Making an offer to a billionaire.

Making an offer to a billionaire.

Fort Lauderdale, FL · Member since 2017 · 33 posts · 16 votes
My husband and I want to purchase a 4plex as our first investment property (owner-occupy). I found a fourplex in my area, looked up the owner, and finally got his cell phone number. This guy is a multi billionaire, who owns over a 1k properties in different countries, and has like 4 businesses. Anyway, I called him up, asking if he was interested in selling and 4 plex properties that he has, there are 4 in Broward County. He stated that I would first have to make a preliminary offer to him for him to decide if it's worth talking about selling. So he gave me his email, and here is what I was thinking about doing. He is a very busy man, so I don't think taking him to lunch would work. It makes me nervous just asking. I want to send him a short email with a picture of myself and my husband and a little bio of us and why we are trying to go into investing. At the bottom of the email, I would like to put my offers for all 4 of the properties just in case he says no to one but agrees to another. What do you think?
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Jay HinrichsBusiness Member
Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
7y

I find very few truly wealthy individuals would deal at the street level..  let alone you could access their cell phone.

Be that as it may.. these are business guys.. write a letter of intent.. you dont need the picture and story I doubt that will curry favor.. just be professional and make sure some one proof reads your corrispondance you dont want grammer or spelling errors or not to sound professional.

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  • Jay HinrichsBusiness Member
    Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
    7y

    I find very few truly wealthy individuals would deal at the street level..  let alone you could access their cell phone.

    Be that as it may.. these are business guys.. write a letter of intent.. you dont need the picture and story I doubt that will curry favor.. just be professional and make sure some one proof reads your corrispondance you dont want grammer or spelling errors or not to sound professional.

  • Corby GoadeBusiness Member
    Investor · Boise, ID · Member since 2014 · 3k+ posts · 3k+ votes
    7y

    Good for you- sounds like you've already done some of the hard work. I wouldn't give too much thought to his financial position, because it could go any way; he might be a billionaire because he's a shrewd negotiator and enjoys pushing back, and at this point, he doesn't NEED to sell. On the other hand, he could be a kind person who would enjoy helping you get your start and giving you a decent deal might not be any big deal to him. 

    I like your email, but I'd keep it brief- give him a short bio, tell him what you and your family are trying to do, and that you'd like to buy him coffee or lunch and discuss those specific properties. Worst case scenario, he says no and you can just send him an offer. But he might say yes, and if you can build rapport, that could go a long way. 

    Good luck!

  • Jay HinrichsBusiness Member
    Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
    7y

    PS  I would for sure have Proof of funds.. ..  and ability to execute ..  

  • Rental Property Investor · East Wenatchee, WA · Member since 2014 · 10k+ posts · 16k+ votes
    7y

    You can tell a cutesy story about yourself if you want to.  Just make it short.

    I'd send a personalized LOI with 3 offer scenarios- cash, with SF and an MLO.

    He can peruse briefly and know high level specifics.

    An offer to coffee or lunch will have him running to his Aspen Chalet, especially if you're also trying to 'create a business relationship as a mentee or agent' this early in the game.

    Send the LOI. Bravo to you for getting this far!

  • Fort Lauderdale, FL · Member since 2017 · 33 posts · 16 votes
    7y
    @Corby Goade Thank you so much. I will be sure to keep it brief and include the coffee/lunch offer in there! Even if he says no, I still want to build a great relationship with him because I am a realtor and a new investor. I would love for him to be a mentor because he is local, or to work for him as an agent. Thanks again!
  • Fort Lauderdale, FL · Member since 2017 · 33 posts · 16 votes
    7y
    @Jay Hinrichs Trust me, he's legit. I researched him like I had a secret crush. Lol. Thanks for the advice. I will keep it short and simple. And yes, I always have someone to proofread.
  • Rental Property Investor · Harrisburg, PA · Member since 2018 · 369 posts · 406 votes
    7y
    Originally posted by @Jay Hinrichs:

    I find very few truly wealthy individuals would deal at the street level..  let alone you could access their cell phone.

    Be that as it may.. these are business guys.. write a letter of intent.. you dont need the picture and story I doubt that will curry favor.. just be professional and make sure some one proof reads your corrispondance you dont want grammer or spelling errors or not to sound professional.

    I see what you did there....    :)

  • Fort Lauderdale, FL · Member since 2017 · 33 posts · 16 votes
    7y
    @Steve Vaughan okay, you have to help me with this one. MLO, LOI??
  • Jay HinrichsBusiness Member
    Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
    7y
    Originally posted by @LaVonna Shannon:
    @Jay Hinrichs Trust me, he's legit. I researched him like I had a secret crush. Lol. Thanks for the advice. I will keep it short and simple. And yes, I always have someone to proofread.

    Ok well if your trying to buy the places yourself make sure you have POF and proof that you can get loans etc..

    If your just trying to get listings.. then you as a realtor know how to do listing appointments.. you have to sell yourself.. AS no doubt this person has many realtors in his network.. 

  • Jay HinrichsBusiness Member
    Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
    7y
    Originally posted by @LaVonna Shannon:
    @Steve Vaughan okay, you have to help me with this one. MLO, LOI??

    LOI = letter of intent MLO is usually a mortgage lender so letter from them that your qualified..

    and maybe Steve meant Master lease Option but will let him chime in on what he was saying..  

  • Fort Lauderdale, FL · Member since 2017 · 33 posts · 16 votes
    7y
    @Jay Hinrichs As stated in my post. My husband and I are trying to purchase our first investment property. That's it. I stated that if he says no to selling, then I would love to build a relationship because I am a realtor and a new investor. I would love to have him as a mentor. I am already working with a lender and I have no problem providing an approval. Thanks.
  • Rental Property Investor · Durham, NC · Member since 2016 · 7k+ posts · 7k+ votes
    7y

    @LaVonna Shannon. How did you find out he owns like 1000 properties? Unless you found his name and googled it or something I find it unlikely you found all those properties. That would be a mess to search for in the deeds office. I wouldn’t tell a story or anything or ask for lunch. If you got his cell number and email AND he’s actually a billionaire, just make a legit offer with the terms that work for you. If he’s all the things you say it’ll likely take a long time to hear back, if at all.

  • Rental Property Investor · Erie, PA · Member since 2018 · 6k+ posts · 9k+ votes
    7y

    Don’t tell personal stories of how you guys fell head over heels ..got married had a dream of investing and you want him to be your personal mentor .stick to the script . People like him will not waste time with such things and you need to be on point with intent professionalism and a detailed outlined purposal with proof of funds to get him to bite . If your a billionaire a couple hundred grand isn’t going to get your blood flowing so don’t expect him to be highly motivated or super on board to work with you 

  • Rental Property Investor · Durham, NC · Member since 2016 · 7k+ posts · 7k+ votes
    7y

    @LaVonna Shannon. How did you find out he owns like 1000 properties? Unless you found his name and googled it or something I find it unlikely you found all those properties. That would be a mess to search for in the deeds office. I wouldn’t tell a story or anything or ask for lunch. If you got his cell number and email AND he’s actually a billionaire, just make a legit offer with the terms that work for you. If he’s all the things you say it’ll likely take a long time to hear back, if at all.

  • Real Estate Agent · Cupertino, CA · Member since 2016 · 4k+ posts · 1k+ votes
    7y

    Often it is a professionally prepared intend or offer to purchase. Cash very quick closing. Show them your CMA and analysis and proof of funds. People receive these letters constantly often will not want to talk to you selling to a wholeseller. They have their realtors who can retail for them at market price. Rarely, they will even bother with these offers.

    If it was a wealthy owner it will be owned by a corporation, or a llc so something is not quite right. You probably talked to a manager of the property.

  • Fort Lauderdale, FL · Member since 2017 · 33 posts · 16 votes
    7y
    @Caleb Heimsoth I really dont understand why you all think I am lying. He has multiple LLCs registered and has hundreds of properties under them. I found one of his websites that is a new development here in South Florida with over 100 properties alone. Not counting what I also found overseas. No, I didn't find the deed to all of the properties. I personally talked to him on the phone and he told me this. I got his number from a inspection report that was filed online and is public record. Also, he sits on a few executive boards for many real estate investing groups here in Florida. His name is all over, pictures from his Facebook profile also show proof of who he is. And I read quite a few articles about him. I HAVE NOTHING TO LIE ABOUT.
  • Fort Lauderdale, FL · Member since 2017 · 33 posts · 16 votes
    7y
    @Dennis M. Yes, I totally understand that. I wasn't even thinking of telling our love story. Not professional at all to me. That's for the input.
  • Fort Lauderdale, FL · Member since 2017 · 33 posts · 16 votes
    7y
    @Sam Shueh I just dont understand...lol. I talked to him personally. This guy also has his cell number listed as concierge for one of his properties. Lol. The picture on the articles and websites match his Facebook profile. The voice from the videos online match who I spoke with. He is not American! I believe he may be from Lithuania or somewhere near. I've dealt with Lithuanian people before and his features are similar.
  • Rental Property Investor · Durham, NC · Member since 2016 · 7k+ posts · 7k+ votes
    7y
    Originally posted by @LaVonna Shannon:
    @Caleb Heimsoth I really dont understand why you all think I am lying. He has multiple LLCs registered and has hundreds of properties under them. I found one of his websites that is a new development here in South Florida with over 100 properties alone. Not counting what I also found overseas. No, I didn't find the deed to all of the properties. I personally talked to him on the phone and he told me this. I got his number from a inspection report that was filed online and is public record. Also, he sits on a few executive boards for many real estate investing groups here in Florida. His name is all over, pictures from his Facebook profile also show proof of who he is. And I read quite a few articles about him. I HAVE NOTHING TO LIE ABOUT.

    i was mainly asking for clarification.  After what you said I don’t think you’re lying.  Just know it’s highly unusual.  Anyways he may not be a billionaire as it’s likely he hasn’t other investors or debt on these properties.  That aside, it’s largelt irrelevant to your case how rich he is or is not.  Just make a reasonable offer on your terms and don’t include a photo or ask for a mentor or any of that stuff.  Just make the offer.  Hopefully you hear back. If you hear back at all, I would consider that a major win.  it sounds like you’re on the right track.  Good luck 

  • Fort Lauderdale, FL · Member since 2017 · 33 posts · 16 votes
    7y
    @Caleb Heimsoth Thanks. His net worth states that he is a billionaire. Lol
  • Edmond, OK · Member since 2012 · 456 posts · 270 votes
    7y
    @LaVonna Shannon Best wishes. After reading all responses from others, I do t think anyone hinted that you may be lying, rather they find it hard to believe a billionaire didn't obfuscate his information especially regarding ownership of properties. Sounds like all those who chimed in just wanted you to be sure before you invest your time and money on the line.
  • Specialist · Milford, ME · Member since 2016 · 630 posts · 378 votes
    7y

    Rich people’s attitude vary considerably just as all others. The difference being they don’t need money. The good ones want to make a difference. You might research the seller a little to see if there is something he is particularly interested in that you can gain some rapport. Sometimes something that just shows you care about him will go along way. Don’t be intimidated by the fact that he is rich. He is still a person with needs, that don’t involve money, and interests like other people.

  • Investor · Saint Louis, MO · Member since 2016 · 970 posts · 1k+ votes
    7y
    Originally posted by @Jay Hinrichs:

    I find very few truly wealthy individuals would deal at the street level..  let alone you could access their cell phone.

    Be that as it may.. these are business guys.. write a letter of intent.. you dont need the picture and story I doubt that will curry favor.. just be professional and make sure some one proof reads your corrispondance you dont want grammer or spelling errors or not to sound professional.

     "Correspondence" and "Grammar"  :p

    gotta practice what you preach @Jay Hinrichs! lol 

  • Architect · Wenatchee, WA · Member since 2018 · 843 posts · 907 votes
    7y

    Personally I would skip the personal story. I would have to agree with other that if this guy truly is a billionaire then he is not going to care about your story. Not that he is cold hearted but at this point in his life these little properties are just business to him. I doubt he will have any  personal ties to these. They are just money makers to him and you should come across as a money maker as well. Be professional business woman. I'm sure the more professional you come across will do more to help you than a short story. 

    If you can, try to keep everything to a single page, or at least as short as possible, especially if you are going to make multiple offers. Think of it like your resume for a job. No one want to read a multi page resume. You want the main, most important points to come across a clearly and as plainly as possible. You want to get to the negotiating table. Thats really your only intent here. Once you get that then you can hash out more detail. I'm not counting proof of funds or mortgage approval letter is not include in the single page btw., just your LOI.

  • Jay HinrichsBusiness Member
    Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
    7y
    Originally posted by @David Zheng:
    Originally posted by @Jay Hinrichs:

    I find very few truly wealthy individuals would deal at the street level..  let alone you could access their cell phone.

    Be that as it may.. these are business guys.. write a letter of intent.. you dont need the picture and story I doubt that will curry favor.. just be professional and make sure some one proof reads your corrispondance you dont want grammer or spelling errors or not to sound professional.

     "Correspondence" and "Grammar"  :p

    gotta practice what you preach @Jay Hinrichs! lol 

    when talking to BP audience I don't really care  LOL.  If I was talking to a big time potential money partner etc.. I have my staff proof my stuff before it goes out.. 

    Most the pretty wealthy dudes I know have money managers so they usually lay you off to them. but I do know some other that would engage on the phone.. but they are not billionaires more in the 25 to 50 mil range. and self made entrepreneurs  

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