All Forum Posts by: Shannon Feol

Call the listing agent and ask them to write the offer for you. Usually they are required or prefer to use specific state/board forms. Don't be afraid to be assertive. A lot of the REO agents (that I know, at least) are overloaded and won't give you the time of day if they don't think you're really going to buy.

(i.e. "Hi Mr/Mrs listing agent, I am a seasoned investor who wants to make an offer on "x" listing..what's your fax #? I'll go ahead and send you my proof of funds. I'd love to stop by today and sign the offer so we can get it submitted. What time would be good for you???")

The agent may roll their eyes at a low-ball offer, but the bank seller sees them all the time. They see the same comps you do, and it doesn't hurt to ask the agent to point out to the asset manager some of the recent low comps in the area to justify the offer price.

Wholesaling is be a GREAT strategy for making money with investment property! On paper the process is simple, but if you miss or skip a step, you could have big problems. You may have to make 20 offers before you put a house under contract. Also, you have to find the RIGHT deal. You'll need a highly discounted property with enough of a "spread" so you can get your commission. I have assisted in over 100 wholesale deals in the past few years. Some of them go just as quick and smoothly as can be, others have been a nightmare.

One suggestion on your process: Make "find and end buyer" your first step (A). Or call it "build a buyer's list". The qualified end buyer is the most important thing, without one you don't have a wholesale deal!

Mike - I like your ideas. I am a licensed Realtor and work almost exclusively as a buyers agent for my husband who is a investor/wholesaler and we are big advocates of using a Realtor for investing (especially as a BUYER).

Ask any newbie investor how to write up an offer or if they really understand all the terminology in a 40 page bank addendum and see what they say. Are they aware of any disclosures that should accompany the contract? The agent will handle your paperwork and correspondance, schedule the closing, meet the appraiser, etc, so that YOU don't have to. All you do is sign on the dotted line. Good Realtors should make your transaction headache and worry-free. They have MLS access, sales data, and can get you showing instructions quickly. They also make it a lot easier to bid on HUD and VA properties.

A few other thoughts:

-"Low-ball" offers are less offensive than you think. Bank sellers especially see them all the time. Most of our best deals started with low-ball offers, they are not always a waste of time!

-Don't be afraid to shop around for a Realtor...95% of them aren't going to have a clue about effectively helping you buy/sell investment property. A good place to start looking: try and find a Realtor that is a member of your local REIA, they are probably the one you want to know!

*side note: be careful if an agent gives you their login information/password for MLS access. In TN it is ILLEGAL and he/she could lose their license (not sure about other states.)

As an investor you won't need a Realtor on every deal, but they can be so helpful when you need them!

Sounds like there are a lot of "ifs" in this situation. As Steve said, there may be other liens on the property, as well.

Also, most tax lien experts will tell you NOT to make any repairs/alterations of any sort or place a tenant until AFTER the 12 month redemption period is over, so you will be holding the property as-is until next May.

Just because someone is selling a home study course, has a a "boot camp" or gives you a special "bonus" with your purchase, doesn't mean they are a scammer. It all depends on if you truly take the material seriously, study, and execute.

Nothing is more important than educating yourself - especially in the world of real estate investing. My husband and I have invested in thousands and thousands of dollars worth of educational materials from real estate "gurus" and have never felt scammed. We have turned that education in to a very successful real estate investing business.

I wonder how many people who have felt "scammed" have honestly and seriously spent time studying and applying the information in the educational material???