Any ideas here?

Question

Here is my dilema......  I have several high end properties with 65-72% LTV but don't know how or where to find buyers for them.  Any suggestions other than marketing them with realtors?  All suggestions welcomed.  Many thanks in advance.

Travis S. · Answer

Forgot about a realtor. You aren't going to make any money like that.

Scott Ficek · Answer

Good point, sorry about that post.

Account Closed · Answer

Lets back up a minute.

1. 65% to 72% LTV tells us about the loan vs. the value. No idea if the value is current or from a stale appraisal. It says nothing about the possible sale price.

2. Selling high end property implies two things. (A) There are fewer buyers. It is simple math. Fewer people who have the money to buy such property. (B) Some agents are very well plugged into the high end buyer. If you do not work with them you will not see the buyers. Most high end buyers have better things to do with their time then drive around or call FSBO ads. If you are the owner then the holding costs can kill you if you take the slow road to marketing the property. You want to get all channels working at the same time. It is about getting the deal done rather than micro managing the sales cost.

Note a high end home might need staging so there will be rental furniture costs, fresh flowers, etc. Some agents will front those costs. It varies by market.

John Corey

Scott Miller · Answer

I'm going to have to agree with the majority---using the "right" realtor can shrink your sales cycle, particularly in difficult market trends...

You don't necessarily need to enlist the services of a listing agent---why not market to buyer's agents that specialize in unique/expensive properties?  You can offer to pay 3% to any buyer's agent that brings a interested/qualified buyer to the table.

Already mentioned but worthy of repeating, are mortgage brokers that specialize in jumbo investments---jumbo buyers tend to investigate & explore lending options before entering the market/engaging the services of a realtor and this could prove to be a fruitful source of buyers.

Regards,

Scott Miller

N/A N/A · Answer

I find investors for properties i have through networking. I have gathered a list of about 50 investors now and each time I get a new property i send it out and generally have a buyer quickly there after.

Dick Green · Answer

You might want to consider checking with a mortgage professional that specializes in Jumbos.  They may have someone in their pipeline that needs to create money in order to qualify.  With that much room in you ltv it should be an easy transaction to get creative with.

just another suggestion.

Joshua Dorkin · Answer

Scott - Your "manual" is nothing but a document designed to convince people considering going FSBO to use a realtor.  It reminded me of the videos they show you in high school to keep you from drinking & driving.

Scott Ficek · Answer

Use a realtor!  Selling a home is a full-time job. The average homeowner may sell three or four homes in his or her lifetime; Realtors® can sell hundreds over the course of a career. This experience is invaluable, and it's part of the reason why home sellers who use a real estate professional can expect to sell their homes for 16 percent more, on average, than sellers who try to do it themselves.

If you decide to do it on your own, go to my website at:  [LINK REMOVED BY ADMIN] and download the 15 page For Sale By Owner manual for free.

Jacqueline Walker · Answer

Have you tried advertising your properties on Craigslist.com?   I have used this resource with great results.

Ryan Webber · Answer

I disagree with forgetting about a realtor.  A realtor that specializes in higher end property and higher end clientele is probably your best bet.  Just figure their commission into your expenses and you can make plenty of money that way.  I list 90% of my property that I don't sell initially myself.