Training

What Is a Novation in Real Estate? Free 50 Minute Training

Watch Char's free 50 minute training on doing novations start to finish.

Novation vs wholesale numbers
Qualifying the seller
Solving the seller's next move

Trusted by 100s of real estate investors

Watch The Free Novation Training

Free. Instant access. We send it by email and text.

What Is Inside

What is a novation in real estate, and how do you run one from start to finish? This free training from Char Hiaring, a Leads Up AI coach, answers that in about 50 minutes. It is for wholesalers who want to add novations when the numbers are too tight for a wholesale exit.

This is a full length YouTube training titled How To Do Novations. It shows how Char's team handles novations, from underwriting and the seller conversation through agreements, team handoffs, and closing. It starts by comparing a novation with a wholesale exit and working the numbers.

From there it covers qualifying the seller, solving the seller's next move problem, and the seller questions and closing script used to set expectations. It walks through the novation agreement, the handoff from acquisitions to transaction coordination, and the SOPs for seller intake, Realtor coordination, photos, listings, showings, offers, title, closing, and getting paid. Per the video description, the actual scripts, agreements, CRM, and TC playbook are shown on screen.

What it covers

Novation vs wholesale numbers
Qualifying the seller
Solving the seller's next move
Novation closing script
Walking through the novation agreement
Handoff from acquisitions to the TC
Realtor, photos, listing, and showings
Offers, title, closing, and payout

Who This Is For

Wholesalers who pass on deals because the spread is too thin
Acquisition reps learning to pitch a novation
Teams that want to see a full novation process on screen

Watch The Free Novation Training

Frequently Asked Questions

How does a novation work for a wholesaler?

The wholesaler signs a contract with the seller, and then the parties agree to replace it with a new contract between the seller and a retail buyer. The wholesaler often handles repairs and the listing, and earns the gap between the seller's agreed net and the sale price. Exact terms depend on the agreement and state rules.

When should I use a novation instead of wholesaling?

A novation can make sense when a cash buyer will not pay enough to make a wholesale deal work. Selling to a retail buyer can mean a higher price for the seller and a better spread for you. It takes longer, so it fits sellers who are not in a rush.

Are novations legal?

Novations are used in many states, but rules about marketing homes you do not own and acting like an agent differ by state. Some states have passed laws aimed at wholesaling and similar deals. Talk with a local real estate attorney before you start.