Understanding the many ways for Wholesaling Houses and Wholesaling Real Estate
There are other definitions that people talk about for flipping. Some mention it as actually buying a property, then quickly rehabbing it to resell it. This is something you can implement but there are also many financial risks that can be an issue, particularly in soft or declining markets.
So when we talk about flipping, we are talking about tying up homes inexpensively and then assigning (or flipping) them to another buyer for a fast profit. So when, So while we mention Wholesaling real estate, we are basically mentioning finding houses cost effectively and assigning them inexpensively to another investor or rehabber; thus the term wholesaling. For additional details on lingo, when you transfer a property to another investor, this just means you are giving the right to them to take ownership of the house directly from the home owner.
After you get a house under contract, you will have control. Then you can wholesale it to another rehabber at retail price or for a flat fee so they can buy it. They take your place in the option, then purchase the house, take care of fixing it up and either keep it or sell it to someone else for retail price.
Wholesaling houses is a great no risk strategy to create quick profits using little or no credit or other lending techniques. Since you have neither of these limitations you can also do as a many as you want making flipping houses a good cash flow system especially once you have a steady revenue model working for you!