OfflineIf anyone can guide me on this, I would greatly appreciate it.I got in touch with a realtor who showed me a bunch of homes in Queens.I live in Brooklyn so it's pretty hard to find homes that are priced cheaply enough that I can use Dean's strategies and apply them. But I figured Queens is pretty cheap right now, plus the rentals over there are doing very well. Anyways, I saw this one home in Queens that is in middle of a short sale. The house is beautiful well maintained. It was on MLS for 4 months with an asking price of 395,000. The realtor told me that I can buy it for 340,000 and possibly as low as 300,000. Comps run anywhere from 360,000-420,000. What should I do at this point?
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EITHER DO A OPTION TO PURCHASE OR WHOLESALE IT FOR A FINDER FEE!
Before I get up to that, should I offer low? do i do an inspection before an offer?
Can't you make an offer, contingent on the inspection. If you could, then make an offer of $295K, in most cases, you know they will counter anyway. Have you thought about what you will do after purchase? You mentioned that the house is beautiful, have you seen the inside? All the best and God Bless.
Sandra
"You can never get to the top, if you are not willing to climb. Do not look at the difficulty of the climb, only anticipate the view from the top."
"Can't even walk without you holding my hand." (Song)
"Is anything too hard for the Lord ..." Genesis 19:14
"In all things, wait on the Lord."
"Think not of your own deliverance, but trust in God who will give in abundance."
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"Our lives begin to end, the day we become silent about those things that really matters." Dr. Martin Luther King Jr.
I have seen the inside and it is stunning. I really believe that this house is a steal. I can either rent it out until property value really shoots up and still walk away cash flow positive at the end of each month or I can flip it.But from what I understand, it's better to buy now than wait til foreclosure. Is that true?
In order to do a shortsale do you need a real estate agent involved or can you just do it yourself and and find the buyer to make your commission?
In order to do a shortsale do you need a real estate agent involved or can you just do it yourself and and find the buyer to make your commission?
Hello danny1214. My name Richard LaCelle. I live just outside of Seattle, WA. I have a co-worker who was a REI, but had got himself into the rut that most others have with ARMS. He is in a very, very bad spot. He has been trying to get one of his houses sold through a short sale. He had I believe 5 different runs on this. The las one was already to go, but just before closing the buyer backed out. I am brand new to the REI and DG family. I feel very close to this person. He has been working for Waste Management for about 3 decades and is just a good souled family man. I want to help him very much, but I don't know how the process works for short sales. I have read Dean's books but it doesn't go into detail about how to work a short sale. Can you offer any advice or steps I should take? Any help would not be taken for granted. I hope your deal is going well. Please keep me updated.
Richard
Know what truely matters in life, consume yourself with that, and you shall never be disappointed, afraid, or alone. Give your gratitude always, give respect to everyone, and you shall never be anything less than what matters the most. Give praise to the Lord, forgive yourself and others, and with all of this together you will get a taste of what heavens lie ahead.
thesmam,
You have nothing to lose gonig low on the offer, in fact starting too high not only cuts you off to right where you are but in some cases the bank will suggest just paying the full amount or else. At that point you cant go back without looking foolish and deminishing your chance of getting it.
Dont fall into that trap, collect as much "negitive" info as you can on the place to help back up your reasons for your lower then normal offer and explain it in detail to them. And never never let an agent or broker "brow beat" you into offering high or threatening to walk off because they think you're nuts for offering low, you dont need "inside the box" people like that, you'll never get anywhere doing avarage deals that way.
Offer low, back it up with detailed negitives after a good inspection and basically make yourself look like the hero so to speak for coming in and taking it off their hands. You never know until you ask and dont be afraid to go that extra mile, maybe offering 285K to start and reasons for your low offer.
John 14:6
In short, no...
However alot of short sales you'll come across are MLS listed and will have an agent and or broker involved in some way. It would be great if you could find it yourself and cut out the middle man and deal directly with the bank but this is eaiser said then done in my experience.
Most banks perfer to have some kind of "buffer" when doing short sales as assurance that they deal with the right people and all the paper work is done correctly. I've come across some where they go to almost 90% completeion but come to find out things were done wrong, deal falls through and low and behold the property goes back up for grabs.
It's 100% worth the effort to find them yourself and avoid brokers/agents but even if they are involved it can still be a VERY good deal like one property I came across in OH that was a SS for 10K but worth around 75-80K with a few minor things fixed up.
John 14:6
Richard
Hi Richard,
I work with Short Sales on a daily basis. I posted a deal that I just closed last Friday on the forum under "Closed another short sale Friday". This might help you to see the deal and the numbers. First thing I would do is find out who the lender is, how far behind in payments he is, what is his balance on his loan and what kind of loan it is. If it is investment property then is it rented out and how much is the rent. Does it need any repairs? Get the address and do due diligence ie..value of the house and check out the county records to make sure there are no other liens on the property and I always check to make sure who is on the title or deed of the property.
Remember you will need an offer to complete the short sale package that you will submit to the Lender.
Hope this helps and gets you started. It is so rewarding to be able to help someone that is in need.
If you need anything else let me know.
Laura
BMW Investment Properties LLC
www.bmwinvestproperties.com
Outstanding!
Laura, first....nice to meet you. Second thank you so very much for the information. I appreciate the insight and I have already talked to my co-worker to start gathering the information for me. I sit here shaking my head in disbelief (almost) of the generousity that is shown here on this site. What Dean and all of you have created is really the "change" that can make this world a better place. Thank you again and I will keep you posted on the progress. I hope all is well with you and your family.
Richard,
Bothell, WA
Know what truely matters in life, consume yourself with that, and you shall never be disappointed, afraid, or alone. Give your gratitude always, give respect to everyone, and you shall never be anything less than what matters the most. Give praise to the Lord, forgive yourself and others, and with all of this together you will get a taste of what heavens lie ahead.