OfflineI got to take a look at a foreclosed property that had alot of potential. My agent took me for a tour, and i was writing everything that needed for repairs. My agent is the best i think here in the area. so she is also estimating the repairs. i came up with 19,000 to repair and she said 25,000 tops.
Property Details.
3/3, 1292 sqft, 1 Car Garage, Nice Neighborhood.
ARV 130,000
Repairs 25,000
Starting sell price 62,000
Now 57,000
Offer 44,700
Potential Profit Wholesaling this Property is 6,000 if offer is accepted.
Re-Sell to End Buyer 50,700
Strategy to Wholesale this Property:
I made an offer under an LLC, and plan to sell the LLC to my end Buyer. I use an LLC because i cannot assign the contract of a Foreclosed property.
If any one has any pointers, FEEL FREE.
PLEDGE ALLIGENCE TO THE SWAG
Hurst
what are your comps ?
What kind of ROI does your end buyer want?
Watch your thoughts, for they become words.
Watch your words, for they become actions.
Watch your actions, for they become habits.
Watch your habits, for they become character.
Watch your character, for it becomes your destiny.
^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
Our Heart's Desire must be nurtured by our mind,to give birth to common sense, that will enable us to seek out the path less traveled, with the greatest Personal Growth. -J.R.-
Your numbers look good as long as, like Joel says, your comps are giving you an accurate ARV.
Have you figured your cost of forming an LLC in your state into the numbers?
Karen
"You're never too old to be what you were meant to be!"
www.deangraziosi.com/real-estate-forums/investing-journals/59128/day-for...
"Shining Like a Star & Dancing on Sunshine"
"Shoot for the moon! Even if you fall short, you'll still land among the stars!"
Comps are averaging out at $133, 770. Pulled out from my agent. And there are 2 more similiar homes that are pending right NOW.
Three potential buyers that I am wholesaling this property to wants at least 15000 or more on the deal.
Does that sound a little bit better for a wholesale deal? I would buy this deal but I have no at the time to fund the purchase and rehab.
But if anyone here on dg is intrested, lets scoop this up.
PLEDGE ALLIGENCE TO THE SWAG
When you ran...... Your comps where they with in 20% percentage of the square footage?
Where they the same style of home meaning the comps were of similar ranch style homes? Or which ever type of house
I am not trying to be a buzz kill but Karen is right..... The numbers look good
She has closed deals I only know the theory (she's a smart cookie I am just saying)
And that is great you have an agent and buyers in place you know what the buyers want but did your agent go according to these criterial?
Are the comps with in 1/2 mile radius and be vigilant of which comps are used because the agent incentive is the commission your incentive is to make your end buyer happy and especially hungry for more
Sorry for being so long winded with my response hope it helps
Three potential buyers that I am wholesaling this property to wants at least 15000 or more on the deal.
Does that sound a little bit better for a wholesale deal? I would buy this deal but I have no at the time to fund the purchase and rehab.
But if anyone here on dg is intrested, lets scoop this up.
Watch your thoughts, for they become words.
Watch your words, for they become actions.
Watch your actions, for they become habits.
Watch your habits, for they become character.
Watch your character, for it becomes your destiny.
^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
Our Heart's Desire must be nurtured by our mind,to give birth to common sense, that will enable us to seek out the path less traveled, with the greatest Personal Growth. -J.R.-
Another note......
Like Karen said did you look into the formation and expenses of an LLC ?
Have you figured your cost of forming an LLC in your state into the numbers?
Karen
Watch your thoughts, for they become words.
Watch your words, for they become actions.
Watch your actions, for they become habits.
Watch your habits, for they become character.
Watch your character, for it becomes your destiny.
^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
Our Heart's Desire must be nurtured by our mind,to give birth to common sense, that will enable us to seek out the path less traveled, with the greatest Personal Growth. -J.R.-
I can't wait to hear how this goes for you! I would love to see you get your diamond!
Joel, thanks for the kind words.
Karen
"You're never too old to be what you were meant to be!"
www.deangraziosi.com/real-estate-forums/investing-journals/59128/day-for...
"Shining Like a Star & Dancing on Sunshine"
"Shoot for the moon! Even if you fall short, you'll still land among the stars!"
The LLC in my area is only $50 to form and immediately affective.
Joel, Yes i had the comps run out exactly how Matt put it in Deans 30 Days to Cash, and the Profit to Real Estate. Thank You for the reminder of what kind of comps to run. Oh im in a small area here in Missouri. about 7,000 people.
I want this to go through because i talk to much about it and my brain is hurting just thinking if its going to work or not. The folks here in my area have money to invest but its still Old School Investing. If you have money you can buy a real estate. If you don't, save money or its not going to happen. Well, i do not have any money at all, just enough to buy some yellow bandits and a little gas money for this BIG BUSINESS i am trying to build. And i am going to prove these folks WRONG.
PLEDGE ALLIGENCE TO THE SWAG
That's awesome things seem in place just make sure you dot your i's and cross your T's when signing contracts as we are all aware how we can easily escape a contract so can others do not be afraid to challenge legalese (legal language) and ask for clarification and as I saw on a recent post make sure contingencies are fully spelled out and not fragmented sentences that under litigation they can back out
As you can tell I am very conservative about moving forward with details and meticulous about scrutiny of the deal
Joel, Yes i had the comps run out exactly how Matt put it in Deans 30 Days to Cash, and the Profit to Real Estate. Thank You for the reminder of what kind of comps to run. Oh im in a small area here in Missouri. about 7,000 people.
I want this to go through because i talk to much about it and my brain is hurting just thinking if its going to work or not. The folks here in my area have money to invest but its still Old School Investing. If you have money you can buy a real estate. If you don't, save money or its not going to happen. Well, i do not have any money at all, just enough to buy some yellow bandits and a little gas money for this BIG BUSINESS i am trying to build. And i am going to prove these folks WRONG.
Watch your thoughts, for they become words.
Watch your words, for they become actions.
Watch your actions, for they become habits.
Watch your habits, for they become character.
Watch your character, for it becomes your destiny.
^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
Our Heart's Desire must be nurtured by our mind,to give birth to common sense, that will enable us to seek out the path less traveled, with the greatest Personal Growth. -J.R.-
This is why i post my business on this site. People actually care if im doing it right or wrong. Thank You for posting.
PLEDGE ALLIGENCE TO THE SWAG
My agent just called and asked if this is going to be an All Cash offer, i said YES.
Earnest money, $500 is the min for the foreclosed property.
Proof of Funds Letter will be from besttransactionfunding.com
stratergy to wholsale this is Selling the LLC if the offer is accepted.
PLEDGE ALLIGENCE TO THE SWAG
I can't take credit for the......
Knowledge I have obtained Dean sparked my interest I only had a vision and dedication..... The rest has come from great people from the DG family as we are a community of investors, by the way welcome ! I almost forgot to mention that part.....
Watch your thoughts, for they become words.
Watch your words, for they become actions.
Watch your actions, for they become habits.
Watch your habits, for they become character.
Watch your character, for it becomes your destiny.
^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
Our Heart's Desire must be nurtured by our mind,to give birth to common sense, that will enable us to seek out the path less traveled, with the greatest Personal Growth. -J.R.-
Some already had an offer just an hour before i dropped off my offer to be submitted. I put my head up and i asked my agent what properties do you have for me that can make me 20,000 or more. i want make multiple offers, and want them as soon as possible. before the end of this week. My agent post up and printed only four homes that match my criteria. aside from those properties she gave me, me and my wife devour the internet and drove around for about two hours to find vacant and potential properties to make offers on. right now comps just came in for the properties and its work time.
I will update.
PLEDGE ALLIGENCE TO THE SWAG
Yesterday(Thursday, June 12) i had another potential property that my agent sent me, and we went for a showing. i took pictures and wrote down everything that need repairs. Everything i saw was just cosmetic. Literally. Although there are no appliances and its a one car garage attached. Needs paint and new carpet and flooring throughout the whole house. It has two levels. the main floor and a basement. Three bedrooms, kitchen, and a greet room on the main and the master bedroom downstairs with a family room in the basement. Repairs estimated at $15,000 - 18,000 depending on the appliances and contractor. Neighborhood is beautiful and homes are selling in the $150,000-$200,000. Comps for this property did come out at 152,000, so its slightly on the low side, but this property has been dropping its price five times since February. its selling for 64,900, i am offering 52,600.
Wholesaling it for 61,000 by selling the LLC to my end buyer.
I will update if the OFFER went through.
PLEDGE ALLIGENCE TO THE SWAG
Great job keep it up......
Just make. Sure you have end buyers set in place
Wholesaling it for 61,000 by selling the LLC to my end buyer.
I will update if the OFFER went through.
Watch your thoughts, for they become words.
Watch your words, for they become actions.
Watch your actions, for they become habits.
Watch your habits, for they become character.
Watch your character, for it becomes your destiny.
^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
Our Heart's Desire must be nurtured by our mind,to give birth to common sense, that will enable us to seek out the path less traveled, with the greatest Personal Growth. -J.R.-
Wholesaling it for 61,000 by selling the LLC to my end buyer.
I will update if the OFFER went through.
Even at the full asking price those numbers are great! You could probably get $10k on this easily.
Crossing my fingers for you!
Karen
"You're never too old to be what you were meant to be!"
www.deangraziosi.com/real-estate-forums/investing-journals/59128/day-for...
"Shining Like a Star & Dancing on Sunshine"
"Shoot for the moon! Even if you fall short, you'll still land among the stars!"
Work the numbers and make it happen.
"You can never get to the top, if you are not willing to climb. Do not look at the difficulty of the climb, only anticipate the view from the top."
"Can't even walk without you holding my hand." (Song)
"Is anything too hard for the Lord ..." Genesis 19:14
"In all things, wait on the Lord."
"Think not of your own deliverance, but trust in God who will give in abundance."
"When you are down to nothing, God is up to something." Unknown
"Our lives begin to end, the day we become silent about those things that really matters." Dr. Martin Luther King Jr.
That offer did not go through. It was bidfing war. I lost and did not know if could wholesale this property for a profit. On to the next one. 25:1 start over.
PLEDGE ALLIGENCE TO THE SWAG
Do not despair, I already see from this two offers you have come out stronger and gained knowledge.
Be Persistent and it will happen..
I am also trying to get my first deal and know that it is going to happen soon.
Wish strength and edurance to work hard with persistence.
Wish you success.
Regards,
Bimal
Wish Everybody a great success in their Real Estate Business
Hello everyone,
My name is Pamela, I was just surfing around this awesome website! Then , I came across all guys wisdom & knowledge and would like to ask for some help!
I am currently looking for an agent..... Using Matt's technique if email blasting all the agents if saying due to the current economy we are going to ramp up business a 100 properties in next 12-18 months. I don't need you to get offended with you have to make low offers on multiple properties. I use several strategies to buy and sell properties quickly...etc. You all know the email the email template provided. Anyways, My questions is what do I respond to what this agent sent me:
AGENTS REPLY TO MATT'S EMAIL TEMPLATE:
Pamela,
Your statements are self-contradictory. If you're looking to make aggressive offers, then you need to offer high and above market. If you're putting in low offers, you should just put them directly into the round file.
How much cash do you have available? We'll need to verify available funds before we can show you the great deals we have available. The entire Bay Area is booming and there's lot of money to be made, if you have the cash.
If you plan to do 100 properties this year, how many have you done in the past year? What is the size of your crew?
Michael Cheng, MBA
Investment REALTOR®
If anyone can please advise! I would greatly appreciate it!
Thank you,
Pamela
JPC PROPERTIEZ
Making your future a "Cash Flowing" reality!
E:jpcpropertiez@****
The criteria or rule that dean and matt puts in their books, is investor friendly agent. I have been watching every single weekly wisdom dean has put up since 2009. One of his weekly wisdom he explains what agent is a good agent. I would suggest calling each individual offices, NOT agents. Tell the first person who picks up the phone, " hello I am an investor in the local area and I am trying to make 20,000 a house. Who in your office can help me?" She or he puts you on hold. Connects you to that agent. When that agent gets on the phone, simply say the same thing. If they ask how are you going to pay, say CASH. If they say how many deals you have done, say if I t old you, you won't believe me. if they askwhat is your strategy on these houses, tell the agent that you would like to buy and flip these as fast as fast as i can. Do not tell them you would like to wholesale these properties, unless you are actually going to fix and flip, then disregard this last step. Think like a Millionare Investor, and you will act like a Million nare Investor.
If that agent say it can't be done or the market is bad or whatever that runs in those lines, say thank you for your time and make another office call. Now if they say that we have deals like that available, then tell them your criteria. Starter homes run down, motivated etc. The agents mindset is what you are looking for. If their mindset is against what you want, X that agent out and move on
PLEDGE ALLIGENCE TO THE SWAG
Saelua, Love your enthusiasm. I am working on my first wholesale and you are an encouragement to me. Keep up the good work and let me know when you complete you first deal.
Thank you,
Loretta
LBoyd
If that agent say it can't be done or the market is bad or whatever that runs in those lines, say thank you for your time and make another office call. Now if they say that we have deals like that available, then tell them your criteria. Starter homes run down, motivated etc. The agents mindset is what you are looking for. If their mindset is against what you want, X that agent out and move on
This was a great explanation!
Karen
"You're never too old to be what you were meant to be!"
www.deangraziosi.com/real-estate-forums/investing-journals/59128/day-for...
"Shining Like a Star & Dancing on Sunshine"
"Shoot for the moon! Even if you fall short, you'll still land among the stars!"
Property is under foreclosure, and they are selling it for $89,000. the inside is a mess, like trash and old TVs. the whole house just needs paint and new carpet, literally, and some cleaning. Only have one property that was sold about four months ago for 110,000. that was the only comp that came in. property in the area are for sale at $155,000-$170,000, no less than 400 sqft difference and all three beds or more with two baths or more. there are eight properties for sale in the area. SOOOOO, made an offer for $60,400 this morning, and wholesaling for $66,4000. Repairs estimated at about $7,000 to $10,000. there is no fridge.
I made the offer under an LLC. and planning to wholesale the property by selling the LLC to my end buyer.
Sounds Good. Keeping positive.
i will update if the offer accepts.
PLEDGE ALLIGENCE TO THE SWAG
My offer fell off. There were two buyers who offered full price. And I think they now at a bidfing war. I fell out because I think its way to much now. And I will wholesale this property, not buy and flip it. If I had that kind of money I will bid on this war too.
PLEDGE ALLIGENCE TO THE SWAG