RINA'S Daily Journal: Chapter Two - The SECOND $1M

Rina,

I looked at your craigslist. I like it.

What do you think about craigslist ad's to generate pre-foreclosure oppotunities? I am kicking this idea around and wanted to hear your take on it.
Stan

Good idea. What did you have in mind? I say the more you put out there, the more results you will get. And the nice thing about Craigslist (besides being FREE! ) is that you can so easily change the wording of your ads, track success by how you direct responses, and there is no limit to how many ads you can have.

Can I see your ad when you make it? I have noticed that certain wording is more effective in different parts of the country. I like looking at the ads of some of the bigger metro areas. It gives me ideas of how to word ads here in my local area that are more aggressive or different than the norm. You want to catch people's attention.

Rina

“I've learned that people will forget what you said, people will forget what you did, but people will never forget how you made them feel.”

Maya Angelou

Dawn ~ It's a roller-coaster ride every day, isn't it?? FUN!
How's everything going with the older gentleman? Any luck on a buyer? Oh, and btw, I am keeping in mind the fact that I OWE you WI Dells now that you got your contract. (I didn't forget) We'll work it out by summer.

Lea ~ Looking forward to it! And yes I am happy with the responses. I emailed and will wait to hear back. Any thoughts on how to approach the 48 shortsales? you are a pro at those. I would welcome any input.

Philbenice ~ Welcome, welcome ro the DG Family! Very nice to have you here. Congratulations on stepping out in Real Estate Investing! And thank you for the well-wishes on the farm. Hope to see you around and hear of good things happening as you make your way to success.

Warm regards to all,

Rina

Thanks so much Rina! I am looking to catch some preforeclosure opportunities. I will absolutely consult you with the wording if and when I do it.
Stan

btw, I made 2 offers yesterday on some good flips and one little possible condo cash deal this morning. Would make a great rental property.

Keep up the good work, Stan!

Hi Rina,

First of all, let me say that you are an inspiration and it has been a great adventure reading your journals.

I spoke with my sister today and she said that one of the long time established trailer parks is being closed by DNR. A lot of people have to move their mobile homes but the problem is that there isn't any place for them to move them to so these people are going to be walking away from their homes.

This is a small town. The reason DNR is closing the trailer park is because the owner had a drainage pit for the sewage and it has been overflowing and draining into the fields nearby. I'm thinking it probably needs a septic system put in.

There are probably about 20 to 30 homes there. I have wanted to own a trailer park in my home town to have a place for my family to stay when we go home to visit and to be able to provide a park for mobile homes that people enjoy living in.

Any advise would be greatly appreciated.

I'm happy to share whatever I can except would not call myself a pro at this. 48 SS's is a lot for one negotiater they don't usually all come up ready to sell at the same time unless mabye it's the same bank? .. Anyway, I would talk to him or her and negotiate a good price that would work for both of you (as if you don't already know this.) Depending on how much leeway (don't know how to spell it) they have left for themselves will determine how well they can negotiate with you. Sorry I'm not more help to you. We haven't completed one SS from start to close yet so my experience is limited. Hope this is at least a little helpful to you.

Your friend,
Lea
SPR Propety Solutions, LLC

one more thing, it also depends on if they have negotiated the price for retail or wholesale.

Lea
SPR Property Solutions, LLC

Well, first let me say that if the DNR is involved, good luck getting ANYTHING approved. However, not wanting to be a pessimist (lol), you should make some phonecalls to find out the specifics of the situation. I would start by calling the current owner. Talk to some of the park occupants, get their take on it. Call the DNR and the city and let them know you would be interested in somehow cleaning up the park and re-opening. See if there would be any government funding for such a project. Maybe even make it a community issue. Just start talking to people in a tactful way to get the info you need/want. Also start looking into what it would take for financing for something like this and if there might be somebody who wants to partner if need be. Lots to find out, but lots of options.

Then I would guess there would be an issue of satisfying the tenants and/or buying their homes. (btw, I just learned from our state mobile home rep that if a park tenant is behind on their lot rent, the park owner can take the home. This supersedes even existing liens on the property, and wipes them out. So I was very careful on how I purchased the one I bought last week, making sure I held the amount the owner owed the park until he got paid in full!)

I wish you well on this endeavor. It would be a good feeling to save people's homes.

Good luck, and keep us posted.

Rina

Thank you so much for the info.
I just got off the phone again with the owner of the 48. They are with just 2 different lenders and already somewhat in the process. It should be easy to negotiate with the bank on a package price, I'm thinking. I called my Bemidji investor and he is definitely ready to partner up on this project (he likes challenges. ). So he'll be back from Texas tomorrow (is looking at a package of 650 units today!) and we'll get together on that.

I appreciate your input and will definitely keep you posted on how it goes.

Thanks again, and I hope all is going well in your current deals. I will stop by your journal to get up-to-date.

your friend,

Rina

I have submitted over 100 offers and so far nothing. Everything has come back rejected. No one is happy that I'm submitting low ball offers. Any advice would be greatly appreciated.

Thanks again

Depending on what part of the country you are in, you might need to adjust your strategy? Matt Larson told me once (well, more than once. lol) PDCA: Plan, Do, Check, Adjust. So when one thing doesn't work for me, I adjust.

You can keep putting in low offers, but maybe adjust a little higher to see what range will actually get you to the 25:1 ratio. That will give you something to base your offers on. Also, if you are strictly offering on MLS listings and they are getting snatched up with higher offers, find the deals that those buyers don't see. Look into vacant (unlisted properties). You can use all sorts of bird-dogs to find them for you. Go after some FSBOs or pre-foreclosures. Remember you are looking for motivated sellers. Sounds like you have enough motivated buyers to be able to move them fast (if that's why your offers are being rejected).

Hope that helps a little. Just have to think outside the box, DON'T let yourself get frustrated, and just do whatever it takes to make it work for you. And don't let anyone get you stuck in a rut, like only one way will work. That is what I loved so much about BARM (read that again). Dean is the master of creative thinking. I have fashioned my mind to try to think like he does when it comes to REI (not that I could claim to know how he thinks. lol. Just pretend. ). Always in the back of my mind is "What would Dean do?" And it's fun to guess and see if it will work for me.

OK, now I'm rambling.. lol.

Good luck, and I KNOW you can succeed!

Rina

I greatly appreciate your help.

Anne

Thank you so much for the advise on the mobile home park. You are absolutely right and I am going to start making some phone calls to find out as much info as I can. I'll let you know what happens.

Rina,

YOu are one of my heroes when it comes to REI together w/ Joe, Matt,Carol & Greg. You guys provide us newbies, of so much inspiration & knowledge when it comes to investing. Am so blessed to be a member of this wonderful DG group.
It seems like you are holding my hand in every step i take. Thanks a lot.

henca

Hey Rina,

I just thought you should know that Matt was a rabbit's foot in a previous life. When you have a chance this week, my forum might get very interesting.

Always want to keep you in the loop,
Lonnie...

Rina,

OK here is my thoughts. Keep it simple and keep it short but informative.

FORECLOSURE? CHECK YOUR OPTIONS.

Call xxx-xxx-xxxx. Facing a possible foreclosure? This is a difficult postion to be in. Call us and we will deal with you in a professional and respectful way while we try to navigate you through this difficult situation. We are here to help and will leave no stone unturned.

What do you think???

Any plagerizers out there, I want a fee if you use this! LOL. If it works use it!

Stan

Wow what an incredible journey you have had.I wanted to say congrats to you and laura on the farm house and your future endeavors.Can't wait until im on my second.take care

Had to come catch up on your journal. Your 48 is making me dizzy. LOL. My goodness. You'll have your hands full that's for sure.

Good luck Rina. Your the bomb....

Blessings,
Barbara

Hows it going? I havent been online in what seems like forever...busy catching up on everyone and couldnt resist just popping in and saying a big HELLO to you! See ya in a few weeks my friend

Wow, time flies! (Laura, I know what you mean. Even 3 days can seem like a month!)

Anne ~ My pleasure. Hope things are picking up?

Lisa ~ Very curious to hear what you find out on the mobile home park. Keep us posted and good luck!

henca ~ You are so welcome and thank you so much for the kind words. I remember how it felt to be just starting out and how wonderful it was/is to have everyone here in the DG Family cheering you on. There is no better place to be for support and encouragement, for sure. Wish you all the best!

Lonnie - lol. Yes, Matt was like my lucky charm . And I am blessed to have kept him as a friend. He's a great guy. NOW, it sounds like I have to get over to your journal to hear some exciting news! Can't wait! See ya there.

Rina

Stan - I like it! Have you had good response? You'll have to keep us posted. Hope the week is going well for you. Thanks for sharing your ad.
(do you have a journal yet? I'll have to check)

Mike - Thanks for the kind note and well-wishes, and for stopping by my journal. And yes, it will be awesome to see you forge ahead with much success! It's a great feeling not only to achieve, but to watch so many others reach their goals. I will be cheering you on, friend!

Barbara ~ Thanks for stopping by and for the blessings, sister! Hope all is well with you, (and that your horse is getting better each day)! Dealing with the short-sale guy (and the 48) feels like trying to keep a quart of spilled molasses together and moving forward (don't know why that image came to my mind. lol). We'll see what comes of it, but holds much potential!

Laura ~ Woohoo, partner!! Counting the days! I can't even imagine all the work you are going through with the whirlwind of stuff happening out there! It's been warm here during the days, so maybe some of the snow will be melted by the time you get here. lol. We'll have to get a couple horses like Jeremy says, so we can enjoy the property. lol (Talk to you later)

Thanks all for stopping by! Keep on keepin' on! You are doing awesome!!!!!

Rina

Hello Rina,sorry if I caught you off guard the other day. Just wanted to let you know its coming. just let me know when it arrives because I did take out insurance just in case. And yes I put your goodies inside too
speak to ya soon, keep up the hard work and continue your great success story as you are one of the biggest inspirational presences on this site.
Richie.

Thanks and yes. I have had a few calls. Going to start meeting with some of the folks as early as next week. I have been doing due dilligence to make sure of comps in the areas etc.

Thanks for all of your words of encouragement. You must be super busy lately! No updates on what your doing and whats going on with you!

Btw, Rina commented on my journal from Texas. I am taking bids on a copy of the posting. When a celeb gives you an autograph you gotta do what you gotta do...right? You can leave them here:

http://www.deangraziosi.com/real-estate-forums/investing-journals/43046/...

Thanks all and be good!

Stan

P.S. You all know I'm kidding right? Not about the celeb status, just the bidding. Yall aint got enough money!

OK, Stan. Gotta say I love your sense of humor! LOL (I'll send ya your bribe $ tomorrow. lol)

Congrats on the Craigslist responses! You are so right, having accurate comps is so important. And good job on the due diligence! I'll check in on your journal tomorrow to see how the meetings went. Have fun and feel confident! Maybe you'll have a deal locked up when you come back on.

As far as me, yeah, been pretty busy.
Here was my day today. (I haven't actually written one out in a long time I guess!)

-2:30am read and answered some posts on DG, did a little paperwork for tax return checked out Craigslist
-back to bed
-5:30am thru morning
-got husband up, breakfast ready, made his lunch, saw him off to work
-shower
-gather stuff for the day
-run daughter to college (her car is in the shop)
-ran to home improvement store for some supplies
-9:30am just made it to my dentist appt (had a crown put on)
-11:00am JUST made it to appt with CPA for taxes
-ran supplies to rehab house
-first time ever rehab guys laid flooring a little crooked in bathroom (no idea what happened), so had them tear it up while I ran to get new stuff (a little irritated)
-12:30pm took friend shopping
-filled out paperwork for new Section 8 tenant
-4:30 closed on most recent refinance at bank
-5pm picked up daughter and drove her to work
-6pm checked out DG.com and new listings online
-take a nap at in-laws (right. lol)
-8pm fun scheduled RE phone call
-9:30 pick up daughter and go home (we live 25 miles from town)

Of course my favorite part was getting the $50K check from the bank. Tomorrow i will wire my PML their share. I really love it each time closing day arrives on one of these purchase/refis. LOVE this system!

SOOO, ok, that's my journal entry for today. I'll try to do better on actually putting more content in here.

Hey, thanks again for stopping in. Sure is fun to keep up with each DG Family member and watch their success! Have an awesome evening!!

Rina

Next time you call make it for more than 10 seconds would ya?? lol. jk, but it was nice to hear from you. Haven't seen the package yet, but I'm keepin' my eyes peeled. (of course I haven't been home yet today) Looking forward to the goodies!!

Thank you for your kind words as always, friend. And speaking of inspirational, how cool what you've been up to lately!! You and Lea joining forces to help your cousin, how awesome!! And I have seen how much you've been helping people on the site too. You have grown so much in your confidence and knowledge ad experience! Really cool to watch (and very much appreciated!)

Looking forward to seeing you at the EDGE (it's right around the corner! )

Have a blessed weekend Richie. Talk soon!

Rina

Congrats on your refi closing and 50K, way to go Rina!

Lea
SPR Propety Solutions, LLC

Thanks Rina, and congrats on your closing. Yes I guess the EDGE will be here soona than you know it. I am looking forward to it and finally meeting you and others in person. Working with Lea is cool, I dont remember how we ever even got into networking but I am glad we did. I always look at the positive side of things and truly believe there is a way around every problem. Dean put a comment on fb that was so true ,and if you really think about it it dawns on you that he is right.
( I dont want his head to swell too much so i didnt tell him this )
well,let me know when the package arrives, and i only stayed on the phone for 10 secs because I thought i caught you at a bad time lol.
talk to ya soon crazy lady.
Richie.

Hi Lea and Richie (parters in crime ) Thanks much! (and look at you two go! )

I just wanted to clarify on the $50K. That wasn't actually our profit on the deal. That was the refi amount which i am paying most of back to my PML. The GREAT part about this deal is that I got a rental property with $400mo cash-flow ($850mo rent) and 20% equity using NONE of my own money. And my PML got $1500 for the use of his money for a week or so. win/win/win. Oh, btw, this was a private purchase from another local investor who wanted to cash out, so HE wins too.

I'm doing another one next week that I think I will get a big chunk of cash at closing as well as the above perks. (depends on the actual appraisal). But either way NMD. Sweeeet!

Hope to talk soon to both of you. btw, Lea, looks like I' gonna head to Florida next Friday evening. Hope to stay for a week (hopefully), so let's get a plan together to meet up. See ya soon!

Rina