All Cash Deal

Comments(5)

• 
  InActive_Account1st March, 2004

  Matt, Cash talks b.s. walks. Cash is always an advantage. Credit is very useful. As far as doing the work yourself,I have found it more profitable to hire handymen to do the work. You will make more money finding properties to rehab and turn them quicker hiring the help. [ Edited by MichaelChandler on Date 03/01/2004 ]

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  JohnLocke1st March, 2004

  MichaelChandler,
  
  Thank You.
  
  $Cash$

• 
  Lufos1st March, 2004

  To work in full cash is always the best most conservative way to do a buy rehab deal. Of course most of us are seldom in a position to do it. But if you are starting in deal by deal and you are the primary source of labor and craftsmanship. That is the way to go.
  
  I began buying a house and moving in and working on it at night, weekends and any spare time. I had a job at a mortgage company so I filled my time fully. God I must have been a dull person. But I enjoyed it and it was profitable and all the money was right there.
  
  Go for it. Lucius

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  InActive_Account3rd March, 2004

  I have not had great luck with all cash offers(then again I have NEVER been asked if I have been preapproved or prequalified). I think in small towns it is taken for granted that if you are making an offer then you can close. In my exsperience all cash offers have never made a difference. One realtor told my it rarely makes a differance because even if the seller wants out yesterday, a conventional loan with a local bank can close in 3 weeks( or less). Which has been my exsperience
  
  I have pretty much stopped making all cash offers so that I can spread my money out with multiple projects.
  
  If I thought that a specific seller "wanted out Yesterday" and that it would make the difference I would be willing to make an all cash offer but even with my private sales "I buy houses cash", I fianance and use that contingency.
  
  I also agree with MichaelChandler, it is more profitable to hire a handyman to do the work to free you up to make more offers and flip quicker (God I dont miss painting).
  
  Just my 2 cents
  
  Best of Luck JohnNH

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  active_re_investor9th March, 2004

  As noted, cash is king but sometimes this matters less than you would expect.
  
  If you really want to make the cash have value, then try to find deals where there is an extra discount for a fast close. Alternatively, focus on property that can not be financed because it is a complete wreck.
  
  BTW - As we are local to each other, lets hook up and trade notes. I am more on the creative finance side so I might want to do a deal with you if I find a place that needs work.
  
  John
  
  Quote:
  On 2004-03-01 20:50, rvfixerman wrote:
  I am close to looking for my first rehab project and will have all cash to make the offer. Does all cash give me much of an advantage? I have excellent credit also. I would like to find a deal and do most all the work mayself, I'm very handy, and turn it in 2-3 months. And do it again. I know market values in my area and am looking for advice and any pitfalls to look out for. Thanks in advance. Matt in Portland Oregon