Posted by Houserookie on July 09, 2003 at 16:51:22:
Jim,
My point is don’t advertise owner financing ads. You don’t know if the person reading the ad is looking for owner financing, down payment, terms, or other assistance. Sometimes seller financing can scare away buyers because some people think there must be someting wrong with owner financed homes.
The other fellows gave you good advice.
Cheerz,
Struggling on how to sell property - Posted by jim
Posted by jim on July 08, 2003 at 13:38:56:
Hey all pros. As every “pro” will say, “You have to have a complete strategy when doing CREI, which includes how to purchase a property at a good price and then exit the property.” I’ve bought one property through a short sale (conventional) and am working on another (FHA and lender has agreed to go 82% of pending appraised value. This property also has a second that has agreed to short.
I’m struggling on how to sell either or both of them. Do I use the same strategy on both? Different strategies? What? No, I don’t feel I’m being greedy and no I don’t want to just give the property away for $5K profit. With the first property I’ve spent considerable time and $$$$ getting it into shape so I need to get something within reason for it. So I’ve considered:
With that being said, I’d like to develop a common exit strategy to use on current and future properties to get a “GOOD FAIR” price for them-----not retail. In fact, aside from my FOR SALE sign just placed, I also bought “MUST SELL - MAKE OFFER” signs so I’m more than willing to sell below retail.
What do you think? Any feedback at all will be truely appreciated.
Jim
Sean and Tom - Posted by jim
Posted by jim on July 09, 2003 at 10:29:02:
Thanks a bunch with your advice. I agree with both of you 100%. If I went with an owner financing option these homes would sell like hot cakes. However, I actually need cash within a few months so I’m willing to take a discount to move the property. I’ve used ND in the past and think I’ll go after it again vs. resorting to an auction.
Regards–Jim
Re: Struggling on how to sell property - Posted by Sean
Posted by Sean on July 09, 2003 at 09:06:06:
Let the buyers needs determine your method of sale… run the properties for sale ads with “SELLER HELP” or other terms… when buyers call screen them and see what they have and what they need…
There are all sorts of ways to help a buyer acquire your home… but find solid buyers and then tailor to their needs.
You can Lease Option with a good down payment.
You could sell on Contract for Deed/Wrap around Mortgage or Land contract and then immediately or quickly sell the notes to a note buyer to recognize your capital (Sure they won’t pay face value, but adjust your price and terms accordingly) etc…
If you want the house sold quickly, find solid buyers and work with them for what they need.
If you target people who want a home, but can’t go get a mortgage because of some reason or another, you should be able to sell relatively quickly… remember even today ~55% of americans can’t meet FHA mortgage qualifying rules.
Also, depending on the value of the property, lower/middle income properties… purchase price won’t be the major issue to these types of buyers. Payment is all that really matters, so playing with the purchase price, and then manipulating terms to match their payment needs will easily allow you to get more money for the house than you could get from someone with cash or good credit out of the gate.
Best of luck.
Re: Struggling on how to sell property - Posted by tomB
Posted by tomB on July 09, 2003 at 01:10:20:
you or a realtor can do no discount steps.
Don’t offer CD, owner financing or anything too crazy. First run one ad in the for sale section and another in the rentals. Let buyers/tenants pick and choose your g@mb*ts and go from there. In a CRE situation your gambits can include lease options, subject tos, or special terms. No guarantee that your house will sell with no discount or any method but you can use it to identify the best exit strategy. I suppose instead of using nodiscount round robin you can substitute with auction format. I don’t recommend it but that’s up to you.
Regards,
Re: Sean and Tom - Posted by Houserookie
Posted by Houserookie on July 09, 2003 at 11:55:12:
Jim,
If you have to beat yourself figuring out what to offer buyers then you’re going 'bout it all wrong. I mean how would you know if somebody wanted owner financing if you don’t ask them? I see people advertise owner financing all over the place spending hundreds on the ad alone. Suppose owner financing isn’t what the buyers wanted, then what?
$smart sellers ALWAYS let buyers tell them what they need.
Cheerz,
Houserookie - Posted by jim
Posted by jim on July 09, 2003 at 12:29:40:
Houserookie–
Maybe I’m not understanding you correctly or my messages were unclear. I know that if I advertised “Owner Financing Available” then I would be swamped with callers------I’ve done that before. What I meant to ask was, "Best/quickest method of finding a qualified buyer that’ll pay the “fairest” price. I really don’t want to offer the buyers anything----just someone who has the credit/funds to close quickly. Sorry if I didn’t understand you correctly.
Jim
Thanks for
“100% financing available” NTXT - Posted by Brent_IL
Posted by Brent_IL on July 09, 2003 at 17:39:04:
.