OfflineOkay, so my agent got the inside scoop on a pre-foreclosure that's a FSBO and the woman that works at the bank told him they'd take 150K CASH. It's a beautiful neighborhood and my agent pulled some recent comps within 9 months: 290-325K. I'm going to take a look tomorrow. I saw the outside and it looks fine. Some cosmetic improvements can be made, but nothing crazy. How do I determine how much work it needs. I'm obviously not a contractor.
Also, the only member on my power team besides the buyers is my real estate agent. What needs to be in place to make this deal happen? I will assign the contract. After seeing the house and getting the repair estimate, I will make an offer. The woman at the bank said it must be cash.
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I need some replies on this one everyone b/c I seriously want to capitalize on this deal that no one knows about yet. Thank God for the Success Academy, they will be hearing from me bright and early.
In a FSBO case, do you need proof of funds when making an offer. I don't really understand how the whole POF thing works. My agent said that with every offer through him, he needs a $1000 check and he can use the same one and make copies, but in a case where the bank wants Proof of Funds, how do we get that done?
If its fsbo you can give them 10.00 or use a promissory note instead. why use an agent on a fsbo? most reo's you would have to use a copy of a 1,000 check.
good luck and use the success academy as much as you need to. that is what you paid for.
Richie.
If this is a preforeclosure then unless you are willing to pay off the balance of their loan this will become a short sale. Has the homeowner put in for a short sale? Are they behind in their payments? Are you offering less than what the house is worth? And will your offer pay off their mortgage?
I do short sales-You can check out "The Short Sale Sisters Journal" and if I can be of any help let me know. We work Nationwide.
You can get Proof of Funds many ways i.e...Transactional funding, someone who can prove that they have the funds, from your bank etc.
Good Luck,
Laura
www.bmwinvestproperties.com
Just found out this morning that it is a short sale. Does that mean we should move on or can a deal still be done b/c $150,000 on that property is a great deal. My agent is checking to see whether the short sale has been approved already or not, but the woman said $150K Cash takes it. How can I we make this happen, if we can?
You need to move on this quickly. Bill O'Rafferty talked about this very thing at the EDGE event. This is going to take some time.