OfflineIf you have been successful finding and locking a house up on contract but, you were unable to assign it afterwords then this post is for you. Actually, in this market, I feel that if you go through all of the work to lock up a house on contract without finding a buyer first there is a very good chance that you have just wasted a lot of time. Now I know that some people have assigned contracts in their REI careers but how many people have done it in the last 3-6 months? People are scared to buy now. The market has changed. Once you create a list of motivated buyers "THE WORLD WILL OPEN UP TO YOU". I have assigned several deals in the last 4 weeks. The longest it has taken me to find a buyer was 6 hours. Now anytime I feel like making some quick cash then I JUST DO. People get all excited when I assign a house and make $10,000 but the reality is that it is not that hard to do if you will just go find the buyers first. That is the secret.
Here is a very interesting fact. In the area that I invest I have met several people that went through Robert Kiyosaki's seminar programs. These people have spent over $10,000 for a 3 day seminar to learn how to assign a contract! Guess what-everyone that has been through that wholesaling seminar has locked up deals in my area but, NOT A SINGLE ONE OF THEM HAVE MADE A DIME YET. No one can get the contract sold fast enough. I am in the same market and because I have a buyers list first I assign them with ease. It never even goes through my mind that it won't sell-because I already know it will sell. So in closing-make life easy-go find the buyers first.
You've got to find your obstacles and call them out! Unsheath the sword, and do battle with whatever it is that holds you back!
I'm sure that's excellent advice. I'm very new to this and I've located a vacant home yesterday that could use a little tlc w/ out of state owner. He has owned the home since 97 so it could be a good deal. But I don't have investors list yet so I haven't even contacted the owner yet. Any advice on best way to put one together? newspaper, online, personal contacts? Thanks for your help, Kevin
Matt
Can you explain to all of us how you built your buyers list? The places you searched for buyers. The ads you ran trying to attract buyers? Do you keep in weekly contact with your buyers even if you don't have a deal they are interested in? How many do you have now?
I have been finding buyers by contacting the people trying to sell or rent commercial property on Craigs List.
I just wonder where you find yours because I need more end buyers.
Thanks as always Matt. You are an inspiration to many of us.
Sissy
"THE ARCHITECT OF YOUR DESTINY IS YOURSELF"
"SUCCESS WALKS HAND IN HAND WITH FAILURE"
that sounds easy to do. I mean, I can put together a list, but how seriuos of a buyer are the folks that are on the list.
I guess that is my question how do you find the real buyers?
p.s...I would belive this site should produce some real buyers...
Don't Wish the Past, Create the Future! - DH
Hazco, I agree with you about building your buyers' list with "serious" buyers. I guess you are not going to find out who your serious buyers are until you speak with them and screen them. You will then find out who your good buyers are when you are presenting great deals and they are closing.
ABC - Always Be Closing!!!
I am in the process of building my buyers' list as well and I have been having good luck on craigslist and backpage.com.
Go to the "real estate wanted" section and you will come across many ads that say "we buy houses - any condition any price any etc....
These are the people who I am going to call to qualify if these are real buyers or just tire kickers.
Now I have to be aggressive in the market and submit offers and more offers.
Cheers
Nick Walters
Walters Property Investment Group, LLC
I am just starting with this program. I would like to know how you get your list? Do you contact them before you find a house? How do you keep them as your buyers?
Thanks
Einat
I have NOT heard of 1 person talk about finding buyers at Real Investors Clubs/Meetings? I just went to 2 this past month and met more "REAL" end buyers than i did, the past 6 months calling AD's on Craigslist and Backpage.com, etc. This is essential to your success, you need to start NETWORKING at your local REI Clubs, and once you do go, you need to get out of your "comfort zone" and make a presentation to EVERYONE at the meeting, it's the ONLY way to get what you want out of this business $$ Cha Ching, Investors(especially the LONG TERM BUY AND HOLD, like Rina) need to know who you are and what you do, and how they can benefit from your services, SULLY.
YOUR HERO, SULLY
Well said. That is where I found several of my buyers.
You've got to find your obstacles and call them out! Unsheath the sword, and do battle with whatever it is that holds you back!
I agree that the buyers list is essential. It is easy for me to find deals, but once I find them I tend not to know what to do with them. I have a Realtor that sends me over 100 short sales, foreclosures, HUDS and she wants a pre approval letter and earnest money up front.
Does anyone give earnest money to realtors? How much? Some want $1K down for a foreclosure. How do you avoid paying the large earnest fee?
"If you cannot do great things, do small things in a great way.”
Napoleon Hill quote
Most of the time you only have to give the agent an earnest money check if the offer is accepted. If you do have to hand over a check at the time of the offer and the bank cashes the check then they just accepted your offer by cashing the check. When making multiple offers just make a photo copy of the check and send that with the offer. Some banks do require a $1000 minimum earnest money check.
You've got to find your obstacles and call them out! Unsheath the sword, and do battle with whatever it is that holds you back!
I have another question regarding earnest money.
If you submit an offer with an earnest money check - if/when that offer is accepted, how is it applied to the purcahse price when you are assigning a contract? do you get that money back? do you get it back with your assignment fee?
thanks in advance for the info!!
Nick Walters
Walters Property Investment Group, LLC
If I have a lender, lets say that approved me for a house for $100k, will the lender have any issues if they see the /and or assigns in the contract? I am thinking if i get the pr-approval letter, I should be able to make the offers with the realtor and put the /and or assigns on all my offers and before closing get a person from my buyers list to buy the property. I really just need the pre-approval to satisfy the realtor and make a contract right??
Thanks,
Jason
"If you cannot do great things, do small things in a great way.”
Napoleon Hill quote
Hello BuildAssets.
I apologize, but I am a little confused. You are asking if a lender will still approve you for the 100K loan for a house if you present a contract to them with "and/or assigns" on the contract?
Do you have to present a contract to a lender to be pre approved for a house? I didn't think so. I have been preapproved by a lender and not had to present any contracts.
With assigning houses to other investors, you are more than likely dealing with motivated home sellers (FSBO) and they are not going to preapprove you. They just want you to get rid of their house and take them out of a bad situation.
I am sorry if I am going off the deep end. Perhaps I am the one who's confused.
Good luck
Nick Walters
Walters Property Investment Group, LLC
I know I might be a little off track. Im just starting out getting my contact list together and printing the necessary forms. My question is where do I put the clause comment about reassigning the contract on the form and afterwards do I take it to a title place to get notarized after each party has signed? Im tring to do a quick sale with no money down. Another last question, how much % do I add to the purchace agreement contract? Sorry I have so many question.
nick, to answer your question about "Earnest Money" deposits, What you had stated is the exact reason why i ONLY give $10-$20 bucks as MY "Earnest Money" Deposit, it's used just to "Tie Up" the property, then if the seller wants more money for a deposit, i'll make additional moneys due at close, SULLY.
YOUR HERO, SULLY
The amount of earnest money you submit will become part of your downpayment, making it $1000 dollars less. When you offer earnest money, the seller believe you are serious about buying. If the sellers request earnest money, therefore they are considering your offer to purchase. The buyer did this, when I sold my first property. Even though you offer the earnest money, you could also continue to negiotiate prices in your favor.
Sandra
"You can never get to the top, if you are not willing to climb. Do not look at the difficulty of the climb, only anticipate the view from the top."
"Can't even walk without you holding my hand." (Song)
"Is anything too hard for the Lord ..." Genesis 19:14
"In all things, wait on the Lord."
"Think not of your own deliverance, but trust in God who will give in abundance."
"When you are down to nothing, God is up to something." Unknown
"Our lives begin to end, the day we become silent about those things that really matters." Dr. Martin Luther King Jr.
I am a new investor creating my buyer's list, and I have come across several investors/companies in my area that pay finder's fees. However, they are set amounts of $500 or so. Nothing like the thousands I've seen others on here negotiate.
Has anyone else seen this? Is there usually any negotiating with these people or is it not worth my time?
Thanks,
Brent
To answer your first question...YES, i have seen multiple companies offer this type of "Birdogging Fee", As for your second question....NO, they typically will NOT negotiate that Fee, at least in my experience thats what happened, NOT saying it's NOT possible though. Personally i wouldn't waste my time with these companies, unless there willing to actually pay you a REASONABLE FEE, and by that, a REASONABLE Birdogger Fee would be between $1000-$2,500 depending upon how good the deal is, Again, this is how i work, NOT sure about anyone else, SULLY
YOUR HERO, SULLY