OfflineOkay, I don't know why, but I'm just freaking terrified of making low offers on the higher-priced homes up here. Things up here are in the $280k-$500k range, and I'm completely tripped out by the thought of offering $150k-$250k less than FMV on a house! I'm also tripped out by asking my agent to do it, even though she's told me she's game. I'm afraid she'll get herself black-balled from the RE community or something, LOL!
I know, just do it anyway. So, here's my thought. Print myself off a healthy Proof of Funds from Coastal so I have that in hand. I have an electronic version of the state purchase agreement. I have lots of listings available over the MLS, and I know a *few* neighborhoods since I went and drove around yesterday.
I'm thinking I will just get a cashier's check for $500, make copies of it, and start submitting my own offers to the listing agents. Pull listings off the MLS, figure my FMV, and just offer 40% of FMV, just to get used to the rejection, and make myself take some action.
If I do it directly, I don't have to feel bad about my agent's time or reputation. If I fill out the purchase agreement myself, I don't have to listen to any (much) crap from the listing agent.
And, if anyone takes me up on it, surely I can quickly find an investor who would take it at 50% below FMV, leaving me a little profit, right?
Thoughts, encouragement, friendly shoves off the edge welcome!!
Why is it so hard to do up here in Portland what I'm not scared to do back at home????
THANKS!
Tracey
That's exactly what I want to do this week.Have you read Dean's new book where he says to make 25 to 30 offers to get 1 accepted? I haven't done it yet but before Friday I am committed to making at least 25 offers at 30% to 50% below FMV.
Where did you find your buyers? I found 1 wholesaler on Craig's list but I need more.
I also need to start advertising this week on CL.
Good luck!
I always love your posts i have learned alot from them.This one here you know what to do,Put your mind in neutral and let your instinct free! And REA's are a dime a dozen. (I say that with respect to the true agents)
Randy
Of course you should make low offers. The more the better, it might take time, buy you will get an offer accepted and you can do it. Crazy is good from what I have seen people do on this site.
This train, Dreams will not be thwarted
This train, Faith will be rewarded
Big wheel roll through fields where sunlight streams
Meet me in the Land Of Hope And Dreams
Bruce Springsteen
I am at the front of the line, at the top of the cliff, ready to shove you off the edge! ... insert "leap of faith" here
If you do not trust that realtor of yours, give her my name and #, you have a gem in your pocket!
I was in the middle of a long supportive message and I went off to talk to my daughter and came back and my whole message was lost!
Bottom line/short version, as northwest says, it is a numbers game. You cannot make one offer and change the world, if this one doesn't work, at least it takes you one step closer to the "Yes! Accepted!" post that we are al looking forward to.
Quote for you:
"You have to do what the average person is not willing to do" cbrpower
Angela
If you do not trust that realtor of yours, give her my name and #, you have a gem in your pocket!
I was in the middle of a long supportive message and I went off to talk to my daughter and came back and my whole message was lost!
Bottom line/short version, as northwest says, it is a numbers game. You cannot make one offer and change the world, if this one doesn't work, at least it takes you one step closer to the "Yes! Accepted!" post that we are al looking forward to.
Quote for you:
"You have to do what the average person is not willing to do" cbrpower
Angela
"LEAP OF FAITH" haha, that is a Springsteen song! See, that is a good sign! Take that leap of faith Tracey! = )
This train, Dreams will not be thwarted
This train, Faith will be rewarded
Big wheel roll through fields where sunlight streams
Meet me in the Land Of Hope And Dreams
Bruce Springsteen
I just started trying this process, but the first day I went on craigslist and advertised for investors I found one. After emailing back and forth a few times we talked on the phone and now I know exactly what he's looking for. I would say keep advertising on craigslist in different areas, under real estate sale, under real estate wanted, under real estate services, and remember to switch up your subject line. If your diligent at this you should get several replies.
Great Plan Tracey! Don't be afraid to make those offers. The worse you get is a "NO" but the more you make 30%-50% offers, the more chances you run into the right seller who is desperate to get rit of his/her property. Remember, if they are not motivated to sell, then they won't sell it, otherwise, make as many offers as you can. Follow Matt rule of success 25 to 1. Good luck!
Lloyd
I read somewhere that when you die in average there will be 40 people at your funeral, but if it rains or the wheater is not good only 15 will attend and out of those 15 some are not there by choice. Anyways, the point is that if you really think about how many people really care for you probably you will be able to count them with your hands, so don't worry what other people will think, say or do nobody should have the right to take your dreams away.
Daniel
"Don't compare your life with others. You have no idea what you are getting into."
"No compares tu vida con otros. No tienes ni idea de lo que se trata tu travesía."
Whew! same here on the nerve-wracking; I know all the pep talk, the psychology and numbers game, etc., even so, I still get pretty twisted up just before and during the offer/counter/ rejection phase; I attribute this to inexperience.
Yesterday, followed up on a call from a motivated seller with a trashed house that was way over priced, although nice and in a nice neighborhood; I shot him an offer at 20% his asking; we talked several times and he eventually said since I'd whittled him so far down, he wanted his tidbit of equity @ closing(this was a wrap-a-round mortgage offer.
Anywho, we're both "sleeping on it" except I'm not. . and can't. . (its' 2;00a.m.! ) I'm a mull-it-over'er'...and I ruminate, then when I make a decision, I'm fine. In these wee-wakeful hours, I'm decided taking on yet another property needing tons of work, albeit cosmetic,just isn't something I'm willing to do.
I a-b-s-o-lutley have to start working smarter, not harder because I tied up6-8 hours of my time and energy today. He called, I jumped in my truck, drove over(meanwhile on he phone with the advisory team as usual)and attempted to build a rapport with this fellow. I told him right up front that I was an investor and that I have to buy properties at discount in order to make a profit. By the end of the night, he was sounding bitter, calling himself a jack*** for wasting a day and for "showing his hand" by telling me what he owed. He insisted on $10,000 equity. . . but realistically, he shot his equity as far as I am concerned by allowing his house to be so run down and abused and left, looking abandoned.
O,k. long and protracted . .story;I welcome any response
GRADY
crosstown looker
I have been through the same feelings. And I have a good agent but I'm afraid he's not used to our thinking a little different, so put your offers out there the worst that can happen is a "no" then you move on and go to the next one.
Angelintouch
NEVER SAY DIE!
REI takes alot of learning. I have spent a lot of hours looking a properties, meeting with sellers, going to auctions, searching online, etc.. and alot of people will say that has been a waiste of my time because the majority of the time I don't get a property. Well the way I see it, is the learning curve, now is easier for me to spot good deals agains bad ones but you get there by doing it (getting in the corridor) not just talking about it (there are enough of those).
Daniel
"Don't compare your life with others. You have no idea what you are getting into."
"No compares tu vida con otros. No tienes ni idea de lo que se trata tu travesía."
thanks folks. . .I just gotta keep those offers gong. Grady
crosstown looker
Tell me what is the difference?I am just getting stared an i am terrified but not of making offers,but making a mistake.I have played around for a long time an is just now putting things in place.But the real fact is if you can offer low on a $150.000 dollar then what the difference between that and a $500.ooo dollar house?ANSERW NO THING BUT A HIGHER TAG.IF you have a agent that is willing to put in low offers then you got it made man so stop being scared go for the gusto.