Many real estate investors avoid hard-to-sell properties. Fayez Jangda built a thriving, multi-million-dollar business by running toward them.
His signature approach centers on novation in real estate, a creative strategy that allows an investor to improve and market a property before purchasing it.By combining novation with targeted relationship-building, Fayez consistently closes deals that other wholesalers have already written off.
This article will walk you through:
In real estate investing, some deals happen in boardrooms. Others happen over coffee. Fayez Jangda’s first major residential wholesale deal happened in a bathroom.
Shortly after moving to Washington, Fayez learned of a wholesaler who had been trying unsuccessfully to sell a property for two months. Without a marketing budget and with no direct connection to the seller, Fayez arranged to attend a dinner with the wholesaler through a mutual acquaintance.
During the evening, he saw an opportunity.
“Your deal is about to expire. Give me two days to sell it. You have nothing to lose.”
The wholesaler agreed. Drawing on more than 25 years of commercial real estate experience in 20 countries, Fayez inspected the property in person, something the original wholesaler had not done.
By walking the neighborhood, he identified two overlooked value points:
Within 24 hours, Fayez secured a buyer willing to pay a $50,000 assignment fee. Advising the wholesaler to renegotiate with the seller resulted in a price reduction, increasing the total fee to $80,000, all on his very first residential wholesale deal.
Watch Fayez Jangda share his full wholesale real estate journey, from his bold bathroom pitch to building a $1M/month business with novation strategies.
Rather than chasing the same motivated sellers as everyone else, Fayez focused on the unsellable properties that had already been passed over by other investors.
His formula was simple but powerful:
Instead of sending generic email blasts, Fayez identified who opened his emails and called them directly. This one-on-one approach regularly resulted in closing deals within 48 hours.
Over time, he became the go-to contact for other wholesalers in his market. As trust grew, they began offering him not just the hard deals, but their most promising opportunities. This joint venture model soon generated $100,000 a month in assignment fees.
By 2022, the U.S. real estate market had shifted. Sellers were able to demand higher prices, making the traditional wholesale formula, often 70% of after-repair value minus renovation costs, increasingly difficult to achieve.
Many deals fell apart when sellers refused to drop their price. Instead of walking away, Fayez turned to novation agreements.
Novation is a legal agreement that replaces the original contract with a new one. In real estate investing, it allows you to:
The result? Investors can access the full retail buyer pool instead of being limited to cash buyers and investors.
For Fayez, novation transformed his business:
Fayez’s first novation deal was not easy. It took six months to close and required adapting to:
But the payoff was worth it. Once the process was streamlined, novation became a core revenue driver.
Key operational lessons included:
With novation in place, Fayez’s business expanded rapidly, reaching $1 million in monthly revenue. Operations spanned 19 states, and the company added multiple profit streams, including:
In this hybrid model, the seller remained on title, while Fayez’s team funded and managed renovations. The property was then sold at a higher price, and profits were shared.
A partnership dissolution required Fayez to rebuild his acquisitions team from scratch under a new brand, Win-Win Homes. Initially, the company continued its multi-state approach, but without the same local connections, results suffered.
Following mentor advice to “go deeper in your backyard,” Fayez refocused entirely on his local market. All deals are now within a one-hour drive, and every seller appointment is conducted in person.
The change rebuilt trust, increased conversion rates, and restored deal flow. In some weeks, Fayez personally signs multiple deals in just a few days.
The company’s name, Win-Win Homes, reflects its culture: every deal should benefit the seller, the buyer, and the company.
Team members are encouraged to share their personal goals, and leadership actively supports them. Hitting the $1M/month milestone again would trigger a company-wide celebration, a trip to Cancun for the entire team, including overseas contractors.
Q: What is wholesaling?
A: Wholesaling involves securing a property under contract and assigning that contract to another buyer for a profit, without taking ownership.
Q: How does novation differ from wholesaling?
A: Novation replaces the original contract, allowing the investor to market the property to retail buyers, often through the MLS, and potentially earn higher profits.
Q: Is novation legal in all states?
A: Regulations vary. Work with an experienced real estate attorney in your state to structure compliant agreements.
Q: How can I make a property more appealing without major renovations?
A: Simple steps like decluttering, cleaning, staging, and addressing visible repairs can significantly improve marketability.
Q: Can a beginner investor use novation?
A: Yes, but success requires strong relationship-building skills, an understanding of retail buyer expectations, and reliable legal and agent partners.