Hello everyone. I am a new Investor and I have not done my first deal yet but I feel I could with my knowledge from Ron’s Cash Flow Systems. I understand getting the deed, owner/seller financing, options/lease options, rehabbing, wholesaling, but it seems like doing short sales and buying forclosures are the main target for many of you. I think I understand how to proffit but it sounds risky.
It seems you could offer the bank, on a forclosed property, a certain amount of money and then find a buyer and assign the contract to them for a higher price so you don’t have to take title on it? Or do you have to take title? What if you can’t find a buyer? How do you know what to offer? Who can negociate the price with the bank and how much will it cost to pay them to keep my time freed up for my other job? Can I find someone who will wait till I get paid to pay them?
I know it can take several months. I did have to short sale my personal house a year and a half ago so I know how long it can take. So what is the best target to go after to Proffit and How? Please enlighten me. Thank you for your knowledge and info.
I think your over analyzing the issue. Ron Legrand is a great teacher and has great buying and selling techniques.
Your first major thing you need to focus on is locating motivating sellers who need to sell. Your next step would be to see if one of these techniques that Ron teaches can be applied to the house to make money. I don’t think you should focus on a certain technique.
For instance if a guy calls you up on a sign and wants to sell his $500,000 house for $250,000 which needs no work and he’s current on the mortgage, Are you going to pass this lead up because it isn’t a foreclosure lead. I hope not. If a guy calls you with a house in probate that you can get a great deal on are u going to pass on that lead too?
Find motivated sellers and then you look into the house to see if you can make money with it.
If one is looking forward for buying up a property in foreclosure there are many online foreclosure listings that can help the individuals to find the property that suits the investment. These online listings offer update and complete database with the detailed information.
It is true to get through all the listings of foreclosure as, it will be better for those who are buying property in foreclosure as, it will definitely help us in much better ways like there are many good properties I have seen that are foreclosed but at the same time there are many people that are interested in buying it and can pay for it,
If you are looking for cheap properties, try looking for a reputable wholesaler in the area you are looking to invest. Real Estate investment clubs are a great place to start.
I have ran across so many wholesalers in my area in the last year versus a few years ago. Wholesaling may be the quickest and easiest to jump into b/c all you have to do is identify a deal and get it under contract. But there are fewer deals with that equity that you can find and a good amount of all RE investors looking for them…
Short sales are the most complex and take the longest to complete. If just 1 part of the deal on a short sale flip goes wrong, the the deal can die fast. But the profits are the greatest with almost no risk if you do them right.
With REOs you generally need a strong & clean offer backed with cash and an end buyer already lined up. You can lose earnest money if you offer is accepted and you cannot close and get a bad name with REO agents since you cannot close.
My advice is to learn as much as you can and get a mentor and you’ll learn REI much faster and start making $$ quicker.