All Forum Posts by: Matthew N/A

My question was how do people find foreclosures that are AVAILABLE for purchase with out a realtor. Yes, anybody can sign up with realtytrac.com or foreclosure.com and see thousands of foreclosures and pre-foreclosures, but trying to buy one of those is nearly impossible.

I have dedicated the past 3 years working with banks and asset management companies to help market and sell their REO's. I have a senior partner who has over 200 listings at any given time from Fannie May, Wells Fargo, and Countrywide.

We are absolutely swampt with REO's in Illinois in should stay extremely busy for the next 4-5 years.

When I started off in this business I was not a Realtor. I became a Realtor to open up more opportunities for investment properties. Now, in a course of any given month I will easily see over 50 foreclosured properties. Part of my job is to do a BPO(broker price opinion) and evaluate the home.

My point is, that how do people who do this part time find great deals with out dedicating some serious time and effort. Also, how do people evaluate these properties to ensure that they are making a profitable investment.

Running comps and evaluating deals takes a legit professional who eats, breathes, and lives this game every day. If you have been successful with out using a Realtor then I would like to know how you do it. I am always looking for more strategies to increase my inventory of profitable deals.

Please don't take this as a bash to unlicensed real estate investors. I am just confused on how some people with out the experience, resources, and the tools that some Realtors have are able to find profitable deals.

Please share how you find your deals.

For others, find a Realtor like myself in your area and see what they can give you. Never sign anything with them locking yourself into using them. That is a sign of a weak realtor. If you live in Illinois, please feel free to drop me a line.

I could not agree more with John. You have to be very careful about state laws and company rules. I happen to work for a small brokerage with very little rules and have complete autonomy in my work. But I still have to becareful that I keep everything on the up and up. One mistake can cost me thousands of dollars in fines and possible even loose my license.

Question for wholesalers... Has anyone had problems with the mortgage company funding a transaction that has a contract that has be assigned to somebody else? I am confused to how it all goes down and how the wholesaler is paid. As I stated before, I take my fee as a commission, but how does it show at closing for a wholesaler?

Thanks

HI,
This really works well if I put any ads or signage that says "I Buy Houses".

The people who respond are in need of selling quickly and don't have the time to be listed on the MLS.

If their bottom line is low enough I will quickly send the opportunity to my investor clients. If the home owners asking price is close to retail for their home I tell them that it will be impossible for my investors to purchase the home.

If they are asking too much or close to retail I will push a full service listing. If their price is low enough I won't need a standard listing because I have tons of ivestors that will buy the property.

Real Example:
A gentleman called me and said he had inherited a significant amount of money and he wanted me to find a buyer for his townhouse. He said if he got 115K he would be thrilled. I took his info and ran the comps for his property. To my surprise, the other townhouses where selling between 160-170K. His unit did need about 10K of upgrades/repairs, but after repaired value was 160-170K. The home was worth 145K as is!

Here's what I did next. I had an investor looking in that area and I sent him the details. I told him the price was 120K, and there would be ZERO negotiating.(Remeber, the seller need 115K). I sent the seller a commission agreement of 5K to sell the home. Once he signed it I brought my client and his partner to view the property. Then we wrote up the sales contract at 120K.

Everybody won! The seller got his 115K(he still paid his other closing cost), the buyer got a great investment(25K instant equity) and I made 5K.

Oh, and yes you have to put it through your broker to keep things legit.

The bottom line you need investors and you need sellers to make this happen. If you don't have investors that are ready to pull the trigger if the numbers make sense, you will need to find them.

I hope this helps.

You have to check your state laws for what is called a "Net Listing". In Illinois "Net Listings" are allowed.

Is a "Net Listing" ethical? Yes. Unless you are holding a gun to someones head to force them to sign the agreement or if you misrepresent what the agreement is.

Most sellers are not interested in doing a "Net Listing" and I would never push that on them. There are situations where somebody needs to sell quick to avoid foreclosure where a net listing is in the seller's best interest.

For most people they have time to sell and get the best price. For others, they need to sell now or they will be in some serious trouble.

Hello,
I am a Realtor who mainly deals with REO's. My whole life is dedicated to helping people buy and sell bank owner properties.

Please send me an email

I will send you some great REO's that are available in your desired area.

I look forward to your reply!

I know that there is a push nationwide by NAR and other Lobby groups to make wholesaling without a License Illegal.

If you are serious about making a full time living off of wholesaling properties you should just become a Realtor and do it legit. I don't understand why more wholesalers aren't Realtors.

FYI, Being a Realtor rocks. I make my own schedule, live on my terms, and make great money. Plus I am on the inside of all the good deals. :beer:

Don't make it too hard on yourself. The easiest thing to do is to get the home owner to give you their bottom line price. Once you have that, add on your commission and that is your price to other investors.

All I do is have the home owner sign a FSBO commission agreement and find a buyer. I have made some great money doing it.

Forget trying to wholesale the contract. Your a Realtor and there is no need for do that. Wholesaling will be outlawed in most states in the next few years.

I would like to know how people find deals without a realtor. Please tell

I don't know why it took me so long to join this board. It rocks.

I want to introduce myself to everyone here.

I am a Realtor and active investor that makes a good living off of foreclosures and pre-foreclosures.

The biggest problem most investors have is finding the good deals. I spend at least 2-3 hours everyday searching for great deals. I work one on one with my clients/investors to find them deals that fit their budget, area, and experience.

I also have an LLC with my partners and buy foreclosed properties myself.

I am completely obsessed with Real Estate.

My email is in my signature so feel free to send me a "wish list" of what you are in the market for and I will send you properties that match.

Also, if any newbee has any questions about buying a foreclosure or short sale feel free to contact me.