agreement. This right is transferred to the buyer or new wholesaler via an assignment agreement, which is typically embedded in the purchase agreement. In many cases, if another buyer is not found before the end of the inspection period, the wholesaler cancels the original purchase contract (through its cancellation clause) and gets back the deposit. Wholesaling requires little or no money to be secured in escrow, and in most cases, the wholesaler never intends to actually purchase the property. The practice of wholesaling is often advertised as "no money down and no risk" by many real estate coaching companies and infomercials since the actual deposit can be as little as $10 and often even the deposit can be returned if the wholesaler cancels the contract before the end of the inspection period. Some people are of the opinion that wholesaling is fraudulent misrepresentation since the wholesaler does not actually intend to close on the property themselves. However, in the United States wholesaling is perfectly legal and most real estate contracts allow the buyer an inspection period and any amount of deposit that buyer and seller agree to. Wholesaling in property is no different from wholesaling in any other industry. In a successful transaction the seller is often unaware that original buyer is not purchasing the property. In some cases, wholesalers actually purchase the property for cash and then resell the property to their end buyer in a second closing. This practice is considered more costly since the buyer is paying closing costs to purchase the property and to resell the property. However many people consider double closing to be more ethical. In cases where there are substantial profits from reselling it often makes sense for the wholesaler to pay for two closing costs (double closing) to avoid requesting a large assignment fee from their buyer. Cash home buyer A cash home buyer is a person or company who can buy a property without a mortgage or loan. A cash home buyer will pay cash for a house. Cash home buyers are a specific type of real estate investor or real estate entrepreneur (see real estate investing). When they purchase a house money (cash) is transferred directly from them to the seller. This transfer typically goes through a third-party title company. These companies provide protection to both the seller and buyer in the transaction which includes providing title insurance. Cash buyers