Quote from @Joe S.:
Quote from @Jamie Parker:
Quote from @Joe S.:
Quote from @Jamie Parker:
Quote from @Joe S.:
Quote from @Jamie Parker:
Finally got a walk thru of the property, now I don’t want to make an offer.
This year I have been very intentional about input:
- Phone calls
- Conversations
- Networking
After a conversation with a large local home buyer in Memphis, I found a property that may fit their model.
Called the seller while he was in the dentist office. Had a good conversation about his assets in the area as well as the situation with the property. Based on the conversation I decided to send a "AdobeSign".
As the expiration of the offer approached, I reached back out. The seller wanted to show the property prior to making an offer. Makes sense.
Agreed with the sellers sentiment to view the property. So I arranged the large local home buyers to meet at the property.
The place needs extensive work. No other way around it. The seller purchased the property to do a favor for someone and the person died. The property isn’t worth what he paid for it. After the project managers left, I sat there and just talked about real estate, family and what he has done to amass 60 multifamily units in the Memphis area.
I realized in that conversation, sitting in disaster, I didn’t even want to make the offer.
I may have the best opportunity for relief.
Strange feeling, but that’s where I was.
In the last 6 months, I have heard some of the worst situations that sellers have been in. Wholesaling remote, it is easy to keep the transaction,...transactional. Going on the first face to face with a seller in years, even after getting 2 deals to the table, this one was tough.
Stating the obvious, there is no replacing "the number" but I literally didn't have it in me to say it at that moment. We talked about everything but "the number". Learned about his children, learned about the 60 units of apartments he owns and how he manages to keep the expenses low. I will follow up with the seller but I guess I just had to get it out.
Have you every experienced anything like this?
I’m having a hard time reconciling your title and what you’re actually saying in your post.
I’m not sure what you’re saying.🧐
I’ve been wholesaling remote. On this one, literally sitting there with the seller, in the property, it was a lot to take in. I will call the seller again to make the offer. Didn’t have that words, knowing the situation, lost my game face in that moment and I knew it.
So are you saying it’s harder to work with sellers if you see them in person?
This time it was tough.
I understand from a point I suppose. I primarily buy local so I actually go see the sellers and the property in person if I can. We cherish the opportunity to work directly with the seller.
When I go to meet a seller at their property, I am not just going to see the property… the property a secondary. I have had sellers agreed to owner financing as well as sellers to take steep discounts, as well as sign a purchase and sales agreement with me on the spot.
When I walk a home with the seller, I am waiting for opportunities to interject a statement or question. I am waiting for a seller to let me in on any sort of motivating factor or insight that could help me put together a proposal.
PS maybe one day I can get hooked up with a pro such as yourself that can show me how to do it over the phone. :-)
Building rapport over the phone, you are listening for motivation, same as in person. Difference is, because I’m wholesaling, for rehabs, can I get the price close enough for the end buyer, so that I do not have to go back to the seller for a price adjustment? Most properties I’m looking at are for infill development when working remote.
Properties like the one I’m talking about in this post; distressed but I could drive by. Conversation is no different, motivation is definitely there, but telling someone, face to face, for this deal to make sense; 1 they over paid for the property, 2 they are gonna have to take a 40k loss in less than 12 months. That is brutal.
He can’t rent the property, at his age and capacity, he can’t rehab the property. actually if he tried to do the work, it would probably turn out worse. For me it is also a reminder: the numbers have to work. If the deal doesn’t make sense, it’s no deal.
