COASTAL-FUNDING QUESTION???

All I want to say is your my hero!! You tell it as it is and honestly a value your opinions when you speak. Its true that some people dont even look around for there questions. "cough" I might have done it once or twice. But I finally got tired and I learn that the only person that can help you is yourself. So I decided to read as much as i could, look at ever post that might answer some of my questions and get on you tube and view some videos that might give me some ideas. Thanks for posting and helping. Not sure if you remember about the post I made about my realtor.... Finally gave the guy the boot and decided to go with the listing agent in a dual agency capasaty. This way he is more motivated in trying to close the deal since he makes twice as much even if the property is sold at a lower price.... win - win -win

All I want to say is your my hero!! You tell it as it is and honestly a value your opinions when you speak. Its true that some people dont even look around for there questions. "cough" I might have done it once or twice. But I finally got tired and I learn that the only person that can help you is yourself. So I decided to read as much as i could, look at ever post that might answer some of my questions and get on you tube and view some videos that might give me some ideas. Thanks for posting and helping. Not sure if you remember about the post I made about my realtor.... Finally gave the guy the boot and decided to go with the listing agent in a dual agency capasaty. This way he is more motivated in trying to close the deal since he makes twice as much even if the property is sold at a lower price.... win - win -win

I'm glad that I am your hero....twice!!

Thanks for the kind words

It's interesting when you come to find out that what another young guru say about finding buyers vS. the expertise from Michael, Bill and others. The "others" say you should need to find your buyers 1st, and I think it was talked about in Deans books a couple times. It's because with a first possible buyer I tried that with, "That property just sold... when I get another... or can I contact you when I get another one?". I almost got shot down ~ the entire conversation didn't go so well. And, he commented that he doesn't step into anybody's shoes, but I could contact if I had something. Is that weird or what? Since then, I haven't tried any buyer finding tactics. I think it's fear of being possibly rejected "again" more than anything.

I apreciate all the help you all give to everyone.

Its not that you don't want to always build your buyers list and never stop, it is how you present yourself. Don't use the same script that everybody else uses. Dean says of all his stuff, this is kind of a rough draft, use it and customize it to work in your area and market. Well in the cash buyer market,
they have heard those scripts 1000 times coming from people that never produce.

Time to adjust your presentation. Make it short and sweet!

Hello MR/MRS CASH BUYER my name is_______ and My company is__________ we are wholesalers and do fix/flips ourselves. We find great deals all the time, would you be interested in taking a look when we get a really good deal?

Not to many investors will say no. Get their contact info. Don't go into how many bedrooms, profit margins, how many Sq Ft do you like etc etc etc. Ask the right questions in general conversation like: So, you are looking for entry level SFH?? Do you care what part of town, Do you flip or buy and hold. How do you fund your deals. These questions show you know the business. Don't question your buyer using some silly script word for word is my suggestion. Think about it, sound like a pro, fake it till you make it!

When you have an actual killer deal under contract it is even easier! Does this make sense?

Michael Mangham
MD Home Acquisitions LLC

Interesting thread about Newbies and Experienced Investors alike.

Some of you know that I have worked for Matt Larson, I did that for 7 months in 2010. Holy Cow what a trip! I learned a ton of things, most important was to keep it simple. I wanted to refresh a method to find buyers that Dean had Matt talk about on a conference call.

Very simple and effective, and the same rule that affects everything in life strongly affects how this method of finding buyers works, the Law of Averages!

Get in touch with your Realtor and ask for an MLS search of the last 90 days sold with the only search criteria being "How Sold: Cash". To help speed things up go ahead and ask your agent to give you 2 lists. One list will be Single Family Homes, and the other list will be all the others in residential and commercial.

Now you have records of what properties were bought with CASH, now locate either online or in your County Assessors office where the tax bill is mailed to. It is public information and you will have access to the mailing address of all of those CASH BUYERS!

Craft your letter to be mailed, put in business cards, and buy some stamps, say hello to your mailman and wish them a nice day!

Law of Averages will now come into play, its just like Matt's 25:1. This is a very effective method of Finding Buyers who close with CASH.

Mangham has a very good point about how to get the most out of when the time comes to talk with a potential new buyer. There are a few ways around not sounding like your reading from a script, even if you are reading from a script.

1. Be honest with the Buyer (and Sellers) that your reading from a script. It will let you relax and talk comfortably and be confident in the conversation.

2. Practice, Practice, Practice. In the Beginning you should be running the numbers on all of your leads. Try out for the next Single Family Home search Results on the MLS to find the FMV/ARV, the FMR, Insurance costs, taxes, Property Management, Utility costs averages for the last 2 years. Run the Numbers if you were going to Buy, Fix, and Sell, or if you were going to Buy, Fix, and Rent. By the time you do about 25 you know where to get the numbers, 50 times and you'll start running the numbers in your head, by 100 you'll really begin to know what areas suck and which ones are great.

3. TOASTMASTERS! Don't know what that is? Here is the link http://www.toastmasters.org/ This is one of the best places to have the chance to speak to in front of others to get all the kinks worked out before you talk to Buyers and Sellers.

Get out there and do it! All of these things will help you become smoother and faster at Real Estate.

I dont think ur post was off subject but rather just a very good example of what it takes to become a real investor. And, your post did lighten things up as I could see myself learning to drive my 51 Ford coup. Lol Anyway, Dale Jr., good post as always, and best of luck in all you do.

I dont know what flotsam and filtergarb is, but I do know that your opions and your ensights are the same...to the point and very serious. That is exactly what we need if we are going to succeed. My favorite professor in college took his role as teacher very serious and he expected us to take our role as students very serious. If we didnt, he had no time to babysit and hand hold while we wollered in an out of reality. He focused on those who were committed to learning and didnt care about winning any popularity contest. Thank you for all the help you provide!!

Yeppers I did get off Subject, I felt as if I just kinda followed the flow.

Coastal Funding Letters of Approval work just fine.

Most Agents will not call the lending agency on a Letter of Approval. They may call more often for Coastal Funding since that may not be a local lender they are familiar with.

Bottom line you have nothing to worry about using a CF LOA.

If you by chance know someone with a good amount of cash in the bank to supply you with a Proof of Funds letter drafted by their bank. The Sellers agent can call the bank and be allowed to ask if there are funds to cover $xx,xxx purchase price. The bank will say yes or no for an amount in that account to cover the buying price.

You could even possibly form a great relationship with one of your buyers to get you a Proof of Funds Letter drafted for your use. Your buyer could be spending all their time Rehabbing houses or managing rentals that they need you to find them more deals!

Can not add anything again you guys are too good. But this is about the 50th time I read a post agreed with you 2 and had nothing to add. I only added this time because I too wanted you 2 to know I appreciate your time, input and education.

Best Wishes!

-Dan.

your advice on this forum is unmeasureable; your patience limitless; and your kindness gives new investors the courage to ask questions-without questions, we would not have a successful forum.

wishing everyone success,

valerie