OfflineNot sure if I am posting this is the right area.
Here is my story. I am only on about page 100 of the book. just to give you an idea of where I am.
I happened to be poking around on the internet and signed up to see the MLS listings through a realty database thingy.
Anyway...one of the agents called me just now. I obviously am not prepared to be talking about the system yet because I have only read about 100 pages.
So here is what I told him. I told him that my husband and are thinking of getting our feet wet in investing. I told him that some "friends" are doing this and we were tossing around the idea. I told him we are thinking of buying and selling - not holding. He asked me where I got the idea. That is when I got the "friends" story together. I just wasn't prepared to talk about Dean's system yet.
Anyway. THe feedback he gave me (I am in CA). Is this. He said there are a ton of buyers. Mostly buyers that are FHA. My idea would not work because I didn't want to hold the property for any length of time and FHA loans take so long to close (90days).
He said there are NO Foreclosures out there (HUH?) The banks are holding their inventory to get bidding wars. He said they are releasing them a little at a time. The only properties that are selling are distressed properties (Physically).
He said there are only 2 types of buyers right now. Invenstors and 1st time buyers. He said no investor is going to want to buy from me when he could get the deal himself. hmmmm
He said I would only be able to buy houses on the county court house steps or FSBOs.
He also said that alot of homes are not appraising.
I then thought of Matt's 25:1 plan and asked him if hypothetically we decided to become REI's, (I explained to him that I wasn't looking to do HUGE deals that would get me a big ROI right out of the shoot - but alot of little deals) would he be willing or have the time to write many deals knowing that we would not get but 1. HE said his system is capable of handling that but that he would be able to tell me if my deal would get accepted.
So here are my thoughts. Okay he may not be the realtor for me. Actually I wasn't looking for one yet anyway.
I am more concerned about him saying that there are 2 types of buyers and investors with CASH (which I don't have) and FHA buyers.
So here is my question and I'd like any candid feedback you all can give.
Is this really a system for me that I can do here in CA since I have no capital to purchase and no credit?
I am going to have to do the Lease Option route I think unless I can get a deal locked up with good faith money from the buyers....
THOUGHTS FEEDBACK?
Thanks
Kiki
You actually can do it in CA, you just have to work at it and you dont need any money you can bird dog or do assingment. And lease options and owner financing are a pretty good route to go. And also dont listen to negative real estate agents. The more cash buyers the better.
I am also located in CA and I had to talk with many different Realtors to do Matt's 25:1 strategy. When you decide to find a Realtor, you will have to find a newbie/rookie (less than 2 years) Realtor. They are actually teachable and open to different ways of purchasing and making their commission. I am teaching my Realtors so much about REI, so YES IT IS POSSIBLE!
First things first...you need to create a solid buyers list. Without a solid buyers list, you can not assign the contract out.
Anyhow, don't let anyone crush your dream for you and your husband. Keep reading Dean's books and keep a positive attitude and anything is possible.
"You only fail when you give up. Never fail to give up"
I understand the concept of having a real estate agent but is having one really neccesary? Is your sucess rate greater with an agent than without one? I really dont want to get an agent but if it is worth the time to look for one then I am willing to get one.
They told me I couldnt, So I did it.
The motivation for me, is them telling me what I cannot be.
The way I look at it is, yes the investor can get the deal himself if he has the skills necessary, but YOU are the one that got it and locked under contract. Now that you have it, he wants it. So theres where your small profit comes into play.
Also, its not about finding good deals, its about finding KILLER deals at 30%-50% off. And only bumping the price $5k-$10k so it still is a great deal for the investor.
Don't let one Realtor talk you out of your dreams because many of them think differently. You need to find one that is actually an investor them self, so they have the same mindset as you. The should be open to ideas and aggressive. And finally, they need to know the local market well.
Hope this info helps! I am actually on the hunt myself to find my own Realtor.
To answer your question, no it is not necessary to have a Realtor, but it helps. They have access to the MLS, and if they know what you want and they know how to help you, they make it a lot easier for you.
Dominic
Are you new? Check out my NEW and IMPROVED Guide for Beginners! http://deangraziosi.com/real-estate-forums/everything-else/128413/domini...