All Forum Posts by: Andrew Fielder

@Marielle Walter you'll find in BP if you search through the forum posts that there's been tons of people who have successfully done a flat fee listing. It's also good practice to offer a buyers agent a 1-3% commission if they bring you the buyer but you're not obligated. I think you'll find that the data shows that the majority of people go online to find their home. If they use a buyers agent it's basically to co-ordinate a showing on the property. Personally as an agent I think the practice of paying a buyers agent half the listing fee is outrageous. Don't get me wrong I think there are a few agents out there who are putting in some work but there are many who expect a 3% commission for making a phone call and scheduling a showing.

I've lived and worked as an agent in Australia for a number of years and I can tell you that buyers agents do not exist except on maybe a commercial transaction. The buyers agent rarely adds value to the process in my opinion. Again, it's good practice to offer a commission to a buyers agent but you're in the business to make a profit not run a charity. I would be offering closer to the 1.5%-2% mark.

Good luck!

Home ready is much better IMO. I did an FHA loan in 2013 with about 10% down but my equity jumped to 80% in the 12 months from 2013-2014. Yet I'm still stuck paying mortgage insurance. I'm going to sell my my current place and use the home ready to buy in a better area that is still eligible under it. Same thing will probably happen with the next one. I'll put approx. 10% down and in 12-24 months look to cancel the mortgage insurance.

Your plan sounds good to me. Especially with a small down payment not many choices without going the creative financing route. You'll learn a lot from the process and management of the property.

@Jay Hinrichs Nice! Mini Mark Cuban.

@Zack Tomlin

@Account Closed makes a good point. When agents talk about the value of commercial office they normally talk in terms of $/sqft. So if you're trying to figure out what a building is worth you look at what has recently sold and that is comparable. That's the market rate.

So for example Building A is a new A-grade building with 10,000 sqft. Building B, C and D are all A-grade buildings that sold in the last 3 months for $480/sqft, $500/sqft and $520/sqft respectively. From this I determine the market rate for A grade office space is approximately $500/sqft. Therefore Building A's estimated value is $5,000,000 (500*10,000). NOI on Building A is $250K therefore the resultant cap rate is 5%.

@Jay Hinrichs Thanks for sharing your view. Something to keep in mind. 

I like your door knocking approach, that's ballsy.

@Rick H. your advice is much appreciated. I will also have a look at what they've posted and see what their feedback is.

@Sean OToole thank you, will do!

Yes if you are trying to sell your brokerage services.

Just get your standard offer form. Usually State specific. There should be a conditions section. Put subject to inspection.

I have a friend who made ton of owner financing offers. There's an unlimited amount of combinations.

He would actually present an excel file showing his offer vs competing offers.

I'll give you an example of what my friend would do:

Asking Price: $500,000

Offer as follows:

Purchase price: $550,000

Interest rate: 3%

Amortization/Periods: 40 years

Down payment: $5,000

The idea being for him that he has a low monthly payment and can refinance when needed as the value of the property goes up. Some times you can structure the deal so that the owner pays you instead of you paying a down payment. There's an unlimited amount of possibilities. 

You only get what you negotiate!

@Rick H. thanks for you comment. I completely agree on the high equity low loan balance.

The data I have access to is countyrecordsresearch.com, not sure if you've heard of it. At first glance looks like both sites do very similar things but I'll probably check out the free trial and see how it is.

Let's assume these borrowers are receiving multiple direct mailings from the day the default is recorded to the day of the trustee sale. Do you have any recommendations on how I can make my direct mailing stand out?