How Well Do They Really Work?? Percentages
Hello All
How well does short selling really work? Is it an opportunity that presents itself often and a concept that works frequently? How long would it take to get 10 short sale opportunities? How many do U feel would be sucessful? Lastly, is it hyped by real estate educators to sell more courses?
Thanks
what "technique", "technology", "method", "secret", ....
isn't hyped to sell more course?
call me cynical.
Aside from that. How do U feel about the rest of the questions about short selling?
If executed properly, and the planets are in the right alignment, a preforeclosure short sale acquisition can be a path to profitability... but not as a stand alone transaction. In my opinion, the acquisition must be manufactured (repairs, major or minor) into an end product. Preforeclosure short sale acquisition is just another tool of the trade to learn and use...but only to be used in the right application.
The more acquisition tools or techniques you know how to use, the more successful you will be.
Knowing how to properly prequalify a potential ss candidate, knowing how to structure the transaction, and being able to avoid the foreseeable obstacles... will allow you to work and close deals that others overlook..
Would I seek and choose potential shorts over a more 'conventional' transaction? HECK NO! They are a lot of work... with no guarantee. (Read my essay, 'Child's Play' ) If you are active in the foreclosure niche and have been thru cycle after cycle... they'll find you.
I have to chuckle when I hear or read that shorts are the latest and greatest technique... because I 've been doing shorts since 1980....
[ Edited by TheShortSalePro on Date 06/16/2004 ]
Hi TheShortSalePro,
You mentioned "I 've been doing shorts since 1980".
I want to ask you, with your experience and expertize. Out of all you houses that you have short sale on, what is the percentage that you get the short sale approve?
I am an Investor in Houston, TX and looking toward more in working the short sale because it appears that is the only way you can create equity in Foreclosure Properties.
Your input in much appreciated. Thanks.
I believe that due to the prequalification process that I employ, and the comprehensive Proposal devised to accompany and complement the application... I have about a 90% success rate. Meaning that if it doesn't meet what I believe to be their criteria... it's not a short sale candidate and I wouldn't waste my time, or my Client's time.
Years ago, I was on the other side of the negotiating table... working for the mortgagee on a portfolio of more than 10,000 non performing, or under performing loans... and had a hand in the development of a loss mit department's special unit on non forelcosure alternatives... meeting on a regular basis with folks from FNMA, FHLMC, and HUD...
Needless to say, I learned a great deal.[ Edited by TheShortSalePro on Date 06/18/2004 ]