OfflineHello, My name is Dawn. I am fairly new here, I have communicated with a few of you...awesome site! I have been studying for three years and I am ready to make the plunge!!
I am super excited I am going to look at my first property, it's an REO that has been on the market for a couple of years. It is listed way below fmv.
I am also meeting hopefully my new agent, I have talked to her on the phone several time...makes low offers, YES!
I need to start a journal, but for now, I will let you know how it goes...I want to thank everyone here for everything you do to make this a wonderful site to come to everyday, I want to especially thank Dean!
"Cherish your visions and your dreams, as they are the children of your soul, the blueprints of your ultimate achievements." Napoleon Hill
Dawn H
Congratulations on taking action and good luck with the REO. You can do it and we all look forward to hearing about your deals in the future.
Cathy B
Follow my progress at:
http://www.deangraziosi.com/real-estate-forums/investing-journals/44397/...
Cathy, thank you for the encouragement!
Met with the agent, I haven't signed with her yet but I believe I will, I really like her!
The REO was beautiful, on the lake two acres, huge...6862 sq ft , indoor pool, not in bad shape, just needs some updating. They want 559,900, I want to put in an offer at 509,900 and see what happens.
I think that the realtor got mixed up as far as a pre-approval letter, where they want to check my credit for a loan but I plan on using transactional funds, which I believe I just need proof of funds letter.
Is that correct? Any input would be great!
Thanks
"Cherish your visions and your dreams, as they are the children of your soul, the blueprints of your ultimate achievements." Napoleon Hill
Dawn H
When signing a buyer agency agreement you should be careful to only sign very specific buyer agency agreements. Specific as to the city or exact address that they are going to recieve compensation for and a time frame - make this no longer than 90 days. Also, understand the compensation section of the agreement! This should NOT be where the agent agrees to accept the sales commission in the MLS or 3%. It should ONLY be that they are compensated the sales commission in the MLS whatever that is! This is very important! If you agree to pay the difference because the agent "deserves" to make competitive pay - You will pay out of pocket at closing!
I hope that this information helps!
If you would like the chance to work with me or one of my fellow real estate investor coaches and our advanced training programs, give us a call anytime to see if Dean's Real Estate Success Academy and our customized curriculum is a fit for you. Call us at 1-877-219-1474 ext. 125
You are correct, agents have a tough time understanding the difference between proof of funds and a pre-approval letter to be honest with you. Most agents do not deal with investors - only retail buyers! They are geared this way and are taken back by someone with funds!
Please be aware if you are making a cash offer you should always use contingencies to get you out of a deal if things do not go as planned! You should understand your maximum liability when dealing in real estate. Ask yourself what is the worst that can happen if this deal falls through? One of my favorite things to do is to add one simple phrase to the special agreements section which is - In the event of default or non-performance by buyer, seller agrees to accept the earnest money deposited as liquidated damages. This is the sellers only option or recourse against buyer in the event of non-performance. This will get you to negotiate the lowest possible earnest money to be accepted by the seller.
I hope that this information helps!
If you would like the chance to work with me or one of my fellow real estate investor coaches and our advanced training programs, give us a call anytime to see if Dean's Real Estate Success Academy and our customized curriculum is a fit for you. Call us at 1-877-219-1474 ext. 125