Acquiring the funds to purchase multiple properties isn’t easy and few wholesalers have adequate liquid cash to finance multiple deals at once. To remedy this, many turn to hard money lenders.
Of the many ways to secure funding, hard money loans are often the go-to for wholesalers. Traditional lending institutions can take too long and other methods can be too risky. Hard money lending gives you access to cash sooner. Of course, terms and rates vary, so it’s best to compare different hard money lenders.
Once you have the money and the contract, the next step is to close the deal. As a general practice, don’t contract a property unless you are ready and willing to close.
Too many wholesalers contract multiple properties without securing the financing. They do so as “insurance,” just in case other deals fall through. However, this is a bad practice and can damage your reputation. If you are uncertain about a property, don’t contract it.