RBBP Mentoring Sessions Day 1 Andrea Weule

They have updated the system with new call numbers and a way to type questions in also. Go to your Mentor Page and you'll see the number and updates. Carol will be the first one to go live with it tonight. Thanks everyone for your understanding.

How would you approach the Real Estate Market in New York City with No Money Down,
No Credit And No Real Experience In Real Estate.

It seems so hard to do Real Estate in New York City because of the fact the houses
that are in the city seems to be in Ghetto Neighborhoods and there are more rental
buildings than houses in the Good Neighborhoods.

I heard that people are buying condos and rental buildings in New York City and
becoming landlords is the way in New York City. I don't know if this is a absolute fact.

So what would you deal with this type of situation?

Hey There,

Yes, NYC isn't easy...but no where is easy or else "everyone" would be doing it.

We actually did an Assignment on a Very Ghetto building in Howard Beach. We found a property that had been listed for a long time and pretty much ignored and started making offers. Additionally, we were looking for properties that would not qualify for a conventional loan...ie that were in such dis-repair that it required a cash buyer. We had to make several offers on properties - the actual Howard Beach Property took 8 offers (seven that were rejected first). We just keep offering week after week.

Then we started marketing to buyers that wanted to do some rehab...we actually found a lot of buyers via ghost ads (without addresses based on the properties we were offering on). When we finally had a property locked up we only had one good buyer and one shaky one and we still were able to make it happen with the good buyer by having it at a good price and acting as though if they walked away one of our "other" buyers would snap it up.

Really you just have to work the system...maybe move out a little bit from Brooklyn, the Bronx, or Manhatten and tackle some of the rougher neighboring areas. Your confidence will go up on where to look when you have a buyer. Find out what they want and then instead of looking everywhere....look for their criteria.

Best of Luck!

So many questions! doubts!! ....... i need a coach! i want to do so much but do not want to get into any type of legal problems... ok i will continue to watch videos and research.

sorry just venting..

Whenever you have a question, concern or issue get on here and ask it.

As for a Coach, I cannot say enough about the Real Estate Success Academy...they were the support that got us where we are today form where we started. I still learn something each time I read a posting from a coach here on dg.com They are awesome!

Thanks Chip & Andrea for a great call. I've heard this asked but not sure of the correct answer. In order for your RE agent to continue to provide you with deals and cash buyers lists hey have to be compensated somehow. From listening to other investors talk your agent doesn't get paid in the closing since you are assigning. Is that true? If so do you compensate your agent directly? Thanks in advance for your answers.

I am new to all this trying to play catchup. I know this question has been asked before I'm sure, but one more time where do I go to here replay of Andrea? Thank you anyone

How we handle it is they are paid by the seller on the original contract. The assignment agreement just says that the end buyer is taking on the "rights" to the original contract including the realtor for their portion.

On any RE transaction using agents they split the fee. The national standard is a 6% (3% to the listing agent, and 3% to the buyers agent). Your agent should still be paid as the buyers agent for the original contract amount.

Hope that helps.

Moises ... you are not alone. On the assumption that confusion loves company, I'm patting you on the back. It feels like white water rafting?

When I began working in the city I got a Thomas Guide. I could not figure how to work that thing to save my life. All those pages! Then a friend showed me. Look on the big map to find where you want to be (look at it all to pick your niche), then go to the detailed page of that area and study the details of how to get there (study your niche of choice). If it were not for a bad sense of direction I would have none, and I never got lost again.

I've been reading and listening so much, I'm beginning to be able to absorb but let go of what I don't need right now. A little less stress and fear. We'll be flying like kites before we know it.

I'm loving this journey, and I'm so impressed with everybody, all the students who are just ripping. And all the advise and teaching from those who have been around the block already. You have to love this place, don't you.

Let's enjoy it all!
rieke

I'm glad to have learned about this thread. Although I'm not new to investing, I'm also gleaning several gems that are helping me to improve my marketing and sales.

Andrea and Chip, you've exposed me to a new level of persistence with your comment: "We had to make several offers on properties - the actual Howard Beach Property took 8 offers (seven that were rejected first). We just keep offering week after week." I've heard Than Merril say, "The fortune is with the follow up . . ." and your example demonstrates this perfectly.

At times this business can be quite discouraging. Truly you have to be resiliant and able to get yourself up, dusted off, and ready to go back out there again. When you do the rewards are amazing.

Keep at it everyone. We look forward to talking with you next week!

Appreciate the terrific job you are both doing!

My agent sent me the list cash sold properties for the past 90 days. Took it to the Assessor's Office. They told me they do not update current ownership information for 3-6 months. How can I find the current owners and billing addresses? It's such valuable information, I hope I can utilize it.

Thank you,

Greg

P.S. Where can you find Jeff Jensen's 80 Ways to Find Buyers?

Under which forum or group will this post be listed?

http://www.deangraziosi.com/real-estate-forums/marketing-buyers-and-sell...

above is the link. Just go to the upper left hand corner and type in what you're looking for and endless forum links will pop up!

If they only update every 3-6 months. Get a list from your agent that is 90-180 days for the cash closing and then go after those. Then for your second round go for the 90 days. Just adjust your system to make it work. If they were cash buyers 6 months ago, chance are they still are now.

Keep after it!

Chip & Andrea

I don't want to be a thorn in your side, I too would like the info. on the the accessing ?
Thank You

RobScot

Sorry, I'm not certain what your question is? Let us know what you're trying to figure out and we'll try to help.

If you have questions for us...feel free to ask them here. Happy Monday everyone!

The call was spectacular tonight! If you missed it or would like to listen to it again, the replay is already uploaded so make sure to go check it out!!

Thanks for providing all the great information on each call every Monday night and on this forum. Looking forward to next Monday's call!

-Jeremy

I have been interviewing realtors for the past week and found one (Re/MAX) that appears professional, knows what they are doing,investors themselves. They asked me to sign 2 things a) Buyer's Broker Agreement b) Authorization to allow them to digitally sign offers for me. Should I do (a)? This should not limit me from making offers to non MLS listings should it? Will it even limit me in my investment objectives? Help..Pls. advice

PS. This is the link Client Relations told me to post my query as the forum is actively managed right now.

I always tell my agents that any deal they bring to me and I choose to move forward with I will use them as my agent. So feel free to sign the form, but put in there that you will still be doing some deals on your own via For Sale By Owner or other marketing methods.

If my agent wants me to sign an agreement I always make sure there are lines on there to list the various addresses they'd sent me so those are the ones covered in the agreement.

Just my thoughts. Best of Luck!

Thanks for your reply. Now I feel more at ease. The question now is if another agent brings me a deal (not given by them), can I still entertain this? or will there be a conflict legally.

The market here in Vancouver is pretty active, great deals are hard to come by but they do come. Defining specific areas of coverage for different brokers - is this a good idea or just go by whoever brings in the deal?

I like to go with whoever brought me the deal. That is why I don't like to sign buyers agreements except on specific addresses. It keeps them working hard for me and doesn't limit my options. Now, make sure you are treating your agent well. If they are good to you do the same, but don't limit yourself before you even get started.

Thanks for your tip Chip & Andrea. I will definitely consider that advise.

Last night, I asked the following question to Carol, but she was stumped considering she does not hold any properties, she wholesales everything! However, I contacted one of my Real Estate Coaches and found out the answer..

Q. When buying houses out of your state, are there any tax concerns you should be aware of since you do not reside there if you want to keep the property?

A. No, however, you will need to confirm any tax questions to a CPA or certified tax accountant. But in the end the answer is no. Property purchase in state or out of state is treated the same. The only thing you have to deal with is the state and federal taxes of the business entity that owns the property and the property taxes each year. That’s it…

Hope this helps!

Thanks,
Jeremy

I would have answered the same way. We hold 2 properties in Minnesota for the last 3 + years and just file our MN llc taxes each year.

Looking forward to Contracts and other paperwork on Monday!

Somebody in Matt's call asked how to find unemployment rates.

Bureau of Labor Statistics, www.bls.gov/eag/, type your area in search box
in upper right and select the "Economy At A Glance." That will tell you the unemployment rate by month. Or choose the state on the left if you want the overall unemployment rate for your state.

Hope this helps you if this is what you're looking for.

rieke

Chip and Andrea,

Thank you so much for providing this terrific service and being part of RBBP program. I am a RBBP student and getting so much out of the program!

Questions: I have yet to submit any offers with my Realtor as I am somewhat unsure what to do. I understand the formula: ARV minus the repair cost, wholesale fee and investor profit. Would you please explain exactly what steps I need to take when submitting an offer on an MLS property my agent found. I believe Joe Jurek said when submitting offers we need to include a photo copy of a blank check? Do I actually visit each property before making an offer? Is there a specific OFFER FORM I need to fill out? What specifically do I say and send to my agent? If the offer is accepted what is the next step? If it is countered then what? I appreciate your help very much, thank you. Greg

Okay, so the most important thing when it comes to making offers is "What do your buyers want?" That will be the number one thing for your confidence and will help you drive you decisions on offers.

On example would be a buyer that says that want properties at 70% of the ARV less repairs...so that's your wholesale price and you'll need to subtract your fee from the wholesale price to get your offer amount.

As for earnest money I give my realtor a copy of a blank check with $1000 in the amount and leave the "to" section blank. That way they can make copies and use the same one for multiple offers.

Initially visiting properties will help you get a better understanding of the market. Once you're comfortable with an area and the market you can do it sight unseen and then visit only the properties that get the offer accepted.

Offers - I use a one page simple form for unlisted properties (not in the MLS). All MLS properties I use my realtor's contract along with my "exit clauses" As to what additional information your agent needs - they'll let you know.

Once the offer is locked up, send it to your buyers advertising the wholesale price. If it is countered, then have a bottom line and counter back or just wait and offer again later.

I'm covering most of this on Monday's Mentoring Call. Hope you'll be able to listen then. If not, you'll have the replay available later that evening and on.

Best of luck!

Hello All,

I'll check in throughout the week so if you have questions feel free to post them.

Happy Labor Day!
Andrea