JUST MADE 20 MORE REO OFFERS!!!! I THINK I HAVE A "FEVER" FOR MAKING OFFERS!!!!

Good job.
I'm right behind you this week.Offers are going in period.

That is awesome! The question that most of us ask is did you use a realtor to help you make these offers or are your dealing with the banks directly?

I just had a realtor (after going back and forth for 3 weeks knowing that I wanted to put in multiple offers at 50% of the bank's asking price). I guess she got shell shocked when she sent me a REO list of 42 SFHs, and called me back and said which ONE do you want to make an offer on. I said ALL of them! She thought about it and emailed me back that she didn't think her rate of return would be worth the time with all the paperwork she would have to fill out to make these offers and would be laughed at by her fellow realtors (BOO HOO)! HER LOSS!

So she wasted my time and hers. So I am searching for another "investor friendly" realtor.

Just curious how you were able to find a realtor to help you put in 30 offers.

I HAVE NO FEAR BECAUSE I AM NOT EMOTIONALLY ATTACHED TO THESE PROPS AND COULD CARE LESS IF THEY REFUSE TO ACCEPT MY OFFERS. There are thousands more out there. Just need an aggressive and hungry realtor. Maybe I'll place an ad in this forum looking for an agressive REA that lives in the east bay, ca that doesn't worry about their "reputation" (which makes no sense to me), just because I am making low offers how does this hurt that person.

Please let us know if you did in fact use a realtor. What do you intend to do with the accepted offers? Assign/buy and hold, etc.

Thx,

Neil

Thanks for your reply.... I happened to use "two" different RE agents... I live on the border states of WA/OR... So, I have the advantage of buying investment props in both states, which consist of 4 counties.... I have been working along side my WA RE agent for the past 2 months. She does not have an issue with "low ball" offers and wants to do ANYTHING to make me successful... The other RE agent was given to me via of another investor who happens to live in my area. I just sent her over my initial 10 offers a few days ago. She emailed me back to say she wanted to me with me on 3/23 so I can sign ALL the papers to send over to our listing agent. So, tomorrow at 3pm I will be signing the first 10 offers ....

Then, tonight I sent my OR/RE agent another 10 REO offers and my WA/RE agent her first set of 10 REO offers...which makes 30 offers total in the last week!!!

My WA/RE agent referred me to her friend in OR, but it did not work out. This RE agent told me she had never made any REO offers, I knew then I was in for some trouble. But, after she emailed back to explain she and a co-worker discussed my offers and they decided I should just submit ONE of the 10 REO offers, I then knew it was time to depart. So, kindly departed and contacted my current OR/RE agent, whom I will be meeting with on tomorrow. Wish me much hope and blessings on these deals!!!

I would love to assist others in how to get their offers through the bank/lender on to closing. Also, I would love to show "newbies" how to do assignments/wholesales and use OPM in order to make ALL of this happen. My plans will be to assign/wholesale ALL of my deals at this point!!!

I'll be in touch... because I sense a closing just around the corner!!! Shalom!!!

And I do wish you all the best!!! Just curious......how much are you offering, 50% of FMV/bank's asking price? I was steaming mad whem my ex-realtor wrote back that it would hurt her reputation to put in these low ridiculous offers. I said kindly that I understand and will just make money with someone else. Funny thing she was referred to me by a friend of mine...oh well.

Please keep us all apprised. I am looking at a SFH in a nice neighborhood where the couple has gone through a divorce and need to sell. They are asking way to high at $839K (I think FMV is closer to $700K and will offer around $450K. The owners will have a hard tome with this # I am sure but they only owe $240K so at $450K they still walk away with $210K profit. I know they are NOT making what they though they could, but this is no different than people who bought Citcorp shares at their peak and now down 99%. All investments are risky.......but when purchasing real estate one axiom comes to mind, YOU MAKE MONEY IN REAL ESTATE WHEN YOU BUY, NOT WHEN YOU SELL! If you buy at the right price you will always make money!

Neil

I am a newbie and I just want to ask you guys where you get your paperwork/form to submit offers with? My family and I are currently looking at some houses we want to make an offer on but our realtor does not want to submit our offers. He said that banks are not even looking at low offers right now and he said that for the banks to accept our offer, we need to submit an offer above the asking price. And I am thinking, that doesn't make sense! I mean, why would you even offer if it is above the asking price??? So I just want to submit our offers directly to the bank that is why I am asking where you get the forms where you submit your offer and how the process is. Please help =( Your advice will totally be appreciated.

Oh by the way, we're looking for a house we want to live in. Our house right now is too small for our family and today is a buyers market and we got pre-approved already. Our realtor is showing us houses we don't want and does not want to show us the houses we really like. So we just want to submit our offers directly to the bank but just don't know where to start.

Some these realtors are contracted agents for the bank. They basically get paid by bank if they get a house sold at full market price or more. So these realtors have other underlying reasins for saying it will mess up there reputation. It will mees up there reputataion with the banks. But the banks don't care about what the agents do and agents nned to just do there job. Submitting offers is part of the businees. Further more no investor is going to pay market price for any property. If they are true investors. It doesnot make mathematical sense. I say agents worry about all the wrong things. Agents make if they sell houses however they get sold. They don't make any if they don't.Being an agent is an every man for himself business. So agents will have a hard time making money in this market. They too need to swtich up there selling stategies to succeed in this market. In this market it would make absolute sense to work with an investor if regular folks are not really buying homes and you plan to have an income as an agent. At least you know something will be bought for sure and you can guarantee a pay check. Silly people... Then they can ask the investor when they are ready to sell the house at alater date, can they list it with them so at least they can get paid on the back end too, where most profit will be made for the agent. Small amounts of money will be made on the front end. But set it up to get it listed back with you when the time comes. Everyone just look for the next agent willing to do something. I have come to the point where I am really straight forword when dealing with agents. That way I can get what I want and they realize that I need them and money can be made by them too.If they are not interested, I caan know sooner rather than later and move on to hte next. To much money out here to be nade to waitng for someone that doesn't want it by there show of no action.
Kingjuss,

I am a real estate agent in the East Bay, CA, and I will gladly be your real estate agent. I will take any offer to a seller, especially in this market. This is the time to buy, so why not help you, it helps me!

I;am in a little town in Louisiana trying to get a real estate agent to work with is like a needle in a hay stake. so can you help me.

Chris,

I am out of New Jersey and i have come across a lot of REO props. However, i am being told the banks will not allow me to assign these deals. They want to know who their end buyer is, how the deal will be financed, etc. So, were you able to do a Purchase Contract with Buyer as your company name "and/or assigns"? Where you able to attached any addendums or exit clauses to the contract? If so, which?
You said that you will be assigning/wholesaling these deals. How are you going to do this without the bank knowing?
Do you wait to get your PC approved by the bank first and then you aggressively seek and end buyer/investor for it. Or do you already have a specific end buyer lined up yet?
How are you showing the bank Proof of Funds?
How are you assessing the Maximum offer Price for these props? Are you just looking at their FMV and coming down 50% from that? Are you looking at repair costs and also you fee? What formula do you use?
If you would prefer to call me to discuss, please shoot me a direct PM and i will give you my telephone number.
Good luck to you. What a great story of encouragement and courage!!!!
Mati

Mati, you took the questions right outta my mouth. Also, from what i understand,the listing agent contracted by the banks tends to push the offers more to their bank since they get the entire commission, instead of splitting it.

I haven't made an REO offer yet, but I plan on using this escape clause"

"It is agreed that Buyer will have 30 business days from the date of this agreement to perform due diligence. This procedure may include confirming market value, determining any needed repairs, or researching the title to the property. In the event Buyer determines that the property does not meet with their approval, this contract will be null and void, and the Buyer deposit will be returned immediately."

Bruce

I am looking at 5 or 6 REO properties today. My realtor used to be an investor. Still she doesn't seem to think low bids will be accepted.

One of the houses I really like is on for $79,900. I want to offer $59,000.

She said no way they'll take an offer that low.

She does sell a lot of foreclosed properties. Is there any way she could be right? Is there any way the banks could be pricing these low enough to move them quickly?

I am looking at REOs that have been on the market over 90 days.

I really want to make my first offer this week!

I'll get more information from her today.

Please keep us updated on which properties get accepted!

Who's telling us that the banks don't accept assignments."Realtors"
Who tells us that banks don't accept low offers "Realtors"
Who tells us we need proof of funds "Realtors"
Are you seeing my point.
Put in full formal offers with and/or assigns and the Realtors have to turn them into the bank.No proof of funds needed, just some earnest money.That's what we're told to do from the start from Dean and top users and I think we are all making this more difficult than it has to be from listening to the negative Realtor ect.

GREAT JOB, wealth2009! I am dealing with the paralysis of fear just like you. I know that I just need to jump in and get started and hearing you going through the same thing provides me with some motivation to do it. I would love to take you up on your offer to help us newbies with assignments/wholesales and OPM and anything else that you want to share. Good luck with your offers!

-- Mark

Sunshine think about it like this. How will you know what wil be accepted if you don't offer? How will an agent know if they don't put the offer in. Whoc cares if the offer gets accepted? I don't. You or any investor shoulnd't. U move on the next A.S.A.P Realtors have there own underlying intentions. You need just ask if they are going to submitt your offer or not and if not,that way you can move on. Realtors are cluesless to somme of these stratgies we use, at least some, not all and most are just not gutsy and are so accustomed to doing things by the book. I agree with Jason Smith. Realtors can be dream killers beause they are stuck in rut and they don't see what we see. So be straight forward and ask will you put offer in or not so I can move on to someone who will. They are holding you up and who knows what will be accepted. We are not afriad of the rejection, in fact we expect it. Come Sunshine just keep it moving. Thats an obstacle that needs to hit by a train. You are that train.
Kingjuss,

Listing agents have to submit your formal offers.If they don't you can go straight to the bank and tell them that there REO agent isn't turning in all offers.You would have to do this, not your Realtor.

Don't let not having an agent keep you from making offers. My agent is busy right now with our "season." She doesn't care if I put in offers with other agents. I'm going direct to the listing agent. That's a good thing because you can use the 6% commission as a motivation to the agent.

From everything I've read and seen, most RE agents are basically bullies! They want to bully you into doing everything their way. Remember, they work for you! Submit the offer- put in whatever price YOU want, whatever contingencies YOU want, and whatever else YOU want. Think of the agent as he seller's maid or butler - they're simply running the message back and forth and have NO say-so in the matter at all!

Maybe the bank will flat-out reject your offer, maybe they'll counter, maybe you'll develop a rapport with them, maybe you'll end up walking away. It's all good experience, and the numbers don't lie: put in enough 50% FMV offers (20-30) and you'll get one accepted!!

Tracey

I just read your post and will PM you. It would be a PLEASURE to work with a realtor that is POSITIVE and understands investors! And Kinguiss, I completely agree with you about most realtors are representing the BANKS but are wrong about looking bad in their eyes. What makes more sense......not being able to sell the REOs at all at the bank's listing prices or selling ALOT of them at reduced prices (HMMMMM...rubbing chin with index finger and thumb

Party on dudes and dudettes.

Neil

Are you viewing these properties at all?? I have about 20 I would like to make offers on myself, but as Dean says, make sure you do your homework first.

Just want to know if you are skipping that step. (or is the agent viewing these properties for you?)

i put in an offer for 70000 and the house is wort 179950. I dont know what is going to happen but I am excited and am looking forward to putting more offersfor reo's. I have a friend who is helping out also. Kind of scared but wont know unitil I take that big step. I already have people asking me about properties and I dont even have a businees card. As soon as I joined Deans group I have been telling everyone I buy Houses and have been gtting a big response already. Keep going for it I cant wait till i get a correspondance

Kennard

You are officially DA MAN!!!

I am looking forward to speaking to you further and lets make some damage together!!!

I hope you make a killing out of these deals man!!! Sounds like you have everything worked out though!

Yuri

Hey Neil, I am offering 50% of the "ASKING PRICE" actually at this moment I don't even care what the FMV/ARV looks like because those are just #'s.... I've learned early on this is just a #'s game!!! My RE agent is "stoked" she is so funny and loves the idea of offering "low ball" figures... She tells me with the market my #'s should look pretty good to any lender. She plans to send over the #'s to the listing agent tomorrow and we should hear back before the end of the week...

Keep in mind these are the first 10 REO offers I sent over last week.... Yesterday, I sent her 10 more REO's and sent my RE agent in Vancouver, WA 10 REO's as well.... Now, in the last 7-8 days I have made 30 REO offers with "two" different RE agents.... Wish me well.... I'll keep everyone posted of my success!!!

My advice.... Don't attempt to do this on your own... Unless you are acquainted with the legal paperwork and language of the contracts, you will end up doing more harm than good for yourself.... Keep searching in your area, you'll find a willing and able RE agent... Don't ever feel rushed!!! Take your time and locate a RE agent who understands the nature of RE investing/investors.... Shalom!

Unless you have a RE license, NEVER submit an offer to a bank without a RE agent or RE attorney.... Trust me you will REGRET IT!!! Locate another RE agent there are more out there waiting on your business than you can "shake a stick at..." Keep searching until you find the right agent!!!! Promise ME!!!

I do not view the properties first, because I have an "inspection contingency" in all of my agreements. This gives me a 14 day window to hire a GC and go through the place, if I find out the work is too much for repairs I "null/void" the agreement... It's that simple!!!

Hey Yuri, I sent you a PM.... Give me an email or let's chat: gmail or yahoo/Y-messenger... Thanks!

Thanks so much for your words of encouragement about going directly to the listing agents. In my case, my ex-realtor is the listing agent for the 42 properties she showed me. It doesn't show which banks own which properties and even if it did know, it wouldn't be wise to go around her.

I will just bein working with a new agent such as June above when I hear back from her.

Thx all,

Neil

When doing bulk offers like this......just look at the details of the listings......are they "bread and butter" homes?....3 / 2 ? etc....figure what FMV is on the homes.......and Offer 50% across the board....THEN....when you have "some" accepted offers.......go and view the properties and discard....ie....back out of the ones that DON'T fit your profile or that are not acceptable .....otherwise.....flip them to another investor for an assignment........it's a NUMBERS game people.....you MUST put in offers to get results......The more you make the more you will get accepted.

Just DO IT !!!!

Sam

Hi all - thanks for all your info, I'm still waiting for my books and products that I order from DG. So I can start and just get going. The info you guys share in these forums I feel are very valuable and hearing the lingo. I kind feel like I'm becoming a person who is involved in real-estate. I've already learned stuff just reading through all postings that I didn't even know before. Anyhow...just wanted to say Thanks...I love this TeamWork atmoshpere. Go REO's !!! =)