Real Estate Wholesaling Dangers Avoid This Costly Mistake

Name: Real Estate Wholesaling Dangers Avoid This Costly Mistake
Uploaded: 2026-02-20T13:01:00+00:00
Duration: 27 s
Channel: Nathan Payne
Description: In this segment, Nathan Payne warns novice real‑estate wholesalers about the perils of making MLS offers without a confirmed buyer. He explains how…

20 Feb 2026 · 0 min

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In this segment, Nathan Payne warns novice real‑estate wholesalers about the perils of making MLS offers without a confirmed buyer. He explains how buyers can reject deals they deem below market value or in need of repairs, leaving the wholesaler with a contract they cannot flip. This creates a dangerous situation where the wholesaler locks up a property without a clear exit strategy. Payne also notes that new legislation is being introduced to curb such practices by restricting inexperienced wholesalers from tying up properties without a viable deal, highlighting the importance of due diligence and buyer verification before committing to contracts.

Buyer could say, hey, that's not a good deal. And you're like, well, it's below market value. You could say, well, it needs all this and this and this. I don't think it's a good deal. So doing that and just going immediately to make offers on the MLS, and if you do get the contract, you're not sure if you can sell it. You don't know if you can find a buyer, even if it's— you think it's low enough. That's where wholesaling can waste a lot of time and get dangerous because they're coming out with a lot of legislation trying to stop wholesalers that are new from doing things like this and just locking up properties and hoping they have a deal.