping with school and all.

Then, finally after tons of research I discovered wholesaling/assigning contracts to purchase. This sounds perfect for me, having no financial background and all. I could probably make more than my entire yearly income over summer break (with hard work of course).

My question is, since wholesaling works best with distressed sale properties, I would figure pre-forclosures are probably very good condidates for wholesaling. I was wondering if this is allowed, as once a property is in forclosure it is owned by the bank and banks don't allow assignable contracts. Since pre-forclosure properties are almost at this stage are assignable contracts still allowed? It may sound like a silly question to you, but I am literaly just learning about this and am hungry for knowledge.

Thank You,
Bashir Qaasim

**Codythebest** · 03-14-2007, 01:41 PM

You got the point. On a pre-foreclosure situation, it's much easier to flip the contract. Once foreclosed, it's over and you have to deal with bank, credit, down payment, etc...
Pre-foreclosure on the other hand is the best situation. The hard part is to work with the seller. it's not how you'll make your money, it's how you'll help the seller, that make a deal happens...
Know well contracts and all contengencies and you're on the right track...