Ask Matt Larson A Question

Ask your realtor for ALL THE HOMES that Closed (sold)for CASH ONLY in the last 90 days in your area of interest. If your realtor can't do this you can do 1 of 2 things; Thank them for their time and find a new realtor OR you can ask them to give you a list of homes in your target area that have terms listed as CASH ONLY. If they can generate that list them they can generate a list of homes that closed in the last 90 days in your target area. I hope that helps. I just learned about this way of finding buyers a week or so ago...Good luck Kathleen!!
Earl in MI

Now for the main reason I'm posting. In regards to the included post from John K @ FMF Properties, I'm not in Cali but I have to wonder if you have really talked to enough realtors. A straight up 3% EMD on every deal with bank statement to back it up? That sounds awefully extreme and not like the bank talking either. My first thought was that's what this agent wants before presenting the offer. Essentially they are qualifying you so they don't get embarrassed when you can't come through with the money. I could be wrong. Also I've never heard of banks not accepting an all cash offer with POF from a transactional lender. Granted it would be a stronger offer if you were showing them your own cash, then you would certainly get priority. Bottom line, I would seriously shop around on agents and also try offering directly to the bank or their listing agent and see if you get the same feedback.

As an alternative to the dbl close you can also use an LLC to buy from the bank, (just need to borrow that 3% to put in your bank acct. long enough to satisfy POF requirements, worse case scenario), then after finding your buyer sell them your LLC. This is actually a cheaper route than a double close especially when you add the lenders fees,(typically 2 points plus a flat fee of roughly $500. for loans of up to around $100k-$150k then the points increase as the loan amount goes up). As new owner of the LLC they inherit the deal and go to closing as representing member of the LLC (buyer). I can not speak to the cost of selling an LLC but it should be cheaper than the back to back closings approach. Perhaps someone else knows what that costs.

Matt may have better alternatives now but I know he has also recommended this approach to others before. In fact if you read this Matt I would love a copy of your contracts for this as well as your standard P&S Agreement and and Assignment contract. Mostly the P&S agreement and LLC P&S contract would be helpful. Feel free to PM me about those, wink, wink, nudge, nudge. I understand if you don't want to share what your atty get's paid for writing.

Best of luck to you in the Bay area.

Steve

I was wondering if I could lock a property in contract, and then find a buyer to assign the deal to in Texas. The title company says it isn't leagal here...need some help. this would be my first deal and I could make 10-15 thou after selling it 14% below tax appraisal...thanks for any help!

Hello Mat, How can i get ahold of your CD that you and Dean talk about in his video?

Every day there are so many new properties being listed. So often they are put under contract immediately. Such a property became available today. My realtor said it won't last long at that price. I wanted to use Dean's strategy so I offered $20K cash for a short sale listed for $30K.

Will the Seller be insulted by a low offer? How likely will that offer be considered?

Hi Matt this Adamina and I have a question for you, (if it is possible) can you
tell me what is your 25:1 technique that John K. mentions in his message, and
what kind of CD is John K. talking about?
If you don't mind I am interested in those to items, and if you have some info.
about WHOLESALING it will be greatly appreciated.
Thank you in advance for your help Adamina

Hi Matt, met you in Dallas at the boots in the grounds training and loved the weekend. I have been making offers every week since I returned, sometimes 8-10 at a time, but so far, no deals; a few bites, then it's over. What am I doing wrong? I have called the PMI line and talk to the mentors before I turn the offers in; they said they sounded good, but nothing so far. I know the odds have to get better, but am I missing something? I'm doing my best to follow your formula; but I think I'm missing your little one word responses..help, please
Cyndy from San Antonio

Hi Matt, I've read certain posts where the DG student received some sizable cash back at closing. Is this strictly from REO's where the bank authorizes fix up money? Is it possible to recognize these types of deals up front ? Details please. Thanks,
dwhite

My hair stylist husband has asked me to help him sell a property in Florida, but I can't even find it on google...suggestions?

Matt HELP with REO’s

I have REO stuck in my head!!!

Can I do an assignment contract with REO?
What kind of contract can I do with REO’s?

Where are the contracts?
I tried to go to DG.com/forms could not get in .

What do I say to the Bank asset manager?
How do I say it?
When do I Say it?

Too much well what about just WHAT do I say to the Bank asset manager?
Plus What & Were of the contract?

Miami is second in the USA in one study I seen to MAKE MONEY right now in Real Estate (I’M READY)

I talked to two bank manager they both TOLD ME that when I am ready & have the Buyers, to come back they will get me together with the REO asset manager. Well I NEED MORE INFO!!!!!

THANKS Matt
Joe Velez (joethanksg) in Miami,Fl.

P.S. I Have Your Books Your town your real estate PROFITS, PROFIT from real estate RIGHT NOW! & Success Academy PMI Course also --- NEED MORE HELP put
I WILL GET THIS!!!!!!!!! There is NO stoping ME!!!!!!

I’m a little lost in here if you answer where will I see it in my inbox or where?
Please (Write to author) so I can get your Comments I'm lost still "I will get it"

Hi there! your new like me...I noticed your post 'cause i was looking for udated Ca REO info. May I suggest to you, if you haven't done this yet is to join a REI networking group/club in your area. They are very instrumental in obtaining a mountain of knowledge and perhaps you can find someone to partner with. There's lots of info here on this site but, if you want to get going and learn as you go that might be the best thing to do. Also, I'm amazed as to how easy it is to get together with an REO assest manager in your area. Here in my immediate area is very rural and almost like pulling teeth just to get a bit of information, not very friendly here...but then I'm not a local. Hope you find all the assistance you need. To your success!Cb

May i suggest a few things? Bare with me...as a Nurse i can't help notice your overload as you call it. You obviously have a lot on your table. Im not in any better shape but, what has helped me is joining a REI networking group/club even though I cant get to it I can still get information, insight and direction from others who are working it through emails. Set a goal for yourself...Find one strategy that you think you might want to do...write it down and do pros and cons of it to see how much time you will need to pursue it. Start with "time"...how much time do you have and how much time do you want to put into pursueing a technique/strategy. Take small steps but make sure they are solid steps and keep moving towards what ever goal you have. And don't give up. Find someone either at REI networking group of here on this site who will hold you accountable for your progressive plan of action or better yet find someone who will partner with you after you have somesort of plan...you don't want to be a major pain to anyone and bring a skill a trait something positive to the table of your partnership. This is what i have learned the hard way and I'm still learning...we all are. I hope this helps out. I know easier said then done but, you got to start somewhere and go forward, right? So, concider this and rearrange this to suit your personal style cause there is more than one way to learn...visual, auditory, etc...you know yourself best. did you say you'r a Veteran? Me too. Take care and i hope this helps out. CB

Hi Matt. My spouse and I started the program in mid-May. We are now working with a member of Dean's team via weekly phone calls. We live in a nearby Illinois county. Would you be interested in making some investments to the northeast of your locale? Many homes on the market for more than six months. Contact me if interested in whole sale opportunities.

BTW - Lived in the county seat of your locale for twelve years. Our two oldest graduated from AHS.

Hope to hear from you soon.

I have been curious for a while, so I want to know from Matt since he is the student Dean chose to use in the book when learning about getting my hands on an agent. See, I have acess to a broker and an agent and didn't know if I would need to ask different questions to the broker than I will the agent. I have a tele-conference with the broker on Monday, so I just want to make sure I am asking the right questions.

Anybody in Texas, that would like to share your success. i feel stack dont know fron where to start.

I just enrolled in the edge online watch a video Greg Murphy's he mentioned to get a business card what I need to say in my bz card Legal stuff I moved to Texas from California I have no idea about RE in TX help!!

Hi, Valerie,

You would apply for an equity line of credit on the property. You do not do a refinance because you do not owe anything, it is owned free and clear.

I hope this helps.

Viki

Hi Matt,
I have a buyer with good credit but I am still looking for a house. After I find a house what is my next step ? Should I tell the buyer he needs to get an
inspector to check out the property ?
Thank you,
Debra

Matt,

You're an outstanding teacher! I am leaning so much.

I'm a RBBP student. Regarding the Buyer's list, my agent sent me the cash sold properties for the past 90 days. Took it to the Assessor's Office, I was told they do not update current ownership information for 3-6 months. How can I find the current owners and billing addresses? It's such valuable information, I hope I can utilize it.

Thank you,

Greg

Hi Greg:
This might help you with your situation.
After a sale, the tax record needs to be updated. It might help to go to the county taxing office and see if they have public records using the address of the property or the recorder's office for sales records on that address. Lastly, you could drive to the properties and see if there is any work being done on them and talking to the workers. (Since this could take a lot of time and energy, obviously you'd want to try the first 2 suggestions first.)
Hope this helps.

Andy Sager
DG's AndyS

Under which forum or group will this post be listed?

Matt,

Can you share with us what type of Data Base or other software you use to keep all your leads, follow ups, mailings, phone calls, contacts, To-Do Lists all organized? I have ADD and I really get overwhelmed, and loose track of all the work I've already done!
Your suggestions would be greatly appreciated.

Thanks,
SuzyB

hi matt i am just getting started please help i want to get an account with craigslist i want to try assingments frist and want to get an account with craigslist so what topic do i put that under so that i could start getting my buyers list started not sure how to get my account started to place ads, there are so many properties here in my dallas tx area just want to make sure i do this right found 3br 1ba for sale 38500 on 2 lot father pass away daugther want to sell before bank take away he took out home equity loan is that a good deal are what? please let me no veary egaer. thanks. mary

Matt,

You spoke w/Dean in a conf call about organization. You mentioned a template you created for giving details on a 'deal' to your buyers.

Would you please share that template.

Most grateful.

Linda

So you basically borrow on the 401K then pay the back the 401K loan before a taxable penalty is assessed. That's a great idea! I'll start doing that as well.

Being a younger fella with not a huge 401K I've ran into a hiccup and solution I'd like to share on this

My 401K will only allow me to borrow half of the current value. They use the other half as collateral for that loan against the 401K. That cuts your funds in half! Being young my 401K doesn't have $100K in it.

There is one other option offered by most. It's called a self-directed 401K. You can roll it over into a self directed acount so long as you have a C-corp or LLC and you can use that account to purchase real estate!

How does the Self Directed 401K work?

1.Create Entity (LLC or C-Corp). Your 401K company will create the entity with the appropriate state.
2.Create the Plan (Trust with Plan documents). Your 401K company will create the Plan and file with the IRS.
3.Rollover monies from IRA or 401K to your self directed account.
4.Setup Checking Accounts for the Company.
5.Direct Investments by purchasing membership or stock in a company (your C-Corp or another entity).

It'a way to get to ALL of your money instead of half and you don't have to refi with a bank to pay back a loan borrowed against your 401K. Of course you'll want to refi so you can have more funds available for more properties.

Own Your Situation,
Ben

Matt,
Great to hear from you! I just replied on your 401K solution outlining a way to roll those funds into a self directed account. It's slick!

I had a question on automation and producing more leads... I'm busy. Very busy. I work for a fortune 500 and I can't wait to fire this job. I had been doing real estate on the side, now we're starting to build it into a viable business which is only taking MORE time.

First, What did you do in the beginning when you started out wholesaling to automate things? I have an employee who does my marketing with bandit signs and CL. I have bird dogs. I have a partner. What other forms of automation can we use? Presently I take calls, I analyze deals, I market to buyers, and I put in offers. How can we cut down on our time by automation?

My thoughts are if I can automate it then I can duplicate it. Once that magic happens I'm not tied to wholesaling in just one geographic region. Ultimately we want a steady stream of leads coming in from every major metropolitan area in the US.

Secondly, Where do the bulk of your leads come from? I do bandit sign campaigns every weekend and on-line classifieds. I like for sellers to call me since I do NOT have time or patience to call FSBO's or Rent ads. If THEY call ME then I know they're motivated. How else are you getting QUALIFIED leads (not just cold called stabs in the dark).

Own Your Situation,
Ben

I am looking at a foreclosure listed with a realtor...zso get the proof of funds for what I am offering or offer first, then get the POF? I just need to know if I shoulkd put the exact offer price on the POF or the accepted offer. And buying an LLC: Do I get the offer approved, buy the LLC in the name of the address then Sale it?? filling out these forms looks to be a bit overwhelming to me but I am sure once I get through the first it will be smooth sailing. Thanks for the advice!

Matt,
I have did posting on craig's list ( Ghost ADS ) with great success, but the enquires are, I would like to buy but my credit is in the crapper and they say I can do a land contract if thats available. So with that said I'm at a hurdle I can't over come. What's my best option.

Thanx RobScott

Hi Matt
You had commented on one of the RBBP calls that if you put up a bandit sign that says WE BUY HOUSES ANY CONDITION you said it comes down to having a buyer's list to pass those off to but is there ever a time when you have to walk away from a property (condition is so bad that repairs would over price the home) and if so what do you tell the seller (as you're not buying any condition)??

Also seems most of the buyers I've talked with are wishy washy...don't really want to tell their criteria - just call me when you have something and we'll talk then is what a lot of them are saying. Will mention most all of these "buyers" have been from calling for rent signs/ads. Don't know if it's just the area I'm in or what and maybe need to look out of state to do wholesaling. Any suggestions?

One last question - when wholesaling out of state, how do you go about finding the right city/county to invest in without searching every city/town website to do a market anaylsis? Can you please elaborate on this a little more?

Thanks!

Question # 1 Answer: You owe too much or the repairs are too great for me to make money on this one, Sorry and good luck.

Question #2 Answer: They could be REAL cash buyers that are tired of the old "I'll call you when I get the next one" line. Take them at their word and send them a deal. They want producers not talkers. I know what most investors criteria are. They want to make money and they don't want to waste time. They want to look at deals. It is your job to know what a deal really is and how to present it to your buyer. Build your buyers list and send them deals. You can not do one with out the other.

Question #3 Answer: You need people on the ground where you choose to invest. No website will tell you the next door neighbor is a junk collector, there is a liquor store a block away, the street is busy or noisy, there is a structural issue, mold, roof, Etc. Then you need buyers out of state, right?
Big cities offer more deals and more competition. Little towns and cities have fewer deals and less competition.
I think it is best to build a local team and get to know the market where you are first!

Just my opinions!

Michael Mangham
MD Home Acquisitions LLC