All Forum Posts by: Trip B

Trip B has started 2 posts and replied 9 times.

Hi Mike! I'm in Fairfield County. Recently moved here from New Haven. Hit me up!

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First of all the basic law :

Quote:
Adverse possession is a principle of real estate law whereby somebody who possesses the land of another for an extended period of time may be able to claim legal title to that land. The exact elements of an adverse possession claim may be different in each state.

http://www.ksla.com/story/15090178/man-claims-house-for-16-as-neighbors-accuse-him-of-squatting

Quote:
Flower Mound, TX (WFAA/CNN) - Thanks to a little-known law in Texas, a man apparently won ownership of a house for less than $20, but neighbors aren't happy with his deal and are trying to get him out.

[Remainder of quote removed by admin for copyright reasons]

Link to the video of the story

http://www.ksla.com/category/194397/video-landing-page?autoStart=true&topVideoCatNo=default&clipId=6055713

Link to the house- status is "off market"

http://www.trulia.com/homes/Texas/Flower_Mound/sold/131722-2205-Waterford-Dr-Flower-Mound-TX-75028

State Adverse Possession Laws.

Find the applicable laws for your state

http://law.findlaw.com/state-laws/adverse-possession/

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Originally posted by Michael R.:

If that was the best you think you could do than that fine. Many sellers laugh when I make offers because they want more but after they cant sell they will come back looking to re negotiate. Never pay more than your comfortable with for someone else's headache. There are plenty of deals out there.

Yeah as eager as I am to get my first deal, i've learned alot through this process and am more confident to handle the next opportunity.

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Originally posted by Jacob Morgner:

@Trip
What's the latest on this deal?

I told him I could offer a price range of $45k to $55k for the property depending on inspection. He said thanks but no thanks. Could I have went about it differently or better?

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Originally posted by cashboy2010:

CTREIA is good. Say hello to Wanda if she's still a member. My first trip to New Haven was to visit Than Merrill and Paul Esajian office to see how they ran their REI business. They've since moved to CA but those guys know wholesaling and rehabbing. The best way I've found to get cash buyers is to have a realtor run you a report on properties that sold for cash in the last 6 - 12 months.Take that report to the county clerks office and cross reference the address of the purchased properties with the owners on record. The recorded deed should show the address of the cash buyer. Send him a letter saying you have a property for sale. Inbox me with your email address and I'll send you a sample. Watch how quick you build a solid buyers list with real players. Some of the jokers I run into on Craigslist are tire kickers. They are pretend investors who want to TALK about deals. At leat thats been my experience. The guys who are buying houses for real, their names are sitting on those deeds. Thats who you want to be doing business with. The real players names will show up as buying several properties in your area.

This is great info right here, I'm putting this into action now! By the way my meeting with the seller is set for next week, so I have some time to get my ducks in a row.

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Originally posted by cashboy2010:

I like it Trip. Find out when you meet what exactly the situation is with the non paying family member. I would stipulate that they need to deliver the property with the family members apt. vacant...unless of course the family member wants to start paying...and I would get a 1 months rent and 1 months security factored in to your offer price to pass on to your buyer. Speaking of buyers...hows your buyers list for this property? Not having a fat buyers list is a huge detriment to any wholesaler. Now you said the seller wont take less than 60K so how's this deal going to work for you? Did you ask Mr. Seller - I have 50K cash to give you...and he said no? If you dont ask you dont get. Lastly you gotta be in the ball park with your ball park estimate. Your deal sounds thin as it is. Does it need "roofing work" or a new roof? If he needs a new roof then your deal maybe toast. If it was built in 1935 and not well maintained then mechanicals come into question. Does it come with a transferable C of O? I would put it under 45 day contract with business partner approval and inspection contingencies and get your buyers to come take a look.

The last convo with the seller was a brief one where my partner asked the lowest he we accept for the property is he get settle today. She didn't get a chance to give him a cash offer. The appointment is set up later this week to get up and look at the property. As far as the roofing work goes, the owner previously was dealing with a realtor but was told he needed to get the roof and porch fixed before they would work with him. So I'm not sure of the extent of the work. From the exterior it doesn't look too bad and there are tenants living there, but these are factors I will look into. Not sure about the transferable c/o but will find that out as well. I do plan on getting it under contract pending inspection. I've been getting comps together for our meeting to get him to come down on the price though. As far as the buyers list, I've made some connections through the ctreia and I'm doing craigslist scrapes in the meantime to get my buyers list up.

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Originally posted by Tom Jones:

Is that the LOWEST cash deal in the local area for a house similar to that one?

Since there is obvious work that needs to be done, when you are searching for comps, you want to look at recent transactions back 90 days, and want to go with the lowest amount. From, there, pick a couple to base your amount off of.

Also, your $50,000 offer is MUCH less than what the owner is seeking. Just because an owner states that they want $70,000 OBO, doesn't always mean they will take $50,000 or something similar. If you stick with this price, explain to the seller, the reasons for such a low offer.

If he declines, shave a little off your commission, and take a lesser one. One of the biggest things I am learning from Drew Downs is that you get rich off skinny deals.

The two sites that I have been using for comps are:
http://www.eppraisal.com/ - I use this site to find out what the home is worth. Also, if you type in an address, and scroll near the bottom, it will give you recently sold transactions near that house. However, you have to do your own due diligence to determine if the houses they show, are similar or not to the house you are about to potentially flip.

http://www.redfin.com - This site, I am also utilizing for comps in the local area. I like this site more for recent transaction, because you can specify 3 months, you can put in the square footage, lot size, bedrooms, bathrooms, etc. When you go to type in an address, be sure to click on "more options" to input better search criteria.

http://www.rentometer.com/ - This site I will be using, to determine what the rents are like for the area.

I was told yesterday from another wholesaler on facebook that end buyers will do their own due diligence, etc, but I personally like to earn what I make, and I figure, if I go above and beyond, the more they will buy from me.

Like I said, all you can do is offer what you think is right. If he doesn't agree, give him a little extra.

Lowest cash deal was $45k for a bigger house with an additional bed/bath. A similar property but bigger sold for $56k
Im checking those sites out now and work the numbers. As for the family member, I'm still waiting for the call back. Will report back with that information and the comp info as well. All advice is greatly appreciated!!

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20k was a ballpark guess. Not sure if the family member has an actual lease, will find out when the seller calls back. Planning on wholesaling it to an investor. Taxes are $5,790. The owner stated he will not take payments and $60k is the lowest he'll go.

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Hi Bp, I've been looking and learning from here for sometime. Putting things I've learned here, I put things in action and put up some bandit signs in the area. The phone started ringing and the first call was this:

Two Family House

STYLE 2 Family
MODEL Residential
Grade: Average
Stories: 2 Stories
Occupancy 2
Exterior Wall 1 Aluminum Sidng
Roof Structure: Gable/Hip
Roof Cover Asphalt
Interior Wall 1 Plastered/Dryw
Interior Flr 1 Fin WD/Carpet
Heat Fuel Oil/Gas
Heat Type: FA/HW/ST
AC Type: None
Total Bedrooms: 06
Total Bthrms: 2
Total Half Baths: 0
Total Rooms: 12
Bath Style: Average
Kitchen Style: Average

Living Area 2,578 square feet
Replacement Cost 222,986
Year Built 1935
Depreciation 30%
Replacement Cost Less Depreciation 156,100

BAS First Floor 1037 1037
FAT Finished Attic 1008 504
FOP Fin Open Porch 224 0
FUS Finished Upper Story 1037 1037
UBM Unfinished Basement 1037 0

Total 4343 2578

Current Assessed Value
Total: 131,880
Zestimate $137,500

Owner says it needs roofing work done and the porch needs to be fixed

There are 2 tenants one is paying $900 a month
the other isn't paying anything but is a family member which a reason he has to sell not making much money.

Owner owes property free and clear and is looking for $70k or best offer.

Comps in the area are about 115k
so 70% is 80,500 - 20k repairs - 10k my fee = 50,500

Supposed to meet with him today, my partner set the meeting up before I could talk to him.

What do you guys think?

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All Forum Posts by: Trip B

Trip B has started 2 posts and replied 9 times.

Post: Hello from NY and CT

Post: Man get $330,000 house for $16! (YMMV)

Post: Super Newbie with a Possible Deal (Need Advice)

Post: Super Newbie with a Possible Deal (Need Advice)

Post: Super Newbie with a Possible Deal (Need Advice)

Post: Super Newbie with a Possible Deal (Need Advice)

Post: Super Newbie with a Possible Deal (Need Advice)

Post: Super Newbie with a Possible Deal (Need Advice)

Post: Super Newbie with a Possible Deal (Need Advice)