New Investors POF letters for REO SHORTSALES ETC:

I have never heard of such a thing. But with the way things are, it doesn't surprise me. Good luck with that. I would be interested to know, what comes out of that. Have a great day!

It's been said quite a few times on this site, it is extremely hard to assign or double close on REO's and short sales. Yes, they will require a cashier's check for the earnest money deposit, POF to close, and there will probably be deed restrictions prohibiting you from reselling within so many days.

Your bet best is to market to motivated FSBO properties.

Good luck!

- Tom

Whether you are an FHA approved buyer or a cash buyer or using Granny's inheritance...
You will need to PROVE you have the funds to purchase (acquire) a piece of real estate when dealing with institutions. POF serves to prove credibility, seriousness of intent, and your buying power from the perspective of the seller or a bank lender. It's just business. It also gives you leverage in the vast vortex of the public buying pool. It gets you in the game. Lack of POF makes for tire-kickers.

That is standard procedure; hence the existence of transactional funding companies. They provide the POF so that investors will borrow their funds for closing; they get their money back and their fees at closing...

Get this it will cost but not as much as you as you have mentioned and it is this " www.besttrransactionfunding.com"there prices are very fair, yes you need POFs,unless you work with private owner or FSBOs, many thanks, Jim

let me do this again " www. best transaction funding.com " all one word together, Jim

You can also use insiderscash.com there fees are very reasonable and they give 100% for a one day 75% for 90days and 50% for 2 yrs this has been very helpful in making offers they provide immediate POF letter

I have a REA sending me REO in my area - Philadelphia. I see properties that I know are in good areas of town (not the dingy part). The agent wants me to forward my Bank Accounts (grrrrrrrrh) before I can put in my offers. Well, I told him that I am working with private funding group and that I have to have an offer accepted before I can get funding. He seems to go along with this but I am still Scared about making offers. Oh, how I wish I have someone to work with here in Philadelphia, PA!

Anyway, I have to summon the courage to forward the POF to him to enable me to probably make offers.

Hey my name is Lemuel; I'm from the Bronx, New York and I just had that same problem from the agent and MY attorney. when I gave them the POF Letter they turned around and asked me for a Bank Account Statement proving I had the funds. What I did was called Insiderscash, and explained to them what happened and they told me to tell the agent and attorney you can't provide a bank account statement, because you're getting your money from a lending company. Second, he told me to say I don't understand why hurdles are being put in front of me; I'm asking you for properties on your MLS that are not moving; have been on your MLS 90 days or more; distressed, and basically are not in high demand. After I did both those things the agent took me out and I saw 6 properties, and I'm currently answering ads I posted on Craigslist and Adpost and I'm trying to make my first deal happen. Wish me luck! Good luck to you; I hope this helps!

I want to thank everybody for thier insight it was very helpful I got over the hurdle of $175,000 I was told to prove I had in my account, my realtor some how convince the listing agent that I didn't have it in my account. Now I was told I need to put 10% down on the REO property. Is there anyway to get that funding? should I use a private lender? Is there anything I can tell the listing agent to take a much smaller deposit.

Demetrius - I admire your determination..... But the fact of the matter is that the POF will be the least of your problems if you dont construct these deals the right way.... Especially dealings with bank owned properties....
You can not rely on agents to guide you through and from some of these responses I read.... you may be better off to back off and read some more.
Flipping REO's - Short Sales are as easy to flip as the rest..... they just need to be set up differently......

DG

Raven1234, thank you for your input but I can't back off just yet I'm just getting started I don't really see a reason to walk away just yet. What I see is an opportunity to learn by taking action Dean said you have to beleive it can be done. I will keep everybody posted.

Thanks again

It's competition, Demetrius!
A heavy EMD shows your buying power. Money talks. CASH is king.
You've gotta play the game by their rules in order to win the prize.