All Forum Posts by: Jorge Zea

I need the info too. Will message you as well. Txs.

Most probably the contract has it written in it.

Suggestion: get a Flat Fee Listing company that puts it up in the MLS. You will be able to do the rest with the buyer's agent (most probably buyer will come with a buyer's agent). It is true what @Tripp Howell says that FSBO sell statistically for less; but this is a NAR (National Association of Realtors) pitch to support listing agents (Realtors). This figure is true but distorted because FSBO tend to be on the lower end of the price spectrum and Realtor-listed properties tend to be more expensive properties. This distorts the statistic analysis giving as result the number accurately quoted by Tripp.

From personal experience the sales statistics is almost indistinguishable for FSBO and Listed properties if compared within the same price ranges.

In my opinion, for investors (BP members) a Flat Fee model is the best way to go. Remember that commissions are calculated on Total Sales Price but are paid only form your equity ... this exponentially affect your cash-on-cash ... so a 1% commission affects your cash on cash (COC) much more than 1%. Google for a good Flat Fee MLS local broker (no referral services) and talk to them. Make suer they are licensed in CO. - Conclusion: any savings on commission is a HUGE boost for your COC.

Most Flat Fee companies charge a flat fee for listing the property in the local MLS an other portals but I don't know of any that show the properties. What you describe will be better served by a Full service Brokerage. You can negotiate the commission. Commissions are negotiable. Look for Realtors that have other rental listings in the area and approach them.

It depends what your objective for the purchase is. In condos there are some savings that compensate in part - ("most" condo fees include: Building insurance, water/sewer, roof maintenance, general maintenance, landscaping (if applicable), pool maintenance, amenities, etc.).

Knowing what is included you can consider these in your calculation and decide if the bottom line is within your objectives.

Some condo deals make sense, some don't. I evaluate condos the same way I do with SFH (considering the expenses each one requires) - Personally I prefer SFH not because of the cost, but because some condos assn rules are very restrictives, and dealing with them and board of directors is an additional issue I don't have time to do as investor. - Examine everything: not only the number of the deal but all rules, regulations, accounts, budgets, and reserves of the condo association.

Every state is different.

In the states I am licensed in, I would use the Realtor Association Approved form without a problem. nevertheless we alway recommend using a Real Estate Attorney for all Real Estate transactions (even if Realtors are involved) specially if neither seller nor buyer has legal representation. there are Flat Fee attorneys that will draw-up documents for you for a nominal set fee. Going the FSBO or Flat Fee MLS Listing services rout is definitely for experienced investors. An agent is very valuable in most cases. The Flat Fee MLS listing services is a service designed for a narrow niche market of experienced sellers (and/or risk takers) ... nevertheless this niche market keeps growing with the advancements of Internet resources and online help an guidance ... good luck and use an attorney ... there are hundreds of variables.

Thanks guys.

@Brian Eastman - Small +/- $40K

Thanks to both. will read a bit more regarding Solo 401K ... any literature please forward it privately via message.

Wife and me have a small SEP IRAs and not sure if converting it to a Roth (i know there is a tax implication) and moving to a Self Directed IRA would be feasable. Anyone???

Get a broker license yourself and avoid the split with your broker. Or list with a flat fee company; it might be cheaper than your broker's split. My brokerage do not split commission with agents doing their own personal deals...they keep 100%. Just my own business model.

I strongly suggest googling for alternative Flat Fee MLS services. Some are MUCH more cheaper than Owners.com while giving excellent service. be sure you are not dealing with a middle man or referral service. you should be dealing with a licensed Broker for the state your property is located, ask for legitimate, independent reviews from actual customers, call them (make sure they answer the phone or return the calls).

Search for this Discussion in BP "Buyers' agents giving commission rebates?" and read my post of how flat fee listing services impact your cash on cash dramatically.