All Forum Posts by: Stephen Morales

Quote from @Ali Abdi:

Hello,my name is Ali. I’m new to real estate but extremely motivated to succeed, especially in wholesaling. I’m committed to putting in the work, learning from experienced investors, and building something great. I’m excited to connect, collaborate, and make an impact!

 Hi Ali, 

Welcome to BPs, are you looking to do wholesaling in Phoenix? What current strategy are you looking to implement for acquisitions? 

Quote from @Joseph Jakubik Sr:

I have a few vacant land properties that I'm about to put under contract. I saw a podcast from a bigger name land flipper that you're able to market/list a lot if it's in your contact with seller. Also added a clause that the buyer could back out at any time. The goal is to find a buyer without using your own money. I was wondering if this is true? I was under the impression that I needed the deed in my name to list the property. Has anyone ever done this and how was the contract worded. Thank you.

*Not Legal Advice*

Your purchase agreement should layout a marketing clause and you should also disclose in the listing and marketing that "this is an assignment of contract" since you are selling your interest in the contract. If you list it - brokers will sometimes put on the listing "Contract holder selling equitable interest" or something of that nature. 

If you want to make it very clear you can have the Seller sign a limited POA (but your marketing clause should go over this in depth) if you plan on listing it on the MLS. You would also need a broker willing to list it for you.

When in doubt, talk to a real estate attorney.

Detroit can be a good market to invest in because it offers low entry pricing with revitalization happening in some areas. Detroit also has a very strong rental market. I would focus on solid homes, block or brick if you are personally investing and expect higher rehab budgeting compared to the average city. 

As far as areas, our users appear to target these zips: 48221,48224,48223,48214,48219 with the high end zip codes being 48206,48226

Quote from @Eshe Harvey:

Currently working on a wholesale deal where the seller is asking $289,000. She recently reduced her price by $10,000, but comps in the area suggest she is still about $50,000 overpriced compared to similar homes. Buyer is willing to pay $260,000. Ideally, I would have liked to negotiate the seller down closer to $250,000 to secure higher assignment fee. However, based on the seller's pricing expectations it may make more sense to adjust the assignment fee just to close the deal, secure the commission, and move on to next deal. 

I have been like a madman all day, working back and forth through emails between seller and buyer trying to lock it up. I may need to bring up the fact that the property has been on the market almost 60 days, and she has already reduced the price by 10k. That says a lot about the true demand. If she is serious about selling, it might be wise to come to an agreement now -before more days on market weaker her position further.

For seasoned wholesalers or anyone who has experience - is it common to adjust your assignment fee slightly to secure a close, or is it better to hold firm even if it means risking the deal? I personally may just lock it in and move on. A win is a win. 

Appreciate any insight (feel free to inbox me directly as well if you would like to share any insight) - will figure this out anyway.  

 This business is all about speed. Spreading yourself and bandwidth on deals that you're going back and forth on is hardly ever worth the extra effort. If you can secure a deal and you end up losing 10-20% on your original assignment, who cares. 

Take those funds and allocate capital on fueling your business further and keeping that pipeline operating like a well oiled machine. 

Because this is your first wholesale deal, I can see why you're really wanting to get as much as possible. Listen, take the money and reinvest. Time IS MONEY. You are wasting time if this deal falls through or takes an extra week to negotiate to make an extra grand or two. 

Quote from @Jeff Wolfe:

Does anyone know of a listing service to sell Alabama Tax Deed properties. I have several Tax Deed properties within Coffee and Butler Counties (vacant city lots) that I would like to sell via Quitclaim Deed.

 Not sure about listing services but there are certain companies that can provide certificate of title and title insurance on properties that have been obtained via tax deed. Let me know if you need a contact I have a company that we use for our tax deed owned properties that we sell. 

Depends on which markets you're in.*NONE OF THIS IS FINANCIAL ADVICE* - but If I was still in traditional markets I would look to exit on the next big bounce. Looks like it's going to put in a higher low and roll over. Even at a lower high depending on how long you've been holding that's still some solid gains even if it recovers which I see the chances of that being very slim. 

The FED is WAY behind the curve and it looks like we're not getting a cut this month which to me looks like a planned demolition.

Some are worried about this next cycle low to be a lost decade of capitulation. 

If you're in crypto more so specifically BTC. It looks like it may actually be decoupling from traditional markets. Which means we've got a real chance at reaching a new high.

Just my two cents. 

Quote from @Brian Piechocki:

Quote from @Stephen Morales:

Are you looking for a property management software? Or are you looking to find portfolio owners that you can reach out to and earn their business?

 Looking for portfolio owners. 

 Most of our Users see success following these filter sets: 

1.) Most start with Individual Owners but you can include LLC and trust owned properties as well.

2.) Properties owned by owner "3" or more. Depending on your target demographic I would probably cap the amount of properties owned to 10-30 before you enter the territory of large entities. Stick with the lower hanging fruit IMO to build a base.

3.) Owner Portfolio Value I would set to 2.5-3x the going rate for average home value of your target market. 

If I do this for Atmore using our system and cap max properties owned to 15 at a 3x average home valuation...I get 940 results. If you want to include Mobile, you'd have a few thousand more owners you can work with and reach out to via call or direct mail. 

Hope this helps!

Quote from @Joshua J Foster:

@Stephen Morales sounds good. What is a good email for you?

 I'll send you a DM!

Quote from @Na Na:

Hello my name is Tarik, and I'm new to whole selling in the metro Detroit area. Any tips on how to close deals fast and finding off market homes ?

 Hi Na Na, there are plenty of tools out there that you can use for free to find off market deals. 

If you're looking to close deals fast I would look to attend networking events in Detroit. You can start building a buyers list and meet with other wholesalers that you can possibly JV with.

I would also look at pulling a list of targeted lead types in your area. Many of our Users see a lot of success pulling high equity list in their area and reaching out to those owners. 

Quote from @Micah Glenn:

Hello Stephen,

Thank you for your response. I am unfamiliar with the term “RE.” Is it a real estate license? I would like to learn more about it. If you have any tips or information, please feel free to send it to me.

 You got it! Sorry I was typing fast and totally forgot to put license there lol. I recommend getting your license from an in-person course.

Before taking your real estate license exam in Pennsylvania, you're currently required to complete 75 hours of pre-license education covered in two courses

This seems like who you want to go through in your area: