James' Journal.

Sunday, July 13th.

I recently found an incredibly distressed property a few blocks away from my house. The property has overgrown grass, trees and other things that make it look like a real woozy. The thing that attracted me to it initially is that it’s waterfront.

So I did some digging and found the tax records on that property. An elderly woman owns it and my next step was hunting her down. I tried using a website that gives phone numbers, but the one listed for her was for somebody else. I was able to find three addresses to where the woman lived. One happened to be the property I’m interested and I know for a fact nobody is living there.

So my next stop was sending out a letter to all three addresses. I kept it simple and brief. I simply inquired about the property and asked if she may be interested in selling it. I gave her my phone number and asked her to please to call me either way.

So I’m waiting on that call. I took Mr. Graziosi’s advice and am trying to be tenacious to get what I want. I’m hoping that it pays off in the end. I’ll keep everybody informed!

I think your lofty aspirations are attainable as well. Congrats on your new endeavor.

Now about the property, I like your thinking on the lot. The division is a great idea but just make sure all of your numbers work and you leave enough for for incidentals. Keep us updated and I will be following your journal.

James, Congratulations on your finds! Your excitement and determination is impressive, especially for someone so young. There is no limit to what you can do!
We are so glad you joined us. Keep us updated.

Rina

Are there other houses around there? Ask the neighbors if they might know how to get a hold of the owner, you might get faster results than waiting for a response from your letters. Best of luck!

Monday, July 14th.

I checked craiglists for any potential properties near my area and nothing checked out. I plan on driving around my tiny city some. I'm excited about the city I live in. Because it's right outside Houston, lots of plants are in the area and people are starting to move here. I think the quiet and safe enviroment is attracting them the most.

To Elena: I did happen to ask both of her neighbors if they knew who owned the house and both of them said no. Taxes are being paid for the address. So I'm hoping that at least one of those addresses will reach her and I'll get a call. I really believe this property is a sparkling diamond in the rough. I've got a plan laid out for it, but it seems a little naive to discuss something you don't have yet.

I've written three or four business plans like Mr. Graziosi said. It's pretty fun and challenging!

I'll keep you guys updated.

Way to go James, sounds like you're on the right track, keep up the great work, doors will open for you!

Well, I'm still reeling from this but I thought I share. A little over an hour ago I got the call from the lady who owns the distressed home. After a little chit-chat, we got down to business and I asked her about the property and if she wanted to sell it. She was kind of wish-washy at the beginning and then finally blurted out the price which she'd sell for.

300,000.

My jaw almost hit the ground. The house is 1200sqft and on the water, but the house on my own street is larger, on the water, twice as big and in A LOT better condition is selling for 250,000. So I politely said that was a little steep given the market and asked her to call me back if she decided to come down on the price. [ And come back to planet Earth, lol. ]

I'm a little down. But I still have one property to develop!

The beat goes on.

It would be a good idea for you to make an offer on the property but back it up with the facts on how you have justified this price. You can then leave that offer with her and just wait and see what happens.

Simply telling her to contact you if she decided to come down will not give her food for thought. Quite often food for thought is what is needed to bring a bit of reality to the situation. Is the property owned outright with no liens?

Keep us informed of your progress and don't let it get you down, it's not over yet! Great work and you will do just great so don't give up!

Often times the owners have NO clue what houses are valued at because they're emotionally attached to them so they feel their price is justified. Ask her how she came up with that price and then I would kindly point out what it needs and how much it will cost to bring it up to par, then if she still insists on that price, don't say that's steep. Just tell her, "I really wish I could help you today, but that's out of my price range" and tell her to call you if she should change her mind. People will ONLY buy from you if they like you, trust you and think you care about them, NOT to give you their house at a discount... How you say things can make or break the deal. I Hope this helps, best of luck. ;D

Thanks for all the advice. I've written it all down and made a mental note of it as well.

I've got to some good news! I may have found my first flipping project. A little foreclosure in a pretty decent neighborhood blimped on my radar today. I'll keep you guys updated.

Tuesday, July 15th.

I was looking over various websites this morning for property and came upon a foreclosure. It’s in a fairly decent neighborhood and plan on going out to look at it first thing in the morning. I’m excited as I feel it has the potential to give me a great return in on my invest in the future. If I end up purchasing the property, which is a great possibility, I will take pictures for a ‘before and after’ exclusively for you guys!

My developmental property has been getting the lionshare of my attention. I’m getting ready to start looking for a loan to construct a new home on it. I may end up waiting to do this if the foreclosure property comes to past. I would use the profit from that for a down payment and some security incase the house doesn’t sell as fast. I want to start construction on this house in the winter, so it’ll be done in the spring when most potential buyers are looking to buy.

I told you guys I was going to split up the property in two halves and I still plan on doing that. When the new house sells, I plan on building a brand new duplex on the vacant part that I’ll still own. This is thinking way in the advance obviously, but it never hurts to plan ahead!

Thanks for all the support.

Thursday, July 17th.

I went by the foreclosure today to see it in person. And...I had a terrible experience. I tried to get a little close to the fence and a BOXER ran out from the weeds. He jumped over the fence and started to chase me. I was going over my last thoughts and everything! I managed to jump on top of my truck and undo my belt. I seriously thought it was all over for me! Luckily, the next door neighbor came over and scared the dog off with a baseball bat.

After changing underwear, I thanked the man.

See that? Real estate CAN put you on the edge of your seat!

James.
-Still catching his breath.

That is SO funny! I'm sure it wasn't for you at the time, but it is for us to read it now, especially realizing you have a sense of humor about it.
You are encouraging all here by your input telling us what you are doing and how excited and motivated you are!
Keep up the great work!

I laughed so hard I almost cried. Sorry, I know that it was traumatic for you but lets chalk it up to a learning expereince. Keep your head up

Well, we're so glad you weren't hurt. Looks like yor guardian angels are with you. Your sense of humor is awesome! You'll need it if you're focusing on foreclosures... LOL!
God bless,

James, it's a good thing you're young and fast! Some of us might not have left with everything intact! LOL
You bring new meaning to REI excitement.

Rina

P.S. Did you get a peek at the house? haha

Ha yeah you have to admitt that it is funny to read that!!

Glad your ok... So did you pass on the house or did you actually get to look at it?? lol

No I didn't get to see the house. I'm not going back there until I have the Dog Whisperer or something. I could have been killed! My friend kept herself locked in the passenger side the whole time. She even rolled my down window and said; "Throw your wallet! Don't make us all suffer!"

Oh the horror.

I'm going to try to book an appointment to see it again. Hopefully I won't be hurt.

James.

OMG, the dog whisperer, too funny!! Throw your wallet don't make us all suffer??? You should be on the tonight show dude you're hysterical! Your posts are a riot, keep 'em comin, I love it!

There is no doubt in my mind that you will be a real estate millionaire. I just got home from a 16 hour day and after reading your journal I feel like going back out there tonight. Your enthusiasm is contagous. In the real estate business attitude is everything! If you think you can you will, if you think you can't you surely won't. I get the feeling you think you can. I wish we had 100 more like you on this site. Great job and keep up the determination, success is just around the corner!

Thank you for all the kind words. When it comes from people with such class and success as you guys it makes it all worthwile to me.

You're a breath of fresh air so we're glad to have you here too!

The air was thick with anticipation. The air was hot and unforgiving, but I knew what had to be done. I approached the subject of my fears with an open mind and open heart. I took the liberty of making my will out incase anything were to go wrong. I looked ahead and saw what I had been afraid of…

I returned to the dog haunted foreclosure! I marched up right to the door in a makeshift shield of trashcan lids and waited for any surprises that may be awaiting me. The realtor told me I was exaggerating, but I wasn’t falling for that! I just kept on seeing me in a hospital bed with bandages on my butt and trying to explain to my folks to what happened.

The house needs a lot of work. There’s urine [who knew!] on all of the carpet and just a filthy kitchen. We went to the backyard and I sort of my shielded myself with the poor realtor. [ She was an seventy year old lady and apparently she had a lot to live for. ] I’m happy to report that we did not encounter any wild animals and she won’t be pressing charges for me putting her in harm’s way!

I’ve decided to get an estimate on new carpeting, paint and appliances before I make an offer. It looks promising though!

James.
With a tale for the ages.

Double posted. Sorry.

I tell ya, I get a good laugh every time I read your posts. You really make my day James! I LOVE your sense of humor, so keep it coming brother!
Glad you made it through the horror and lived to tell us about it.... ;D

I am working on something really big! I wanted to give an update. As soon as I make sure this is going to go through, I'll spill all the details!

James.
Crossing his fingers! [ And maybe his toes! ]

This is exciting!!! lol The suspense is going to kill me!!! haha

Keep us in suspense why don'tcha? ;D

I know I've missed a few entries lately nd I hope I can fill you on what's taking my attention tomorrow. But here's a little story that happened to me today that's totally unrelated but shows the type of daily struggle I endure.

I was standing in line today at Wal Mart. I saw a little kid in front of me by himself and I thought it was weird. So I tapped him on the back and asked him; "Are you ok, little buddy?"

And this incredibly angry little person turns around to face me. He was a grown man, sort of! "I don't know...Why don't you ask your momma?"

...

So I'm completely stunned that I've just had a vertically challenged adult talk to me in this manner. I'm not the tallest guy in the world, but this was pretty shocking to me. I'm really respectful so I counter with "I'm sorry, sir."

"You friggin' right you're sorry!" And this man started acting like he was going to fight me in the supermarket checkout line. I had about a foot and seven inches on this little guy. About a hundred lbs. So I had to do what a man has to do when faced with this type of situation.

..."Security!" I totally called for help. They had to tell the man to calm down and get in another aisle at the other end of the story. I checked out, made sure I didn't get attacked in the parking lot and made it home safely!

This is to a honest to God true story. I hope it holds you guys over until tomorrow!

James.
Trembling as he types.

Wow this is absolutly histerical!!! I was laughing the whole time I was reading. Sorry we all always laugh at you when you post stuff!! I think you just need to stop going out in public!! haha

Shaun