First House under Contract!!!!

11 Replies

I did it!!! 6 weeks of marketing. 3 offers and i got my first contract signed. $115K ARV signed at 67K. needs about 10k in work. house was hit in tornado. whole second floor was redone( roof, bathroom, bedrooms. everything). needs work to patch stucco near foundation, paint/stain on main floor and an update to the kitchen.

I'm excited! just wanted to share and thank everyone who made themselves a resource here at BP 

Congrats on your first Deal!!!!

Wow. That is great. Keep it going. The start of your journey!!!!!!!!!

I can hear the excitement. Get to it. Please let me know how it goes. Keep moving forward.

Originally posted by @Marcus Durant :

I did it!!! 6 weeks of marketing. 3 offers and i got my first contract signed. $115K ARV signed at 67K. needs about 10k in work. house was hit in tornado. whole second floor was redone( roof, bathroom, bedrooms. everything). needs work to patch stucco near foundation, paint/stain on main floor and an update to the kitchen.

I'm excited! just wanted to share and thank everyone who made themselves a resource here at BP 

 Marcus, congrats on getting your first contract signed. It sounds like you indeed have a great deal on your hands. Based on your numbers, I'm confident that you can move this deal. One thing I've learned though is that the deal isn't done until the money is in the bank! Not to discourage you in any way... just to motivate b/c I saw a comment saying "Congrats on Your First Deal." - Not just Yet. 

I recommend shifting all of your efforts to selling this deal and go HARD and move with a sense of URGENCY.  

Obviously, sending to your buyers list is the first step.

Then, I recommend putting out bandit signs. Second to an established buyers list, I've had the most success selling properties the fastest by putting these up near the subject property. Put them up not only in the normal, high traffic places (corner of busy intersections, highway ramps, etc), but also put them up in nearby home depot/lowes parking lots (where rehabbers are likely to frequent). Also, you can put these up at the edge of shopping plazas - if you put it right on the edge of a lot, it's technically a private lot and code enforcement wont snatch it. 

Hit up meetup.com and search for local REIA's - some groups have the option to email the entire group

Check out gosection8.com and call landlords in that area

Search for other wholesalers in that area (find them through google and checking online classified sites) - call them, ask them to blast your property and be open to a JV split

Post online - Social Media, Facebook Ads, Craigslist, Backpage, etc... and here on the BP marketplace as well (worth the upgrade if you aren't a member).\

Best of luck , Bro. I am vicariously reliving my first deal through you (like another poster mentioned, we can feel the excitement). The first one is special... it's not just about the money but it shows you that this is real... opens up a new world of possibilities, kills skepticism,  and usually gets easier from here. Good luck!

@Mike Hill

Thanks! very valid. I will aggressively market using the methods above. I am on 3rd now. I'm not home safe till a check clears. lol

Still Shopping the deal. Most cash buyers are saying they wouldn't pay more than $50k for it. shopping it to landlords now. 

this is an enlightening experience to say the least. 

Hey Marcus. I'm a newbie at this. What reasons did the cash buyers give for not paying over 50k? I'm sure it's enlightening. I can't wait to get my first property under contract!

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@Jo-Anne Cheatom , I was using the standard math and underestimated repair costs. I factored in a 10k cosmetic repair because the house is in great condition. everyone of the investos i showed it two said they's have spent no less than 20k. some even 30k. also, i was using .7 for my MAO. In marketing this property i found a mentor i have been working with and he said use .65 for our market to make room for my fee. my margin on top of what i got it under contract for has killed this deal.

@Elijah Moore i dont have a buyer yet. msg me

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