The Journal of the Daily Adventures of Indiana-Joe

We have experienced tremendous weather during the Fall season, here in the Midwest. The temperatures on Saturday were near 60 degrees for the entire day. There were so many people in the neighborhood mowing there lawns and putting up lights and holiday decorations. I decided to "join the block party" and get out my lawn mower for "one last time" for the year. It actually felt pretty good to be mowing my lawn in late November. I can remember a few Winters where I had my snow thrower in full swing already, so to be using a lawn mower is a treat for people that live "up north" this time of year.

I knew it was too good to be true so I also decided to start and run my snow thrower to get it warmed up for the long winter ahead. It never hurts to be prepared for that first big snow fall. When snow hits, it is like the competition in the area, no matter how old the neighbors are, everyone has that need to clear their sidewalks. You see children from 8 years old shoveling, to our local seniors in their 80's. There is such a passion to keep our sidewalks clear. There is nothing like a good snow fall to get the neighbors out talking, shoveling and heping to push cars out of the snow drifts. Then everyone runs to the grocery store to buy milk and bread incase we get snowed in! Yes, in the Midwest we have our routines and rituals. In my other town that I formerly lived in, parking was always a premium and driveways and garages were few and far bewteen. So neighbors would shovel a parking spot on the street and stake their claim with a "chair to save there parking spot"! This still makes me laugh, a little, today as I drive through the area in the winter and see all the "snow chairs". When I was young and we got a lot of snow, I remember listening to the radio very attentively to hear if our school was one of the "school closings". There was nothing like a "snow day"!

I drove the neighborhood and looked at a few new listings. I have noticed a lot more "for rent" signs in our area. I believe more tenants are now starting to buy with the tax credit incentives. I even saw a few for rent signs that had "information boxes" with rental sheets for the rentals. As a reminder, always try to see what others are doing in the area and learn from what they do. Keep a file with fliers and hand-outs because there may not be a need for the information today, but that does not mean the need could change in the future.

I hope everyone has a great week ahead. This is one of my favorite weeks of the year because Thanksgiving is such a fun time of year to spend with family, friends, food and football. I also enjoy the short work week and I see the local stores jumping with business the day after Thanksgiving. Young children have the gleam of Christmas in their eyes and the adults have the gleam of the day after Thanksgiving sale! Good luck finding that next deal! May you locate a feast of deals this season! Believe and Achieve! - Joe

I enjoy reading your posts, you have a way of writing.

Interesting about the rental properties having information boxes. I've never seen that here. That says potential buyer to add to buyers list or maybe upside down seller to me.

I liked reading too about the weather up your way. Reminds me of snow back in CT. I remember shoveling snow one Saturday every hour so that Denny would be able to get in the driveway when he got home. Later that night as it continued to snow you could see all the men outside shoveling their driveways and the ladies drinking hot cocoa looking out the window - LOL. That was the same year the town ran out of salt before snow season ended, making for interesting driving.

Like you I love this time of the year.

Lea
SPR Property Solutions, LLC

Thanks for stopping by my journal and the nice comments, I appreciate it. The rental info box was new to me and I always feel each day I learn and often see something new. The snow is great for the holidays but it can make for a long Winter in January-February. At least we do not have to park our car on the street anymore. The snow plow drivers usually like to plow in those parked cars. The Swiss Miss hot cocoa is always a treat after coming in a little frozen from the snow. I do often see neighbors in the windows giving instructions on how to pile or clear the snow to their spouses. Have a great day. Believe and Achieve! - Joe

As the weekend drew to an end, the weather was perfect through Sunday. The temperatures were in the low 60's for most of the day and it was a nice treat for late November. I had some errands to do early in the day and by mid-afternoon I was able to get back home and take it easy for the rest of the day. This was a great day to catch up on some planning and relaxation.

I decided to read some real estate articles and look through the MLS on-line. I also spent some time on the DG website. I updated my tasks for the week ahead and I reflected on what I completed for the week. Today was a day to try to get a little more organized and prepare for the week ahead. Sometimes it is good to not only prepare for the week ahead, but also determine what your game plan might be for the next several weeks. A tip I try to follow is to setup an organizational system for all the information you gather then when you need that phone number or flier you know right where it is. Orgainizing and filing is not too fun or glamerous, but it can pay big dividends when you are looking for that piece of information in a hurry.

As you accomplish something each day you are working towards a much larger goal. That goal could be to really learn all you can about a new area that you are considering investing in or trying a new real estate strategey or technique. Even if you do not get a deal done during that learning timeframe, the understanding and knowledge is what you are trying to achieve. Try to reflect on your action plan and over time you may begin to see areas where you can do more with less time or you learn from doing something when you repeat it for a second or third time. It is like an athlete that prepares and practices then is ready to play once the big game starts.

I hope everyone has a great week ahead. Remember each day you are moving a little closer to your goals. Stay the course and keep on doing good things. It can be a great 2010, as you prepare and practice during the rest of 2009. Your future looks brighter each day! Good luck on all those future real estate deals! Believe and Achieve! - Joe

The drive into the city on Monday was not too bad. Many of the commuters take off the entire week of Thanksgiving because it is a short week anyway and they usually may out of town plans. This make traffic a little better for the commuters that still make the haul into the city. The day began as overcast and foggy. There was a noticable chill in the air. Later in the day, the fog lifted but there was limited sunshine.

The City is going to have a Thanksgiving Day parade so there were multiple decorations and preparing going on. Last Saturday, was the kick-off to the Magnificant Mile Lights Festival on Michigan Avenue. Every year the event gets a little bigger and the guest of honor come all the way from central Florida to be in the parade. Mickey Mouse and friends are there each year and the parade probably draws more than 1 million people. The local ABC network televises the parade in the event you do not want to make the trek into downtown Chicago.

I called on a few additional properties today to get some information. Several realtors did not call back, when I called their office I was informed they would be back next week due to the holiday week. Therefore, it is a down market but if you see a deal, do everything you can to get an offer in this week because you will probably have limited competition. To see if a realtor is hungry for new business, see if they will even show you a property on Wednesday night or early Friday morning. This may give you an idea if they are anxious for new business.

I hope you have a great week and find a deal or two. Make sure to prepare for the week ahead, get that grocery shopping done early so you have more deal time later in the week. Good luck locating that next bounty of new properties. Believe and Achieve! - Joe

Heya, how you doing Joe? just wanted to know how do I create an Daily Adventure Journal? I wanted to record my progress, to be able to look back to when I was broke as a joke! Thanks Joe!

Thanks for stopping by my journal. To create your own journal go to the "Members Journal" tab on the left of the page. It is 5 down from the top under the "Main Sections". Click on the "Member Journal" tab and select "Post New Forum Topic" Whatever you "subject" line is will be your journal's title name. Then add content to the "body" section of the new post. You can preview before you post and you can also edit for any errors.

Good luck with starting your journal and real estate investing. A journal is a great idea to keep accoutnable to your investing efforts and share your knowledge and activites with other DG Members. Today could be that day you have been waiting for to make a change in your life. Go for it! Believe and Achieve! - Joe

How goes it Joe??

I'm a year long DG follower and I just now have pre-approved for a loan and am exploring my no money down options. When I was talking with a mortgage broker he informed me there is a big difference between purchasing a property with the intent to rent it out, vs living in it myself. I got a little confused in the conversation..

MY QUESTION TO YOU IS IF MY INTENT IS TO BUY AND HOLD A PROPERTY (RENT IT OUT), AM I REQUIRED TO DISCLOSE THAT TO MY LENDER?? or CAN I JUST BUY THE HOUSE WITHOUT DISCLOSING MY INTENT TO THE LENDER?? ARE THERE ANY ADVANTAGES or DISADVANTAGES OF GOING WITH EITHER ROUTE??

Congrats on your success Joe and Best of Luck..

Thanks for stopping by my journal. There are various mortgage products and programs available. A number of the products and programs are backed by the federal government or may have specific requirements for owner occupants. For example, a non-owner occupied property usually requires a larger down payment and the interest rate is often higher. You may want to look into a multi-unti where you can live in a unit and rent the others. Ask your mortgage broker what kind of options may be available to you. Another option could be to purchase a home to occupy see the requirement for you to have residence their in some cases it may be a year and then rent it out after that year. The best advice is it always pays to be honest with people. If you are considering no money down deals you may want to consider assignments and lease options to help generate some cash. Good luck with real estate investing. Believe and Achieve! - Joe

Well, it's official! Christmas Eve is only a month away. Remember several months ago I was giving you holiday shoppers the countdown...5 more months...4 more months, etc. Where did the time go? It will be such a great time and remember to take the time to slow down and truly embrace and enjoy the holidays. The memories will be shared a lifetime with the people that are close to you. Years from now the young children in your family may talk about the great memories from the 2009 holidays. We all look back at those "good ole days" whether they were in the 1980's, 1970's or before then.

The rain was coming down in buckets as I drove home form the city. I could not believe the amount of rain and traffic was rather challenging. The key to driving is to always keep an eye on the road ahead of you. As I saw 4 lanes of traffic in the distance trying to move to the farthest right lane, I knew there had to be some construction with a lane closure. It reminded me of real estate investing. How you ask? Always keep a look out on what's ahead of you and don't worry about deals that have passed you by or may be behind you. If you are prepared you can make better decisions on what you see that is down the road and be able to quickly take action!

I will have a long holiday weekend coming up and it will be great to catch up on some real estate activities and not make the drive into downtown Chicago. I will probably reread Dean's books because I often like to reread them to get additional tidbits of information. I am also going to start crafting my "Critical Success Factors" for 2010. I want to be prepared to hit the ground ruinning with the new year and have a fresh and updated set of goals. Thus, a little planning will hopefully go a long way!

I hope everyone is having a great day and having a good time getting ready for the holidays. The time is now to get up off the couch and head toward your computer to find that "second helping" of potential deals. Be sure to take action and be at the table as the deals are being served. Potential deals will be served hot out of the oven of motivated sellers and will be gone faster than the Thanksgiving Turkey! Grab that turkey wishbone and....Believe and Achieve! - Joe

The holidays are here. Can you believe it? I was lucky to work only a half day today because as I drove home, the holiday traffic was in full swing. It seemed like the grocery stores were over flowing with cars and people were headed somewhere for the holiday. It was raining again today and tomorrow there was a forecast for more rain and even snow flurries. I guess Winter is right around the corner. I remember years ago we had a snowstorm on Thanksgiving Day.

I am looking forward to the extra long weekend. There is so much that I would like to do that if I get half of it done, I will be happy. The best thing is long weekends allow you to do more of what you want to do. Your can catch up on some reading, watch a few movies, or just relax, recharge and get ready for the week ahead. This weekend is your weekend, how ever you spend it is up to you and is the right thing to do. We can go...go...go but we also need time, once in a while, to chill like an ice cube.

I watched the EDGE video series again a few nights ago. This is such a great DVD series. Dean made a statement in the bonus video that was so true. He stated that "when you choose to do one thing, you are giving up your time to do something else". This statement is so true about our time and our money we have available. We can choose to spend either as we want, but is it the best way to utilize our resources? I would offer some advice and say make sure you try to devote specific time to your real estate investing and money to continue your education as well. Overtime the hour a day you devote to your real estate efforts or the $50 per month for real estate education supplies or materials will go a long way.

I hope everyone enjoys the Thanksgiving holiday. Be sure to update your action plan and keep the adventure moving in full swing. Be sure to pass out those business cards and keep posting those fliers because your next deal may be just a phone call away! The deals are out there, they might not have a big red bow but keep looking because they will appear! Good luck with your real estate investing. Believe and Achieve! - Joe

I hope everyone had a terrific Thanksgiving holiday. I had a great time and was able to spend it with family and friends. I even emailed some friends and it was truly a special holiday that I will remember for years to come. We had such a feast and I was eating through-out the day. There are always so many good things to eat you never know where to start first. I even had a late night snack ok a delicious turkey sandwich and "all the trimmings".

We watched a few holiday movies as all the local stores were competing to see who could open the first to grab the shoppers on Friday morning. You would see these big sales and say our doors open at 5 AM...another at 4 AM. I enjoyed seeing the ads because if gives you ideas for bandit signs, which spurred this great idea.

HUGE TIP:
A great tip is make up all your bandit signs and put them up on Thanksgiving night around and near all the major shopping malls in your area. The droves and droves of people and cars will get you so much exposure as people are arriving for those early bird deals that you will need to clear your voicemail at least every few hours from all the calls! Can you imagine how many people would see these signs? Hey the holiday weekend isn't over yet, get out those sharpie markers and white or yellow poster boards today and get those bandit signs up and feast on the buffet of phone calls and tasty deals!

BANDIT SIGN IDEA (Example):
We help Dreams come true!
We have homes for the holidays!
Bad credit, No problem
Call 555-5555

HAPPY THANKSGIVING! Believe and Achieve! - Joe

I see that you are an expert on REO's. Have you purchased an REO through a Land Trust? I'm concerned that I won't be able to flip the property if I can't get much of a discount. Also, can you tell me what you say in your offer letter, if possible.

Thanks for your help
Anne

I’m new to all this. I have seen the bandit signs in my community. I have seen them on telephone poles as well as in grassy areas. If you are going to put them in the grass, wouldn’t that be on private property most of the time? If yes do you ask permission?

As far as putting them on posts is that pretty much accepted in most areas?

From a newbie

Have a great one!

Mark

"To continue to do the same thing and expect change is a sign of insanity"

I have never purchased an REO through a land trust. The best banks to approach are the small local community banks with usually 5 or less branches. They are often more motivated to get an REO off their books. In your inquiry/offer you can try to find out what their "hot buttons" and they might be in regards to time to closing, price and financing options. I would offer a higher price with low interest 100% financing or a lower price with a higher interest rate for financing. I normally desire to hold the property as a rental an we may sell it in the future. I hope this helps. Good luck with all you future deals. Believe and Achieve! - Joe

It is always best to check with your lcoal town or city ordinances. You do not want to create a problem for yourself. If you happen to be in a town that does not allow it, try toi get a little more creative if possible. For example, can you get an advertisement on your car and park it farther out in the lot say at the local Wal-mart? I know that car wrapping is becoming more affordable as you see more and more vehicles withthe wrap advertising. That way when you are shopping you car can be a mobile billboard. Good luck with real estate investing. - Joe

I hope everyone had a terrific Thansgiving holiday and there was plenty of food, family and friends. It is nice to be off of work and have a long weekend. Yo ucan do what you want and be able to do some things that were on your to do list. I did not want to venture out to the retail stores for the Big Friday Early Bird sales. The driving around my area was like rush hour in the Loop. I usually have enough traffic jams driving during the week, so the weekends are a litlle more slower paced.

I was able to catch up on some reading and doing some things around the house. Each morning I check the local MLS to keep up with the new listings and send out my inquiries first thing. This way it give people a chance to respond through-out the day and I can check later in the day to see my new email. I think by doing it this way, I can manage my time a little better.

I stopped at a local real estate agent's office and I thought 2 agents wer going to trip over each other as they tried to meet me by the door. The real etstae office was a great resource for the area. They had the normal free "home books" but they also ha free maps, newspapers and mazines for the area. I found that they were a good resource and it may be beneficial to check-out some in your local area if you are trying to gather information on an area close to your town.

I hope everyone has a terrific weekend. This could be the weekend you find that motivated seller so keep doing what your doing and never get discouraged. That next deal is closer than you think. Good luck finding that next deal and keep the action plan in high gear. Believe and Achieve! - Joe

It was another nice sunny day in the Midwest with temperatures in the upper 50's. I could not believe the nice fall weather we have been having. People were outside yeat again with their lawn mowers, mainly because mowing the grass is faster than raking the leaves. I also enjoy seeing people with those vacuum blowers, blowing the leaves into the street rather than bagging them or putting them in a pile for the town's vacumm truck. For one, most towns state it is against the town's ordinance to blow leaves into the middle of the street and two, they usually just blow back toward the houses anyway.

I noticed a few new listings that I decided to take a drive by. They were ok, I might want to see the inside of one of the homes to better determine what may need to be requried for repairs or cosmetic updates. When you purchase a property that needs work, it is always best to make a budget and a list of items that you want to do.

Try to create the list into 3 categories:
1. The things you must do (repairs and must upgrades)
2. The things you should do (do after the musts are completed)
3. The things that would be nice to do. (if there is money left in the budget)

Painting is probably under the must category, whereas an additional small towel cabinet in the bathrom could fall under the "things that would be nice to do category."

It is always better to prepare a list, and then work your list so you do not go over budget. There are always little things that you can do, but what are those things that are going to get you the most "bang for your buck" either with a renter or a future buyer. You want to create appeal, but also ensure you stay in your budget so you do not over improve a property.

I hope everyone is having a great weekend. I bet all those left over turkey sandwhiches are now gone, but hopefully some of those tasty desserts like pumpkin pie are still around the house. Lets go find some deals today and get a piece of the pie! Believe and Achieve! - Joe

"Frosted window panes, candles gleaming inside, painted candy canes on the tree..." Well, the holidays are here and in full swing! Holiday weekends are great but they sure go by fast, don't they? I often think the clocks speed up on the weekends as time seems to go by faster than during the daily work week. Today was a little overcast with rain and temps in the high 40's. We had snow flurries forecasted but we did not get any snow yet. Good for me, but bad for all the kids with new sleds! It is funny that we may make it to December without a snowfall. That's weather in the Midwest, you never know what to expect.

Today was a good day for me. I enjoyed being home today and had a nice time getting done some things I needed to finish. I really had a terrific holiday weekend and one that I will always remember. It is always a good feeling to bring things to completion and the weekend is a good time to take the few extra moments you need. I enjoy starting the week out to see what the latest adventure will be.

I looked at several homes on the MLS today and I scanned through the classifieds on-line and in the paper. The Sunday paper usually has the most listings because some people will only run an ad on a Sunday. It is good to always know what properties are newly listed onto the market. I try to keep up with all the MLS listings and the FSBOs. I may look at a few properties during the week. There are a few properties on my radar that I hope get a price adjustment (down) and I will then make an offer. I am waiting to see how motivated the sellers are to move their properties.

I hope everyone has a great week ahead. The new year is right around the corner so let's start getting ready for those big opportunities that will be coming in 2010. You may be laying your foundation of knowledge today as you build up your deals and they continue to rise up throughout the new year. Good luck with your potential real estate deals. Believe and Achieve! - Joe

I have one quick question...if there is a for sale sign in front of the bank-owned home and your end buyers want to go look at it, what do you say to your end buy if they see the for sale sign up?

Thanks for your help.
Anne

Hey there Anne,

I am new to this as well but here is what I have gathered from all I have learned so far.

The strategies that we are learning from Dean and his students are not common place. The average investor or person is not going to have a clue how to purchase property at the huge discounts we will be offering.

Here is how I might respond to a potential buyer if they commented on the sign and said something to the effect of, “Why don’t I just go make them an offer myself?”

You are more than welcome to make an offer to the bank.

However! There is a good chance it will be sold, we don’t make an offer unless we know it will be a win-win for all. We are able to lock up the bank owned property for (15, 30, maybe 60 days?) at a much larger discount due to the quantity and speed that we move properties. The bank’s we work with know we have people looking for homes who we help get financed through traditional and non-traditional means. They are aware that we also network with other investor's, local and from around the country. We have people ready to move on the property very quickly.

(In my case at the moment I could offer it up to the DG family .)

(I have 3 co-workers on my buyers list. I’m on my second read through of PFRERN page 153 right now. I had just added to my action steps a few minutes ago to start building my buyer list.)

(Note: Being new to this myself I'm not sure how bank owned property works. I would hope you are able to have it locked up for a set number of days 15, 30 or maybe more to work with. If that is the case they could not go around you until your contract is up.)

Hope this helps, coming from a newbie.

A good idea would always be to try to tie up the property under contract before you show it to a prospective buyer. That way the buyer might not go around you and make a direct offer. If you locate great deals and pass a great deal on, its win-win. In the event you would not be able to assign a REO deal, you may want to consider a double close if the numbers were right. The better the deal the more options you will have. Good luck with REOs and real estate investing. Believe and Achieve! - Joe

Hey there Joe,

As far as what I posted to that question that Anne had. Should I have hit reply rather than answer it in your journal section?

Im new to posting on a forum! I have never done it before Deans sight so not up on all the proper edicate. I don't want to get a bad rap for doing it wrong lol.

Welcome to the DG website. No worries, the great thing about the website is the DG members are helpful. This is a place where there a lot of like minded people all trying to gain knowledge and grow in real estate. Thanks for sharing your thoughts and comments with Anne. The more members can share their insight, help others and answer questions the better. Good luck with real estate investing. Believe and Achieve! - Joe

Thanks! I plan on doing the double close. I plan on tying up the property fist. But I just wasn't sure what to say to my end buyer after I tie it up and if he wants to look at the property and he sees a sale. Also, would you happen to have a sample of an offer letter I can borrow or pay you for

Thanks for all your advice. You have been extremely helpful.

Good luck with your potential deal and your double close. If you have a good title company they can cover all the bases for you. In rgeards to my email inquiry to the bank it is important to try to know their motivation or as Dean calls it their "Hot Buttons". Are they more motivated by price or terms? This one thing can be the key to the whole deal.

In the email to the Banker (Asset Manager), here are the basics to cover:

1. Try to determine the decision maker for the bank. Is it an Asset Manager, VP or even the President of the bank?
2. Express your interest in the specific REO
3. Give them comps of recent sold properties that may support you getting the property for a good price and/or great terms
4. Let the bank know of the positives but point out some of the required work or negatives too (need new roof, paint, carpet, etc.). Maybe even estimate adn summarize their monthly carryign costs.
5. Have the bank make the first offer (if possible) - let the bank know you can offer a better price with great terms and low interest or a low price with other terms and higher interest.
6. Good luck and hopefully you close the deal. If not, no worries, just remember if a certain REO does not work out, their could be more so build and cultivate the relationship with as many local small community banks as possible.

The net for you should be the same payment. If you use a mortgage calculator program you can see how different rates and borrowed amount could yield the same monthly payment. I hope this helps. Good luck with real estate investing. Believe and Achieve! - Joe

The temperatures were rather chilly today as the mornign was around 29 degreees. The car windows were frosted up and the windows would not roll down until the heat got going in the car. At least as the day went on it warmed up to the upper 40's. This is the time of year to make sure you have enough windshield wash for the salty roads. I also will put two 50 pound bags of salt on my back car floor for added weight. It helps when the roads are slippery. This is something the people that live in nice warm climates do not have to worry about.

I looked on-line at a few different proeprties but nothing really caught my eye. I plan on driving my area looking for FSBOs this wek to see if I can locate any motivated sellers. The more motivated the better. I always enjoy driving the areas becasue it also helps me learn my way around and get more familiar with streets I normally do not drive down. I try to always see new things that I may have missed the first time through.

As December approaches and we have 31 days, it may be a good idea to write out at least 31 "To-do's and see if you can finish them by the end of the month. A little planning may go along way. I feel better each day as I continue to learn more about real estate. I know 2010 will be a tremendous year for all of us!

I hope everyone is having a great week as we approach the final month of the year, December. I often wonder where did the year go. Time surley does go by fast. The holidays are here, so be sure to check out the Real Estate Investor's 12 Day of Christmas! Good luck on all your future deals. Believe and Achieve! - Joe

Real Estate Investor's 12 Days of Christmas!
http://www.deangraziosi.com/real-estate-forums/everything-else/35621/rea...

The month of December is officially here. Wow, can you believe it is almost another year in the books? Time sure goes by fast when your having fun. I really enjoy the month of December because all the gatherings and special events. December is a great month to find something to do. The temperatures are being to dip below freezing as it was around 29 degrees early in the day.

I checked out the MLS today and drove the nieghborhood a little on the way home from work. I did not a few "sold" signs which is good for the economy. I wonder what the sold number will be for this winter. I find that my best time for looking at potential deals is the weekend, so I try to decide what properties that I want to look at and then I line it up.

A tip to find some vacant homes in the winter is look for the heavily frosted windows when it gets cold. (The colder the better). These homes do not have the heat on and could be vacant, but you just need to do your due diligence to make sure there are no broken pipes that froze due to the lack of heat.

I hope everyone has a terrific week ahead. Make sure to update your plan and work your plan. The next deal is closer than you think. Good luck with finding that next deal. Believe and Achieve! - Joe

Thank you! I love your writing style here by the way. I always enjoy coming to your journal. It's like a great cup of coffee in the morning along with Joe's "daily investor's happenings"...love it, love it!

Your tip above on frosted windows is great for vacancies,

So, great tips above in your journal to Anne. I've been building this email to the bank for a couple days now and decided after reading tonight, and getting this one more question answered, I'll definitely send the 2 offers in tomorrow. They also have keys for 2 more properties for me, so this will be a good start.

My goal is to double-close on one of these properties to get it to another buyer and to get 100% financing and rent for cashflow on the other.

My question is ---for the email offers ---specifically on the double-close, I'd like to use my attorney/title company of course for the closing since there are limited title companies that perform double-closings of course and this would be crucial to my closing on an REO property.

So in my offer - do I request closing be with my attorney/title company? Is that strange for a bank to have a request from a buyer to go specifically to a specific title company of the seller's choice for closing?

Here are my offers/terms so far:

Address of Property #1

My Offer: $XXXXX
Close Date: 12/23/09
Financing - None Payment: Cash
Earnest Money: $1000 within 7 business days of signed contract
Terms: Ability to have access to the property upon appointment for consultants to the property to walk through.

Title Company/Attorney for Closing (and I would request this here, is this appropriate per my note above? This would be necessary for my double-close...if the bank wanted to use it's own company, my "cash" offer would not work out for me of course since I'd be using transactional funding)

*******
ADDRESS OF PROPERTY #2

My Offer: $ XXXXXX
Financing: 100% from bank at 4% (I realize what you said here to create a win-win, maybe write it two ways...lower price, higher interest & higher price/lower interest)
Close Date: 12/30/09
Earnest Money: $1000 within 10 business days of signed contract
Comparables: (I'll be including 5 low comps in the neighborhood here to justify my price)
Rehab Repair Estimates: (I'll be including this to also justify my price)

I'd put Comps and Repair Estimates on the other offer too, as well as the ability to have access to the property for consultants to review on this one (for potential buyers/renters)

Also ---and my apologies if this is all way too long... but is it unheard of for the bank to let you actually work to repair the property before closing so you can get it ready for your renter and/or double-close for your buyer?

Any other clever terms I may be missing? Just curious.

Thanks Joe!
Louisa

Good luck with these potential REO deals. It is not uncommon to request to use an Attorney and/or Title Company "of the buyers choice". Sometimes a seller will want to make sure the cost they pay for Title insurance will not exceed a company that may offer them a favorable rate. To sweeten the deal for the bank, you could offer to pay for 100% Title Insurance if they allow you to use the Title Compnay of your choice. You do not have to do this but it could be a counter if they desire to use a specific Title Company for a double closing. As you use certain vendors including Title Companies, they can offer you preferred pricing, so it never hurts to ask what companies can do for a good customer that will not just be a "one deal" customer.

In regards to doing some repairs prior to close, this should be a win-win deal for the bank, because you can state if you do not close they have an improved property. Another option is you could request your first payment be due to the bank 60 or 90 days after closing. This gives you a little room to find a tenant and do repairs, as well.

The current prime rate for banks is 3.25%. Banks usually charge their best customers the prime rate of interest for lines of credit, (short term loans) etc. Therefore, if you offer 4% that is better than the prime so that can be good. Remember a bank may be more motivated by price or interest rates so try to determine their motivation and offer or counter offer accordingly. Good luck with these potential real estate REO deals. Believe and Achieve! - Joe