We had bought two REOs in the same week for cash in
the end of October.
The first rehab we finished about 3 or 4 weeks ago & just finished the second rehab.
Put them for sale using a yard sign, listed on our website, & some Internet sites. Had a person call from just driving by, Jill was there & showed the house, they liked it ... she told them about the other property & took them over to see it, they also liked that one & made cash offers on both of them! We accepted the offer!!!
Both Properties had New Roofs, Bathrooms, Kitchen
Appliances, Lighting/Plumbing Fixtures, Carpet & Paint
Inside & Out.
House 1 - 2 bed/2 bath/2 car garage; 1435 sq.ft.
Bought for 36,000; rehab cost was 13,000(including new

DEAL #1 under my belt! And my mentors come Monday 1/9. Bought a fix and flip in Ohio on an auction site. FMV $65,000 Approx rehab $4000 Got it for $7900. Will sell to first buyer that comes along for $25-30k Maybe less, not going to be greedy here. If I get 50% on my total investment, I'll be more than happy.

Hardest part was spending 8 hours on phone (probably 5 on hold) doing my due diligence.

Two things I attribute to my success--Dean's courses and Napoleon Hill's "Think and Grow Rich".

90 days ago I knew absolutely nothing about REI---If I can do this--ANYONE CAN!

Winners always win
Quitters never Win

I wanted this year to be extra special for my Mom. Even though she never understood money (and still doesn't) she always told me I was a winner. She told me I could do anything I wanted. She told me nothing could stop me if I worked hard enough. She told me to never give up. Even though she was always filled with self doubt about her life, she thought I was unstoppable.

In 2009, my wife and I purchased a single family residence, 1550 sf home in foreclosure from the bank for $45,000. The realtor provided full disclosure that a new road was coming through and would impact the property in some way. After purchase, we sent 2 months re-habbing the property spending $15,000 for new paint, flooring, cabinet upgrade, appliances, etc. We then got a renter in the home with a rent of $825 a month.

I notice there are a lot of greedy people out there. They want to squeeze every last dime out of a deal when they wholesale it to a cash buyer. That is a huge mistake.

In my area there are a couple wholesalers who keep raising their prices because they know I am a serious buyer. I kept warning them that their greed was getting the best of them. But they didn't listen to me. They just expected me to keep paying their higher prices.

Well, many of you may know that I don't just sit around and let stuff like that happen to me.

So what did I do to lower my prices from them? I unleashed good ol' american capitalism on them! Many of you may not understand capitalism so I will give you a quick definition.

1. Housing starts surged to a 1 & ½ year high in November. The 635,000 unit rate was 24.3 percent over November 2010.

2. Mortgage rates fell to record lows again.

a. 30-year fixed rate fell to 3.94%
b. 15-year fixed rates were down to 3.21%
c. 5-year adjustable rates fell to 2.86%

3. A huge 46% of homes sold in November were either short sales or REOs. It is expected that the first part of next year will bring a new rush of foreclosures.

For investors, prices are staying low, mortgage rates are plumbing new depths, and rental demand is increasing…all good.