All Forum Posts by: Dena Zeid

thank you very much Eric Black for your valuable response. It was very helpful. I have one more question to better understand negative equity and short sales. ?? Does the property have to be in per foreclosure before a short sale can be done and does the property have to be listed as a short sale before making an offer? Or can I target preforclosures with negative equity using direct mail and if interested then they can bring it up to the lender?

thank you very much Eric Black for your valuable response. It was very helpful. I have one more question to better understand negative equity and short sales. ?? Does the property have to be in per foreclosure before a short sale can be done and does the property have to be listed as a short sale before making an offer? Or can I target preforclosures with negative equity using direct mail and if interested then they can bring it up to the lender?

thank you Anson Young for the reply. Just to make sure I understand this correctly. As an example:

The ARV = 200k

Repair costs are 15k

MAO would be 125k ?? What range of profit is estimated based on this calculation? To emit seems like there is a big profit margin but again my knowledge is slim. Is this a rule I should apply for any real estate investment?

I am very interested in REI. I am new and my knowledge is slim but I really want this. I can't seem to understand a few things about finding a good deal.

1. What's considered a good investment deal? At what percent below market value assuming renovations will cost 15k and the purpose is to flip?

2. Where do I find a good deal? MLS, shortsale, foreclosures, REOs don't seem to work since the big experienced investment moguls aren't allowing the small fish like me to breath!!

3. If a seller has equity in their home why would they be willing to sell for anything less than the market value even if they are in prefolrclosure? I can't seem to wrap my head around this.

4. Can a seller with negative equity sell their home for less than market value? I have read in a previous post that you should direct your mail to sellers with negative equity as we'll but can't seem to quiet understand.

Sorry for the many questions, again I am trying to learn and I have the desire to do this. Any reply would be greatly appreciated.

hi, I am new to this site and REI and am on this wonderful site to learn. Can someone fill me in on the 70% rule for wholesalers and where would I find these wholsalers? I live in New York.