OfflineHello everyone,
OK I am all ready to invest(assign properties).
What I am going to do is look at many properties with my realtor whether forclose or pre-forclose and pick the best ones to bid on. Then I will contract the ones excepted and assign to my buyers/investors.
What I would like to know is: Does anyone here 1st use a confidentiality agreement with buyers/investors and show them properties, so they can choose before locking with contract this way they know if the buyer/investor will definitely take them or not?
I was not going to do this because getting investors to get out there at the same time as my realtor might take more time.
I am really not worried about assigning them since I have many investors and even if they don't want I can always find more.
Also, is it a good idea to auction a property that is locked up and going to be assigned or just if I actually closed on it and own it myself?
Thank you
Kind Regards,
John Morrison Jr.
The reasonable man adapts himself to the world; the unreasonable one persists in trying to adapt the world to himself.
Therefore, all progress depends on the unreasonable man ... George Bernard Shaw
Luck Can Beat Skill Any Day ...
John Morrison Jr.
I think you should lock it up first. Whats to stop your investor or buyer from circumventing you and going after that property themselves. Control is power if its not locked up than your giving away deals. If im wrong someone please correct me.
Joel Thomason
Thomasoninvestments.com
I agree with Joel 100%. Until you have a signed agreement with the seller, don't waste any of your valuable time showing property, meeting with contractors or inspectors. Since you are new to this, you do need accurate numbers for repair estimates. Do an interior inspection with one or two different real estate agents. Tell them very little, they also work with other investors. Get a rough idea of the comps "As Is". Make your offer to the seller in writing. Once you have a signed agreement with a closing date, you can contact would-be buyers. I personally don't work with realtors, I market directly to the sellers and negotiate price with them. Most r.e. agents don't "get" the steep discounts we're looking for.
I'm not sure what you mean by auctioning a property and assigning it. Once you have a signed agreement, you can either sell it to a homebuyer (auction) or wholesale it to another investor.
Hope this answers your questions.
Good Luck!
I was talking about using this agreement before showing so they can not take it and my realtor won't do business with them as long as I have that agreement either.
I am just going to lock up but I am just wondering what others do.
John
The reasonable man adapts himself to the world; the unreasonable one persists in trying to adapt the world to himself.
Therefore, all progress depends on the unreasonable man ... George Bernard Shaw
Luck Can Beat Skill Any Day ...
John Morrison Jr.
I got all that just wondering about the agreement.
It's ok I was locking them up anyway.
I believe my realtor would actually want to put in
lower bids then I would have a few months ago. She is great
and I am glad I found her. I wasn't even looking for one.
Thank you
John
I'm not sure what you mean by auctioning a property and assigning it. Once you have a signed agreement, you can either sell it to a homebuyer (auction) or wholesale it to another investor.
Hope this answers your questions.
Good Luck!
The reasonable man adapts himself to the world; the unreasonable one persists in trying to adapt the world to himself.
Therefore, all progress depends on the unreasonable man ... George Bernard Shaw
Luck Can Beat Skill Any Day ...
John Morrison Jr.
What I was really looking to do is not waste anyone's time by locking
up a property that had potential of not being assigned (no one wanting)
because there is always a chance, which is why we have the 30 day 45 day (whatever it may be) clause in there.
I didn't want to lock up a foreclosed property and take chance in having to turn it back to the bank causing a bad or starting a bad relationship with that bank knowing I MAY HAVE TO DEAL WITH THEM AGAIN.
Kind Regards,
John
The reasonable man adapts himself to the world; the unreasonable one persists in trying to adapt the world to himself.
Therefore, all progress depends on the unreasonable man ... George Bernard Shaw
Luck Can Beat Skill Any Day ...
John Morrison Jr.
Well just in case that doesn't work out and you can't assign the property. Can you think of another exit strategy? Maybe you could use private money or a hard money lender to buy the property yourself for a short period and refinance or some other kind of idea.
Success and Nothing Less!
If I can't assign I am turning it over to the bank.
I am locking the property with my proof of funds letter
which is from a friend and putting a 45 day clause in there
so I can assign or back out.
I don't want to be stuck with a property lol
I want fast money and out so I can vacation while
my new partner(very good friend)runs the business lol
Took me 4 months to set everything up least he can do is
watch over it for week or 2 while I get out of Jersey for a while
I miss vacationing. I used to have a lot of money took my Xwife on so many
vacations, but I am happy I did, I believe she deserved them. I did get a very good looking son out of the deal.
John
The reasonable man adapts himself to the world; the unreasonable one persists in trying to adapt the world to himself.
Therefore, all progress depends on the unreasonable man ... George Bernard Shaw
Luck Can Beat Skill Any Day ...
John Morrison Jr.
It says a lot about you.