Need Input And a Little Guidance.

25 Replies

It's been a little while since I posted on BP. That said hey guys! Last time I was on here I was asking questions about a wholesale deal that literally fell into my lap, at the time I thought I had a "Qualified" Cash Buyers List , as it turned out I really didn't. I somehow managed to to place a buyer with the property (ended up with a retail buyer) and made 25,000.00 at close. 

While thankful for the experience (that isn't an average assignment fee) I think the process has made me fear success(Didn't know that was a thing until it happened) I've not done anything since closing March 6th(have been spending time with my daughter since before this happened I was going through a divorce). I'm to the point now (didn't pay taxes with that amount like I likely should have) where I have the urge to do this again.

I'm looking for deals now like I was before march, and realized there are things I need clarity on, and by clarity I mean full details no vague answers. I'm struggling to determine FMV, How is it that some of you come up with FMV. The ARV is easy enough but the FMV with so many numbers possible is a little bit more difficult to me.

Cashbuyers list, I know they can be bought but where what are some good places to get this information. Where would one find loan amount on a property or see if there is a tax lien? As always all help is of great value, If you've stuck with me through the end of this post thank you.

Hi Joseph. Congratulations on your exceptional assignment fee!

The info about how much a person has left on their mortgage can be found in list from list source. You can filter by equity % and have it tell you the amount paid toward the mortgage. That's what I did on listsource.com.

As for tax liens, I used my county's tax assessor website to search for properties years behind on taxes. It was time-consuming but the response rate from my first batch of yellow letters was high. Your county's tax assessor website may also show when there will be tax lien auctions coming up.

This post has been removed.

It sounds like @Nikki Robinson is referring to a motivated sellers list. I believe @Joseph Riv is asking about finding a list of investors or cash buyers to assign the contract to (correct me if I am wrong). That is a much harder task to accomplish and often takes time, as far as I know it is not something that can be purchased anywhere online. I would recommend putting some advertisements online, even Craigslists ads should get you some hits. Networking is key to acquiring and holding on to your cash buyers. Ask around and see if anyone you know has recommendations of people they are familiar with whom have expressed interest in investing in real estate. 

Hope this helps!

Both really :) as for the network I'd actually been going to my local REIA here for 3 or months solid wouldn't miss a meeting, What I noticed is that while it was a great networking op the "investors" there where there to pitch something a course or something else. When it came to actually invest few were doing so. I guess what I mean by list of cash buyers is list of people who've paid cash for a property.

The FMV thing still escapes me :P

An existing cash buyer's list, sound dream if you could just buy one ready made, current, and...................... You will have to work on building your own list through postings, advertising, etc. You're going to have to use some creative thinking here to come up with a way to have the people you want to come in contact with you. 

I am sure that is you do come up with a list of some kind it will be constantly changing, being added to and subtracted from but you may luck out and find someone with deep pockets. 

I don't think there is any way around it. Wholesaling is allot of work, allot of researching and allot or running around and of course you do need a strong marketing effort. 

Kent Clothier's "FindCashBuyersNow" service (FCBN) is pretty cool.  You can pull people who have purchased for cash (no lender lien) in the past six months, year, etc.  If you decide to use that service and have any questions, feel free to reach out to me for more info on how we use FCBN.

My only complaint about Kent's stuff is it is hard to figure out how to BUY the FCBN service.  Go to the site and they want to send you eBooks & DVDs.  DVDs??  All you want is the online FCBN service.  I have NO IDEA where you simply buy THAT, and honestly, I can't remember how we finally got to the right place to purchase just the online service.  So, be ready to deal with an info-marketing funnel from hell, but if you figure out how to buy that service, it can really work for finding REAL cash buyers.

Medium wbh square logoDev Horn, We Buy Houses® | [email protected] | 877‑932‑8946 | http://webuyhouses.com/profile/arlington

Find the deals first these days is the general thought. 

Put an ad on the BP Market Place, Craigslist house needs a cash buyer, if you don't get at least 10 calls responding that combination I'd be greatly surprised. Then there's landlords. Check houses for rent again Craigslist. Guess what landlords have money. Check  "We Buy whatever " .Google search buy houses . Networking with escrow and title company, re agents, any body involved in re.

There's a few. Should get you started.  But find the deals. 

GO Forth and Conquer 

This post has been removed.

Originally posted by @Dev Horn :

Kent Clothier's "FindCashBuyersNow" service (FCBN) is pretty cool.  You can pull people who have purchased for cash (no lender lien) in the past six months, year, etc.  If you decide to use that service and have any questions, feel free to reach out to me for more info on how we use FCBN.

My only complaint about Kent's stuff is it is hard to figure out how to BUY the FCBN service.  Go to the site and they want to send you eBooks & DVDs.  DVDs??  All you want is the online FCBN service.  I have NO IDEA where you simply buy THAT, and honestly, I can't remember how we finally got to the right place to purchase just the online service.  So, be ready to deal with an info-marketing funnel from hell, but if you figure out how to buy that service, it can really work for finding REAL cash buyers.

 Funny you'd bring up Kent, I'd actually been considering his products for a while I did go through said sales funnel from hell. The solution was on the site upper left hand side there's a login request which can then be taken to reach the sales page for that product. I'll Actually be reaching out to you later if you wouldn't mind speaking with me :)

Originally posted by @Gilbert Dominguez :

An existing cash buyer's list, sound dream if you could just buy one ready made, current, and...................... You will have to work on building your own list through postings, advertising, etc. You're going to have to use some creative thinking here to come up with a way to have the people you want to come in contact with you. 

I am sure that is you do come up with a list of some kind it will be constantly changing, being added to and subtracted from but you may luck out and find someone with deep pockets. 

I don't think there is any way around it. Wholesaling is allot of work, allot of researching and allot or running around and of course you do need a strong marketing effort. 

 Gil thanks for the response I think looking for anything ready made in any industry is foolish, That isn't at all what I'm looking for looking for a service that has found or identified people that have paid cash for a property. But I may have not been as clear as needed. Thanks for the response though!!

Originally posted by @Tim FitzGerald :

Find the deals first these days is the general thought. 

Put an ad on the BP Market Place, Craigslist house needs a cash buyer, if you don't get at least 10 calls responding that combination I'd be greatly surprised. Then there's landlords. Check houses for rent again Craigslist. Guess what landlords have money. Check  "We Buy whatever " .Google search buy houses . Networking with escrow and title company, re agents, any body involved in re.

There's a few. Should get you started.  But find the deals. 

GO Forth and Conquer 

 I get this a lot "find me a deal and just bring it to me" Heres the thing I'm not in the business of wasting time, and anyone asking me to do this is asking exactly that of me. I want to know what you want so that I bring you nothing but that stuff. I've had a lot of so called "investors" pull that on me and when a deal was brought they couldn't handle it or it didnt fit their investments (if they'd do as asked and have given me their exact wants rather than a percentage you want to be in)

I actually havent garnered anything from CL with the house I was selling I literally got nothing from cl and havent tried BP marketplace but seems as reasonable a place to start looking. Thanks for the response!  

Gil thanks for the response I think looking for anything ready made in any industry is foolish, That isn't at all what I'm looking for looking for a service that has found or identified people that have paid cash for a property. But I may have not been as clear as needed. Thanks for the response though!!

Joseph. Perhaps you have identified a service that is needed and you might even become a person that somehow puts this type of information together which you can offer as a service to others. I am assuming you are concerned about such a service in your own area but maybe this is something that is needed industry wide. Maybe developing a website that will bring cash buyers, wholesalers, and retail buyers all together in one location. 

I am sure cash buyers would love to have a source of inventory properties, Wholesalers like you would for sure love to have a place to market to cash buyers that is easy to access and maybe in time retail buyers may learn that your website would be a place for them to buy with some advantages. I can see a possibilities were deals could be offered using more creative financing methods vs conventional loans etc. 

Originally posted by @Joseph Riv :
 I get this a lot "find me a deal and just bring it to me" Heres the thing I'm not in the business of wasting time, and anyone asking me to do this is asking exactly that of me.

 Amen, brother!  Real cash buyers know what they buy.  Once you get a few good ones on your team, it's awesome, because you are way more confident in making offers when you KNOW you have a buyer.

"At the center of your being you have the answer; you know who you are and you know what you want." ~ Lao-tzu (OK, I'm not a taoist, but I love the quote!)

Medium wbh square logoDev Horn, We Buy Houses® | [email protected] | 877‑932‑8946 | http://webuyhouses.com/profile/arlington

I'm not sure who's wasting time here.But just yesterday I called a title company friend of a friend of a friend, in 2hr got 2 solid cash buyers ready to close in a couple of weeks or less. If you aren't willing to put in the time and effort to make calls wait for responses, cull through absentee owner lists, develop relationships with other industry people, maybe RE isn't the business you'd like. 

You had 1 fall in your lap. That might be the last 1.

Try a little patience. But plow forward. 

Originally posted by @Sean McNamara :

It sounds like @Nikki Robinson is referring to a motivated sellers list. I believe @Joseph Riv is asking about finding a list of investors or cash buyers to assign the contract to (correct me if I am wrong). That is a much harder task to accomplish and often takes time, as far as I know it is not something that can be purchased anywhere online. I would recommend putting some advertisements online, even Craigslists ads should get you some hits. Networking is key to acquiring and holding on to your cash buyers. Ask around and see if anyone you know has recommendations of people they are familiar with whom have expressed interest in investing in real estate. 

Hope this helps!

 Yes I was referring to motivated seller lists. I know he asked about cash buyers lists but at the very end of his post, he also asked about finding out how much is left on a mortgage and how to know if it's a tax lien. For cash buyers, those things wouldn't apply, so I figured he was asking how to find those kinds of deals in addition to wanting to know about cash buyers lists.

Robbin you're correct :) thanks guys for all the responses. Tim , I have nothing but time to go through those list, plowing forward is exactly the thing I intend to do. I just need to better educate myself as to where to find said lists without spending a ton of money upfront when a little elbow grease is all that is needed :P. As to wasting time I haven't had the luxury of working with anyone on bp but a ton of "investors" in my local market tend to do just that.

Gil thanks for the response I think looking for anything ready made in any industry is foolish, That isn't at all what I'm looking for looking for a service that has found or identified people that have paid cash for a property. But I may have not been as clear as needed. Thanks for the response though!!

Joseph. Perhaps you have identified a service that is needed and you might even become a person that somehow puts this type of information together which you can offer as a service to others. I am assuming you are concerned about such a service in your own area but maybe this is something that is needed industry wide. Maybe developing a website that will bring cash buyers, wholesalers, and retail buyers all together in one location. 

I am sure cash buyers would love to have a source of inventory properties, Wholesalers like you would for sure love to have a place to market to cash buyers that is easy to access and maybe in time retail buyers ma

Originally posted by @Gilbert Dominguez :

Gil thanks for the response I think looking for anything ready made in any industry is foolish, That isn't at all what I'm looking for looking for a service that has found or identified people that have paid cash for a property. But I may have not been as clear as needed. Thanks for the response though!!

Joseph. Perhaps you have identified a service that is needed and you might even become a person that somehow puts this type of information together which you can offer as a service to others. I am assuming you are concerned about such a service in your own area but maybe this is something that is needed industry wide. Maybe developing a website that will bring cash buyers, wholesalers, and retail buyers all together in one location. 

I am sure cash buyers would love to have a source of inventory properties, Wholesalers like you would for sure love to have a place to market to cash buyers that is easy to access and maybe in time retail buyers ma

 Indeed and something I may consider :) I thought I had responded to this the first time you posted it but I guess I hadn't , sorry been running all over gods creation today. 

Joseph,

Buddy, read everything mentioned on BP. Listen to everything on BP. It will not take long to learn that " motivated sellers" these days are the treasure. And there's a lot of maps with X's on them. The actual ways of finding sellers are taught here on the Podcasts. Listen to them on your phone, or however.             Find the Deals !                           People with money want deals. YOU FIND A DEAL, MONEY WILL FIND YOU. Didn't that already happen for you ? If you get a deal  & can't find the money. Email me.

Jump on it with both feet, grab a hold of it, drag it home.                                   

@Joseph Riv: Most investors will tell you that, 99% of the time, there's no need for FMV (fair market value). That's a reference to what a retail buyer presumably would pay for the property in its present condition. Most of the time, you'll be paying less....often, much less. The only three figures you should be focusing on is the price YOU pay, the ARV, and your costs (repairs, holding, etc.). That's what you need to calculate whether something's a good deal. FMV doesn't play a role.

I recently had a deal similar to yours. Two children (middle aged) had inherited their mom's home. They just wanted to sell, pay off a mortgage and a HELOC, pocket the remainder, and get on with their lives. I put the house under contract for $305,000. The house needed a lot of work--maybe $75,000 or so. The ARV was $550,000. Frankly, I didn't care what the FMV was. Maybe someone would have paid $440,000 for it. But the children were willing to sell it to me for $305,000...so, in this transaction, the FMV really was $305,000.

If you're thinking of "wholetailing" other properties (a blend of wholesaling and selling to a retail buyer), I can think of two ways to come up with the FMV. The first is to take the ARV and subtract 125% of the repair cost (the extra 25% is for the hassle a buyer would have to go through). In my example, the FMV using this method would be about $456,000. The other way is to look at the low-end comps...sales prices for properties that weren't all fixed up...and subtract 50% of your estimated repair costs. Other properties in the area that weren't in pristine condition were selling for about $475,000. So, subtracting 50% of $75,000 from $475,000 comes to $437,500. Those two numbers--$456,000 and $437,000--are reasonably close. So maybe someone would have bought it in as-is condition for $440,000. But it would have been a hard one to sell.

Again, unless you want to specialize in wholetailing, there really isn't any need to know FMV. Stick with ARV and the price the seller is willing to accept.

Hope that helps.

Originally posted by @Tim FitzGerald :

Joseph,

Buddy, read everything mentioned on BP. Listen to everything on BP. It will not take long to learn that " motivated sellers" these days are the treasure. And there's a lot of maps with X's on them. The actual ways of finding sellers are taught here on the Podcasts. Listen to them on your phone, or however.             Find the Deals !                           People with money want deals. YOU FIND A DEAL, MONEY WILL FIND YOU. Didn't that already happen for you ? If you get a deal  & can't find the money. Email me.

Jump on it with both feet, grab a hold of it, drag it home.                                   

 Tim , thank you for the words of encouragement! I'd email you but I have no contact details for you good sir! and I've been making a point to spend at least two hours a day learning something to do with wholesale methods bp is an amazing resource for sure! 

Originally posted by @Donald Tepper :

@Joseph Riv: Most investors will tell you that, 99% of the time, there's no need for FMV (fair market value). That's a reference to what a retail buyer presumably would pay for the property in its present condition. Most of the time, you'll be paying less....often, much less. The only three figures you should be focusing on is the price YOU pay, the ARV, and your costs (repairs, holding, etc.). That's what you need to calculate whether something's a good deal. FMV doesn't play a role.

I recently had a deal similar to yours. Two children (middle aged) had inherited their mom's home. They just wanted to sell, pay off a mortgage and a HELOC, pocket the remainder, and get on with their lives. I put the house under contract for $305,000. The house needed a lot of work--maybe $75,000 or so. The ARV was $550,000. Frankly, I didn't care what the FMV was. Maybe someone would have paid $440,000 for it. But the children were willing to sell it to me for $305,000...so, in this transaction, the FMV really was $305,000.

If you're thinking of "wholetailing" other properties (a blend of wholesaling and selling to a retail buyer), I can think of two ways to come up with the FMV. The first is to take the ARV and subtract 125% of the repair cost (the extra 25% is for the hassle a buyer would have to go through). In my example, the FMV using this method would be about $456,000. The other way is to look at the low-end comps...sales prices for properties that weren't all fixed up...and subtract 50% of your estimated repair costs. Other properties in the area that weren't in pristine condition were selling for about $475,000. So, subtracting 50% of $75,000 from $475,000 comes to $437,500. Those two numbers--$456,000 and $437,000--are reasonably close. So maybe someone would have bought it in as-is condition for $440,000. But it would have been a hard one to sell.

Again, unless you want to specialize in wholetailing, there really isn't any need to know FMV. Stick with ARV and the price the seller is willing to accept.

Hope that helps.

 Thanks Donald this is very useful, I actually did ask as in the last deal I did I wholetailed it. Figure at times this may need to happen if I cannot line up a cash buyer.  

Joseph, 

Buddy, Who Loves You?  We do. Or else why would all these very sharp people, ( of whom I would be among the least ), be giving you gold. BP is unique in its charitable approach. Take advantage. It's worth the Pro price. By the way. If my contact info isn't in my signature line, BP is falling down on the job. But I know BP is on the ball.

Originally posted by @Joseph Riv :

It's been a little while since I posted on BP. That said hey guys! Last time I was on here I was asking questions about a wholesale deal that literally fell into my lap, at the time I thought I had a "Qualified" Cash Buyers List , as it turned out I really didn't. I somehow managed to to place a buyer with the property (ended up with a retail buyer) and made 25,000.00 at close. 

While thankful for the experience (that isn't an average assignment fee) I think the process has made me fear success(Didn't know that was a thing until it happened) I've not done anything since closing March 6th(have been spending time with my daughter since before this happened I was going through a divorce). I'm to the point now (didn't pay taxes with that amount like I likely should have) where I have the urge to do this again.

I'm looking for deals now like I was before march, and realized there are things I need clarity on, and by clarity I mean full details no vague answers. I'm struggling to determine FMV, How is it that some of you come up with FMV. The ARV is easy enough but the FMV with so many numbers possible is a little bit more difficult to me.

Cashbuyers list, I know they can be bought but where what are some good places to get this information. Where would one find loan amount on a property or see if there is a tax lien? As always all help is of great value, If you've stuck with me through the end of this post thank you.

 Hey Joseph,

You have come to the right place to have all inquiries answered. Also, welcome back to the community.