The Honest Truth About Wholesaling
Wholesaling is the fastest and simplest way to sell a property. In exchange for speed and certainty, you accept a price below what a fully renovated, retail-market sale would bring. It’s not a scam, and it’s not a lowball trick — it’s a specific product for sellers who value speed above maximum price.
What Actually Happens
- You sign a purchase agreement with Quelark at an agreed price.
- Quelark markets the contract to our vetted network of investor/rehab buyers nationwide.
- An end buyer closes on the property directly at a licensed title company. Quelark assigns the contract and is paid an assignment fee by the buyer — not by you.
- Your wire or check is for the full amount on your agreement. Nothing is deducted from your proceeds.
Why Is the Offer Less Than Market Value?
The end buyer does the hard work:
- Pays for major repairs (roof, HVAC, kitchen, bath).
- Carries holding costs (mortgage, insurance, taxes) for 4-9 months.
- Covers selling costs later (agent commissions, closing costs) to resell at retail.
- Takes on market risk if prices drop.
Wholesale pricing bakes in that work and risk. A property with a $200K retail value after $35K of repairs might wholesale for $110K-$130K, because the buyer needs to profit too.
When Wholesale Is the Right Choice
- The house needs $20K+ in repairs that you can’t front or finance.
- You have inherited a vacant, deteriorating property you can’t maintain.
- You’re facing foreclosure or need to close in 10-21 days.
- A tenant is damaging the property faster than you can react.
When Wholesale Is Not the Best Fit
- Your property is in move-in condition and the market is healthy.
- You can wait 60-120 days for a retail sale.
- You have equity and could do a Novation with Quelark for higher net proceeds.
- A seller-finance or lease-option deal would net you much more money over time.
Legal & Licensing Considerations
Wholesale assignments are regulated in several states — most notably Illinois, Oklahoma, and others that require an active real estate license to market properties for others. Quelark operates in full compliance with each state’s specific rules, including disclosed-assignment language and, where required, state-specific filings.
What About Double Closings?
In some states or transactions, instead of assigning our contract to the buyer, we perform a double closing: Quelark buys the property from you, and moments later, resells to the end buyer. Your experience is identical — you sign one deed at the title company and receive your agreed funds.