Now, if he meant that he gets 10 out of 10 short sale packages processed, that’s something different. Having the skills to successfully work with the loss mitigator on the lender’s end is valuable and will ensure that your short sales get the attention they deserve.
Short sales are not complicated though. The first time you see them, they look like a big hassle. But once you understand the paperwork, it’s just another process like any other process out there. Life is full of processes, and those that master them can succeed.
I have gone through his seminar and I used to send deals to his LM team on regular basis and this is what I found.
They select very few deals. Maybe 1 in 10 but they charge you $50 for every deal you submit.
I have to send about 200 letters to get one deal. Now for every 10 deals they select one.
That means I have to send 2000 letters to get one deal accepted.
You spend $2000 in letters and additional $500 to LM team to get one deal which I have to finanace and the LM team will get 20% of the profit.
I started doing my own short sale negociations and I get 10 out of 10 deals accepted and I don’t have to give away 20% profit.
I just got back from a local REI club meeting where Jeff Kaller was a speaker. I spoke with a person in the crowd who took his seminars and went to his boot camp, and he said that the Kaller team will only accept short sale deals where they have a sure thing. ie. they refuse to accept over 80% of the deals passed to them. Heck, with those odds, any john doe can negotiate a short sale if I got to cherry pick those with a high 2nd lien. Duh…