Intro - First Deal
Hello Everyone,
Well at least anyone who stumbles across this.
My goal is to be able to start some serious investing in real estate. Buy and Hold, Buy and Sell, Buy and Rehab.
I have very little cash, I have quit my job to work for myself and chase the dream
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So how can you buy an investment house with no money? I have started to hunt for whole sale deals to build some capital for a investment downpayment.
2 days later with my list of leads ( My own leads) I had visited 15 homes, and I found a seller willing to sell. I know he was headed to foreclosure, what I did not know........ You can not assign a contract or "wholesale" a bank short sale, which is what this wound up being.
So, I took the listing as an agent and found an investor to buy, so at-least I will get the 6% ....... No assignment fee yet.... Next time.
Will update on deal # 2
Comments (7)
Hello Again.
Time for an update.
This one has gone to the wind, unfortunately. The seller was just not MOTIVATED enough to get his papers turned in to the lender within the requested time frame and in turn, the lender has declined the short sale.
Kinda sucks, not going to lie. Had put a good amount of time energy, paper, ink, gas and many other necessary requirements to make this happen.
I am telling myself that the seller is in the situation he is in for a reason, and to not be discouraged by the loss. Still sucks though.
What else could I have done to make this deal happen?
On any other standard transaction, I would say nothing. I was on the ball through and through ----- But who knows, Maybe I could have been more bothersome in trying to get the seller to turn in the needed docs.
At the same time, I have to lend some of my reasoning to BOA being incredibly picky about the requested docs, almost seems as though the preferred the property to go to foreclosure.
All in all, it was a learning experience and I will chalk it up as such.
I am about to go and do some more door knocking!
Terry Evans, almost 12 years ago
As a newbie at this my worse fear was getting blessed out and getting the cops called on me, lol. I guess sometimes it just happens. My issue is with a super tight budget and a wife with 3 children my marketing is next to none. i mean im having issues finding investors. The houses i wil have no problem finding. i really need the help with investors though. I guess the question is, how would i go about finding them and getting them interested?
Warren Hemphill, almost 12 years ago
@Jordan Redar
Thank you for stopping by.
I figure that that wholesaling is going to be a volume game. Granted very targeted leads, but volume none the less.
My leads consist of folks heading to auction next month...... Who could be more MOTIVATED than that??
Terry Evans, almost 12 years ago
Wow, this is exciting to read. I like your 10 drive by's a day strategy. How did you build your lead list?
Jordan Archer, almost 12 years ago
Hello all!!
Boy, do I have a story to share.
As we all know, the primary job of a Wholesaler is to drive for dollars and knock on as many MOTIVATED sellers doors as possible.
So I was heading to my daily first of ten home visits for MOTIVATED SELLERS. This home is in one of the up scale neighborhoods in Houston, located in the Heights, I typically visit 50 + different homes in all kinds of neighborhoods from the down and dirty to the million + , this one just so happen to be in nice neighborhood, one would expect nice folks right?
WRONG.
As soon as the owner answered the door, I gave the whole " Hi my name is Terry, I would like to speak with you about purchasing your property" and handed a card........ very humbly but confident, as to not put anyone off.
Immediately I get a F OFF and a door closed in my face.
This has happened before and will more than likely happen again.
Now normally I would walk away and cross that one off my list, do not visit, do not mail, however, I opened my mouth and some words were exchanged.
Next thing I know the home owners wife has grabbed me by the shirt and starts shaking me!!!!!!! We continue to exchange words and things were getting heated, so I decided it's probably best to start heading to the car.
Lol, anyway, 4 hours later I get a call from the local PD that I am being issued a verbal warning to not come back to the property. Welllllllllllllllll life goes on right?
I refused to be deterred by anyone or anythingy, Persistence and Consistency.
So the last one I visited that day was a lovely lady whom is the POA for her family's property. and WOW, does she ever want to sell! She was very happy to see me and hear what I have to offer. She is past due on her taxes to the tune of about $200,000 and going to be foreclosed on next month.
I am meeting the homeowner again tomorrow morning to get the 3 lots under contract for $215,000...HOPEFULLY....... and current market value is $349,000 which I will start marketing to builders as soon as the sales contract is executed.
My current primary goal is to do an assignment of contract, however, there is such a spread to be had on this deal, I am going to present my offer to a private hard money lender for receiving transactional funding so I can close on the property myself and sell it the builder, scratch be assignment fee..... Time for a big boy paycheck.
I am really hoping this goes smoothly, it could be a major pay off to fund the start of my re-habbing.
I will keep everyone updated.
Thanks for reading!!!
Terry Evans, almost 12 years ago
@Andrew Syrios
Thank you sir! Lord knows I can use it.
Will update the blog as soon as something comes along for round two.
Terry Evans, almost 12 years ago
Congrats Terry! Good luck on the second one!
Andrew Syrios, almost 12 years ago