Introducing Our Wholesale Strategy Partners - They Answer Your Burning Questions!

We keep being asked just how, exactly, we manage to deliver such exceptional value with our bulk wholesale portfolios. This strategy, our “perpetual money machine”, remains the most popular of our investments.

If you haven’t already downloaded the Axis USA Bulk Wholesale Property Investment guide, then do so right away to find out why exactly so many of our investors are getting so excited.

With our bulk wholesale package you can:

Purchase properties from just $25,000 (around £15,260) each.
Achieve a potential profit of 140% in just 2 years.
Enjoy a 20% net p.a. guaranteed income.

Like with a clever magic trick, investors keep asking “But HOW can you get such huge discounts and high returns?” Well, the ‘magic’ in this strategy is down to the experience and contacts of our Memphis partners. There is no trickery!

In this article we ask our bulk wholesale sourcing partner and closing attorney the questions YOU want the answers to.

Introducing our sourcing partner

Q: How long have you been in property?
A: “I’ve been in this business in Memphis since 1985 and in the past 8 years have bought probably 600 single family properties. I buy, rehab and sell them, or rent them as rental properties.”

Q: How do you get such exceptional discounts?
A: “I’ve had a lot of experience in this field and have a number of contacts – real estate agents and individuals that represent banks and real estate owned properties. It is due to that fact I am able to buy properties at a discount. I also buy them for cash, which means I can close in two or three days.

I may be in competition with other people to buy certain properties and these agents, these banks, know I can close quickly. I make maybe a $4,000 or $5,000 better deal because I can close so quickly. Also, I am talking about bulk. These properties that we are selling in the portfolios, we do it on a volume basis there.”

Q: How do you find such good quality properties at these prices?
A: “In order to buy properties that will work for these portfolios we go to areas where the workers are blue collar, where maybe the husband and wife both work. Maybe 50% of the homes are owner-occupied, where there is pride of ownership and they are well taken care of. We then refurb our properties and we try to make them look better than any on the street.”

Q: What would the properties be worth on the open market?
A: “We are buying in areas where the homes were selling for $75,000 to $125,000 and we are getting them for $25,000 to $29,000 for the bulk portfolios. Our margins are low, but buying in volume makes it work!”

Introducing our closing attorney / title agent and escrow officer

Q: What is your role in my investment?
A: “When an investor buys a property my role is to act as escrow agent. I prepare all the closing documents and make sure those get distributed to both the buyer and the seller. I make sure everything gets signed and all the title insurance policies get issued. I also, obviously, handle escrow of the funds.”

Q: How do you check the title of the property?
A: “It’s a big part of my role to make sure the title is ok. To check the title we order an abstract [collection of legal documents which chronicles activities connected to a plot of land or property] from an abstract company. They will ordinarily go back to the last insured closing and that will show up any transfers of the property, back taxes and if there are any liens or anything to be cleared up. That way we know exactly what we have to take care of so we have clear title.”

Q: Is it usual for the same agent to represent both buyer and seller in the USA?
A: “A closing agent will represent the buyer and the seller. The thing I think is good about this is, as opposed to being an advocate for one side or the other, we have to advocate both sides. We are actually forbidden to keep secrets from one side to another so we have, I think, a broader protection if you work with just one closing agent.”

Q: How do you look after my money and my interests?
A: “In terms of closing I would make sure that if you are sending money to escrow, it is the actual attorney escrow account or the title company escrow account. That way you’ve got the protection of the professional licenses and the bonds that are behind that. I am not going to release anyone’s money unless they are absolutely certain that they want me to. I will ordinarily confirm, at least by email, that they are ready to close and we’re ready to go.”

Q: How long does the closing process take?
A: “The closing process can be very fast. Ordinarily we will already have an abstract on a property that’s been identified, so we will just update it. We call the abstract company and it will take them a couple of hours to update it. It takes us about an hour and a half to get the documents put together, so we can easily close on one day’s notice.”

Q: Is fast closing important for bulk wholesale deals?
A: “Especially with the portfolio properties! The way they come up you have to be ready to pull the trigger pretty quickly, because those deals at that price don’t stay around very long at all!”

Our closing agent has been an attorney since 2001, and has a very wide range of real estate related experience including large scale developments, traditional and complex real estate and related litigation. Previously to real estate, he specialised in corporate law, mergers and acquisitions, banking and finance and securities law.

Notes to title insurance and property abstracts

Title insurance is a form of indemnity insurance predominantly found in the United States. It insures against financial loss from defects in title to property and from the invalidity or unenforceability of mortgage liens. It will defend against a lawsuit attacking the title as it is insured, or reimburse the insured for the actual monetary loss incurred, up to the dollar amount of insurance provided by the policy.

A property abstract is a collection of legal documents which chronicles the activities associated with a particular piece of plot of land or property. Typically included are references to deeds, mortgages, wills, probate records, court litigations and tax sales (basically any essential legal documents which affect the property). The abstract will also show the names of all the property owners and for how long they owned it, as well as showing the price the land was exchanged for when it changed owners.