All Forum Posts by: Kelly Byrd

I wonder if something else depends on that price for the seller, like a contract with a partner or the price for a 1031 exchange or something? 

So lets say I offer $200K on a property listed for $200K. The seller countered with $220K as the price, but with a $20K credit to me at closing, along with a few other changes to my offer. There must be a reason this is better from the seller's point of view, but I don't know why. Can someone here enlighten me?

some ov this iz sepelled wrong 

Just tried it this in two different web browsers. Works for me. I attached an image.

Heh. I was already doing this, but I work in the Computer Security industry so I tend to be paranoid by default.

If you're using an agent and it's a residential property, then the seller typically pays 6% of your purchase price to cover the commissions. Also, you should add anything you might negotiate to split with the buyer. Some purchase contracts from a buyer will specify the buyer and seller split an appraisal or title insurance or similar.

You can of course negotiate all this, or you can not use an agent and market the place yourself, but then you should estimate those costs.

I started at podcast #1 around August of 2016 and just got caught up...wait no. I'm a week behind. Damn! Being completely honest, I didn't listen to every single one. I skipped 3 or 4 of the early ones based on the title. But somewhere around #30 I just dug in and listened to all the rest. There is almost always something useful in each and at the very least, having the constant stream of REI talk in my daily life finally moved me to make a plan with my wife and get our first property...which closes today!

A tip that helped me:

The podcast app I was using lets me speed up or slow down the audio speed. Try slowly increasing it, but make sure you can still understand it. For some guests that naturally speak quickly, I had to slow back down to 1.0x speed. If you find yourself asking: "what did she just say?" stop the podcast, concentrate on driving instead and the remember to re-listen at a slower speed.

Ahh, got it. So that process would work like this?

• Wholesaler finds a deal, puts it under an assignable contract, files the Memorandum of Contract with the county

• Wholesaler markets the deal to buyers.

• If a buyer shady and tries to circumvent the wholesaler, the title search will show the MoC and a title company won't write a policy?

Ok, so it sounds like it is unusual for a buyer to have to sign an agreement up front explaining the relationship and spelling out that the buyer won't go around the wholesaler.

@Joe Splitrock: The property was currently being managed by a PM so we got rent roll and T12 showing income and expenses from the PM. The PM sat down with us and went thru individual invoices or explained charges that looked odd. We did end up with last year's tax form and matched it as best we could.

As it turns out, before finding this property, I had separately interviewed and decided to use the same PM that is currently managing the place, so in this case transferring deposits and rent payments is easier than it otherwise would be.

Thanks @Chris Bounds. What is a "Memorandum of Contract"? 

I'm a new investor about to close on my first property. It's out of state and as part of looking for my next deal, I've begun talking to a few different people local to the area to find wholesale deals in addition to my RE agent. 

One concern I have run across is that people are nervous about me going around them directly to the seller. I totally understand this concern, I will not go around anyone, it's just the wrong thing to do, but since I'm new, I haven't built a reputation yet or a relationship with these specific people. 

How do wholesalers typically handle this with new buyers? Is there a buyer's agreement or similar?  I've heard the term "non-circumvent" agreement, is this done per property or for a set period of time?