PLEASE READ. Negativity From Other Local "Investors"

Going to try and make this short and sweet and let you read for yourself what is going on here.

I locked up a brick 3/2 on a corner lot, fenced in a nice subdivision. The house is solid, no trade work is needed. It does need the carpets cleaned and paint and if you really wanted to go crazy you could update the kitchen but It Is NOT Necessary. The buyer could buy this throw a very minimal amount of money in it to "clean it up" and rent it almost immediately or put more into it with the updating and get closer to retail.

Here is a link to the "drive buy" so you can see the outside. http://www.youtube.com/watch?v=rCUjobGpWic

The sellers are making double payments and cant afford this so I got a good deal on it. I was really happy figuring I could wholesale this really fast and get some money back to make up on some bills and put through my business for marketing, internet, phone and all that jazz.

Well heres the deal...I started to market this out on my local REIA's online forum and on craigslist, Backpage, Zillow and others. That is when all hell broke loose. I have had no offers and more importantly no INTEREST at all on this deal. Here are the numbers. Comps from properties sold in last 6 months less than half mile away in same subdivision ..I found 2 that sold for $87000 on the dot. So this is what I used...I said $87000 Fair Market Value, Wholesale Price $47,900!! Instant Equity $39,100.00!!! Ser Inq Only Please. Cash or Hard Money Only. blah blah blah

I get an email from one person and it says this...

START OF EMAIL 1 (Rude and Unprofessional Questioning)-

Click Here to View Listings(This was a link in the email to 2 "comps" that he found but they were currently for sale and not sold...His "comps" were priced at $74500 & $78900, not even way off from where I was even if he was right. BTW, I think this guy is a local realtor or owns a brokerage or something.)

bernard ..... 2 active !!! listings in canterbury !!! same subdivision as chaucer
same size range... same age ... shows me a market value of ??? 75,000 not 87,000 ???
comments ??? blake alpers eco realty carolina END OF EMAIL

HERE WAS MY REPLY (I tried to be as nice and professional as I could, I was kind of "upset." -

Mr. Alpers,

Are you a “Serious Inquiry Only?”

Are you a “Cash Buyer?”

Here are the facts. Aggressively priced REALTOR MLS Listing numbers are different than SOLD HOME PRICES that are less than .5 mi away in less than 6 months…. i.e. “Comps” You have your interpretation of how pricing works wrong. My numbers are fine as presented. Especially since this property offers a corner lot with these lot dimensions.

You cannot determine the numbers from houses that have not yet sold. There are many reasons for this, none of which I am going to get into, you should already know why if you are in the industry. The fact that a comp is ascertained from a home that has SOLD means to the market that someone (A realtor, an appraiser, a family or individual AND a lender) agreed the facts of the home to be worth that price. Homes that are just offered are not in this league. A price tag is WAY different than a Purchase Price when using such information to comparatively and competitively price similar goods.

Even IF you were right with your wrong pricing methodology there still would be $27,100.00-$31,500.00 in equity and would still be a wholesale deal. So let me ask you Sir, what are you getting at here? You are grasping at straws here and for what reason, I do not know. Was this just to waste time my time or are you interested in the purchase? I have no room in my business for “time vampires” as I am working to rebuild my business here in the upstate after settling in from my relocation. I have too many things to focus on right now other than your “opinion(s)” of my numbers and your inappropriate poise to question my deal with no actual bearing or purpose.

By the way, the two listing that you presented to me are priced that way because the Realtor, most likely, suggested that price to the homeowner based on the COMPS OF $87,000.00 that are present in that neighborhood. The suggestion was made to increase the likelihood of a quick sale. This is Real Estate 101! I am done training for today. I can support my comps at $87000.00 to anyone that wants to meet me at the courthouse and pay for my time to prove them wrong on such a trivial question. My rate will be $125.00 per hour. Also, there are two other listing agents that have used the same data to come up with their price for their listings. I am pretty sure they know what they are doing considering their employers. I am a professional Sir, and do not pull numbers out the air because they sound good. Nor do I have to support my numbers to anyone other than people interested in ACTUALLY purchasing the homes I offer.

My deals and my numbers are SOLID. That is why I have the confidence to post them publically for all to analyze. If I used make believe numbers and deals, that would not lend much credibility to my business or myself as a professional, now would it?

Please do not reply to further waste my resources unless you are a serious cash buyer that I could consider to be an asset to my team or a passive cash investor that can see the value in the properties that I provide to my clients. I do not appreciate anyone’s attempt to make my deals look bad after all of the time, effort and resources that are spent on putting them together. I do not argue my deals. They are as presented. Anyone in the industry, can determine from my presentation and their own PROPER due diligence that my deals are solid and will not argue the fact.

I do apologize for sounding rude in tone, but I do believe that I have more than addressed your issue. I do know that I and the like tend to only deal with professionals and our peers. I do suggest that when you approach a professional you act as such and use the proper sentence structure, capitalization and punctuation. Doing so will warrant a certain level of respect and credibility right off the bat. Especially if you are going to take the position of questioning their morals, ethics, business organization, business conduct, professional poise, expertise and/or persona.

If you know of any cash buyers that would like to do some real business with a real businessman I would be more than happy to pay you a referral fee for the introduction.

Thank you Sir and enjoy the rest of the weekend. God bless.

Bernard Valigorsky
Owner/President
SKY Real Estate Services, Inc.
(864) ###-#### Office/Fax

Investors Visit: www.skyinvestmentgroup.com
Buyers Visit: www.scprimeproperties.com
Sellers Visit: www.skyhomebuyers.com
E-Mail: #############@skyinvestmentgroup.com

"The SKY Is The Limit!"
END OF MY RESPONSE.

A day goes buy and I get 2 more emails...from what looks like his brother/cousin or dad....after I asked not to be bothered unless he was a buyer. Original email was from "Blake" and now somehow this guy "Dave" is CCing me on replies to "Blake." These are real nice...check it out.

LAST REPLIES

Blake,

Anyone who protests so strongly and aggressively must be uncertain of his methods or capabilities. The three of us have a accumulated over 100 years of buying, repairing and investing in real estate. One thing for certain is the market is constantly changing. Banks can send three appraisers out to the same property and arrive with three entirely different values based on numerous conditions. We have sold every property we invested in and while not always maximizing profits, have not lost money one property. We understand that homes MUST be competitively priced in any market in order to sell within a reasonable time frame. Anyone can list a home for more than the realistic “fair market” value but either the home will stagnate on the market or if a buyer is duped into offering, the home will not appraise high enough for a mortgage.

Some people are too smart to listen to professionals.

Dave

SECOND REPLY FROM DAVE

Blake,

I checked out the listing below….what kind of real estate investment company would post such a lucrative moneymaker?? Any investment firm worth a lick would jump on this type of high return investment for themselves and not “give it “ away. Imagine investing only $47,900 plus only $500 in rehab costs and netting $39,100. That’s over a 76% return on your money!!! Even if it took you a year to sell this, a 76% is almost unheard of!!! Of course this agent assumes the plumbing doesn’t leak, the roof is sound, the appliances all work, the electrical system is sound, the HVAC system is working properly and almost none of the flooring or lighting or painting needs work. I HAVE NEVER SEEN A HOME OTHER THAN NEW THAT NEEDED ONLY $500 IN REHAB WORK. Bernard is either stupid or dishonest, and I hope it’s just stupid.

END OF SENT REPLIES.

Really nice guys aren't they?

Anyway, anyone see anything wrong with my deal? The address is avail on the youtube.com link above if you want to run the numbers and need an address. Am I overlooking something here or are these guys really just idiots? I am second guessing myself now and its been eating at me since I received those 2 emails back to back yesterday.

Thanks everyone!