All Forum Posts by: Account Closed

@Michael Olokode

I think I would just refer him to a real estate agent. Tell him he owes too much for me to help, and an agent could probably get him more money for the property. 

I don't know much about sub2 yet. I met another investor at a local meetup that does things like sub2 and other creative financing type deals. I would ask the homeowner if I could give the other investor his information so that maybe she could help him. If she makes a deal happen she would at least pay me a referral fee, and I would still build a good reputation with people for helping them. 

@Michael Olokode

I'm new to wholesaling but I wouldn't touch it. The owners owes too much. 

70% of ARV - repairs - wholesale fee = what you can offer.

$120k x .70 = $84k

$84k - $10k repairs ( just guessing) = $74k

$74k - $10k wholesale fee = $64k

This is just a guess but I would use a formula something like this. Depends on the real ARV and what repairs really are but in this example you shouldn't offer more than about $64k.

@Jordin Boyd

Congrats on your first deal! I'm going with your plan. If I get a good deal under contract, a buyer should be easy to find. 

@Account Closed

I have not wholesaled anything yet, but I am busy driving for dollars and sending out letters to people. I do not know any buyers. I do not have a buyers list. It makes me a little nervous, but I think if I get a good deal under contract, the buyers should be easy to find. I am tired of procrastinating and making up reasons to wait. I just had to get started. 

I'm looking for areas in Georgia to target for direct mail campaigns. I've heard that some of the largest profits a wholesaler can earn are from finding properties that home builders will want so they can knock the old house down and build a new one. I believe this is called infill. You find older, smaller homes in an area with bigger, more expensive homes. I think the Decatur area, especially around Emory, is a good place to target. Any suggestions for other areas that Georgia home builders are looking for these days?

@Michelle Forbes

That sounds like a great idea. I've actually been planning on doing that because I need some buyers in Georgia. Has this worked for you at all? Have any serious buyers responded to your letters?

@Gabriel Amedee

That's what I was afraid of. A company that owns 50 or 100 houses probably gets a lot of mail. My letter would get lost in the mix somewhere. Also, there is no telling who is actually opening the mail for all those houses. It could be an employee that is tossing out anything that doesn't look important. 

@Joe Bertolino

That sounds like a good idea. I didn't even think to call them. I assume that even though a large company owns properties, they still get rid of them from time to time, especially the poor performers. A bad property to a company that is out of state might be a good property for me because I live near it and know the area. 

Lately, I've been driving for dollars and sending direct mail to owners of distressed and vacant looking properties. When I look up properties on a tax assessors website, I sometimes find that the property is owned by an LLC that owns a lot of other houses. By a lot I mean 20 or more houses. Some LLCs own 100+ properties. Is it worth my expense and time to mail to them? If the property is owned by an individual, or a very small LLC, then I always mail to them. I figure they will at least open my mail. I'm not sure about the big guys though. What would you do?

@Warren Higgins

Welcome to BP! I'm also in Henry County. I'm always happy to see other Georgia investors on BP!