All Forum Posts by: Glen Andrews

Jeff,
Do you need a full script for an 24 hour information line? or a script to give to your live operator to collect certain information?

Let me know I have scripts for any situation. I am just not exactly sure what you need.

Alex,
You can get a list of homeowners in foreclosure by purchasing it from foreclosure provider in your area.

The best ways to find motivated sellers is by using specific lists. If you want junkers you send postcards into a specific carrier route in a specific zip code of lower end properties.

If you want Subject to deals get a list of expired listings from a realtor in your reia group. This is where I purchase 75% of my subject to deals.

If you have a limited budget than by all means driving your area like mike suggested take down the address and mail a postcard or letter to the owner. If you really tapped for money you can knock on the door if you so choose to.

I have students who put out 25-50 signs a week and they receive 25-30 leads a month.

Your best prospects to target are Pre-foreclosure, Expired Listings, Probate, Bankruptcy, Landlords just to mention a few.

It all comes down to your goals and how many properties you're looking to buy.
Like in any business big or small if no one knows what you do you'll never make any money.

Whatever you dicide to do to market yourself and your business make sure you don't market yourself to look like everyone else. If you want a GREAT book on Marketing let me know.

Matty,
In my first year I did 16 deals total.
On one deal I made $72K Net.

Here are the numbers I bought the property for $110K. I put 12K into it to fix it up that I borrowed from my mother and paid her 15% interest.

I actually borrowed $20K total for fix-up and holding costs. I then sold the property for $210K. This property was on a lake in a very nice area in Lake Mary, Florida. This was a probate property.

I did 7 Wholesale deals with paydays ranging from $5K - $15K.

The remaining deals were all fix and flip and I used NON of my own money to do these deals.

I used hard money lenders who I found at my reia club. They only charged 1point and 16% APR.

I still to this very day will NOT use my own money to fund deals or go down to a bank for financing. I use Private Lenders and I pay them 15% APR Accrued Interest and NO payments until the property is sold.

I'm finishing up the paperwork on a deal in Greensboro, NC where there are 22 unit apartment and 34 seperate duplexes and quadraplexes. The Owners mismanaged them. They now need to sell. They only owe $572K the 22 units alone appraised for $910K.

The owners are letting us take it subject to for the balance owed and my private lender will loan whatever we need to close and fix-up the properties.

Today I won't purchase a property unless I'm taking it Subject To the existing financing and I will not sink my money into any deals. This is what I mean by Investing the right way.

Davin,
There is NO stupid questions.
Lets say you have a property worth $100,000.00 in order to use a hard money lender you would have to by the property at $60,000.00-$65,000.00 Dollars. Hard Money Lender only make loans up to 70% of the after repaired value.This would leave you with room for an assignment fee.

60-65 is the percentage on the retail value of the property or the after repaired value.

Alex,
you only need one clause that says...
Buyer has the right to inspect and approve prior to closing.

This gives you the right to back out all the way up until closing.

If you're making offers to realtors then "Diggs" is correct but if you're making offers to motivated sellers like you should be then it makes no difference.

Davin,
You need to be looking in your lower income neighborhoods for junkers to wholesale to rehabbers.

1. Have you had any training?

I would suggest you get involved with your local reia club (real estate Investors Assoc).

Let me just clrify something. I said lower income neighborhoods NOT war zones.

Build yourself a buyers list at the reia club and find properties where the rehabbers want properties.

You also are going to need to put these under contract at 60-65 cents on the dollar depending on the fix-up costs in order for you to make a profit on the assignment.

Hope this helps!

Michael,
The challege with what you're saying is that most investors are un educated. They only know how to fix and flip. Which makes this a "Fantastic" market for those of us who can find a solution for almost any situation.

The ones who think education is expensive are the ones running for cover. The investors who are able to buy property creatively are going to be in a "POWER" position when the market re-corrects itself. So as it should be, the educated get rich while the uneducated go back to work.

Clint,
There's a couple of ways to locate possible seller financing.

1. Sellers who own their home FREE and clear.

2. Landlords who have several properties. In most cases it's only a matter of time before landlords get tired of dealing with tenants. I have had GREAT results using this technique.
The landlord wants cashflow just not the tenants. So they are very flexible sellers.

3. You can also take over existing loans "Subject To" but you would need to be educated on this particular strategy.

To locate these individuals go to Melissadata.com and ask for Free and clear properties in your area by zip code or county.

To locate Landlords go to melissadata.com and ask for absentee owners in a specific zip code or county.

Once you have the list send them a personal handwritten letter or postcard See my article on Marketing for success.

Hope this helps!

Davin,
The basics to real estate investing are

1. Wholesaling
2. Retailing
3. Subject To Investing
4. Lease Option
5. Options
6. Short sales

If you're going to get into real estate investing you should learn them all or you'll be passing up deals where you otherwise could have made money.

Hope this helps!

Hubert,
Find your local reia (real estate investors Association) and ask someone there for a hard money lender. You can also ask a mortgage broker in your area. Just make sure the broker is reputable.

If you google real estate investors association you should be able to see if their is one in your area.