All Forum Posts by: William Robison

@Adam Shbib

Welcome to the BP..again.

The resources are awesome at the forum. Blogs can be very insightful too.

When looking at markets, focus on where you can find a reasonable cap rate with appropriate property grade risk. Sure, there are several areas where the cap rate can be huge, but there is an inheritant risk involved to be managed and measured. The midwest is a good, stable market area with good cap rates for the managed risk.

It appears that you have a good plan. Give some consideration to building your portfolio using a self-directed IRA that can grow your wealth without tax on capital gains. Using trusts will also give you added personal protection on top of an LLC. Given your profession, you likely understand these tools and their value.

All the best. Let us know how we can help you.

Only a guess. But, I would guess that the listing agent may be trying to double end the deal or work on a "buddy" deal for someone. Short sales are difficult to do and they may be trying to preserve both sides of the deal.

It sounds "shady". Depending upon local laws, they may be in violation of rules. In my market, it is a requirement to be listed at a short sale, openly. Check to rules.

Finally, this is old school, but still allowed and could be a good concept to try. At one time, it was not uncommon for a buyers agent to request to be present at the time of the presentation of the offer to the seller. This could be a really helpful tool in this situation to dig out the real truth.

Good luck, and remember, there are LOTS of other short sales out there to try.

@David Klick

Hello David. Welcome to Bigger Pockets. Ive been here a short time myself, but have found a great community.

Ive been in real estate in Kansas City for 10 years, mostly as a real estate broker, with some experience investing in real estate. Are there some specific things that I can help you with in Kansas City to help you get up and running?

@Shaun Reilly

Where do you see the ethical risk with RE commissions? If you offer a service to buy a property via marketing and you cannot fulfill that service, wouldnt you be doing the customer a favor by offering more solutions. I understand it if they have already talked to agents or have an agreement, but other than that, I dont see the risk.

There is that one marketing guru that talks about guaranteed sale of your home is 30/60/90 days, or I will buy it. Of course, this is at a discounted price. Which appears to be a very similar plan, just in reverse.

I certainly have made this approach numerous times. Conversation ends up something like this:

"I certainly understand that you are interested in top dollar for your property. My business is about helping people who are in distressed situations to get a solution that is viable for everyone. Since you are needing to get more for the house, maybe we should consider putting the property onto the open market on MLS. Typically, houses in this market area go under contract within ____ days on the market. Then depending upon financing, typically take about 30 days to close to allow time for inspections, etc. Would that be a solution that may better fit your needs?"

This leaves both options open. By telling them the average days on market, you are telling them that they will need to wait for a contract, then wait to close. All the while they have to worry about inspections. If they cannot manage this time or risk, then maybe they will reconsider your offer. Otherwise, you have a solid lead for a fair market listing.

Ive searched the forum with little luck to find a guide or book on Property Management. I have a decent understanding and 10 years of brokerage experience, but would like to validate my knowledge with a good guide or book on the subject. Any suggestions?

@Javon Dixon

Another place to start is one of the apps on the internet that allow you to plug in numbers and data to find cost estimates.

There is also this book that I hear about.....hint hint....on the BP that you should check out.

BP book on estimating rehab costs

@David Ruhl

Thats a really large can of worms....start with item one. Talk to the owner. I could suggest role play, but we all dislike that. Second....

Is the house listed or advertised for sale? I assume not if this is a challenge for you. In that case, go strike up a conversation or two with some FSBOs. Learn the conversation and how they flow, then go back to your targeted first seller with confidence and experience with the flow of the conversation.

We can work with you here on BP, but the community needs more details.

Let us know how things go.

@Account Closed

Are you still working investment property in the Kansas City area?

I have three teenagers that stuff envelopes for a very high wage. I call it room and board. All kidding aside, I have them address, stamp and stuff for about $10 an hour.

I would find out what the reasonable number that can be done in an hour and calculate a piece rate, meaning so much per piece. If they do all that I ask my kids to do, that may be about 20 cents a piece.