Types of Investors

Assignor – Someone who negotiates a contract to purchase real property and subsequently sells the aforementioned contract for a fee. The contract is the assignor’s personal property. The fee plus the contracted amount is typically, once added together, steeply discounted off of market value. However it does not have to be. In most cases the fee paid to the assignor is at the close of purchase. This person in some states is legally limited on the number of transactions allowable without a real estate licensee attached to the transaction. Marketing begins immediately. Typically never using a real estate licensee.

Wholesaler – Someone who negotiates a contract to purchase real property at a discount of market value. ARV x 70% minus repairs = MAO. Then subsequently purchases the property creating constructive notice or in some cases creates a performance contract. Then typically re-sells that property at a greatly reduced value of market value. This person is never legally limited in the number of transactions. Marketing begins immediately. Typically never using a real estate licensee.

Wholetailer – Someone who negotiates a contract to purchase real property at a discount of the market value. ARV – 2(repairs) = As Is x 65% = MAO. They then purchase the property creating constructive notice or in some cases creates a performance contract. Then re-sells the property for 100% of As Is value. Typically using a licensee via the MLS. Marketing begins immediately. This person is never legally limited in the number of transactions. Maximum work requires are health and safety.

Fix and Flipper – Someone who negotiates a contract to purchase real property at a discount of market value. Typically at ARV x 70% minus repairs = MAO. Then subsequently purchases the property creating constructive notice or in some cases creates a performance contract. Then rehabs the property, bringing it up to market standards and reselling aforementioned property at 100% of market value. Typically using a licensee via the MLS. Although not always. Marketing begins once rehab is complete. This person is never limited in the number of transactions. This person may need a GBC license in rare occasions or have one attached to the rehab.

Tweetable

Share the Show

Did you enjoy the show? We would love it if you subscribed today and left us a 5-star review!

  1. Click this link – The Michael Quarles Real Estate Show
  2. Click on the ‘Subscribe’ button below the artwork
  3. Go to the ‘Ratings and Reviews’ section
  4. Click on ‘Write a Review’

Resources

Please send questions you would like Michael Quarles to answer to Support@MichaelQuarles.com and he will answer them on one of his upcoming podcasts!

  • Yellow Letters – www.YellowLetters.com
  • Want to be held Accountable to your GOALS? – Text the work WEALTH to the number 313131
Did You Like This Episode?

Sign Up Now To Receive Notifications For All Future Episodes!

100% Privacy. We don't spam.