All Forum Posts by: Mike Schorah

How long would it take to make $50k in commissions if you’re working 40 hours a week outside of a full time job mainly cold calling to get listings?

Marketing to 5 counties with a median combined home price of $400k.

With 1-1/2 years of experience as a wholesaler.

What should someone expect when marketing to properties that are headed to auction in 7 days?

I’m starting to realize a few things about properties headed to auction:

• - There seems to be some interest off of lists that are 90 days until auction. The issue is that there are little to no properties on this list.
• - There is a healthy amount of properties on lists that are 60 days until auction. The issue is that 50% seem to have vacated their residence.
• - Roughly half of people I make contact with flat out lie and say that they were never in pre-foreclosure. And the other half insist that the bank is going to come to their rescue and do a loan mod.

Marketing when the N.O.D. Is filed compared to when it’s scheduled for auction is definitely 2 different worlds. It’s like comparing a shocking event (e.g. watching Russia invading Ukraine on TV) to a zombie apocalypse.

I read someplace that 60% of pre-foreclosure deals come within the final 3 days before auction. Does that mean you have a very low contact rate due to most people vacating but yet a very high close rate due to people snapping out of it?

Someone going to jail for 2+ years for DUI, battery, or theft?

Would they get their house back once they get out of jail?

A big market with a lot of competition like NYC, DC, and Miami vs a small market like Ohio, the Florida panhandle or north North Carolina?

$3k vs $10k?

Started working with property owners who are 60-90 days from auction. Most seem thoroughly convinced that the bank is going to come to their rescue and strike a deal.

I understand the denial that’s going on, but how likely is it that a bank will still do a loan mod if a judgement is filed?

Saw a property going to auction on 12/8. I normally don't mess with pre-foreclosures over $350k (or this late in the process) but this one would have about an $8,000,000 ARV and they only owe $4.5 million.

My HML never specified a max amount for his pre-approval. He just told me to fill in the blank and if it's a good deal, he would fund it (If I was to flip or BRRRR it).

I'm tired of making 10,000 cold calls myself. The VA can figure out if the prospect is interested. Then I can take it from there. Or is it a bad idea to give VAs probates to call? Would that really upset the executor/personal representative?

And it might not take 10,000 calls. Maybe it will take 5,000 calls because I’ll be using Batch Skip Tracing instead of Mojo Skip Tracing.

I hear the United States government is working actively now because there is so much pressure on creative financing to find ways to restrict it.

Thanks. I’m sure what you’re seeing or that analysis is better than mine.

I was mainly going by the number of book reviews on Amazon. Of course, BRRRR seems to be the most popular strategy. As of me typing this, there are 5,479 reviews on Amazon for David Greene's "Buy, Rehab, Rent, Refinance, Repeat". J Scott's "The Book on Flipping Houses" has 1,802 reviews on Amazon. Todd Fleming's "If You Can't Wholesale After This" has 1,695 reviews on Amazon at this time of typing. Pace Morby's "Wealth Without Cash" has 583 reviews on Amazon.

I’m sure the year published also reflects a change in trends. “Buy, Rehab, Rent, Refinance, Repeat” was published in 2019. “The Book on Flipping Houses” was published in 2019 (At least that’s what it shows on Amazon. I am aware of an earlier copy coming out a decade ago.). “If You Can’t Wholesale After This” was published in 2019, although I think the first copy for that one came out around a decade ago as well. And Pace Morby’s book was just released. So I’m sure the high number of reviews in the short amount of time could show a shifting trend.

Is it because most people don’t like marketing? Is it because subject to’s can be very risky in terms of the certainty of making payments and the potential loss of equity built? Is it because people don’t want to deal with penny pinching landlords when doing owner financing? Is it because there’s a lot of drama with pre-foreclosures? Is it because it’s tough getting expireds on board? Is it because people don’t like the scammy look of finding off market properties?

You can lose a ton of money flipping homes… I’ve talked to people who have lost $10k-$100k. It’s very difficult finding contractors in this market unless you’re doing 10+ flips a year. And what about all the money lost when you sell the property and pay closing costs and agent fees?

It must be the time factor. Flipping a house takes way less time than doing creative finance.