Success!!!!
Hey $Cash$ and company!
I finally started putting all the learning into practice and getting 'face-to-face' with sellers. After meeting with some, and doing all the follow ups, the results came back last week!
I closed on my first short sale on Tuesday, and had 2 sub-to purchase offers accepted by Friday! What a week!!!!
One sub-to is a no money down deal...simply taking over the payments.
( I plan on wholesaling this one)
The other will require approx $2000 to the seller for relocating, but offers a great profit margin after rehab.
Almost had a wholesale deal too but was out bid at the last minute. Unbelievable!!!
Just wanted to say thanks for all the great support you've offered. I had a great week!
Monty
Congratulations Monty. How long have you been working prior to these deals? You might want to give some details on the deals for others to see what you have worked out.
Mortgage balance. ARV, repairs, payments behind.
Just a thought.
Great Job!
-Brandon Richardson-
Congrats Monty...Hwo long did you work for these subject 2 deals...and how long ago did you start in RE investment ...
thx
Here's a little info on the short sale...
The Seller was an absentee owner making double payments since her tenant vacated the property. She was very motivated to 'unload' the property. She owed $86,000 and the property is only worth $78,000 . She had refinanced (over 100% LTV).
She was in default and the lender had initiated foreclosure. I proposed to buy the property from her and explained I would negotiate with the lender. She signed an authorization for me to do so, and I went to work calling the bank.
I first offered $35,000 and they said no-way. The wouldn't even entertain it. I came back and offered $45,000, inclusive of all my closing cost, title work etc.
3 business days before the property was scheduled for auction, they accepted my offer. The hardest part of the deal was the last minute scramble to get a closing set up. I had to get the title work done in one day, have the seller drive up from out of state to sign over a deed, get the deed drafted and notarized, and get the financing set up! I used a hard money lender to fund the transaction.
The property needs about $5,000 to bring it up. I plan on refinancing and pulling cash out ($10,000). The property will bring about $350-$400 cash flow in rent/lease option. I'll have another $12,000 in profit if the property sells on lease option.
As far as the sub-to deals, they both took about 3 weeks to cultivate. One visit to each property, 2 follow up phone calls and some offers sent in the mail. I know many investors who expect to get a signed agreement when they visit the property the first time. If you can do that great.
I was more comfortable meeting the sellers, asking them a lot of questions to build rapport, and then following up. I think it was less intimidating for these sellers too. Both of these properties could be wholesaled for at least $10,000.
These are my first creative deals. I have been landlording for years, but just started reading about lease options, sub-to's and shortsales within the last year.
Hope this helps,
Monty
Way to go Monty. Future success to you always.
Jesse
Monty,
W~O~W....
I love reading about SUCCESS STORIES!
Thanks for taking YourTime....
....as always,
GoodInvesting, Rocky
Congratulations!
Great job on the short sale. Good for you!
Only one time, the second one, I closed on first visit. Depends on the people and the situation, sometimes it is smoother to follow up when they call again!, then you are almost sure it is a deal!
Keep going, I am very happy for you!
Ladybug
Thanks for all the encouraging words.
It's very gratifying to successfully close a deal....especially a challenging one.
The short sale really takes some patience. I was lucky to have found a cooperative seller who was willing to provide financial statements, tax returns, pay stubs etc. to complete the hardship package required by the lender.
Best wishes to everyone striving to make their first deal happen. Special thanks to John Cash for the course material and willingness to be available for support.
Monty
Monty,
Great job, thank you for your kind words.
Many more deals to you and the best always.
John $Cash$ Locke