OfflineI'm posting this because I didn't find it when I searched, so if it's already a topic I apologize in advance... ;D
What are exit strategies? In my opinion, these are one of the most important elements of the game. Don't be mistaken they're not the same as the "escape clauses" on the purchase agreement. They're the methods you use to make money on the property you've just acquired, whether the market's up or down, good or bad. The more of them you have the better position you'll be in. So before you lock up a contract have a couple of exit strategies already in your mind, that way if one doesn't work you have a couple more to implement. This way you're not forced to walk away or back out of the deal and miss the opportunity to make some money. If you keep this simple rule in mind, you will always make money investing.
Exit strategies:
* Assigning the contract to another buyer
* Wholesaling for a finder's fee
* Lease Option/Purchase
* Owner financing
* Subject to
* Selling to landlords
* Auctions
These are just seven strategies off the top of my head, with a little creativity you can have even more of them. If you feel I missed any, please feel free to add them!
Continued blessings,
Elena
Psalms 118:23 "This is the LORD's doing; it is marvelous in our eyes."
Thank you, Lena. Very good to keep in mind!
Rina
"Obstacles can slow you down, but they can only stop you with your permission." Dean Graziosi (BARM pg 101)
"For I know the plans I have for you," declares the Lord, "plans to prosper you and not to harm you, plans to give you hope and a future." Jeremiah 29:11
For a little about me, welcome to the site, and a few tips for new DG family members, click on this link: http://www.deangraziosi.com/user/3249
thanks much. even though I am just getting started I have already learn a lot by reviewing and reading FAQ's.
living victorious
Elena M,
Thank you again! It seems like this crowd is not only motivated to be successful...but more importantly, you are FEARLESS in admitting what you do not know and constantly working to help each other on their path to prosperity (not just financial, but spiritual).
Reminds me of a story about a man that helped ten folks change the way they looked at themselves. Most simply went on with their lives, but one person returned to thank the giver...I already feel humbled by your insights (and figuratively, "hat in hand") want to say "Thank You."
Being a math guy, I'd suspect that if you multiply your "thank you's" by about 10 (some argue MUCH more), you can begin to appreciate your impact in just the DG family...my prayer for you today is that you receive a "Double Measure" of the Spirit in your walk today...God bless, wib
"All great social and intellectual movements begin with a group of interested friends." CS Lewis
And we know that for those who love God, that is, for those who are called according to his purpose, all things are working together for good.
Romans 8:28 - International Standard Version (©2008)
I don't know about FEARLESS... I just try to be honest with myself and with others, sometimes BRUTALLY honest with myself.. LOL! But I do thank you for your kind kind words. Your prayers are ALWAYS welcome and appreciated. Thank you again for all your wonderful comments, I truly appreciate them!
God's continued blessings for you as well,
Psalms 118:23 "This is the LORD's doing; it is marvelous in our eyes."
Enjoy these comments of yours. Pas. Greg
Elena, what's up? How is auctions an exit strategy?
"The entrepreneur always searches for change, responds to it, and exploits it as an opportunity." — Peter F. Drucker
I think she meant using an auction to sell your property (correct me if I'm wrong, Lena)
Here is an interesting form of an auction that people sometimes use.
The 5-day sale
http://www.deangraziosi.com/node/2336
Rina
"Obstacles can slow you down, but they can only stop you with your permission." Dean Graziosi (BARM pg 101)
"For I know the plans I have for you," declares the Lord, "plans to prosper you and not to harm you, plans to give you hope and a future." Jeremiah 29:11
For a little about me, welcome to the site, and a few tips for new DG family members, click on this link: http://www.deangraziosi.com/user/3249
E, good info. I just used my partner as an out on a prop that we looked at last week. Price was so, so, but the work, HOLY CROW, was there work. More than I want for this deal. "KNOW WHEN TO HOLD-EM, AND KNOW WHEN TO FOLD-EM...Jan
Rina is absolutely correct, the 5 day auction is the ONLY way to go if you're looking to sell quickly!! Thanks for putting the post on here, I didn't know there was one.
Jan,
Relatively speaking that is... LOL!
Thanks! Sounds like you know your poker!
Psalms 118:23 "This is the LORD's doing; it is marvelous in our eyes."
Know when to fold em...I love this!
Challenges are only challenges if you view them that way. Try looking at them as OPPORTUNITIES instead and success will follow!!! "ME"
days and would it allow me to be able to pay the earnest money from the buyers instead of me handing it out?
Option To Purchase Real Estate Agreement
This agreement is made on the [day] of [month], [year],
between
[sellers full name]
of [address], (sellers),
And
[buyers full name]
of [address], (buyers),
The seller now owns the following described real estate, located
at [insert full property address], [city or town], [state]:
For valuable consideration, the seller agrees to give the Buyer and exclusive option to buy this
property for the following price and on the following terms:
1. The buyer will pay the seller $________________ for this option. This amount will be
credited against the purchase price of the property if this option is exercised by the Buyer.
If the option is not exercised, the Seller will retain this payment.
2. The option period will be from the date of this agreement until
the [day] of [month], [year].
3. During this period, the Buyer has the option and exclusive right to buy the Seller's
property mentioned above for the purchase price of $_________. The Buyer must notify
the Seller, in writing, of the decision to exercise this option.
4. Attached To this Option Agreement is a completed Contract for the Sale of Real Estate. If
the Buyer notifies the Seller, in writing, of the decision to excercise the option within the
option period, the Seller and Buyer agree to sign the Contract for the Sale of Real Estate
and complete the sale on the terms of the Contract.
you never know until you find out...
anyone know the answer?
you never know until you find out...
Best thing to do is to have a buyers list first so you have people to assign the contract to. Then you can lock up the deal and pass it onto one of your end buyers. advertise the hell out of it on CL,E-BAY, backpage and whatever other sites you know also.
But building your buyers list first is the first step you should take. Ask them what kind of properties they are looking for, 3 beds 1 bath and so on, the area also. then ask if they can buy cash or if they go conventional, seperate the 2 because you really want the cash buyers to wholesale to. tell them you come across alot of good deals and will pass the ones you can't take on right now onto them. make sure you have enough equity in the homes you lock up so it is appealing to them and they can make a nice profit on the back end.
hope this helps and good luck ):
Richie
Crucial !
Brenda Pugh
Hey family,
There is constant needed encouragement on this site. For all of those who have made that first step I commend you. I have not been able to get on the site for the past few days because my internet has been down. I was feeling so lost for the past few days. I am at work today and have been able to take a peek at a few things on the site and also able to download forms to use. I have found an attorney in the area who is willing to work with me. Guess what? She is also a REI. My question here today is do I need to have an LLC before I contact buyers and sellers for assignments and for bird dogging? I am in the Atlanta area if anyone has any ideas it would be greatly appreciated. In the meantime Never Give Up!