WOW!!! 50 REO OFFERS IN LESS THAN ONE WEEK!!!!!! I THINK I HAVE A "FEVER" OR SOMETHING!!!!

That's awesome! We hope your fever's contagious and we catch it!!! We'll keep our fingers crossed for you. Keep us updated!!

I think I like your real estate agent. Sounds like a real gym. Keep her close.

and Congrats on your offers

We put in 15 low-ball offers on Bank REOs before we got our first one (which we are almost ready to put back on the market next week - yippee!). You just keep making offers and the bank will either come back with a counter-offer or a "no" and you just keep going! You will get the properties that were meant to be yours....it's just how it works.
Congrats to you! It's exciting isn't it? Good luck and keep us posted as to your success!

Thanks for the encouragement.... But, I do have a question for you... Did you put all your offers in with a "and/or assignee" after your name??? Look forward to your reply... Shalom!

My situation was a little bit different.....I wasn't able to use the "and/or assignee" because I did not recieve this advice until AFTER I had submitted the offers. I did my first 3 deals with my own cash, initially thinking that I was going to keep these properties and rent them out. I was just looking for cash flow.
I tried to work with a private money lender for construction/rehab money, but the costs were just too high to make it work (I had the personal cash to be able to continue without having to pay interest, etc.) so that was a learning experience as well.
Then I found the DG program and things changed from there.
I set up three LLC's for the properties that I now own, and as I'm making new offers I'm writing them in the name of an LLC - I am not (at this point) trying to find buyers or other investors to purchase these properties from me. The properties I've purchased are all FHA qualifying, so I have to wait the 90 days before I can flip them anyway (or sell to a cash buyer immediately).
In the future I will be using the "assignee" designation.
Shalom to you! My sister lives outside TelAviv

rbncowgirl wrote:

My situation was a little bit different.....I wasn't able to use the "and/or assignee" because I did not recieve this advice until AFTER I had submitted the offers. I did my first 3 deals with my own cash, initially thinking that I was going to keep these properties and rent them out. I was just looking for cash flow.
I tried to work with a private money lender for construction/rehab money, but the costs were just too high to make it work (I had the personal cash to be able to continue without having to pay interest, etc.) so that was a learning experience as well.
Then I found the DG program and things changed from there.
I set up three LLC's for the properties that I now own, and as I'm making new offers I'm writing them in the name of an LLC - I am not (at this point) trying to find buyers or other investors to purchase these properties from me. The properties I've purchased are all FHA qualifying, so I have to wait the 90 days before I can flip them anyway (or sell to a cash buyer immediately).
In the future I will be using the "assignee" designation.
Shalom to you! My sister lives outside TelAviv

So good to hear what's has traspired in your life so far... I sure would like to hear more about your strategy, using the LLC's to purchase your props... PM or call: 503-730-2848 ... Shalom!

Chris,

When you made your 30 offers in the last couple of weeks on the REOs at a straight out 50% below AP, in the P&S contract your buyer information showed your LLC and/or assigns right? What did you show as financial ability to purchase? Did you leave this area blank on the contract, do you have a POF from a PL or HML? What is your plan when they ask you how are you paying and we need to know who end buyer is because we don't accept "and/or assigns"?

Thanks,

Mati

Too funny. I had the same thing happen. My agent submitted my offer at 50% below FMV. It appraises in the mid 90's I wrote the offer for 43,200. The other agent (who was a broker for a ton of REO's in the area) asked "does your client (me) knew what she was doing" and added that it is "a low ball offer and what the hell does buyer's satisfactory inspection mean"? We'll we reworded the inspection part by breaking down what it meant (to clarify) and she then grudgingly submitted.

Well needless to say she almost dropped dead when the bank countered with 48K and $99.00 in a doc fee! HA! She said to my agent "I can't BELIEVE the bank countered" my agent said "I can, what is it for?". So you see it happens everyday. I am closing on this one w/i 2 weeks...YEAH!

FYI this is my third accepted offer. My ratio is 5-1 at 20% below appraisal(1st one) 38% below appraisal(second one) 48% below appraisal! Whoo hoo!

Angie

Hi Mati, since you are in the state of NJ... Why not consider speaking with a RE agent or RE attorney to answer these "legal" questions? I would not attempt to write these contracts on my own, without a "wealth" of experience under my belt... I hope this helps.... Shalom!

You GO GIRL!!!! .... I know this works strategy WORKS!!! I've already had an RE agent tell me and my buyer agent my offers were "too" low... But, who cares the only thing a lender can do is say "NO." Huh...... Well, I'll keep you posted....

P.S.... in my latest email with the buyer agent, she expressed things were looking positive at the moment with most of the offers...

But, tell me how much "earnest $$" did you provide each lender? Also, did you have "end buyers" for each property before closing date? Thanks...

how do we get started with no money down?

As for earnest $ I write a $500 or 1K check and photo copy my agent to submit with offer. I than write in my offer that the EM is to follow w/i 24hours of acceptance. This way I don't pay any EM UNLESS my offer is accepted. Since I live out of state I just over night EM check.

As for end buyers I keep the properties as rentals. I have a property manager who finds me tenants. I wish I could help you with that part but I don't have any experience with that as of yet...Good luck!!!

please finish reading reading the book if you have not already done so. it will be a tremendous help to gettingyou started

I know that things very from state to state, but I am wondering too, did you need to show proof of funds with your offers?

Angela

Yes on occation...it's up to the bank and they will disclose this prior to you writing your offer or ask you to after if needed. I do cash offers so I write in offer if they ask that proof of funds "to be provided w/i 24 hours of acceptance"...saves me time having to ask my banker everytime I write an offer. If you are doing w/ financing I believe you can get a templet and use over and over. Hope that helps:) Angie

This is so smart!
If you can do it of course!

Out of your 50 offers, how many have asked for proof of funds, or did you do something to cover that with your offers?

This may seem like a silly question, but what is "Proof of Funds" in terms of real estate investing. I am just starting this week.
Kat

Proof of funds is basically showing that you have the money in the bank or you are pre approved for the purchase price of the house you are trying to buy!

Proof of funds is a document that demonstrates that a person has the ability and funds available to use for a real estate transaction. It usually comes in the form of a bank statement, loan approval or custody statement. The purpose of the document is to ensure that the funds required for the transaction are obtainable and legitimate. They do not want to negotiate with you if you can not show them that you have a way to pay for the house. I am also new student working on my buyers list. I have a found some investor on craigslist.org. I will call them up first thing tomorrow morning to find what they want specifically, then I will find discounted homes and pass it to them and make money for assigning the deal.

I sent a POF letter for each property.... Shalom!

I've read somewhere on this site, that there's a way to get a POF letter from off line from a HML without actually having an agreement with them. If so, can someone send me a link. (my credit is not that good, so a preapproval letter is not likely) I have a PL, but how does that reflect as your ability to pay?...

www.coastalfunding.com
Go to proof of funds on their website and type the four things it asks and it will be in your email in seconds.

THANKS A MILLION+

YOU ARE THE MAN JASON!! I APPRECIATE IT!!!

The link for coastalfunding came up a dead end.

"403 - Forbidden: Access is denied.
You do not have permission to view this directory or page using the credentials that you supplied."

I have no idea what the problem is.

http://www.coastal-funding.com/

Hav you done a transaction with coatal? If so how did it go? I hear about them alot on this site. Wondering if anyone actually did something with them. Thanks
Kingjuss

I just used their POF letter a few times.I also just read a post on here that nobody has acually used them yet, but some have come close.

I've actually read that someone did actually use them. It was said that they only do double closings. Theey're really not risking anything is the sense that they're really loaning you money, but if it helps get the deal done, they hey...