All Forum Posts by: Tim G.

Thanks guys,

Just to clear up. There was earnest money ($100) but it went direct to escrow and I had the buyer fund a $5,000 non refundable deposit before I had to come up with that money myself.

The cash for keys was a challenge due to the holidays and the tenant was not financially motivated. Stability for their family was top priority so to find a like property in that neighborhood cost us a huge amount in rent difference and we made it up for a year plus moving costs. I gave the seller my word it would close before year end and it saved him a ton of money on capital gains by pulling that off.

I market in Southern California, a lot. I did not get this figured out overnight its taken a year of trial and error and learning. I know this place seems not to think too highly of wholesalers but the real ones add value for everyone involved and get paid well to do so. There is no way a realtor could have handled this situation and closed three weeks after contracts were signed.

Listen to every Sean Terry podcast on iTunes. That is a great start and I would say that is the #1 reason I have results.

I started here, learned a lot and haven't been around in a while. My wholesaling education was not found here but I wanted to share a real deal so people can see it can be done.

Some additional details. Non MLS deal, contract signed with homeowner Dec 5th no earnest money put in. Only cost to me was the mail campaign and paying a notary to watch me sign the grant deed.

I steadily invest into marketing, mostly mail campaigns.

Property - 4484 Sheldon Dr. La Mesa, CA 91941 - Closed on 12/31/12

My Price - $386k

Sold for - $421k

Est Repairs - $30k

ARV - $530k

Costs to me - $10k cash for keys (unreal but only way to make the deal happen) $4k in closing costs (double escrow)

Well, you can look at the check yourself.

This right here folks, pay attention. You can get caught spending way too much time with a seller who has zero motivation. Follow up, but don't hold on to it. Move on to the next lead.

I hadn't been on in ages since I've been more active locally, glad I got back on today even if no one responded to my post :(

Great forum, this is where it all began for me.

Another thing to remember is follow up, sometimes it takes a few calls to get the truth as to why they are interested in selling and how badly they really need to sell.

I have not done any business with Kaaren but I can say I think very highly of her. She attends more REI meetings than anyone I know and lives and breathes the business of SDIRA's. I'm looking forward to setting something up with her in the near future.

I was really really conservative on rents. After more research I would put monthly rents in the $5,000 range. Still I see it still doesn't quite fall into an area where it is going to work.

It is a bit of an appreciation play.

What does he owe on the property?

Looking at a property in Orange County, very close to the water. Good neighborhood, probably rate it an up and coming B area.

4 units. 3/2 house, 2 1bed units and a studio. One unit needs completing and permits. Zoned for up to 4 units. The rest of the property is turnkey and ready to rent aside from the one unit.

Nice garage, about a 1/2 mile to the beach. Purchase would probably work out to be close to 500k. Could not be financed initially. Conservatively, rents would be $4,500-$5,000 on the higher end.

Looking at a $500k purchase, 5-10k on the unit and some holding costs till its fully rented. Refi out leaving roughly 25% equity in there, I have the credit and income to support the loan.

Would you or would you approve of another investor partnering up on a deal like that? I would need the cash partner to make the purchase, I would use my credit to refi out. I would manage the acquisition, rehab and manage the property thereafter.