All Forum Posts by: Danny Day

I could make 10x the money 10x faster with 10x less work and generate 10x more leads as a RE agent. Why people would rather wholesale than become a licensed agent is beyond me.

Having your license not only gives you the option to work with strictly investors, but also retail clients. So many friends, family friends, and family friends of friends have came to me for RE advice and I've made transactions out of it. You can't do that as a wholesaler.

UoH can be hit or miss. There are nice parts and there are parts you don't want to be in past 6pm.

I was there 2 weekends ago looking for multi's that need rehab. There is opportunity around that area. The houses are older so if they are giving them away, they will need rehab.

It also has a large bayou in the area so you'll want to make sure of the flood zones.

Email me at [email protected] or call me at 713-480-0050 and we will discuss.

Danny

I'm not sure that the goverment has the budget / infastructure to be a landlord. I don't even know where they would begin to do that.

They need to have some common sense and start pulling off these 20-30 windows for o/o to purchase and let cash buyers pick them up.

We see a down market for 2012, millionares are made by buying assets all around the US, they pay more taxes, and once the REO's burn off prices will stablize.

All this depends on someone in D.C having some common sense, so I doubt that will happen any time soon. With out this getting too political I'll end on a nice note and say 2012 will be a good year for real estate (keeping my hopes up).

Capitalize on the down market, which I'm sure you're doing Rich.

Good post

I think it really boils down to mis-information / public general knowledge on what the media says. I had someone tell me my business model was un-ethical because buying foreclosures kicks people out of their homes....

I still have to send contracts to PEMCO in Denver, CO. I can still browse Hudhomestore.com but every listing I find on the MLS is never on HUDHomestore. Frustrating

Based on 2011 Sales from 1/1/2011 - 12/31/2011 on 6 zip codes in Houston that I work.

Retail Avg Sale Price: $124,489
Retail Avg SP/LP: 97%
Retail Avg Days on Market: 80

REO Avg Sale Price: $109,982
REO Avg SP/LP: 97%
REO Avg DOM: 62

Short Sale Avg Price: $124,180
Short Sale Avg SP/LP: 97%
Short Sale Avg DOM: 135

Amazing results. I know I only did it on 6 zip codes (all I work in / or care about). My market may not be simialr to yours.

Crazy that REO's are selling $15k under the retail / short sale price in less amount of time.

REO/Retail/Short Sale are all averaging out to 97% of sale price to list price. Interesting. This proves that short sales, on average, do not get as steep of a discount as one might seem.

Also interesting is that the short sale avgerage price is much higher. Maybe this is because people got over leveraged and need to sell short. Higher loan amounts = more over leveraged, increasing the average short sale price?

Let me know your thoughts. This data was compiled from around 2,500 home sales off the Houston MLS.

Chris Martin I've never seen that addenudum before to the HUD contract. I am going to review my files tonight on previous O/O homes I've closed with HUD. I do not remember that one. Is that in the initial packet you send to PEMCO?

Conventional ways (besides referral from previous clients, friends, etc) to create leads are out the window in this market.

Print ads, monthly random mailers wasted my money last year. My direct mail did not get my phone to ring one time.

I went back and looked at where my leads were coming from the past year, on deals that I closed.

My main source of leads in 2011 was an internet web forum, kind of like biggerpockets. It is used mostly by Houston residents and I answer real estate questions. I got a TON of business of that site for free. Another good site to use I've found is www.city-data.com.

Zach, I don't want to publicly post where I'm generating everything from right now. Since we are in seprate markets, message me and I will share details.

Danny

I'm wondering if anyone is even considering short sales as a buy. I've never had a good expierence with a short sale, always due to the bank dragging their feet and delaying the deal.

Buyers get antsy and walk away. Deals are not approved before they are listed. BPO comes in higher than list amount. Banks must get approval from 15 different departments.

Is it worth buying?

I'm going to do a analysis on the Houston market for short sales compared to foreclosures, on list price to sale price percentage, to see which ones get the steepest discounts.

I'm guessing short sales, but who wants to go through that process? Who does?

I think being a real estate investor is one of the most rewarding careers available. If you want to call it a career. It has so many avanues that allow wealth creation, all you need to do is focus on one.

Of course some may be more frowned upon than others. Bandit signs, cold calls come with some negative feedback from the community. Development and re-development improves the community.

As others have said there are bad apples, as in any business.