This dude talking about flipping houses w/o Cash or credit! BGOL, Is this legit?
- Thread starter X-Man26
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He makes his money not from flipping houses but from selling manuals telling you how to flip. Hundreds off white boys made millions that way.
I get that aspect but is the information that he's disseminating legit?
No...you need money to flip pancakes so of course you need money for houses.Dont buy into lies.
It has been done, but is highly unlikely. If you can convince a owner to give you a no money down assignable contract and you can find another buyer to bring cash to the closing then you can reap any difference between what you said you'd pay and what the actual buyer pays. Again this is so very unlikely, but that's the program they sell in their seminars.
This ^^^
Think about it. If this was really a gold mine why would he share it? If there were millions of houses for the taking that he knew about, he'd capitalize on the deals himself. The reality is that it's a dried up game in a market where not many people are looking to or qualified to buy so he's just looking for another way to get money. He's not leading a horse to water...he's leading a horse to a dried up lake with a couple puddles for a nominal fee.
Not that it means anything, but I can vouch for Mark. Wholeselling houses isn't easy, but it's simple. (i.e. there is hard work and skill involved, but it isn't rocket science or voodoo)
He makes money flipping houses and educating others how to do it. The game is to be sold not told. If you spent years and money learning and honing your craft, took your lumps and learned some lessons the hard way, don't you consider it to be fair trade to charge people for the knowledge you have?
In every industry there are "gurus" who make more money TALKING about what it takes to be successful in that industry, than actually DOING business in that industry.
Mark's a practitioner (walks the walk), not a guru.
If highly unlikely means it happens time and time again, with some predictability........then yes it's highly unlikely.
He makes money flipping houses and educating others how to do it. The game is to be sold not told. If you spent years and money learning and honing your craft, took your lumps and learned some lessons the hard way, don't you consider it to be fair trade to charge people for the knowledge you have?
In every industry there are "gurus" who make more money TALKING about what it takes to be successful in that industry, than actually DOING business in that industry.
Mark's a practitioner (walks the walk), not a guru.
If highly unlikely means it happens time and time again, with some predictability........then yes it's highly unlikely.
No, it's not entirely legit. I see this shit almost every week. What they do is find a house and write a contract on it in their name and then try and sell/flip it to someone else but they want the other person's money to consummate their own purchase. It can create a messy and dangerous title situation.
When isn't an assignable contract (i.e. equitable interest) legit?
However, I do agree that it's not fair to tell someone I'll buy your house and close by XX/XX/2012 if you intend to assign your contract but will walk away if you can't find an assignee (i.e. end buyer). Sellers, whether they may be private sellers or banks, assume that you have all intentions of closing on the deal.
Most rookies will use weasel clauses (inspection and/or financing contingencies) to get out of deals, while more experienced investors won't put a property under contract unless they are actually willing and able to close on the property in the event they can't find an assignee (i.e. end buyer).
Please tell me where my fact pattern depicts an assignment. Further, a pattern of assignment of real estate contracts where you actively look for property an constantly assign them for a fee is in violation of real estate license laws of some states.
If we are talking about flipping houses with no cash/credit, clearly we are talking about wholeselling/assigning the contract or in the case of a non-assignable contract, assigning the entity (typically an LLC) that is the buyer for the property.
Using the end buyer's funds to fund the transaction is pretty much dead. In the rare instance where you can't assign the contract nor assign the LLC who's party to the contract, enter transactional funding. In this case, the wholeseller actually closes on the property and sells it immediately to the end buyer.
The strategies he's talking about are legit but it aint no easy walk in the park. The minute somebody hears no money down or some other catch phrase like that everybody either gets hyper excited or immediately yell scam.
Always slow your roll and do your own research. That's ALWAYS the rule. Half of the people will try to talk you out of it and the other half will hype you up to jump into different schemes all willy nilly.
I was in the game years back on the foreclosure end and boy it was way tougher than the infomercials. You can find property easily enough cuz everybody tryin to get paid and unload their property for top price. The number one problem was finding the buyers. They got the cash.
Vid was interesting because he mentions wholesaling and having a buyer's list. That's crucial. It's kinda like being a real estate bird dog which is a common term but some shy away from that due to legal issues in certain areas but that's another story.
Best to get with some attorneys too before you begin because assigning contracts with people's property can get a little legally tricky as well. A broker open to investors is invaluable as well as friendly title companies like dude said. All that helps you to CYA right off the bat.
Homie this can be done but it will take some work. It might be a year before you close on your first property. Then again it might jump off in a few months. In any case this is hard work with a steep learning curve. Any guru talkin about making ten or twenty g's in a month or so is not keepin it real with you. That's hype.
That buyer's list thing is crucial though. This vid explores that a little bit:
Take your time and do some serious research. Talk to some local investors, realtors, brokers, owners and attorneys. If you are serious about the game put the work in and don't get caught up in sales hype. It's real out here.
Here's a few resources to start with:
http://www.bgol.us/board/showthread.php?t=359698
http://www.bgol.us/board/showthread.php?t=366568
http://www.deangraziosi.com/forum
http://www.biggerpockets.com/forums/93-wholesaling
Always slow your roll and do your own research. That's ALWAYS the rule. Half of the people will try to talk you out of it and the other half will hype you up to jump into different schemes all willy nilly.
I was in the game years back on the foreclosure end and boy it was way tougher than the infomercials. You can find property easily enough cuz everybody tryin to get paid and unload their property for top price. The number one problem was finding the buyers. They got the cash.
Vid was interesting because he mentions wholesaling and having a buyer's list. That's crucial. It's kinda like being a real estate bird dog which is a common term but some shy away from that due to legal issues in certain areas but that's another story.
Best to get with some attorneys too before you begin because assigning contracts with people's property can get a little legally tricky as well. A broker open to investors is invaluable as well as friendly title companies like dude said. All that helps you to CYA right off the bat.
Homie this can be done but it will take some work. It might be a year before you close on your first property. Then again it might jump off in a few months. In any case this is hard work with a steep learning curve. Any guru talkin about making ten or twenty g's in a month or so is not keepin it real with you. That's hype.
That buyer's list thing is crucial though. This vid explores that a little bit:
Take your time and do some serious research. Talk to some local investors, realtors, brokers, owners and attorneys. If you are serious about the game put the work in and don't get caught up in sales hype. It's real out here.
Here's a few resources to start with:
http://www.bgol.us/board/showthread.php?t=359698
http://www.bgol.us/board/showthread.php?t=366568
http://www.deangraziosi.com/forum
http://www.biggerpockets.com/forums/93-wholesaling
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