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Describe your fastest real estate deal

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Mike Wiesenhart

Wholesaler from Valrico, Florida

Feb 21 '12, 06:11 AM


I was just doing some thinking and I would like to know the details of your fastest deal. How long it took from beginning to end, what type of deal (ie wholesale, flip, etc.), and what your profit was on that deal.

I'm just curious.

Thanks,
Mike



Rich Weese Donor

Real Estate Investor from sioux falls, South Dakota

Feb 21 '12, 06:17 AM
7 votes


Six hours!! About 15 years ago I had a brand-new home completed and ready for sale. I had a gentleman, his wife and two kids come and view it around 11 o'clock in the morning. He explained that he had incurable cancer and wanted to make sure he had a home for his family. He had transferred his cash to a local bank and was ready to close immediately. I called my title company and asked if they could do all the work to close that day. At five o'clock in the afternoon we met at the title company to sign all documents. He handed the title company a cashiers check and the deal was closed.

It funded the following morning.

This gentleman died eight days later. Needless to say, I'll never forget this transaction or this gentleman who wanted to make sure his affairs were in order and his family was taken care of. Rich



Jon Klaus Moderator Donor

Real Estate Investor from Garland, Texas

Feb 21 '12, 06:41 AM
1 vote


Originally posted by Rusty Thompson:
^^^ Amazing ^^^

That's exactly the word that came to mind for me, too.

It's a good reminder to have all our affairs in order, because we don't know when it may be our turn to "graduate."

Thanks, Rich.



Jon Klaus, SellPropertyFast
E-Mail: [email protected]
Telephone: 214-929-6545
Website: http://www.sellpropertyfast.com


Curt Davis

Real Estate Investor from Memphis, Tennessee

Feb 21 '12, 08:10 AM


4yrs ago our company was going to close on a property that we didnt have a buyer for yet. I called a client of mine and that same day I had them put it under contract, lined up the private loan and had it fund the same day and I collected my commission the same day as well. Never thought I could close a deal in the same day and get paid that fast. Never done one like that since.



Medium_buymemphisnow_stacksCurt Davis, Buy Memphis Now
E-Mail: [email protected]
Telephone: 901-207-8977
Website: http://www.BuyMemphisNow.com
KAIZEN Realty 901-221-4041


Will Barnard Moderator Donor

Real Estate Investor from Santa Clarita, California

Feb 21 '12, 08:18 AM
1 vote


Rich's story is very heartwarming, I can see how it is an unforgettable transaction for him.

In trying to stay within the scope of the thread title, such a transaction would have actually started long before that as he would have building time, etc.
Also, the quickest transaction would have to be either wholesaling or some time of quick funding as anything other than those have holding times.

So for the quickest transaction, both Rich and I funded a loan and the very same day, received our principle and interest payments back from the title company. Tough to beet a one day transaction.

For my quickest wholesale deal, I locked a contract, and by the next day, had it sold to my investor buyer who was all-cash.

For my quickest rehab flip, I was in and out in 63 days. This includes the day of acquisition, all rehab days (14), marketing on MLS (contracted in first 3 days), and then closed after escrow by day 63. (the escrow was for 30 days, the buyers lender took longer, otherwise, this transaction would have closed in 49 days.)



Medium_be_logoWill Barnard, Barnard Enterprises, Inc.
E-Mail: [email protected]
Website: http://www.barnardenterprises.com
http://www.InvestorExperts.com


Cheryl C.

Residential Landlord from Washington, DC

Feb 21 '12, 08:22 AM
2 votes


A few things come to mind. I was high bidder at the Court House and an investor approached after the bidding and offered me 5K cash to assign the contract. Another Court House situation: I saw a notice for a trustee sale that looked good to me. I looked the property up and saw it was in the mls. I called the LA to inquire and was told it was UC. I bought it the next day at the trustee sale (of course I didn't let on to the LA about the sale - people often don't tell their agent due to embarassment, etc.). I called the LA on the way home from the Court House and sold my contract for 8K.



Cheryl C.

Residential Landlord from Washington, DC

Feb 21 '12, 08:30 AM


I tried to delete the double post - sorry.

I had another story or two. I had a 5K "lot hold" on a new TH. It took about a year for them to get delivered. I had a contract on it before I closed. I owned it for 10 days and cleared 60K. This was in the later 80's. I bought a lot for 25K, with a study period of 45 days. I had a back to back closing and cleared a profit of 25K. I had two situations at the Court House where the bank screwed up and needed the property back. I had closed on neither. They paid me 10K on one and 3K on the other. I was responsible for a language change in the Trustee Memorandum of Sale on the 10K one.



Lynn M.

SFR Investor from Chesapeake, Virginia

Feb 25 '12, 11:13 AM


Our first and only flip: we bought a foreclosure, closed on a Tuesday, on Friday a lady knocked on the door while we were painting (we put a FSBO sign in the yard day of closing), said her moving van is on the way from out of state, her house purchase fell through, she'll pay all cash and could we have it finished and closed by the next Friday? We did. Didn't make a mint, only cleared about $10,000 on a $70,000 investment after all was said and done as we took less than we were planning to due to the cash offer. It taught us a lot about potential holding costs, surprise repairs (luckily, minor ones), and other things all without learning the hard way. We decided to stick with rentals after that.



Justin S. Donor

Real Estate Investor from Chandler, Arizona

Feb 25 '12, 11:35 AM
1 vote


My fastest flip was 47 days. This includes rehab and closing with an FHA buyer.



Medium_rezamp_buscard_whiteJustin S., Rezamp, LLC
E-Mail: [email protected]
Telephone: 4806780446
Website: http://ReZamp.com
Powerful software that discovers real estate deals for you 24 hours a day, 7 days a week.


Cheryl C.

Residential Landlord from Washington, DC

Feb 25 '12, 12:07 PM
2 votes


I don't mean to hog the thread but I have a good one that I've remembered. I was at the Court House in 2000 and was high bid on a very nice house. While other properties were being auctioned, the owner ran up. He was out of breath and had a cashier's check for the arrearage (plus legal fee's, etc.) to bring his loan current. The trustee told him that I had already bought it. I went back and forth with the guy for a couple minutes and he agreed to pay me 20K to forget the "sale" and allow the trustee to take his check and cancel the sale. The trustee was going to need a few minutes to write up a bunch of sale memorandums and said he had no problem with the whole thing if we were back in 15 minutes. We drove to the guy's bank. He came out a few minutes later with my check. We went back to the Court House (4 blocks away) and he paid the trustee and the sale was officially cancelled. I don't know if this would fly today. Back then I happened to know the trustee pretty well.

btw - the whole time my agent was at my side saying "don't do it, I can get you more!". In other words, his commission on a resale went out the window!



Jeff S. Donor

Real Estate Investor from Portland, Oregon

Feb 25 '12, 12:42 PM


My quickest deal was with an investor client of mine when I was an agent. A property of his that I sold for him on contract had been given back to him when the buyers wife threatened divorce because he was spending so much time there.

He called me and reminded me that I had told him at the time I had sold it, that I wished I could buy it because I liked the property so much. He asked if I was still interested and I said sure.

We agreed on a price and terms on the phone and I went to his house, wrote up a land sales contract with 2k down and closed it right there at his house. Sent everything to be recorded and still own it to this day.



Account Closed

Rehabber from

Feb 25 '12, 12:50 PM


I'm bummed at how slow flipping houses takes. I used to flip lots and would list them, get a contract same day and close it within a few days day in and day out during the good days. It's hard work making money in real estate now sorry to say.



Will Barnard Moderator Donor

Real Estate Investor from Santa Clarita, California

Feb 25 '12, 04:39 PM
1 vote


Originally posted by Mike B:
I'm bummed at how slow flipping houses takes. I used to flip lots and would list them, get a contract same day and close it within a few days day in and day out during the good days. It's hard work making money in real estate now sorry to say.
The "hard" is what makes it great! Money does not come easy regardless of what the gurus preach! Flipping homes may take 90 or even 150 days, but the payouts are very good if you know what you are doing.

@Lynn M. - You have let that one deal discourage you from flipping again?!!! You made $10k on a $70k investment in less than two weeks which amounts to a 14% retrun and over 350% annualized return! Those kinds of numbers would have me coming back for some more!
It is the learning experiences that will make you a smarter, more profitable investor, you now have one under your belt, why not go for round two and generate some more working capital so that you may buy more rentals!



Medium_be_logoWill Barnard, Barnard Enterprises, Inc.
E-Mail: [email protected]
Website: http://www.barnardenterprises.com
http://www.InvestorExperts.com


McKellar Newsom

Landlord from Chattanooga, Tennessee

Feb 26 '12, 07:38 AM


Great posts!

A property in my target area was being sold on MLS and negotiated as a short sale by an investor. The investor couldn't come up with the cash in time to close the short sale. I was contacted as having been interested in the property and was given 2 days to come up with the funds to buy it as a short sale. I figured out how to come up with the cash to make the purchase for the 55K (very few repairs) property which I have rented for $1600.



McKellar Newsom,
Telephone: 423-902-8558
McKellar Newsom 423-902-8558 [email protected]


Lynn M.

SFR Investor from Chesapeake, Virginia

Feb 26 '12, 10:28 AM


Originally posted by Will Barnard:

Lynn M. - You have let that one deal discourage you from flipping again?!!! You made $10k on a $70k investment in less than two weeks which amounts to a 14% retrun and over 350% annualized return! Those kinds of numbers would have me coming back for some more!
It is the learning experiences that will make you a smarter, more profitable investor, you now have one under your belt, why not go for round two and generate some more working capital so that you may buy more rentals!

Will, This was like 15 years ago, before the boom, early on in our careers with 2 small children and my husband with a job that took him away a lot. We did learn a lot, and while we came away with a great return, we understood that we were lucky that more wasn't wrong with the house, that buying a foreclosure might be more scary than we expected and when trying to sell, holding costs are important (although we didn't need them, we realized that a fast sale for less than expected was better than potentially sitting on it vacant for months with buyers that may fall through.) Not sure exactly what year it was, but also remember my husband upset that he had made more that month in the stock market doing no work than he did working for 2 weeks of his vacation to buy the house and turn it over, so that was an aspect at the time as well, although if I remember the market only lasted another 6-8 months before crashing, while our rentals held their value. Anyway, we took that money, bought a foreclosure that actually had a tenant in it, no turnover work necessary, and still have it today (same tenant, actually, all these years), and much happier with that scenario. Rentals just fit our lifestyle better.



Will Barnard Moderator Donor

Real Estate Investor from Santa Clarita, California

Feb 26 '12, 10:48 AM


Lynn, as they say, to each is his own. Every investor has different wants and needs. I am happy to hear you are satisfied with your investments, I just wanted to make sure you realized that you do have options and can make good money flipping (if you choose to).

Best wishes,

Will



Medium_be_logoWill Barnard, Barnard Enterprises, Inc.
E-Mail: [email protected]
Website: http://www.barnardenterprises.com
http://www.InvestorExperts.com


Brian P.

Real Estate Investor from Taylorsville, Utah

Mar 01 '12, 03:32 PM


Fastest, easy one hour. Was eating breakfast with my sister at Sambos and asked the usual waitress question anyone mention maybe buying or selling a house this week?

She said yes, so and so was in and she had just been served with divorce papers and said she was either going to burn the house down or sell it. I drove the few blocks, made her an offer for her half and she took it, found out where the husband worked, and 30 minutes later made him a offer for his half and he took it, had a investor looking for a home for his family in that area, and he quickly called me and had the money for the assignments to me chop, chop.

Not a bad idea taking my sister out to breakfast. Couldn't do it today as easy because California changed it divorce law to include a automatic stay in a divorce filing. To bad, it cost me a ton, had two single investors that would buy my deal with the husband and then use the right of possession to move in with the wife and drive the wife crazy until she sold, husbands would sell for pennies when they heard the plan, was almost an automatic deal every couple of weeks.



Bryan A. Donor

Real Estate Investor from Charlotte, North Carolina

Mar 01 '12, 04:02 PM


i think i was 20 or 21 years old..i had very little money and was working a sales job that i HATED! i saved up as much money as possible and quit the job... i got an awesome loan through the small, local bank that i had been working for the past few months..it's all about relationships :) i bought a forecosure for 45,500. put very little rehab into it bc i did all the work! i painted the place myself, using spill paints..for instance, they had nasty dark purples and greens fora few bucks a gallon. i bought all of them, and mixed with buckets of cheap white paint to make nice soft lavenders and other colors...i had home depot intall the carpet and i threw a granite slab in..i even bought the appliances off of craigslist..i laid down some floating laminate in the kitchen and tile for the 2 baths...i spent maybe 2 or 3 days cleaning the place as well! after a 2-3 week rehab, i was on the market for 2 days and had multiple offers! i sold for 87k..wasn't a huge profit spread, but for a guy with little money, it gave me the confidence i needed to realize that i could make a living at this :)



Bryan A., Carolinas Revitalization, LLC
E-Mail: [email protected]
Telephone: 704-905-6510
Website: http://www.facebook.com/carolinasrevitalization
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Aaron McGinnis

Rehabber from Atlanta, Georgia

Mar 01 '12, 04:19 PM


Fastest flip to date was 74 days, door to door with renovation and sale... and midway through the loan we had to swap from FHA to Conventional financing for that buyer!

Felt pretty good about that one.



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