Getting Started Need Some Advice

with duplexes and triplexes, quads, they offer great versatility with allowing you to basically live off of your renters rent, plus, you can observe your property and make rehab changes to it as neccissary. Most areas are booming with renters with the RENTAL market being so strong, sully says: good move, SULLY.

Absolutely not, whom ever told you that is totally wrong.

I've an opportunity to make some good cash - I think.

Here's the situation: A co-worker is facing sure foreclosure. Her house is unoccupied (basically abandoned), and in disrepair - will need lots of work to make it marketable. She has about $70K in equity and owes about $90-100K on it. My idea is to offer her the $70K, get the burden off her hands, repair & flip. Houses in her area go for $250-$400K and higher, so once the house is fixed up, I can see an excellent profit.

However, I'm so new to this, I don't know where to start. I know the first most important thing is to talk to her and get all the facts of the situation and the property. Once that's done, securing financing is a major hurdle for me as I filed bankruptcy about 5 years ago, and don't think any lender will even talk to me, much less make a loan. This is such a great opportunity. I've known about this situation for a long time, but, like the V-8 commercial, it didn't hit me 'til this morning on my commute to work while reading Dean's book - the part about finding forclosure ops. This property is not in forclosure yet, not even pre-forclosure, but things are not going well for my co-worker in all aspects of her life, and this 'albatross' of a house is hanging around her neck quite heavily. This makes her a motivated seller in my book. Any and all input would be greatly appreciated.

p.s. This co-worker is also a dear friend who's in financial trouble. And even tho this is a great op to make a handsome profit, believe it or not, it is as strongly motivated to help a friend.
Carmin

The best reason for doing anything worth while is to help someone else! First get all the information you need, do your homework girl. Find out how far behind she is, if it's already gone into foreclosure, what repairs it needs, etc. Once you have all your information you can go from there. This could be an excellent way for you to help your friend out of here financial trouble and make a nice profit for yourself in the process. Let us know once you've done your homework, then we can see what's the best strategy for you.

Hi guys,
I did my first sit down with an owner a few days ago. He was trying to unload a home he owned because he is moving out of town in 3 months. I wrote on index cards what I wanted to say to this guy so I would'nt sound like a chump! Needless to say, I didn't get the house but it was a hell of an experience. The guy is laughing his head off because I'm reading off of index cards! It was funny but it gave me the confidence that I can do this! Still trying to score a couple of duplexes in area. Wish me luck!

My hat's off to you for trying! Stick with it and you'll be a pro in no time! I use scripts when I call them I'm so scared, I STILL hate cold calling. When I had to meet an owner I would go with an experienced investor friend of mine to his meeting and observe him before I even had the nerve to go it alone. I made lots of mistakes too, but with each one I learned what to do and what not to do. Here's a hint: Instead of index cards take a notebook and a pen or paper on a clipboard. That's what I do, it has my checklist of things I need to see and ask about. Hope this helps you. Just keep doing it, don't quit because he laughed, learn from it for the next time!
Best of luck,

Hello All.
I am new to this I have just finish reading Deans book on Be A Real Estate Millionaire. I am very interested in getting started in making some money finding and assigning properties to investors. I just need some advice on how to get all of this started without any money of my own or experience, also my credit is very bad. I would eventually want to make enough money to correct my credit history and restore it to good standings,invest in properties and keep them as rentals and fix-n-flip for profit. Can someone please tell me how they got started? what they did and how successful was it?
I have an aunt who wants to sell her home because right now she is renting it out and it unhappy with that situation. She would rather sale the home and move on. She is already living in a home and she could use the money from the home i want to help her sale to pay off the home she currently lives in. Once, someone helps me with that situation. After I accomplish that task I am back at the beginning in which i would have to locate a home all on my own. Can someone help! I need the money.
Thank You

I'll see if I can help. You read the book, now which strateg(ies) sound interesting and which do you think you'll be able to do?

Welcome to the DG family we're glad to have you here with us. Sounds like you may already have your first deal. First thing you need to do is find out how much your Aunt wants for the house. If it's a good price and the comps show that it's a great value. Does it need any repairs, with renters it probably does. All this needs to be known in advance so you can know what numbers you're working with. Doing your homework aleviates common mistakes that new investors make. After you have all that then you will know if the price is right and can you make money. Now if all that is taken care of and it's a good deal the best thing would be to put it under contract with your Aunt. A standard purchase agreement, this gives YOU control of the property. Then find an end buyer to assign it to. If it's an investor then assign it, but if you have a chance to be the mortgage holder find a qualified buyer. It really depends on what your Aunt wants, cash now or monthly income. Again, part of your homework. Let us know if you need any help, this should help you get started.
God bless,

I recently recieved Dean's book Become A Real Eastate Millionaire.Can you really purchase properties with little or no money down,being on limited or very alittle income?Please help just getting started.Any ideas?

YES ANYTHING IS POSSIBLE IF YOU BELIEVE. Read around this website and you will find plenty of successful and inspirational information on this site. But I have learned that no matter how much knowledge you take in you must first change your perception. You must believe and allow yourself to explore the possibilities. Yes you need a foundation of knowledge but ultimatley the rewared comes by wisdom which only comes from within you. Like Dean says it's 80% you and 20% the information you learn here. There is no magic button. Everything you need to succeed is inside of you. If you need any further advice look around the forums and keep an open mind. "Enlarge your territory by expanding your perception." If you need more advice and support just post a comment. There are plenty of wonderful and helpful people on this site that will be more then happy to help you. Best of luck to you.

Make sure you read the book entirely and take notes. Also remember that each persons situation is different. Don't try to mold yourself into someone else image or story. Just learn all you can and be lead by your spirit. You will know what steps to take if you just don't over analyze things too much and make excuses. Even if you have to take baby steps....JUST DO IT.

I TOO AM IN THE SAME SITUATION AND I HAVE BEEN ON THIS SITE SINCE 4 O'CLOK FOR AN ANSWER AND FOUND ONE.LOOK IN YOUR LOCAL PAPER FOR REALASTATE INVESTOR'S. GIVE A CALL AND ASK IF THEY GIVE A FINDERS FEE. SAY YOU FIND A HOUSE FOR 100K AND YOU SELL IT FOR 115K TO THE INVESTOR YOU MAKE 15K. GOOD LUCK. AND THANK'S EVERYONE FOR ALL THIS ADVICE.

I just got Dean's course yesterday and have not received the course yet. I do have access to the foreclosure alert. I was checking out pre foreclosures in my area and saw default amounts for $10 through $100. What does this mean as it relates to purchasing the house. They are Notices of Trustee Sales. I know this is probably a very stupid question so please accept my apology in advance. There is so much information to take in and it seems a little overwhelming but I really want to succeed in this and make my life better.

Japanese Cherry Blossom

I need some advise, I am new to investing and I must admit its scary. There is a foreclosured property next door to my parents home. The owners walked away and now the banks own it. The banks completed all the re-hab and the previous owners owe 156,000 on the property. The comps in the area are around 220,000. The last home in the area sold for 223,000 6 months ago. Would this be a good foreclosure to purchase? Should I negotiate a lower offer to the bank? How should I handle this transaction. Or should I leave this alone?

I have a question concerning tax liens. If a home owner has a home for 580.000 and wasn't paying his taxes and the mortgage is in default, along comes someone who pays all the back taxes owed on the property. The property gets foreclosed on and the sale of the real property is scheduled to be auctioned off to the highest bidder(s). What happened to the persons money who paid the back taxes? and why didn't he get the property for the taxes owed on the property. Why did it get auctioned off? I assumed that if you paid the back taxes for a home up for foreclosure you have first rights and the owner has 3 years to redeem it. Now does this mean you can pay back taxes on a property but it can still get auction off? Sorry I am new and still confused, please forgive me. Any feed-back would be so nice.

Thanks Deneen

as for your 1st question(the foreclosure) sounds like you MAY have something there, you said the bank did most of the re-hab, how much did they do? if they did ALL of it or whats left is LESS than $10,000 then you should be looking @ somewhere in the $35,000-$45,000 profit model, now obviously thats with you doing whatever is left for $10,000 or UNDER, plus i used $7,000 to include closing costs/carrying costs, and thats probably a little high, but thats o.k., i ALWAYS shoot for the higher end, good deal

your a question-machine, lol, anyway so where were we?, oh TAXES, right! ummm, yeah basically, your going to want to do some DUE-DILIGENCE when buying TAX LIENS or TAX LIEN CERTIFICATES, thier a little tricky, unless the property is FREE & CLEAR then you can pay the TAXES all you want but if thiers another LIEN on the property(other than a TAX LIEN) that will then get 1st priority, i think? and in order for the JUNIOR LIEN to recoup it's loss it still gets sold @ auction

You must be tired answering all those questions! Heck, I'm tired for you... LOL! That was quite a pile of questions, I'm ready for a nap or somethin'! Dencrawford, it's hard to answer alot of questions at once here, you'll get better results if you ask one or two at a time, that's if you want them all answered anyway... LOL! Sully, you did a GREAT job taking them on (our hero). I just wanted to add that the TAX LIEN takes priority over ANY other liens, 1st, 2nd, water, gas, contractor, neighbor you owe money to, (etc) any other lien is squashed!

Thanks so much you are so knowledgeable in this business, I will be happy when I can get the confidence you have. You give great answers to our question and you explain them well for those of us who do not quite understand. I am signed up for a free web conference tonight at 9:00 pm - 10:30 pm. The subject is How to Buy Tax Sale Properties. Thanks again Sully your the GREATEST. Sorry for so many questions, I will do better next time around.

Thanks for the advise Elena(SMILE)

i want to know why the owner of priforeclosure will corpate white me
and how do i find bank that want to give up on the property when he want to write it off.

lol, your a character yourself, lol, you just had me cracking up
as for, mr.dencrawford, the pleasure is mine

Hi everyone, I'am very excited about my new adventure in Real Estate investing and I'am only in chapter 7 in Dean's Book! Its good to know that there is a great support group out there to help you get going. I will have questions as soon as I finish his book and start looking for my first investment property.

Thanks to all who are there.
Sincerely,
Randall

Still reading the book. I do things ususally conventional so stepping out of the comfort zone. This will be my first attempt to claim a nice 3/2 auction on a fed agency sale. Maybe 10 years old and needs inside cosmetics only. 83000 is owed and the bid will start at 59500 and some of the homes sell from 85000-120000 in area. I am wondering if I'll need to do a title search, survey or any other requirements? My wife does not want a sec mort on our home so should it be easy, have good credit, to get a loan now a days? The agency said only the 2008 tax's need paid and auction costs with 10% down day of sale. I soften to think a single woman owned this but know no history.

Al

I am brand new to this, just wanted to get that out. I wanted to get started right away and I've read a couple other postings and saw that assignments is the best way to start. I have no money,zero, i owe the bank for ordering this program. Horrible credit. And all the negative people you can think of. What should I do? I'm open for advice, tips, step by steps anything will help.

Hi! kinda new to this and just want to start things off right. I have deans book and read it.I went out today to meet with a broker and explained that I was looking for a broker that could help me out with deals and possibly tell me about buyers that could not get traditonal financing and he seemed pretty uninterested. Is this something I should exspect from most brokers or is it just kind of hit and miss? I left feeling as if I'd said something wrong. How would you suggest approaching a broker?

chicken with her head cut off
Lavenia

Yeah I would start small. I thought about it even know I havent' closed a deal yet I was ready to head right up. I was told to start with Re-assignments to get going.

How do i purchase a 80,000 house ? do i need money to put down, do i have the seller meet the invester, and what happens after that?

You can find Hud Forclosures at Hud.gov