Got Questions? Carol Stinson's Wholesaling Q&A.

I will take you up on this. Thank you by the way. I have put out a ton of offers all that are not just low ball, but very detailed offers. My problem that has come up is now I have a reputation for putting in low offers and they are just getting discarded by agents. At least this is the word I am getting from several people. How can I make offers (only at 20% to 25% off by the way, our market is pretty strong up here) without getting this reputation? I am always polite and explain to every person, agent, etc. I talk to that I am not trying to offend, but rather offer a quick closing, etc. and all the people I talk to appreciate it (so they say). I am just getting black listed before I get started and I want to avoid that. All I have is my reputation and if that goes I am dead in the water. Any advice will definately be taken to heart. Thank you again and I wish you even more success in this second half of 2010.

Richard
Bothell, WA

Richard, I would create an LLC and start making offers in the name of the LLC since this will be a fresh name to the Realtors. This will give you a fresh start.

Then I would get proof of funds through transactional funding to put some power to your offer. You can go here http://BestTransactionFunding.com then click on proof of funds and instantly get a proof of funds letter.

Hope this helps!

It does with the LLC, but all and I mean ALL my offer have POF letters and earnest money with them. I have gone through 12 agents now that are my agents. I have had that one shining star agent, but she had some issues come up. I know it is all a numbers game. Thank you again for your time. I know it is precious. I am looking into REO's, and all the different ways to get those done, double closings, trusts, vesting to be determined, etc. and trying that route. The FSBO market up here is really strong. I am always looking, but I think the power is with the numbers and there is by far (as I am sure everywhere) way more REO properties than FSBO. Have you done any REO deals recently and any advice on those? Never hurts to ask. Thank you.

Richard
Bothell, WA

I really look up to you! I am having a hang of a time getting started in wholesaling in CA, and a ton of trouble getting a team together that will do these types of deals. But, all that aside, my most pressing question revolves around kids! I know you have 7 kids! HOW do you do it? If I get on the phone my little ones are the first to notice and my phone conversations fast become unprofessional with interruptions and scream fests. It doesn't matter where I go in the house, or if I sneak away to be alone. They seek me out! LOL

ANY tips and advice you can give about running a business actively talking to customers and juggling kids would be greatly appreciated. Mine are 1,3,10 and 11, and my 10 and 11 year old can be great with the little ones and the next minute be tormenting them by taking something away from them. AHHHHHHH! I also homeschool (out for the summer thankfully, but still, I'm always home with all 4. I don't have anyone to watch the kids even for a few hours. REALLY would appreciate any and all help with this topic. (Hope it doesn't bore everyone else!)

Tammy,

I have 7 kids home all the time so I feel ya! I have learned to "Bribe" my kids to be quiet while I am on the phone BAD MOMMY!

I schedule phone time, maybe 2-3pm 3 days a week. I then make sure I have a goodie jar full of treats, a good Sponge Bob DVD and maybe a blanket on the floor with some snacks. I spend as much time as possible with the little ones before my call time then I set up the scene with the blanket and DVD and promise a treat out of the goodie jar if they don't bother me on the phone. This has worked great! It is always better to give positive reinforcement than take something away. They now know when it is call time and look forward to the treat jar.

Granted there are times when they simply do not want to cooperate and I have made phone calls with kids on my hip, kids pulling at my shirt etc... It's just part of being a mom. Those are the times you just wing it and do what you can to survive the call...LOL!

Being a mom and being successful is difficult. You must learn to juggle and plan out your schedule instead of just trying to pick up the phone in the middle of your day and start calling people. Children crave structure, I know sounds weird, but it's true. If you structure your time you will be more successful... Trust me :-)as a mother of 7 and a successful Investor I had to learn this the hard way.

Try it....

Much credit is deserved to the both of you and any other moms out there who do what they have to. That is what makes mommy's so special. Believe me when I say I only have 1 son and that is challenging enough, but you are all a credit to moms everywhere. Bless you for doing what you do.

Richard
Bothell, WA

Hi I am fairly new to real estate and I have read the books but I scared to make a move...Could you tell me about your first wholesale deal?

timothy2010... WELCOME TO THE DEAN GRAZIOSI FORUM FAMILY!!!

I can do better than that... click here to watch my contest video that explains my first deal. http://www.deansmedia.com/play.php?vid=159

If you have any more question feel free to post them here.

Hey Carol,

Its pretty cool that you are on here and we can actually chat with someone that is doing real estate wholesaling on a large level. My question for you is what is your best tip for attracting more deals/properties?

I'm tired of just doing a deal here and there. Did 4 wholesale deals last year and 1 wholesale probate deal last month. I want to amp it up to at least 4 deals a month so I can leave my job.

I got the buyers, thats not an issue. Just need more properties. Been putting up bandit signs, we buy ads on craigslist. Whats your #1 way to get properties?

Thanks!! Look foward to hearing from you and possibly helping you with a deal in the future.

Jason B

Jason My #1 way to find properties is through expired listings.

Build a relationship with an Agent in your area and have them send you listings from the MLS that have expired ( Did not sell in the time that they were on the MLS). These sellers are motivated to sell, many are in preforeclosure and need to sell. Whatever their situation they want to sell their home which is evident to the fact that they listed it with a Realtor.

Once you get the expired listings send them a letter simply stating that you are a private real estate investor and that you purchase homes in their area. if they are still interested in selling to contact you.

This is my #1 way to find properties. Sometimes I will take a few of the expired listings and actually go knock on their door to discuss their property with them. Most of the time they are glad to see me...

*

Carol,

That is awesome advice. I didn't even think once to look at that route. Thank you for that information. I will let you know how it goes.

Richard
Bothell, WA

Carol,

Thanks for that amazing tip on finding properties!!! Its so simple and makes so much sense that I'm amazed I didn't think of it. Glad this site exists and that your actively on it.

So strange I was telling my fiance today on our Sunday drive that if I could just find someone to talk to that is awesome at wholesaling to show me a better way to find properties. Then I would be so much more successful at it and close more deals.

Then I come home from a nice drive at looking at luxury properties(my dream home thats for sale) and you have this thread up online. So strange..... I guess somethings actually do come true.

Looks like my dream home may be closer than I actually thought.

Thanks so much!
Jason B

just a word for all of your followers,be sure to visit carols'realwholsaling.com website as well.by the way i haven't gotten any emails from your site lately.keep moving forward,rob

Rob I have been on vacation so now that I am back you will be getting some killer training emails!!

Hi Carol,
My husband and I really look up to you and are really interested in wholesaling.
I have a few questions
1. How do you find owners of vacant properties?
2. I know when you first started you used your last 30.00 to get started. how did you get your assignment contracts looked over by a lawyer without having the funds.
3. As far as a title search, do you get that done before you lock up the property or after before you advertise it to your buyers list. who pays for the title search.
4.how do you get out of putting up earnest money?
5. We have a buyers list but no properties any tips on how to find motivated sellers that helped you when you first started and still is working for you.

I'm so happy you have decided to do this forum God Bless you

You can find owners by searching your county tax records. Either online or by calling them.

I have never needed a lawyer to look over my contract. They are basic purchase agreements between the buyer and I. Since I am wholesaling and not actually buying I have no risks involved so I do not need a lawyer.

I do not run a Title search. Since I am assigning the property this is the end buyers responsibility.

As far as earnest money I never offer any and if the buyer is truly motivated to sell they do not ask.

I found motivated sellers by searching for vacant properties and contacting the owner.
Dean's book " Be a Real Estate Millionaire" covers assignments in detail.

I hope this helped

Thanks Carol for responding back you find vacant properties by driving around?
Also do you call the for rent ads also to find properties?

As far as your forms do you get paid before the seller and the buyer goes to escrow. So you have never has any problems with the escrow company with your forms.

The best way to find vacant properties is to go physically look for them. Drive your neighborhood and write down the addresses of any vacant properties you find. Then come home and search the tax records to find the owner's info. Then simply send the owner a letter expressing your interest in the property.

I get paid at settlement. Since I use an assignment contract to wholesale the property I get paid on the assignment at settlement.

Purchase agreement between you and seller
Assignment contract between you and buyer

Thanks for you help.

When writing up the P&A paperwork what escape clauses do you put in there (just a couple of the main ones)? I am looking to get more time to do my deal with other buyers. I am sure it was just my older agents, but they were only giving me about 10 to 15 days with the inspection clause. I use the subject to buyers inspection, partners approval, and earnest money to be deposited after inspection period has expired. I try to keep only a few so the buyer doesn't think I am just blwoing smoke. Any suggestions or are these what you normally stick with as well?

By the way I already had another agent start sending me some expired listings an hour ago. I am going through them tonight and when I get off work tomorrow I will start making my calls to the owners. Great advice as usual. Thanks.

Richard
Bothell, WA

Hi carol,
Have you assigned short sales or reo'?
if so, how do you do it?
Thanks

when you have a property locked up and an end buyer, how do you submit your contracts to the title company, and how does that work if you are in a different state? Thanks for the help

Yes I have assigned Short Sales (not REOs)
Since the Bank will not allow an assignment on a Short Sale I simply get paid outside of closing from the cash buyer.

I submit my contract to the Title Company or Attorney in any state via email or fax. Everything is done right from home

Hey Carol, great info. As always you are so generous with your time and helping people out. Thank you.
Hope you and the family enjoyed your vac.
Richie.

So when you do all you assignments you get paid before the end buyer and the seller goes to closing with short sales and regular sales. So the title company is okay with assignment of contract and the purchase agreement without you being there. So you are never at the closing table. Have you done a assignment with a foreclosure?

Thanks

hey carol, i think you are great and i want to know are you willing to do deals in louisville, ky