All Forum Posts by: Brent Hill

so a wrap is what I was thinking...here is the scenario

Purchase price:  130,000

Down Pmt:  $7150 (covers their back taxes)

Terms:  122,850 at 5% amortized for 30 yrs with 5 year balloon

Terms to my buyer:  $148,000 , 20% down, 2 pts, 8% interest on a wrap

I have a seller that agreed to owner financing on a property.  I want to assign the contract to a contractor/investor that has already looked at the house and wants to buy it with the terms I have negotiated plus the assignment fee.

Do I just have the seller and buyer setup the note between themeselves and have my buyer sign the assignment contract?  I could have my buyer create a wrap around with me and I could collect the difference but that almost seems too complicated.

Also, have you every collected part of your assigment fee up front and then the remainder in installments?  I was going to collect 5K up front at closing and then the other 5K in two payments.

Thanks!

I advertise mine on the MLS in Florida as cash only to avoid some of the problems you are talking about...hard money works too.

@Carlos Cavasos  Welcome...as of March 1, a former @Michael Quarles student.  Let me know if I can help out...you are in a great program.

I am on my 3rd deal with some other decent leads in my funnel, but I wanted to give you the numbers from my 1st deal that I finally closed on last month.  I credit listening to MQs and their coaching program and the many, many great people I have met on this journey for helping have the knowledge, the courage and the needed education and skills to do this first deal with very little of my own money.

Contracted Price:  $73,750

Sell Price:  $93,000

Closing Costs:  2488.39

Commisions:  2790.00

Approx Net:  $13,971.61

I listed the property myself so I saved some cost there and the property was occupied creating a problematic situation for showings so I feel like I could have sold it for more if it would have been vacant and the occupant would have been more cooperative.

I double closed on this deal and orginally had transactional funding setup with @David Dinkel but the title company was able to fund the frontend transaction with funds from the backend transaction.

It wasn't a homerun but it was a nice payday and the wisdom I gained and relationships i built going through this very difficult deal was well worth it.

I kinda agree with @Tom Krol when I hear him say on his podcats is that this isn't really as much about real estate as it is about sales and marketing and working with people and building relationships.

If you have any questions, feel free to sent me a friend request, message me, call, text or email.

yes, you will have 2 contracts:  a "front end" beweeen you and the orginal seller and a "back end" between you and the new buyer IF you want to do a double-close with 2 separate HUDs.  I double close all my wholetail deals...closing costs are a little bit more but it is made up in the extra money earned by wholetailing it.

Your brokerage may not want you doing an assignement where there would only be 1 closing and 1 HUD and especially if no commissions are going to be paid.

If you do double-close you may have to hold the property 60-90 days to get around any possible lender seasoning requirements.

@Raphael Vargas  I, and I know of others, who are wholetailing just like @Michael Quarles teaches here in Florida.  Using transactional funding if needed but can do simultaneous close if needed.  I am prepared to buy any of my properties to flip with hard money and is one of my exit strategies.  Buy at least at 70% of as-is value and you will have no problem selling.

Anyone have a purchase and sale agreement they use for mobile home?  I am purchasing it then wholesaling it..perferably something used in Florida

@Lee S.  Thanks for the feedback.  Are you continuing to use just his post cards or do you the different marketing pieces each month?  Yes, give us some feedback on the call center.

@Steven Leigh  No doubt he is not in the business of making marginal profits.  I don't see what he offers any different than most out there selling products and services.  Some people are looking for direction and are looking for a little more "hand holding".  They don't want to worry about overthinking every little aspect of marketing to sellers.  I believe most people should be responsible and discerning enough to take the information provided and use what they feel is valuable.  I for one have listened to all of his podcast and I certainly did not use all of his materials, but the ability to discuss contracts and any question you have along with all the other training, contracts, forms, processes, etc has been very valuable to me.

$200 month is a steal if they are fielding hundreds of calls a month.  I spoke to another BP member who has his own call center tailored specifically for RE investors and the cost was $200/mo for fielding calls for only about 1000 pieces per month.  I know this person works in cooperation with another very well respected marketing expert here on BP.

I used my own list I obtained from other sources and they had my proofed and out the door in 3 days.  I got 1.1% response rate on the postcards.  My brother and I have used a variation of his script with some success.  We modified because we realized our business models were slightly different than his...we are local, they are national.  We are willing to work on thinner deals, they don't have to.

The bottom line is the value you get for approx $1200 for 6 months of coaching is very valuable and well worth the investment.