All
Members
Companies
Blog
Forums
Podcast
Webinars
    User Log in  /  Sign up
  • Forums
    Newest Posts Trending Discussions Followed Forums Real Estate News & Current Events General Landlording & Rental Properties Buying & Selling Real Estate Deal Analysis See All
  • Education

    Read

    BiggerPockets Blog BPInsights: Expert Analysis Coronavirus Content & Resources Guides Glossary Reviews Member Blogs

    Watch

    Webinars Video Library Financial Independence Blueprint Intro to Real Estate: Rentals

    Listen

    BiggerPockets Real Estate Podcast BiggerPockets Money Podcast BiggerPockets Business Podcast Real Estate Rookie Podcast Daily Podcast (Audio Blog)

    Topics

    Business Operations Finance Finding Deals Property Management Property Types Strategy
  • Network

    Recommended Vendors

    Real Estate Agents Mortgage Lenders Companies Hard Money Lenders Contractors Investment Companies

    Search

    Members Events Jobs
  • Tools

    Calculators

    Rental Property Fix and Flip BRRRR Rehab Estimator
    Wholesaling Mortgage Payment 70% Rule Airbnb

    Services

    BPInsights: Property Insights Tenant Screening Property Management Lease Agreement Packages

    New Feature

    BPInsights (beta)

    Quickly analyze a property address or ZIP Code to compare your rent in your neighborhood.

    Analyze a property
  • Find Deals
    Real Estate Listings Find Foreclosures External Link Ads, Jobs, and Other
  • Bookstore

    Real Estate Books

    Profit Like The Pros Bidding to Buy See all books

    Featured Book

    BiggerPockets Wealth Magazine book cover
    BiggerPockets Wealth Magazine

    Written by financial journalists and data scientists, get 60+ pages of newsworthy content, expert-driven advice, and data-backed research written in a clear way to help you navigate your tough investment decisions in an ever-changing financial climate! Subscribe today and get the Oct/Nov issue delivered to your door!

    Get the Magazine
  • Pricing
Log In Sign up
User
Quick search links
Podcast Hard Money Lenders Books Washington
ForumsArrowBuying & Selling Real Estate DiscussionArrowNo more than 80%... Really??
  • Newest Posts
    • Newest Posts
    • Unanswered Discussions
  • Trending
    • Top Discussions
    • Trending Discussions
  • Browse Forums
Search Nova
Topic: 1031 Exchanges Topic: Akron Real Estate Forum Topic: Alabama Real Estate Q&A Discussion Forum Topic: Alaska Real Estate Q&A Discussion Forum Topic: Alberta Real Estate Forum Topic: Albuquerque Topic: Allentown Real Estate Forum Topic: Anchorage Real Estate Forum Topic: Ann Arbor Topic: Arizona Real Estate Q&A Discussion Forum Topic: Arkansas Real Estate Q&A Discussion Forum Topic: Arlington Real Estate Forum Topic: Asheville NC Real Estate Forum Topic: Ask About A Real Estate Company Topic: Athens Real Estate Forum Topic: Atlanta Real Estate Forum Topic: Aurora Real Estate Forum Topic: Aurora Real Estate Forum Topic: Austin Real Estate Forum Topic: Bakersfield Real Estate Forum Topic: Baltimore Real Estate Forum Topic: Bankers, Lenders, and Mortgage Brokers Topic: Baton Rouge Real Estate Forum Topic: Beaverton Real Estate Forum Topic: BiggerPockets Business Podcast Topic: BiggerPockets Exclusive PRO Area Topic: BiggerPockets Money Podcast Topic: BiggerPockets Real Estate Investing Summit Topic: BiggerPockets Summer Reading List Topic: BiggerPockets Webinar Discussion Forum Topic: Billings Real Estate Forum Topic: Birmingham Real Estate Forum Topic: Bismarck Real Estate Forum Topic: Boise Real Estate Forum Topic: Boston Real Estate Forum Topic: Bridgeport Real Estate Forum Topic: British Columbia Real Estate Forum Topic: BRRRR - Buy, Rehab, Rent, Refinance, Repeat Topic: Buying & Selling Real Estate Discussion Topic: California Real Estate Q&A Discussion Forum Topic: Cambridge Real Estate Forum Topic: Canadian Real Estate Topic: Cape Cod Real Estate Forum Topic: Cape Coral Real Estate Forum Topic: Casper Real Estate Forum Topic: Cedar Rapids Real Estate Forum Topic: Chandler Real Estate Forum Topic: Charleston Real Estate Forum Topic: Charleston Real Estate Forum Topic: Charlotte Real Estate Forum Topic: Chattanooga Real Estate Forum Topic: Chesapeake Real Estate Forum Topic: Cheyenne Real Estate Forum Topic: Chicago Real Estate Forum Topic: Chittenden County Real Estate Forum Topic: Cincinnati Real Estate Forum Topic: Cleveland Real Estate Forum Topic: Coastal NC Real Estate Forum Topic: Colorado Real Estate Q&A Discussion Forum Topic: Colorado Springs Real Estate Forum Topic: Columbia Real Estate Forum Topic: Columbia Real Estate Forum Topic: Columbus Real Estate Forum Topic: Columbus Real Estate Forum Topic: Commercial Real Estate Investing Forum Topic: Completed Deal Diaries Topic: Connecticut Real Estate Q&A Discussion Forum Topic: Construction & Remodeling Diaries Topic: Contractors Topic: Conway Real Estate Forum Topic: Coronavirus Conversation Topic: Coronavirus Government Assistance Programs Topic: Creative Real Estate Financing Forum Topic: Currently Under Contract Topic: Dallas Real Estate Forum Topic: Davenport Real Estate Forum Topic: Dayton Real Estate Forum Topic: Delaware Real Estate Q&A Discussion Forum Topic: Denver Real Estate Forum Topic: Des Moines Real Estate Forum Topic: Detroit Real Estate Forum Topic: Do it Yourself Topic: El Paso Real Estate Forum Topic: Eugene Real Estate Forum Topic: Evansville Real Estate Forum Topic: FAQ Forum Topic: Fargo Topic: Fayetteville Real Estate Forum Topic: First Time Home Buyer Topic: Florida Real Estate Q&A Discussion Forum Topic: Foreigners Buying in the USA Topic: Fort Collins Real Estate Forum Topic: Fort Lauderdale Real Estate Forum Topic: Fort Smith Real Estate Forum Topic: Fort Wayne Real Estate Forum Topic: Fort Worth Real Estate Forum Topic: Fresno Real Estate Forum Topic: General Foreclosure & Pre-Foreclosure Forums Topic: General Landlording & Rental Properties Topic: General Real Estate Investing Topic: Georgia Real Estate Q&A Discussion Forum Topic: Germantown Real Estate Forum Topic: Get Foreclosure Help - Stop Foreclosure Forum Topic: Gilbert Real Estate Forum Topic: Glendale Real Estate Forum Topic: Goals, Business Plans & Entities Topic: Grand Rapids Real Estate Forum Topic: Green Bay Topic: Greensboro Real Estate Forum Topic: Hammond Real Estate Forum Topic: Hartford Real Estate Forum Topic: Hawaii Real Estate Q&A Discussion Forum Topic: Henderson Real Estate Forum Topic: Hialeah Real Estate Forum Topic: Hilo Real Estate Forum Topic: Home Owner Association (HOA) Issues & Problems Forum Topic: Honolulu Real Estate Forum Topic: Housing News & Real Estate Market Discussions Topic: Houston Real Estate Forum Topic: HUD, VA, and Tax Sales Topic: Huntington Real Estate Forum Topic: Huntsville Real Estate Forum Topic: Idaho Falls Real Estate Forum Topic: Idaho Real Estate Q&A Discussion Forum Topic: Illinois Real Estate Q&A Discussion Forum Topic: Indianapolis Real Estate Forum Topic: Indiana Real Estate Q&A Discussion Forum Topic: Innovative Strategies Topic: Interest Rate Drops Topic: International Real Estate Topic: Investor Deal Diaries Topic: Investor Psychology Topic: Iowa Real Estate Q&A Discussion Forum Topic: Jackson Real Estate Forum Topic: Jacksonville Real Estate Forum Topic: Jersey City Real Estate Forum Topic: Job Loss/Company Closings Topic: Joliet Real Estate Forum Topic: Jonesboro Real Estate Forum Topic: Kailua Real Estate Forum Topic: Kānèohe Real Estate Forum Topic: Kansas City Real Estate Forum Topic: Kansas City Real Estate Forum Topic: Kansas Real Estate Q&A Discussion Forum Topic: Kentucky Real Estate Q&A Discussion Forum Topic: Knoxville Real Estate Forum Topic: Lakewood Real Estate Forum Topic: Landlord Problem Solving Topic: Las Cruces Real Estate Forum Topic: Las Vegas Real Estate Forum Topic: Lewiston Real Estate Forum Topic: Lexington-Fayette Real Estate Forum Topic: Lincoln Real Estate Forum Topic: Little Rock Real Estate Forum Topic: Local Real Estate Networking Topic: Long Beach Real Estate Forum Topic: Long Island Real Estate Forum Topic: Los Angeles County Real Estate Forum Topic: Louisiana Real Estate Q&A Discussion Forum Topic: Louisville Real Estate Forum Topic: Madison Real Estate Forum Topic: Maine Real Estate Q&A Discussion Forum Topic: Managing Your Property Topic: Manchester Real Estate Forum Topic: Manitoba Topic: Marketing Your Rental Topic: Marketplace Topic: Maryland Real Estate Q&A Discussion Forum Topic: Massachusetts Real Estate Q&A Discussion Forum Topic: Meads Real Estate Forum Topic: Memphis Real Estate Forum Topic: Meridian Real Estate Forum Topic: Mesa Real Estate Forum Topic: Miami Topic: Michigan Real Estate Q&A Discussion Forum Topic: Military Investing Topic: Milwaukee Real Estate Forum Topic: Minneapolis Real Estate Forum Topic: Minnesota Real Estate Q&A Discussion Forum Topic: Mississippi Real Estate Q&A Discussion Forum Topic: Missoula Real Estate Forum Topic: Missouri Real Estate Q&A Discussion Forum Topic: Mobile (Alabama) Real Estate Forum Topic: Mobile Homes & Mobile Home Park Investing Topic: Modesto/Merced Real Estate Forum Topic: Montana Real Estate Q&A Discussion Forum Topic: Montgomery Real Estate Forum Topic: Mortgage Payment Suspension Topic: Mt. Pleasant Real Estate Forum Topic: Multi-Family and Apartment Investing Forums Topic: Nampa Real Estate Forum Topic: Naperville Real Estate Forum Topic: Nashville Real Estate Forum Topic: Nebraska Real Estate Q&A Discussion Forum Topic: Nevada Real Estate Q&A Discussion Forum Topic: Newark Real Estate Forum Topic: New Brunswick Real Estate Forum Topic: Newfoundland and Labrador Real Estate Forum Topic: New Hampshire Real Estate Q&A Discussion Forum Topic: New Haven Real Estate Forum Topic: New Jersey Real Estate Q&A Discussion Forum Topic: New Member Introductions Topic: New Mexico Real Estate Q&A Discussion Forum Topic: New Orleans Real Estate Forum Topic: New York City Real Estate Forum Topic: New York Real Estate Q&A Discussion Forum Topic: Norfolk Real Estate Forum Topic: North Carolina Real Estate Q&A Discussion Forum Topic: North Dakota Real Estate Q&A Discussion Forum Topic: Northwest Territories Real Estate Forum Topic: Norwalk Real Estate Forum Topic: Nova Scotia Real Estate Forum Topic: Nunavut Real Estate Forum Topic: Oakland Real Estate Forum Topic: Off-Topic Topic: Ogden Topic: Ohio Real Estate Q&A Discussion Forum Topic: Oklahoma City Real Estate Forum Topic: Oklahoma Real Estate Q&A Discussion Forum Topic: Omaha Real Estate Forum Topic: Ontario Real Estate Forum Topic: Orange County Real Estate Forum Topic: Oregon Real Estate Q&A Discussion Forum Topic: Orlando Real Estate Forum Topic: Overland Park Real Estate Forum Topic: Pearl City Real Estate Forum Topic: Pennsylvania Real Estate Q&A Discussion Forum Topic: Peoria Real Estate Forum Topic: Personal Finance Forum Topic: Philadelphia Real Estate Forum Topic: Phoenix Real Estate Forum Topic: Pittsburgh Real Estate Forum Topic: Pocatello Real Estate Forum Topic: Portland Real Estate Forum Topic: Portland Real Estate Forum Topic: Prince Edward Island Real Estate Forum Topic: Private Lending & Conventional Mortgage Advice Topic: Property Insurance Questions & Discussions Topic: Providence Real Estate Forum Topic: Provo Real Estate Forum Topic: Quad Cities Real Estate Forum Topic: Quebec Real Estate Forum Topic: Questions About BiggerPockets and Official Site Announcements Topic: Raleigh Real Estate Forum Topic: Rapid City Real Estate Forum Topic: Real Estate Agent Forums Topic: Real Estate Crowdfunding Forums Topic: Real Estate Deal Analysis and Advice Topic: Real Estate Development & New Home Construction Topic: Real Estate Events and Happenings Topic: Real Estate Guru, Book & Course Reviews and Discussions Topic: Real Estate Investor Marketing Help & Advice Topic: Real Estate News & Current Events Topic: Real Estate Not-So-Successful Stories Topic: Real Estate Quizzes Topic: Real Estate Rookie Podcast Topic: Real Estate Success Stories Topic: Real Estate Technology, Social Media & Blogging Topic: Real Estate Wholesaling Questions & Answers Topic: Rehabbing and House Flipping Topic: Reno Real Estate Forum Topic: Renters Discussion Topic: Rent to Own a.k.a. Lease Purchase, Lease Options Topic: REOs Topic: Rhode Island Real Estate Q&A Discussion Forum Topic: Richmond Real Estate Forum Topic: Rio Grande Valley Real Estate Forum Topic: Riverside Real Estate Forum Topic: Rochester Real Estate Forum Topic: Rockford Real Estate Forum Topic: Sacramento Real Estate Forum Topic: Saint Paul Real Estate Forum Topic: Salem Real Estate Forum Topic: Salt Lake City Real Estate Forum Topic: San Antonio Real Estate Forum Topic: San Diego Real Estate Forum Topic: Sandy Springs Real Estate Forum Topic: San Francisco Real Estate Forum Topic: San Jose Real Estate Forum Topic: San Luis Obispo Real Estate Forum Topic: Santa Fe Real Estate Forum Topic: Saskatchewan Real Estate Forum Topic: Savannah Real Estate Forum Topic: Scottsdale Real Estate Forum Topic: Seattle Real Estate Forum Topic: Short Sales Questions Topic: Short-Term and Vacation Rental Discussion Topic: Shreveport Real Estate Forum Topic: Sioux City Real Estate Forum Topic: Sioux Falls Real Estate Forum Topic: South Bend Real Estate Forum Topic: South Carolina Real Estate Q&A Discussion Forum Topic: South Dakota Real Estate Q&A Discussion Forum Topic: Southeast NC Real Estate Forum Topic: Spokane Real Estate Forum Topic: Springdale Real Estate Forum Topic: Springfield Real Estate Forum Topic: Stamford Real Estate Forum Topic: Starting Out Topic: St. Louis Real Estate Forum Topic: Stockton Real Estate Forum Topic: St. Petersburg Real Estate Forum Topic: STR Strategies Under Travel Restrictions Topic: Surprise Real Estate Forum Topic: Tacoma Real Estate Forum Topic: Tallahassee Real Estate Forum Topic: Tampa Real Estate Forum Topic: Tax, Legal Issues, Contracts, Self-Directed IRA Topic: Tax Liens, Notes, Paper, & Cash Flows Discussion Topic: Tempe Real Estate Forum Topic: Tenant Screening Topic: Tennessee Real Estate Q&A Discussion Forum Topic: Texas Real Estate Q&A Discussion Forum Topic: Thornton Real Estate Forum Topic: Toledo Real Estate Forum Topic: Topeka Real Estate Forum Topic: Tucson Real Estate Forum Topic: Tulsa Real Estate Forum Topic: Tuscaloosa Real Estate Forum Topic: Upstate New York Real Estate Forum Topic: Utah Real Estate Q&A Discussion Forum Topic: Vancouver Real Estate Forum Topic: Vermont Real Estate Q&A Discussion Forum Topic: Virginia Beach Real Estate Forum Topic: Virginia Real Estate Q&A Discussion Forum Topic: Waipahu Real Estate Forum Topic: Waipahu Real Estate Forum Topic: Warren Real Estate Forum Topic: Warwick Real Estate Forum Topic: Washington D.C. Real Estate Q&A Discussion Forum Topic: Washington Real Estate Q&A Discussion Forum Topic: Waterbury Real Estate Forum Topic: Westchester County Real Estate Forum Topic: Western NC Real Estate Forum Topic: West Gulfport Real Estate Forum Topic: West Virginia Real Estate Q&A Discussion Forum Topic: Wichita Real Estate Forum Topic: Wilkes Barre Scranton Real Estate Forum Topic: Wilmington Real Estate Forum Topic: Wisconsin Real Estate Q&A Discussion Forum Topic: Worcester Real Estate Forum Topic: Wyoming Real Estate Q&A Discussion Forum Topic: Yukon Real Estate Forum
Create post

No more than 80%... Really??

29 Replies

  • Share on Facebook
  • Share on Twitter
  • Share on LinkedIn
Rotate Log in or sign up to reply
user profile avatar
  • Posts 17
  • Votes 5

Danual Berkley

posted 8 months ago

I've been reading The Book on Rental Property Investing by Brandon Turner as well as listening to the Bigger Pockets Podcast, and I've heard not buying for more than 80% of the property value was a must.

So what I did was run the numbers on some of the houses I'm interested in and it seems to really undercut what the asker is wanting. 


For example a seller listed a unit for $72,000.00 in my area, buying at 80% would mean I would offer them $57,600.00. That seems really insulting to me if I was the seller. 

So how do you even begin to achieve this goal of 80% without being told to F-Off???

Rotate Log in or sign up to reply
user profile avatar
Check Rosette Top Subject:
Traditional Financing
  • Posts 165
  • Votes 183

Chris B.
from Chandler, AZ

replied 8 months ago

I'm looking for a BRRR in my market also. In general, you're not going to find an average owner willing to give away 20% for nothing. If a house is in good shape, and the owner wants to maximize the sale price, they will.

You get the 20%+ from finding distressed properties: maybe the house is damaged and the owner can't pay to fix it and a bank won't lend a mortgage on it. Or the owners have issues like divorce, death of the owner, etc... Or someone that needs cash quick.

Rotate Log in or sign up to reply
user profile avatar
  • Posts 17
  • Votes 5

Danual Berkley

replied 8 months ago

Thanks Chris!! I was thinking this was the strategy for ALL properties. I'm planning to buy my first rental spring of next year. 

Rotate Log in or sign up to reply
user profile avatar
  • Posts 7.0K
  • Votes 4.7K

Theresa Harris

replied 8 months ago

You are right, most owners would be insulted if you offered them 80% of the list price.

Rotate Log in or sign up to reply
user profile avatar
Check Rosette Top Subjects:
Taxes & Accounting and Maintenance
  • Posts 2.7K
  • Votes 2.3K

John Teachout
Rental Property Investor from Concord, GA

replied 8 months ago

One thing being missed here is that Brandon said 80% of value, not ask price. There are properties on the market that are listed both below and above their actual value. Finding those listed under market is not common but an off market property may be able to meet the 80% criteria.

Rotate Log in or sign up to reply
user profile avatar
  • Posts 17
  • Votes 5

Danual Berkley

replied 8 months ago

John I did include that in the original post. 

Rotate Log in or sign up to reply
user profile avatar
  • Posts 462
  • Votes 662

Damaso Bautista
Rental Property Investor from Hawthorne, CA

replied 8 months ago

@Danual Berkley

I think having the personality or ability to not take F-off personally and go with your game plan.

If the worst that can happen is a seller telling your to F-off that is not that big of a deal if there is one seller that says OK.

No one is saying that every offer is going to get accepted or that it is comfortable making low offers.  This is part of a strategy to get an upper hand when investing.

You know what you are comfortable with.  Just know that there are some very good silver tongue real estate investors who have the gift of gab and make these deals come through.  

Do a self assessment and figure out your game plan.  Don't get mad when your competition is getting a deal because you can't deal with someone telling you to F-off.   

Just my opinion!

Rotate Log in or sign up to reply
user profile avatar
  • Posts 17
  • Votes 5

Danual Berkley

replied 8 months ago

@Damaso  Bautista thanks for the advice!!! You're right! 

Rotate Log in or sign up to reply
user profile avatar
Check Rosette Top Subjects:
Rentals, Flipping, and Single Family
  • Posts 5.6K
  • Votes 5.7K

Matthew Paul
from Severna Park, Maryland

replied 8 months ago

I have been told to F off so many times , but its the times I am not told that is where I find deals

Rotate Log in or sign up to reply
user profile avatar
  • Posts 17
  • Votes 5

Danual Berkley

replied 8 months ago

Do any of you offer 80% of the value of the property, even if it's move in ready minus minor rehab? 

Rotate Log in or sign up to reply
user profile avatar
Check Rosette Top Subjects:
Real Estate Finance, Team, and Flipping
  • Posts 167
  • Votes 163

Joanne Eriaku
Realtor from New York

replied 8 months ago

@Danual Berkley the more move in ready it is, the less meatier the deal. 

Rotate Log in or sign up to reply
user profile avatar
  • Posts 17
  • Votes 5

Lowry Coe

replied 8 months ago

@Danual Berkley

I’m exploring my second property and getting funded through a hard money lender whom I’ve built a relationship with over the past few years through other means outside real estate. We just started talking about him potentially providing me a loan and his advice to me was “if you’re putting in an offer that you’re not embarrassed of then you probably went too high” which I found funny and pretty interesting.

I’m a newbie so take it with a grain of salt coming from me.

Rotate Log in or sign up to reply
user profile avatar
  • Posts 3.7K
  • Votes 2.2K

Steve Morris
Real Estate Broker from Portland, OR

replied 8 months ago

"So how do you even begin to achieve this goal of 80% without being told to F-Off??"

Pre-screen if it's been on market for a while and is still listed, they want to sell and maybe more amenable to a lower offer.

OTOH, so they tell you f-off, you're still alive and move on to the next deal.

Rotate Log in or sign up to reply
user profile avatar
  • Posts 5
  • Votes 3

Chris Harn
Accountant from East Palestine, OH

replied 8 months ago

@Danual Berkley it feels awkward, but just do it! Currently I have just one unit, on the advice of our agent we offered 75% of the current asking price which had already been reduced 10% from the original asking price. I never thought we had a chance of landing the property at that price but the seller didn’t even counter.

Not sure what market you’re in but the initial asking price on our unit was very similar to yours.

Rotate Log in or sign up to reply
user profile avatar
  • Posts 17
  • Votes 5

Danual Berkley

replied 8 months ago

@Chris Harn did your property need a lot of rehab? 

Rotate Log in or sign up to reply
user profile avatar
  • Posts 17
  • Votes 5

Danual Berkley

replied 8 months ago

Can Anyone tell me how to @ someone in the feed please? 

Rotate Log in or sign up to reply
user profile avatar
  • Posts 5
  • Votes 3

Chris Harn
Accountant from East Palestine, OH

replied 8 months ago

@Danual Berkley It could have been rented as-is but we put in a fresh coat of paint and made some repairs to the porch railings due to safety concerns. 

Rotate Log in or sign up to reply
user profile avatar
  • Posts 3.7K
  • Votes 3.0K

Pat L.
Rental Property Investor from Upstate, NY

replied 8 months ago

We've done it a lot & still do & have been told to "go forth & multiply" many times, in fact one nasty owner came back to us several months later & we got it for our offer, because all his <mkt rent tenants bailed pending a sale. 

But the ones you nail are usually some of your best deals. I like getting those not yet listed, so not losing the 6-7% to RE commission gives us more leeway. Tired & fed-up owners are out there & there will be more now if they haven't seen rents for awhile. In fact we have a couple of owners with vacant properties that we are playing the waiting game with now.

It's ALL & ONLY about the numbers & margins NOT the fear of offending a seller or their very sensitive listing agent. 

Rotate Log in or sign up to reply
user profile avatar
  • Posts 42
  • Votes 16

Rebecca Salazar
New to Real Estate from Maryland

replied 8 months ago

I’m new to all of this as well but I would say it’s in your best interest to analyze the property (as in market value vs asking price, potential work that needs to be done, days on the market, etc.) To be able to give insight to why you offered what you did, then i would find out if the seller is motivated. Above all else, though, i would tell myself that the worst that can happen is the seller would say no. I’m sure in this business we’ll come across quite a few “f off’s” because we want to find a deal, we’re not like the typical sally homemaker buying a home with no other intention than to live there the rest of our lives. Not to mention people often think their house is worth more than it really is. Affirmations are a powerful tool if you want to get past the fear of being told to F off, as is practice. Once you’re told to F off you’ll realize it wasn’t that bad, which will eliminate that fear you have and give you the confidence to offer on the next deal which can ultimately land you exactly what you’re looking for. Hope this helps! 

Rotate Log in or sign up to reply
user profile avatar
  • Posts 42
  • Votes 16

Rebecca Salazar
New to Real Estate from Maryland

replied 8 months ago
Originally posted by @Pat L. :

We've done it a lot & still do & have been told to "go forth & multiply" many times, in fact one nasty owner came back to us several months later & we got it for our offer, because all his <mkt rent tenants bailed pending a sale. 

But the ones you nail are usually some of your best deals. I like getting those not yet listed, so not losing the 6-7% to RE commission gives us more leeway. Tired & fed-up owners are out there & there will be more now if they haven't seen rents for awhile. In fact we have a couple of owners with vacant properties that we are playing the waiting game with now.

It's ALL & ONLY about the numbers & margins NOT the fear of offending a seller or their very sensitive listing agent. 

This is a great point, sometimes people will initially tell you no but then months later realize your offer is all they really had when they’ve listed too high. Also finding an off market deal is good leverage if you can offer a cash offer and a quick close. 

Rotate Log in or sign up to reply
user profile avatar
Check Rosette Top Subjects:
Rentals, Traditional Financing, and Team
  • Posts 70
  • Votes 27

Gary Abner
Rental Property Investor from Kitsap county Washington

replied 8 months ago

If you're looking at marketed properties, they are expecting market value. Find off market.

I keep my eye on properties that go delisted without sale, I have a few I plan on contacting soon. 

I like distressed properties that can't be financed.

good luck!

Rotate Log in or sign up to reply
user profile avatar
Check Rosette Top Subjects:
Rentals, Traditional Financing, and Team
  • Posts 70
  • Votes 27

Gary Abner
Rental Property Investor from Kitsap county Washington

replied 8 months ago

I haven't read that book, but that is good advice. All your profits are made with the purchase. There's no easier $10,000 made then cutting it from the price.

  I think the point is to be very patient and to be okay with turning away 10 okay deals so that you can nail a great deal.

Rotate Log in or sign up to reply
user profile avatar
Check Rosette Top Subjects:
Rentals, Traditional Financing, and Team
  • Posts 70
  • Votes 27

Gary Abner
Rental Property Investor from Kitsap county Washington

replied 8 months ago

also....

Your initial offer doesn't have to be at the 80% value. Your offer is just the starting point for negotiation. There is no problem starting with their asking price so you're locked in and you can then try and negotiate down to the 80% value level.

Rotate Log in or sign up to reply
user profile avatar
  • Posts 3.7K
  • Votes 3.0K

Pat L.
Rental Property Investor from Upstate, NY

replied 8 months ago
Originally posted by @Rebecca Salazar :
Originally posted by @Pat L.:

We've done it a lot & still do & have been told to "go forth & multiply" many times, in fact one nasty owner came back to us several months later & we got it for our offer, because all his <mkt rent tenants bailed pending a sale. 

But the ones you nail are usually some of your best deals. I like getting those not yet listed, so not losing the 6-7% to RE commission gives us more leeway. Tired & fed-up owners are out there & there will be more now if they haven't seen rents for awhile. In fact we have a couple of owners with vacant properties that we are playing the waiting game with now.

It's ALL & ONLY about the numbers & margins NOT the fear of offending a seller or their very sensitive listing agent. 

This is a great point, sometimes people will initially tell you no but then months later realize your offer is all they really had when they’ve listed too high. Also finding an off market deal is good leverage if you can offer a cash offer and a quick close. 

Agreed, Cash, close in 30, no conditions usually seals the deal. We had one seller turn us down with expletives then went through hoops to comply with higher offers subject to conv., financing only to be denied regardless of work done. So we got it @ <60% of the initial list $$$ & discovered uninstalled new furnaces & HW tanks in the basement. BUT it did need a LOT of work & my partner bailed on it, so we flipped it contract-for-deed @ 12%, as is, for 30% over our buy point. One of many!!!

Rotate Log in or sign up to reply
user profile avatar
Check Rosette Top Subjects:
Rentals, Traditional Financing, and Real Estate Finance
  • Posts 249
  • Votes 133

Derrick Burtle
from Auburn, IL

replied 8 months ago

@Gary Abner

How can one find delisted properties?

Rotate Log in or sign up to reply
  • 1
  • 2
Related Resources Buying & Selling Real Estate Discussion
5 Reasons To Wait To Negotiate Until After the Home Inspection
Top 5 Tips for a Smooth and Stress-Free Home Sale
7 Ways to Get Your Offer Accepted in a Hot Market
4 Ways COVID-19 Has Changed Being a Real Estate Agent
How To Walk Through an Investment Property Like a Pro
Resources Read, see, and learn more!
Link Real Estate Investment Calculators
Link BiggerPockets Blog
Link Path to Purchase
Link Mortgage Loans
Link Find a Contractor
Link Real Estate Agents
Link Hard Money Lenders
Link Real Estate Listings

Top Contributors

Dave Foster
Dave Foster
St. Petersburg, FL
6.92
Score
Bill Brandt
Bill Brandt
Las Vegas, NV
6.69
Score
Carolyn Chupa
Carolyn Chupa
Denver, CO
6.43
Score
Frank Procopio
Frank Procopio
Syracuse, NY
4.78
Score
Will Fraser
Will Fraser
Oklahoma City, OK
4.78
Score

Buying & Selling Real Estate Discussion Trending Discussions

  • Using a VA loan a second time and restoring entitlement
    2 Replies
  • Cash Flowing Cities with 200K Price Point
    2 Replies
  • Equity Harvesting - Good or Bad Idea
    5 Replies
  • Memphis Real Estate Agent - Selling Turnkey Properties
    5 Replies
  • Trouble financing a second house hack
    12 Replies
Log in Sign up

Log in

Forgot password?

If you signed up for BiggerPockets via Facebook, you can log in with just one click!

Log in with Facebook

Or
btn_google_dark_normal_ios Created with Sketch. Continue with Google

Let's get started

We just need a few details to get you set up and ready to go!

Use your real name

Use at least 8 characters. Using a phrase of random words (like: paper Dog team blue) is secure and easy to remember.

By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.

Or
btn_google_dark_normal_ios Created with Sketch. Continue with Google

Why create an account?

Receive a free digital download of The Ultimate Beginner's Guide to Real Estate Investing.

Connect with 1,000,000+ real estate investors!

Find local real estate meetups and events in your area.

Start analyzing real estate properties, we do the math for you.

It's free!

Explore

  • Membership
  • Community
  • Education
  • Marketplace
  • Tools
  • FilePlace
  • REI Resources
  • Perks
  • Glossary
  • Reviews
  • iOS App
  • Android App

Company

  • About Us
  • Press
  • Advertising
  • Careers
  • Stats
  • Contact Us

Important

  • Editorial Guidelines
  • Terms of Use
  • Rules
  • Privacy
  • FAQ

Social

  • Facebook
  • Twitter
  • YouTube
  • Instagram
© 2004-2021 BiggerPockets, LLC. All Rights Reserved.