Contracts and Offers

1. Not Knowing the Market Numbers

Knowing your market is as important as any other factor in real estate investing. This means having a neighborhood by neighborhood analysis of the supply curve and average days on market. Both of these data formulas can be found through the assitance of a real estate broker using the MLS.

2. Mistaken Value

Most new investors use Zillow, e-appraisal, or Trulia (or even worse, an average of the three) for determining the value of a property. This is fatal – learn to do a “comparable sales” analysis.

Get your own data, too. Relying on the listing broker to give you comps for properties is like asking the barber, “How’s the haircut”. Learn to find your own comps using public data websites like Trulia.com.

So I have been having the toughest time finding a RE Agent to work with, but that's beside the point.

I have done tons of networking and I know tons of people with deals all over the US, and people who are looking for deals all over the US.

So I figure, in the meantime why dont I just play matchmaker for these investors, make a nice little assignment fee for each one.

My only question is how do i get paid when the people I am connecting both live in like Kansas City, or Vegas or Seattle and I am in North Carolina.
(My 9-5 prevents me from flying to these places)

Obviously the honest people would pay me my assignment fee, but what can I do to prevent being cut out of the middle.

Any ideas?
Thank You.

I've got a duplex that I've had under contract for some time. The owner wanted cash $27,000. It's ARV is $64,000 and it needs approx $10,000 or less in repairs. Only a few people have looked at it. It's in a smaller neighboring town and most of my investors and cash buyers are in neighboring large towns. This duplex could bring in $800-$900/month. He still wants me to get it sold for him although we have had no luck in 2 months!!

i had an agent interviewed last week Monday. The interviewed went good, and she was determined to do everything I required of her to do according to my criteria.
Starter homes of 3/2 that are vacant, price reduction, reo, as is, and any property that trigers motivated sellers. I had her send me properties with description.
Well in my market, the starter homes here with this criteria is not much, well at least that's what my agent says.
She sent me only 11 properties. Now I'm sending out offers at .65 x asking price -5000( assignment) fee = offer price.
If all goes well, I will have 11-1.

I'm want to lock-up a property on contract to assign,with the option to sell it outright,for a larger profit.If I do that,then I become the seller and closing costs become due,right???

Can they be taken out of the escrow at the end or should I ask the new buyer to pay for these fees???

Any helpful suggestions would be appreciated !!!

Thanks!

This deal might appeal to you, Dean because it is big bucks!! If Dean doesn't want to make this part of his portfolio and if any of you DGers don't either, then you might like what else I have to say.

We all hear about deals to make money with no money down. Here is an opportunity to do just that!!

This is a gorgeous resort property in the mountains of NC. It has 5 BR/8 BA. It is priced about $500,000 below the 2008 appraisal. The current Comparative Market Analysis indicates a value of approximately $250,000 more than the asking price of $975,000. It's a beautiful post and beam lodge with 3 car garage and it has covered porches and decks and many custom elements.

If you send me a buyer that closes, I will pay you $5000 as a finder's fee.

We had our 4th realtor decide not to provide us with any more properties today. We will begin looking at new realtors in the morning. I would like to discuss the offers we have made and the properties we chose to look at and place offers on.

We want to be sure we are not overlooking something and not wasting time picking the type who says they have experience in working with investors, but when we begin to present multiple offers on good properties that we get told we are doing something illegal, that they know better how to present an offer or that you make money when you sell.

I believe we are doing what is correct and working the process. Thank you.
Robert & Gail

I have just finished reading deans book for the 3rd time in a week. i cant seem to put it down. ive been taking notes and going through this book like crazy. its like i am addicted. lol. i am really interested in locking up deals and assigning them to other buyers. i feel like i am ready to start but i just dont know where to. i keep asking myself should i find the buy/investors first, or should i find the sellers first. what if i find a seller but have no buyers. somebody please help! im driving myself crazy! lol

Hello all, i am still currently reading deans books and really just trying to get started making money. i was really just wanting some help getting started. wondering where i should start. i really want to do contracts and assign to new buyers. i guess im just looking to get pointed in the right direction. i have seen alot of postings on the internet for motivated sellers and some great looking houses that i feel i could profit from. just real nervous on where and how i should start. thanks

I am fairly new to investing, though I have read many books and been on many sites, yet haven't started. I live in California and continue running into the problem of not having the financing to submit an offer through my realtor. I plan to wholesale and most properties available are REOs. How do I make an offer when I'm always asked, what financing I will use? If it is possible, would someone please guide me through the steps using the regulations expected in California?