FAQ: Answers To The Most Asked Questions - Start Here

I ran across another RE Investor who touted that one does not ever have to use a bank for buying properties. Can someone please articulate what this guy is talking about? I was under the impression that you are going to have to deal with banks for one deal or another but how does one avoid the use of a bank and why?

And section:
Where to Borrow Money on page 163.
This explains a lot about other means of financing.

Hi,
I am new to this site and just started reading chapter four "Be a Real Estate Millionaire". I am very excited. I am in position to buy home right now, first home actually. 1'st question...However I live in San Diego and as most people know the market out here even though it is at its lowest it is still high. I qual for 260 FHA loan and all the homes that would be worth buying are in the 350's how do I get this price down, especially when dealing with a bank owned or short sale? I am working with an agent and they just tell me there is no way... Is there?

Also on the RE-ASSIGN this boggles me but really I want to do this. I have got an investor lined up already who is eager to hear from me with properties. However I am so confused on how to do this, and scared. I know that you find a property that is pre foreclosure, distressed, etc. However when finding these they come with no information on the owner just agents. 2'nd question....So do I work with the agent or how do I get to the owner and if the home is already being listed doesnt this mean that the owner is basically already dealing with there home situation and wouldnt want to be bothered with me? 3'rd question....Also say the house that is pre foreclosure is listed at 375,000 for a pratically brand new home that is in good neighborhood and the price is already considerable low what type of offer could I give to be better also how do I do it and make a profit when reassigning to investor. I feel so lost.
I mean I read it over and over and still doesnt make sensse.
Please help.
God Bless you for all your help
Misty

I have a desperate home seller for 120,000 and an approved buyer for 140,00, house needs no work at all, house is one year old, pretty much brand new. Probably will appraise 140,000 + based on comps around here
Question, where do I go from here ?? I want to be the middle man and make a hefty profit.
Do I have to involve a real estate agent or can i do it myself without an agent ?? Some advise please !!!!!
Waiting to hear from you !

Thanks, R. M.

eithr lock iy up with the seller yourself with a purchase agreement and sell it to the buyer and make an assignment fee or you can sign promissory not with seller or buyer and get a referral fee for putting the two together. It would not be terrible to sign one with both since you are acting for both but one will suffice

Sign a purchase agreement with the seller. You want to assign this deal. Be VERY careful about writing any other docs with either party. You do NOT want to be accused of putting together a RE transaction ie selling real estate without a license.

Hi I had a question Im awaiting my LLC and want to rent my primary residence and put it in my LLC does anyone know the necessary steps in doing this your advice would be greatly appreciated. Pat

In your book,"Be a Real Estate Millionaire", you state that once a lease agreement has been ratified, the buyer has the option of renting the property to someone else to cover the monthly lease amount. When I GOOGLE, Lease Options, nowhere does it mention this as an option for the buyer. And if the buyer wanted to reassign the lease it would have to be with the sellers approval. Do Lease Options differ by state, or can they be written according to buyer/seller negotiation.
By the way, I love your book and continue to use it as a reference.

Patrick

I believe the Dean's Book explains that a Reassignment Clause would be included in the Lease-Option contract so you do have the option to reassign the property.

JButcher

I would say really creative, that is super. Yes certainly makes sence. Cindy

I have a question about the 4closure website. There's one place and it's listed twice, and the amount of default is $24,500 on one and $205,520 on the other, and the assessed land value and assessed improvement value listed under tax info is $4,650 & $35,098. What do all of those mean really? I don't understand what is owed and what I might be able to get this place for? Do those listed under taxes need to be paid by me if I purchase the place? Should I contact the bank or the owner, to deal with?

Can anyone help me out with this?
Thanks for all of your help!

hi anita,
hi mike from alaska i want to thankyou for the taking your time to share your success with us tonight on the confernece call this is my first live one i was able to make, im in the prossess of closing on a triplex just waiting on final approval of the deal , i be honest before tonight i was getting a little down but listing to you and dean picked me back up again,
thankyou again
mike sondgeroth
wasilla,alaska

I had my alarm set to be in the conference call but being new to the USA, I did not know that EST was not the time zone I am in here in Arizona!
I am devestated!
Someone please tell me what time zone I am in and what is the difference so I won't miss anymore calls ??????????????

Hell, here I am at 8.25, all excited and waiting for the call to start. I had my cell phone alarm set to remind me at 8.45 but I did not know that we were on different times.

I am so very dissapointed. I really looked forward to the call and I am sorry that I missed Anita's testimonial. I know, I can listen to it later, but it is not the same.

Sorry, I just cannot get used to so many different time zones and since Dean lives in Arizona and so do I, I just thought it would be the same time.

I'm so sorry you missed the call. Both Dean and Anita were wonderful. But, you're right, you CAN listen to it later.
Here is a link to a time zone map. It looks like all of the USA is on Daylight Savings time right now except Arizona, which shows MST (Mountain STANDARD Time). We have 4 time zones across the US. Right now, you would be MST, which appears to be the same as the west coast (PDT).

http://www.worldtimezone.net/time-usa12.php

If the call was at 9:00pm in EDT, you would have listened at 6:00pm.
You'll catch it next time.

Rina

Hello everyone,

I have a friend who filed bankruptcy and put his house on it as well. The house is a great looking house and has a lil of equity. He is moving out of state and just missed his 1st payment on the house last month. Know I know usually it takes the bank 9-12 months to actually take over the house and he is moving out next month (June). What is your opinion in what I should do in this matter??? This might be my 1st deal and need some help.

Thanks

David David

does any one know of a hard money lender in anchorage alaska or wasilla alaska
thanks
mike

Which one is the best one to use?

Shonda

you need to find out who your friend has the property mortgaged with, first off. Then after you get the lenders info have your friend sign a authorization for release, so you can talk to his lender on his behalf, essentially what you want to try and do is depending on what the loan balance is either assume the loan, if the loans assumable, or buy the property subject to the existing financing, which actually would be better. You could have a really good deal on your hands, CLASS DISMISSED, SULLY.

I enjoyed your story last night. When purchasing do you identify what you are going to do with the property. Example do you plan to hold on to for rental income or fix up and sell?

Exit strategy is absolutely critical. NEVER buy anything unless you know what you are going to do with it. (And have a backup exit strategy while you are at it.)

thanks bgenest, i'm glad you like it. SULLY.

OK

Has anyone had any experience with Military relocations housing and VA financing on putting buyers and sellers together and if so will the VA Financing portion of it work just like any other seller-buyer deal?

JButcher

Hi Im new to all of this, I have read Deans book.

I have found a property that is listed through an MLS. It is listed as being a pre foreclosure not a short, that has just been appraised by the listing agent for 215k. And condition appears good to me too. All comps check out. It is listed at 107k. The property had a mortgage of 349k done on it as the 1st homeowners of the property in june06. Of course the property is in one of the hard hit areas of the country on property values. I'm pretty sure the lender is still owed a majority of the contract.

My questions:

Why is the property listed for such a low price?

Do you think an offer at listing would be enough to aquire the property?

Will the seller have to come to the table to fulfill his obligation on the property?

If the seller is so motivated and asked for it to be listed so cheap why would the listing agent not himeself, or other contacts, jumped on this themeselves?

Thanks in Advance

Hi Im new to all of this, I have read Deans book.

I have found a property that is listed through an MLS. It is listed as being a pre foreclosure not a short, that has just been appraised by the listing agent for 215k. And condition appears good to me too. All comps check out. It is listed at 107k. The property had a mortgage of 349k done on it as the 1st homeowners of the property in june06. Of course the property is in one of the hard hit areas of the country on property values. I'm pretty sure the lender is still owed a majority of the contract.

My questions:

Why is the property listed for such a low price?

Do you think an offer at listing would be enough to aquire the property?

The seller will have to come to the table to fulfill his obligation on the property, correct?

If the seller is so motivated and asked for it to be listed so cheap why would the listing agent himeself, or other contacts, jumped on this themeselves?

Thanks in Advance

BAIT, that listing is bull @$%, they list it well below FMV to get you (investors, buyers) to bid, and then someone else will bid, and so it creates a bidding WAR, in this situation you need to find out how much is OWED on the property, it sounds like an REO FORECLOSURE, anyway, once you figure out whats owed, i would then make my offer somewhere close to whats owed like this: owed:$145,000, offer:$130,000, this way should HALT any bidding WAR. SULLY.

Hi Rob, I will try to help you. Let me start by asking you two things. #1 Do you happen to own your own home? #2 Do you have any credit cards to utilize? Let me know more details and we are all here to help. Your friend, Cindy

fisrt of all>> HI to all, everyone here adds a grain of sand to the ever increasing knowledge everyone posts in here.
im so glad i found this book and everything else that came with it including this wonderful website full of insights.
well as you can tell Im fairly new...in this
I have found couple of deals in the newspaper but i go: no further than a formal phone call. i completely forget everything i have read and even learn.
MY BIGGEST QUESTION is how and what does it mean to lock a house with a contract to pull put of the market. is it a comtract i have to write and Make the owner sign. or is it something else.
PLEASE if anyone can give me a clue . THanks so much

JOHN E.

i wanted to see if any one thats in this program is in alaska like anchorage, wasilla,palmer area, mybe we could share ideals , i keep thinking there should be some people up here lol!!!
thxs
mike sondgeroth
wasilla,ak

Since I got on here a week or two ago it seems the overall strategy and theme in a down market is to buy pre foreclosures or REO's. My questions is, are these strategies good in every market or only in down markets? What are some of the popular strategies in an up market such as the one we had in 2004/2005?