YAHOO!!! WE HAVE OUR FIRST ACCEPTED OFFER!!!

Hi Carl. Finding a good realtor is key. We found our realtor by posting a Craigslist ad titled, "Investors looking for a GOOD Realtor." Then, we basically used Matt's letter from PFRERN, editing it a bit to be more specific for what we were looking for. We got a lot of great responses from that ad, and we are now hooked up with a realtor who has no problem putting in our offers and says she's having fun working with us!

The only other piece of advice I can offer is don't use the phone book to look for realtors! I did that, and after speaking with 12 different agents I was soooo depressed! Every single one of them treated me like a criminal and one even hung up on me!! I couldn't believe it. I was so deflated! But I didn't give up, and that night we posted the ad and the next day had 7 GOOD responses.

Good luck to you!!

In response to your other question about finding houses nobody else is interested in, I don't know either!!! I'm trying to focus on properties that have been on the market for 90 days or more, but here in CA things are moving pretty fast now. The only suggestion I would have is look for those 90+ day listings!!

So glad to hear that you two got an accepted offer! You have been most kind in helping me along... I couldn't be happier for you. Way to go!! Keep up the good work. Regards, David

Thanks thats good advice, so the Realtor you found also lives in your area?
Bako is full of 90+ homes. What to do What to do

It's GREAT that your deal went through, WELL DONE!
Thanks for the advice that your gave about finding a Realtor.
I was going to do that this weekend but I think I will do it tonight!
And I was about to go through the yellow pages, so thanks for the warning.

Your Success is an inspiration, keep up the great work and keep us posted!

It is always great to hear good news. Thanks for sharing, please keep us informed about the assigning process. Good Luck.

Sandra

Good luck finding a realtor! I hope it goes well for you both.

Well, we have a buyer who wants the contract!! Now we are REALLY nervous!! This is the confusing part!

Our buyer is also a real estate agent and it sounds like HE wants to be listed as the buying agent. But we don't want our realtor to be left out of the commission. She has worked really hard for us to get this deal. So we are trying to figure out how to make sure she gets her 3%. Also, we want to be paid when we sign the Assignment Contract, so we are asking that he bring a Certified Check to the Notary appointment.

I'm scared that all our demands are going to make him change his mind!!!!! I'm sure that's not a very realistic fear, but frankly this whole thing is exciting and very scary.

We'll keep you updated!

I think realtors have this unspoken "thing" between them. They will not do another realtor in on a deal. I suspect he will watch out for your lady realtor and make sure she gets her $$$.
Congratulations on your deal! Now go get another one! LOL! What bank did you go through that accepted this and or assigns?

Congratulations on getting your first offer accepted.

How your agent would get paid if you assign the deal, did you put that in your contract?

What are you using for contracts, are you using the ones on the site here?

Good luck.

Yes, I thought wraping up the property in an assignment might work, but had doubts about control:

Would the seller worry that I would be doing back ground checks instead of them?
What if i do all that work only to find out a year down the road they didn't pay their taxes, mortgage and the house is being foreclosed?
Since I really am not the owner, would I need a power of an attorney or some type of authorization to collect rents?

It would be much easier to just buy it out right and rent, but for myself with little money and a lot of student loans, that would be tough.
Thanks for anymore help you can give me.
May Jean

hello, my name is victor. i am fairly new to thr program and was wondering if someone can guide me in the right direction. i currently have no money to invest and have poor credit. is there a way of making some type of money in my situation that way i can save enough so i can invest on my own. i will appreciate any feedback thankyou.

Yes there is something you can do. In Dean's book "Profit From Real Estate Right Now" he goes over a few "No Money Down" strategies. One of them is called "assignment" where you lock up a deal on contract, and sell it to a cash buyer. ex. a house is valued at 100k you put it under contract for 70k, then you assign the deal to a buyer and make a price (like 5k-20k) to keep for yourself (which is determined by how far below value you got the property). In this case you got the property at 30% off (which most investors aim for). I just got through reading the book and it was great. Good luck.

-Nate

Dom & Kim - I loved reading the process of this deal! I'm so happy for you! As far as the last post about your realtor I would say definitely be sure she doesnt get cut out of the deal! Your long term success with her is very important. Cant wait to hear how it all works out and when you walk away with that check in your hand!

You two are really stepping it up, from five offers and your first accepted to right back at em with over fifty.I am a new investor myself and i really admire your drive,and determination.I think it's something that all us newbies aspire to.Way to go, there's nothing like that first big break.I wish you the best on this, and all of your future endeavors. Clovis M.

Dom and Kim, it's great to hear that you are about ready to wrap up this deal. I am in SW Florida and there are a lot of REO's and properties in foreclosure right now, just like in your area in CA. You joined the DG community about a month before I did so it's great to hear that someone who has recently started an REI career have been able to put the plan to work for them. Whether you know it or not, your success keeps the rest of us newbies going and being positive.

Great job and keep it up!

Thanx nate, i really appreciate that. i will go that route until i can stand up on my own two feet. is there any special way of attracting investors?

Thank you to everyone who has been posting such nice things to us!! Every single one of your supportive posts means so much to us -- especially on a day like this!!

We went in to sign the papers today, and the bank is just a JERK!!

Our final counter was written up with "Dominic's name, and/or assignee". They accepted our offer, but apparently decided to do away with the and/or assignee. When we asked our realtor about this, she said "Yes, they sometimes will do that. It's because they don't like and/or...". But our point is...they accepted our counter as-is! How are they allowed to just change it without re-countering us???

Does anybody have an answer to this, or has anyone ever heard of this? We are flabbergasted!!!!! As far as I'm concerned, they signed our counter and so we have the right to assign that contract. Don't we?

I would really appreciate ANY help from our DG Family. This being our first deal, we don't know what is allowed and what's not, but this doesn't seem right. Our realtor says if we push the issue, they may pull their acceptance and we will lose the contract.

If it's true that the bank is allowed to change it, then we will just figure out another way to assign the contract. We're not giving up!! We are determined to see this deal through to the end. Our buyer is very excited about the house and he has said, "As many deals you can bring me, I will buy from you!!" So that's awesome.

I know that we will learn a lot from this first deal and hopefully not make the same mistakes with the next!!

Thanks again for any advice and for all the support and kind words! You guys keep us going.

Dominic and Kim

Hey Guys,

I am so curious, how long has this property been on the market?

I think I believe that they got a higher offer, the one that fell through, which is why they came back to you (after it fell through) with the $135K counter.

I love that you came back with a $92K counter to that. Personally I love that you gave them 5 days too .. you have waited long enough. Clearly there is not a bidding war on this property. They have you or they have no-one!

Now I am not sure that I truly belive that they got another offer, but I still think that the $97K final agreement is still a great deal!

Let your agent know that your $97K offer stands with and/or assignee clause ONLY or you will take your investing $'s elsewhere! That is your offer. Give another deadline (if you feel like it) and be prepared to walk away!

I am not kidding, put your new found talents / experience / knowledge to work elsewhere! Too many opportunities out there to be stagnating with one deal that seems to be going no-where.

Honestly, you are in a better position to judge, I am thinking that the bank and maybe even your agent are playing games with you. Ignoring deadlines, all of a sudden they have other offers, they are getting you to raise your offer, hmmmm makes you wonder! Seriously how many offers have been made on this property since it was listed and when was that again? (ask your agent if you don't know that answer, over 90 days is what you are looking for to know that you are in a really strong position)

Banks are notorious for refusing to accept and/or assignee clauses outright! I have not seen one that just ignores it after an offer is accepted. Call their bluff - your offer stands. (EVEN IF THEY REFUSE IT RIGHT NOW, LET THEM KNOW THAT IT STILL STANDS, THEY MAY COME BACK TO YOU IN A COUPLE OF WEEKS OR A COUPLE OF MONTHS BECAUSE NOTHING ELSE COMES UP, MAYBE THEN, GO BACK DOWN TO $92k

Whaddyathink?

Angela

AngelaK wrote:

Hey Guys,
I have read your posts in so many threads since you joined the site, asking questions and giving advice and this latest development in your RE journey is so exciting. I wish you all the luck in the world. I truly hope that this pans out!
Angela

Hey Angela, just wanted to say "whazzz Up".... I have not been reviewing this site lately because of my work outside of investing.... But, right now I have been "building" my buyers list to be able to "assign" props as I "lock" them up!!!

I seem to be have good success with "locking up" props, understanding how the lender/bank thinks in my area, but I am challenged with building a solid list of buyers. I have several names and e-marketing techniques to build my list.... Talk to U soon!!

Hey Guys... Congrats on your first deal, I hope U locate a buyer!!! Yes, I too had locked up 2 deals approx a month ago, but found out the property had major damage. I could have waited out for a buyer to assign, but I did not want to my EMD.... So, my new strategy is locating "turn-key" props... I believe if the lender/bank will accept my offer below asking price, I can sell to the retailer for 10-15% below my competitors listing price.

I am now working on building a buyers list and searching for private lnvestors. One reason why I did not assign the 2 props, after they were locked up was I did not have my buyers in place, Ugh!!! Others have told me the same re: using "and/or assingns" on my contract, but I use my LLC name and "and/or assigns" on ALL my addendums. Some lender/banks have rejected my offers, but I will not accept an offer unless this language is on the document.

Again, I pray blessings on your endeavors....

Hey, first CONGRATULATIONS on all your accomplishments and determination thus far! You guys are amazing!!
I've been following your thread and am thrilled with the number of people that have been inspired by your story. (THAT is a HUGE accomplishment in itself!)
I just wanted to let you know you're not alone in your frustration. I have been in your exact position with these banks (and, oh, there are so many more twists that you could encounter!). Yes, the banks have no rhyme or reason. I am used to just waiting things out and adjusting constantly to the specifics of each deal. That, of course, is why you don't want to limit yourself to just one deal at a time (which I know you guys aren't doing).

NOW, between all the seasoned investors on here, you may get several different opinions on your situation. Some would say tell them to forget about it, some would say make the deal work. I know when I was faced with this same situation I had a deal good enough I didn't want to jeopardize it. BUT maybe if I had called their bluff it would have worked out anyway. All I know is I wanted that deal and it didn't matter to me if it got switched around a little.
Just do what your gut tells you in this situation. It's YOUR deal. No doubt you will have other deals coming up, so it's not like "this is it". However if you already have a buyer, it would be nice to have this one under your belt.
Then again, like Angela said, if you stand your ground they may come back in a short time and you'll get it anyway. You never know. Good luck on your decision.

Just remember, don't be emotionally attached to the deal. For sure don't give anyone else the satisfaction of driving you nuts on this. lol
Take it all in stride.

Wish you well, and hope to hear good things!!

Rina

Anita has posted regarding banks changing information on the documents after they accepted the offer as-is. She sent the paperwork back and said that is not how the offer was presented. Personally, I would do the same. They are being a bully and you should bully them back. Despite the fact you two, Jason and I are struggling to get the first deal, I wouldn't give in so quickly. Like AngelaK said "Don't get emotional, walk away." Obviously they want the property sold because they took your low ball offer.

If they don't accept your bluff and you still want to do the deal then go to plan B. Have your end buyer added to the title after you receive at least 1/2 of your fee up front. You want your buyer vested in the deal or he could walk making you lose your EMD. Tell escrow you want to add your business partner to title and give escrow his proof of funds. Have your end buyer write a letter (better yet, you write it and have him sign it)telling escrow that he is aware he is paying out more money than necessary. The overage amount (the rest of your fee)should be put in a check in your names. After escrow, quit claim the deed to the end buyer and your name is off title. Have the quit claim deed filled out ahead of time so you buyer knows that your name will be removed off title. Good Luck.

KimmyJ
PS Happy Mother's Day Kim!

Thank you for your post! I don't doubt for a second that the bank is playing games with us! To answer your question, the house was originally listed in December. I have no idea how many offers the bank has had. I know that it's been pending at least twice before and fell out of escrow both times.

Part of us agrees...we'll just walk if they won't take the and/or assigns. The other part of us thinks it will be worth trying to work it out, since we already have our buyer and we've put so much time and energy into this deal. Also, we have over 50 more offers out, none of which were written with and/or assigns. So we need to figure out how to get around that, anyway!

We signed the paperwork yesterday and on the final counter, which everyone has signed, it clearly states "and/or assignee." If the bank is choosing to pretend they didn't see the verbage, maybe we will just choose to pretend we didn't see the omission!!

Thank you for your good wishes! We actually have a pretty good buyers list and we had a number of interested buyers in the property. We have offered it to one, and he is ready to go with cash and he has already given his proof of funds. I think we are just going to go ahead, assuming that we have the right to assign the contract to him and see how it is accepted!

Thank you so much! I can't believe that we would be inspiring to ANYONE! I feel like we have been floundering our way all through this deal!!! But if someone can avoid certain mistakes that we have made by hearing our story, that's awesome!!

How funny that you have had the same thing happen to you. So you chose to wait it out, and were you able to assign the contract? Or did you try a different method, such as Quit Claim Deed? I know that we are going to do some serious outside-the-box thinking to get this done. We aren't ready to drop it yet.

I know that we shouldn't get emotionally attached to this deal, but I would be lying if I said I wasn't really hopeful (and also going a little nuts with this darn bank!)!!! We aren't putting everything on this deal, though. We are continually putting in offers and building our buyers list.

P.S. I like your pretty picture!!

Thank you for the Mother's Day wishes! I'm having a WONDERFUL Mother's Day so far!

Yes, we definitely have Plan B in mind. We are still going to try to assign the contract to our buyer. We have an appointment with him and a Notary to sign the Assignment Contract and we will be getting our $1500 Earnest Money up front and our Assignment Fee will be kept in a sealed envelope with our realtor until we figure out how it's going to pan out. If we end up having to do the Quit Claim Deed, we won't collect our fee until after closing. But we are hoping that we can just either assign it over or add a buyer in an addendum (Sheila's method).

We'll keep you updated as to how it goes!!

On behalf of my family and myself, we will like to extend Mother's Day greeting to all the mothers on this site as well as the fathers who are doing a double role. May you all enjoy the rest of the day. Good Luck.

Sandra

5H Enterprises wrote:

Thank you for the Mother's Day wishes! I'm having a WONDERFUL Mother's Day so far!

Yes, we definitely have Plan B in mind. We are still going to try to assign the contract to our buyer. We have an appointment with him and a Notary to sign the Assignment Contract and we will be getting our $1500 Earnest Money up front and our Assignment Fee will be kept in a sealed envelope with our realtor until we figure out how it's going to pan out. If we end up having to do the Quit Claim Deed, we won't collect our fee until after closing. But we are hoping that we can just either assign it over or add a buyer in an addendum (Sheila's method).

We'll keep you updated as to how it goes!!

You ought to make one of you a notary so you don't always have to hunt a notary down to stamp the paperwork. Or make a family member a notary. It only cost around $75.00 to become a notary. Then you will never have to worry about hunting one down.

Does anyone know how to flip short sales in california using an assign or equity conversion approach. who deals with the lender in negotiation if you do have a real estate agent.