Posted by jeff on July 20, 2002 at 19:55:36:
that all depends on how i sale the property. if i get "negotiated down to a few grand and that is my last option to make the sale, i will more than likely do a contract assignment. collect the cash and walk.
if somenoe wants to borrow from their own lender, then the lender will more than likely handle most of the paperwork for me. ill simply do a P&S agreement with the seller and another one with the buyer. this is assuming the lender doesnt have a doble closnig issue to deal with. if so, ill have to work around their issues with a seperate note to handle my payment while the buyer does the P&S straight with the seller.
if i have to run them through one of my brokers ill make sure to use one that doesnt have seasoning issues or double closing problems. this will allow me to make the simoultaneaous closnig that i would prefer since this offers me more cash from the deal.
but, i am very flexible in my selling terms and will take abuot anythign offered that brings me some profit. if need be, ill sale it on a note after financnig it myself as long as i can collect enough down payment to cover all of my expenses going into the deal with a little extra to put in my pocket.
the key to my success is flexibility, that allows me to get deals that others in my area dont. i can do stuff that other investors shy away from. the only thin gi run from is work, when it comes down to me actually having to get off the couch and do something, i run. but if having to wait on the mailman to bring me a check every month for the rest of my life is in the deal, then ill take it.
i guess ill just have to wait to see what type of buyers i get on the line. but preferable id like to do a double closing since it offers me more profit potential. ill leave 15K equity in the deal in order to get a quick sale. you interested? LOL
Expired MLS? for experienced - Posted by new in MD
Posted by new in MD on July 20, 2002 at 24:22:13:
What exactly is the purpose of expired MLS. If a property has a hard time selling wouldn’t that be a bad investment?
Re: Expired MLS? for experienced - Posted by jeff
Posted by jeff on July 20, 2002 at 09:34:56:
not necessarily. if your trying to do the same thing the current owner is when you sale ie. collect a huge check with your name on it for FMV then yuo are correct, it is a bad deal. investors have alot more flexibility than the average owner and are open to multiple types of deals. how much flexibility you have in a deal depends on how you boght it and how much of a discount you got. homeowners usually have no clue how to sale a house or they wouldnt use a realtor, they have no knowledge of L/O, land contract, owner financing. etc. this is where you come in. your job is to find the people that the realtor missed when they tried to sale it. the realtor wanted a huge check, if you offer other terms then those often missed buyers turn up.
if there were no deals in the expired MLS, do you think youd hear so much about them from so many money hungry investors?
heres noe of my expired MLS deals just to give you a clue. its not great, but it works for me. the property went through 3 realtors with not even one call, appraised at 90K, seller had lowered the price to 82,500 recently because of no action, after abuot 15-20 phone calls i got him down to 64K which is only 5K above pay-off. he needs this other 5K for downpayment on his new house or he cant move, if he cant move i cant buy old house, so im happy with the 64K price. althuogh i havent even started marketing the place yet becasue this is a fresh deal and hasnt been had long, i now have 26K equity to work with. he cant get 82,500 for i, whats the chances of me getting atleast 70K and putting 6K in my pocket for free? ill start marketnig it at around 75K of course, but if i have to “negotiate” down to 70K then i still win. 6K aint much, but itll work for me since i have zero cash in the deal whatsoever since all i have on it is a straight option and no earnest money. the realtors wanted 82,500 but ill bet i get alot more responses with 70-75K. especially when i advertise it with 15-20K equity, this is something no realtor in my area does that i have noticed. they simply put purchase price and description and sometimes location, nothing else. well, i have seen the word motivated strapped to one or two of them, but dont even think that means anything, ive called these ads, apparently they just think they are motivated.
Jeff, in your example… - Posted by jerry
Posted by jerry on July 20, 2002 at 15:17:57:
you describe that you have an option on the property with no cash involved - great. When you get a buyer at 70-75k, what is the chain of paperwork that allows you to exercise your option and put the property in the hands of your buyer - nothing more that an assignment of your option? Or are you handling it differently?