OfflineWell, it has been awhile, but I just closed on my first deal this past Friday. I picked up my $15,000 cashier's check on Saturday morning. I was so excited and just kept looking at the check - saying this stuff really works, this stuff really works and I can do this.
I want to personally thank Jen Gray AKA: Bama Girl for all of her inspiration and support! And who kindly told me to stop organizing and over analying every deal and just jump in with both feet.
The deal:
I received a bandit sign call from a seller who was interested in selling his house. I knew the house and it's value very well as it is located near me. We negotiated a price and met an hour later so I could look at the house, take pictures and sign a contract. I decided to do an Option to Purchase contract.
Later that day, I started to advertise the property and really believed I would sell it to another wholesaler who would rehab and flip the property. The next morning, I received a call from a retail buyer who wanted to meet that day, but I told her I was waiting on a key to enter the property so we agreed to meet later with her husband.
Four days later we met at the house. We agreed at a purchase price and they signed a Purchase Agreement there at the house. Later, I met with the seller and signed a Purchase Agreement with him to lock up the deal.
Since they were retail buyers with a loan, the bank would not accept an assignment contract so Jen discussed the IEE with me and a possible Promissary Note from the Seller. Needless to say, the IEE worked. I was a little nervous about discussing my profit, but both parties had no issue with my profit. I would love to say I was an awesome negotiator in this case, but I allowed both parties to do most of the talking and they basically picked their prices.
The Deal:
ARV: $180,000
Purchase Price: $123,000
Sells Price: $108,000
Assignment Fee: $15,000
The buyers were not concerned about any repair costs - they are completely rehabbing the house to make it fit their families' needs.
This deal was truly a Win, Win, Win for everyone. Everyone walked away very happy.
Thanks to Dean and all of the DG family. I am working on Deal #2 which should close this week.
Congratulations and thank you for sharing!! Jen's the best, isn't she!
www.tw4homes.com website
https://tvallc.isrefer.com/go/RehabLite/reigirl/ FREE SOFTWARE FOR WHOLESALERS, REHABBERS AND AGENTS! Present professional looking deals to buyers and lenders as well as run your numbers and get the ROI.
Way to go on that deal! Keep things rolling!
RENinja
"Remember, success is a journey, not a destination.
Have faith in your ability."
Bruce Lee
The bandit sign will do it for you every time, thats how I found my first two deals, "BANDIT SIGNS", Congrads on the deal, Now put out some more bandit signs and do another one....John..H
"Action and Mistakes" always-outweigh "Analysis Paralysis"
...Just do It"
http://www.linkedin.com/pub/john-hoening/23/2a3/164
"Action+Knowledge=Success....$$$$$$$$$.....
www.WeFlipDesMoines.com http://facebook.com/desmoinesinvestmentproperties
www.iowarealestateflipper.com
Congrats and hope to see many more in the future!
Lenee
www.allstarhouses.com
~Act successful! And you'll draw it to you.~
~Every achievement, big or small, begins in your mind. It starts as a thought.~
What was the seller's situation/motivation?
Now on to the next. Can't wait to hear the details of deal #2.
Sandra
"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 was a great first deal! $15,000 is also a nice profit on an assignment of contract. I wanted to suggest one thing to keep you focused in real estate investing. Make a big copy of the $15,000 dollar check and frame it in your place of business. Every time you might feel like you can't do this deal or want to give up just look at that check it will change everything. Good luck on your next deal!
Justin McQ
Congratulations! it really feels good! keep it up and multiply your success!
Tom and Jeri
Tom and Jeri
www.TuCasaInvestors.com
www.TuCasaRealtyllc.com
Congratulations!!! I knew you could do it, I am really happy for you. I am going to follow in your foot steps soon, can't wait to get that first check. Thanks for being an inspiration, will talk to you soon!
Maddy
Your attitude determines your altitude!
Seller's Motivation: The seller had moved out of the house about 8 years ago after his wife past away and didn't have the heart to sell it until this year. He is 74 years old and was paying the taxes, insurance and upkeep of the property. He said he could put about $30K in the property to update the HVAC and the interior of the house, but he didn't want to put anymore money into the house. He picked his price and his only request was for me to put a nice family in the house who would enjoy the neighorhood.
Justin - I did make a copy of the check and it will be hanging in my office for many years to come.
I really didn't think bandit signs would work in my area, but I am a believer now. After I received the check, the seller looked at me with a smile on his face and said "I'm sure glad I called the number on your sign". ME TOO!!!
Thanks for all of the nice posts.
Lori
www.cthillproperties.com
On your 1st deal! Now that the "hardest one" is out of the way, #2 should be along any minute now! Looks like everything just fell into place on its own - glad to hear some deals are still going to closing straightforward and profitable. Best of luck to you...
Paul: "I must not fear. Fear is the mind-killer. Fear is the little-death that brings total obliteration. I will face my fear. I will permit it to pass over me and through me. And when my fear is gone I will turn and face fear's path, and only I will remain."
Duke Leto: "I'll miss the sea, but a person needs new experiences. They jar something deep inside, allowing him to grow. Without change something sleeps inside us, and seldom awakens. The sleeper must awaken." - "Dune."
You've beat me to it!
I have a deal almost like this that I havent' closed on yet. Its amazing, isn't it?? I felt like a fool putting those signs out but lo and behold! Next day, I got call on it from a motivated seller and while looking at it got a call from what turned out to be a cash buyer! I'm still blown away.
Did you not only copy the check but blow it up huge??
That is so awesome. I'm happy for you! Looking forward to seeing more deals from you!
Rachael
p.s. your name, are you in or from CT?
Rachael, I am from the beautiful state of NC. C is for my husband's name - Chris and T is for my nickname my grandmother gave me - Tiny (weighed 3 lbs when I was born). My husband has been very supportive even when nothing seemed to be happening. He's the best.
A copy of the check has been blown up to fit an 8x10 frame!!!!!
Yes, I felt like a fool putting out those bandit signs, but they do work. I now pay a friend of mine who is out of work to put some out for me. This gives him a little extra money. The rest I put out myself.
Please keep me posted on your deal. Hope it closes soon! How exciting!!!!!
Lori
www.cthillproperties.com
I know exactly how you feel!
My first closed on Fri as well. Oh what a feeling!!!
Now, on to the next one!
Andy Sager
DG's AndyS
Andy Sager
DG's AndyS
CFIC & IE member
2013, 2014, 2015 & 2016 EDGE Alumni
Andy,
Congrats on your first deal!!!!! It is a great feeling.
Lori
www.cthillproperties.com
TBD
Was this deal one that you worked with Larry on (The Flip Kid)? I saw that you won his contest and I just wondered.
Lenee
www.allstarhouses.com
~Act successful! And you'll draw it to you.~
~Every achievement, big or small, begins in your mind. It starts as a thought.~
Lenee,
No, this deal was in the works before I won the contest. Larry and I haven't been able to link up yet, but looking forward to the day when we do start working together.
Lori
www.cthillproperties.com
Thanks for sharing your first step in making your dreams come true. Through reading about your experience it motivates me to keep pushing forward even though my wife and I haven't yet completed our first deal. But we will
Kingston Investor
This is so encouraging thats for sharing!! keep up the good work! God Bless
For thou, O God, has proved us thou hast tried us, as silver is tried. Thou broughtest us into the net, thou laidst affliction upon our loins. Thou has caused men to ride over our heads, we went through fire, and through water, but thou broughtest us out into a WEALTHY PLACE. Psalms 66:10-12
Love it, love it, love it!! You are off and running. Congratulations!
Oh !! congratulations on your 1st Great Deal !!
You are a champion!!!!
Can't wait till I can put it all together.
Best wishes for your continued success.!!
Peace,Love and $$$
XO
Angie
Congratulations! You took action!
Congratulations you action taker you!!! Way to go. I know the experience, knowledge and the REAL people you met was worth as much as the money. It is amazing what you learn and who you meet when you take action like you did.
The next one is right around the corner.
Michael Mangham
Mentoring/Team Building Nationwide
MD Home Acquisitions LLC
Knowledge is power, but execution trumps knowledge. Tony Robbins
http://www.mdhomeacquisitions.com Seller site
http://www.mdhomeacquisitionsbargainhouses.com Buyer site
http://www.mdhomeacquisitionshousehunter.com Bird Dog Site
http://www.mdlodeals.com Tenant/Buyer site
Congrats !! that is fantastic.What a great story. Many many more to follow
Donna
what an awesome deal!! I am so very happy for you! and you are so right about our Jen-she's the best!
thanks for sharing!
wishing you many more great deals!
Valerie
“And will you succeed? Yes indeed, yes indeed! Ninety-eight and three-quarters percent guaranteed!” ― Dr. Seuss
"I believe in angels, the kind that heaven sends; I am surrounded by angels, but I call them friends" - Unknown
My journal: http://www.deangraziosi.com/real-estate-forums/investing-journals/59110/...
Ha, this is awesome! I am so fired up for you Lori. Go find the next house to wholesale, we are in the market. Ranch, 3/2 1500 sq ft, we'll look at 2 story but rather ranches. We need another flip and are looking for some buy and holds. Give me a shout tomorrow and we can talk. Also, we have our OPEN HOUSE on the flip we got from Curtis, this Sat, you need to come check it out.
SEMPER FI
GET SOME!
Lori
I will have to start reading your posts, your first deal sounds like it was full of nice reasonable people and no realtor. Way to go.
And that "diamond" looks good on you.
Congrats
Judi
Way to go, and way to encourage us all!
"Persistence Pays, Procrastination Delays!" - smurfy
"I can do ALL things through Christ who strengthens me." - Philippians 4:13
"He will keep in perfect peace whose mind is stayed on thee" Isaiah 26:3
"Those who wait on the LORD Shall renew their strength; they shall mount up with wings like eagles, they shall run and not be weary, they shall walk and not faint." Isaiah 40:31
View my journal here: http://www.deangraziosi.com/real-estate-forums/investing-journals/59850/...
Wow Lori, what a great first deal!! I hope your next one is just as profitable and the next and the next!
shirley
Everything works out in the end. If it hasn't worked out, it's not the end.
You have not lived a perfect day, unless you have done something for someone who will never be able to repay you. Ruth Smeltzer
It is what it is 'til you change it.