OfflineOk so the story is: I have my sights set on a nice FSBO home in my neighborhood. But I want to get your opinions about what I should ask the seller when I call her. I'm affraid I'll ask the wrong questions OR not ask important ones, causing her to hang up or just not want to deal with me.
A little about the house: I havn't made contact so I don't know what the inside is like, but from driving by, it's a 2 floor, 1 family, small 20'x30' back yard, 1 car drive and seperate garage. The lawn on the side of the house was having some pretty serious construction done to it when I first saw the house, so it is still costing the owner money. and it has a sign out front that says "Reduced! 362,500" I don't know what it was before or how long its been for sale.
These are the questions I've come up with so far:
Year built?
Reason for selling?
How much of a hurry are you in?
How Many floors/Familys?
How many are livable space?
Basement/Attic?
Sq Ft?
Bd Rms?
Baths?
E-I-Kitchen/modern appliances?
Closets?
Any oustanding features about the home? I.E Central air, fireplaces, ETC.
Property Taxes?
Tax liens or any money owed that may affect the next owner?
When was the last time you had a home inspection?
Would you allow an inspection to take place?
Then end with "Is there anything else you can think of that I might like to know?"
I KNOW I'm leaving things out,so what else would you ask a seller?
Also how long does a closing take and cost? How is it determined? What is the fastest I can have one take place? Who normaly pays for it?
Thanks very much in advance,
Matt
If only I could remember I put a post up on the forums.
I ask about the age of the roof and windows furnace and water heater, as well as ask them is there anything that needs to be done to the property/house? I will also throw out the question, are you open to owner financing? Good luck
Cathy
Cathy B
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http://www.deangraziosi.com/real-estate-forums/investing-journals/44397/...
A lot of your questions you can get off of public records. When you call, DO NOT do all of the talking. You can talk yourself right out of a deal. So don't worry about saying the wrong thing. The seller expects calls, they put a for sale sign! So just build a rapport and just listen.
If you read Dean's books, you also have to learn the sellers "magic button" and PUSH IT! So ask the million dollar question. "Why are you selling your property?"...Sit back and just listen to the reason and find a way to "fix" their problem. Real Estate is a people business. The more people you can help, the further you will go. So after you know their magic button, ask some of these questions (not in any particular order, this should not be rehearsed, it should be a conversation between you and the seller):
!.) Are you open to carrying the loan (explain if they don't know what this
means)?
2.) Do you have any other properties you want to sell?
3.) If I were to make a cash offer today, could you close within 30 days?
4.) How did you come up with your asking price?
5.) Have you had any other offers on the property?
6.) How many offers?
7.) Why didn't you accept those offers? <
8.) What is the lowest you would accept on your house?
9.) etc, etc...just some questions....
Remember everything in Real Estate is negotiable. If you want to pay the closing cost put it in the contract. If you want the seller to pay the closing costs, put it in the contract. If you want a 50/50 split, put it in the contract.
It all depends on your situation. You can close on a property in as little as 24 hours with the right title company, but typically 30-45 days. Remember money talks and if you want speed, you will have to pay for the faster service.
Closing is usually determined on the purchase agreement (e.g. close of escrow in 30, 45, 60 days).
Good luck and see you at the top!!
"You only fail when you give up. Never fail to give up"
UPDATE! After driving around for a little while, on roads I always take, I found 3 more FSBO's that I never noticed before! 2 of which are the classic homes with a yard full of junk and debris, bushes and weeds out of control, etc. One is a 2 family on a good bit of land, How would you adjust your questions for that situation? I have photos of the homes if anyone would like to take a gander.
and
Thanks very much for the replies, it's fantastic information, very helpful!
Matt
If only I could remember I put a post up on the forums.
Hello Matt,
I would ask them if they have trouble up keeping the properties and if you can help them out by purchasing the property.
Conduct a property search and see if the property belongs to a non-occupied owner. If you find out it is, you now know the "magic button". The owner probably knows that their property is not being kept up, so they may be willing to sell the property to you.
Good Luck!
"You only fail when you give up. Never fail to give up"
Don't waste more time on a property than you have too.
Simply say, If I paid you all cash & closed quickly, what's the least amount you could accept? Follow up with, Is that the best you can do?
Assuming you already know the FMV for the house, that will let you know if there anywhere close to your highest offer & how motivated they are.
You can also ask if the need all cash at closing or will they accept terms.
This way you know if you can make then a few different offers.
Jason S.
San Diego, CA.
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