All Forum Posts by: Mike Lee

Hi Guys,

I was wondering for sellers that aren't that motivated to sell so quickly, will it be okay to negotiate pay terms for a conventional loan? I figure that it will save my buyers money over a hard money loan, and will also allow non deals to become deals. The contract will then be assigned to another investor.

What criteria will property need to meet in order to be eligible?

How long will closing take?

Any help is greatly appreciated.

Thanks in advance,

Mike

Thanks Wheatie. How did you come up with your Max price? Is there a formula for that?

Thanks Mike,

So at what price would it be a good deal? If I can get it for 75 and wholesale it at 78? Repairs aren't needed.

Hi Everyone,

Haven't posted on here in a bit. New to wholesaling. Still working on first deal.
This is for a townhouse:
Comps show 115-125k (6 months back w/in .5mile) ~120 conservative.
Tax value is 95k.

Property is tenant occupied @ 800/month. Has lease through next year.
Owner (happens to be a Real estate broker) will sell for 80k.
Property doesn't need any repairs and sounds like is in great condition.

Is this a deal? The way I see it, even if I wholesale it at 83k, it's =69% LTV with no repairs needed and ~37k in equity.

Any help is greatly appreciated.

Thanks,

Mike

Thanks Rehab,

Maybe it's me. I'm new at this. At first she was trying to shoot down my idea, by saying it's really hard to find a seller willing to let you control the house for a 30 day inspection period, and willing to sell the house cheap enough to allow me to assign the contract and make a profit,etc.

Is it best to provide full disclosure to seller before going to close? Kinda thought about saying something before closing like: "I got good news and bad news; bad news..I'm not buying your house. Good news: I found someone else who is going to". ...or something like that.

Mike

I met with a RE attorney who works at a title agency and she strongly recommended not to use the Purchase agreements contracts that I got from a wholesale kit. This attorney didn't even look over the contracts I had. This attorney recommends using her to draw up the contracts, which she says are the same ones the BAR uses/recommends. I'm not sure if I should look for another attorney or what.

This attorney charges $250 to draw up the contract, and let's me know at the time I pick up the contract if there is anything wrong with the title. When I tried to explain the whole "wholesaling thing/assigning contracts" it was like a rain on my parade. This lawyer said I'm acting like a broker and could cause for problems when the seller doesn't know about this and they see the assignment fee. She recommends full disclosure.

Anyone experience anything similiar? Should I keep searching for another lawyer?

Any help is greatly appreciated.

Thanks in advance,

Mike

Database filtering logic. One should be able to sort investors/agents/lenders by state/region /etc. This will make it more user friendly so one doesn't have to click through 350 profiles to get to 2 investors in their city/state/region.

Mike

Thanks Mike. I'll be putting all my ducks in line throughout this semester.
Mike

Okay...so I've read a few books and still am continuing to read. The semester just ended so I have much more time now over Christmas break. I've also been reading on these boards (btw...any other boards recommended?). I still have yet to go to a REIA meeting. I know I have to build my buyers/investors list, and I also have to see a RE attorney to run my purchase agreements and assignment agreements by him/her. I still have to make connects with a title agency. In other words, I still haven't even started. I'm putting together a spreadsheet to figure out what the start up costs are going to look like. I understand that as a wholesaler, a good deal of my success lives and dies with marketing/networking.

1.)Out of curiosity how much did most of you wholesalers start off with? Would $500 suffice?

2.)In terms of percentages, how do you recommend one break down his marketing budget? I'd like to use every method known to man, but realistically 100% direct mail letters/postcards will probably be my initial method. I just see it so efficiently in terms of man hours I'd spend pre qualifying leads. These leads would be coming from the common subscription based foreclosure sites.

3.)What methods have shown you guys the greatest ROI?

Any help is greatly appreciated.

thanks in advance,

Mike

Did you consult with or have a real estate attorney make your Purchase agreement?

You amarillo Texas guys are real helpful. You and that Ryan Webber. Actually there's a few others. Awesome informative posts. :wink: