Final Word On Lease Options...

General Real Estate Investing
21

Ok…

Have to say, I agree with Cash…

At first you should be meeting with every seller regardless of motivation…

After awhile you will get a feel for who is motivated etc… and if the deal fits your criteria…

When your talking on the phone you should be trying to find out if they are motivated… How do you do that… you ask open ended questions…

Until they give you what your looking for… and you ask the numbers…

The second thing on the phone should be the numbers… What do they owe… etc, etc…

I have never met a motivated seller yet who want tell me the details…

If they are motivated they will… so the beginning questions go hand in hand…

Next thing… what is the condition of the house… and what do they think it’s worth… Not what is the property worth… but their perception…

Now, should you toe to toe with every seller…

Absolutely in the beginning…

Why… 5 reasons…

To develop the attitude of a don’t wanter… to learn to not want a deal unless you decide… at first if your going to ever deal… and you have an idea that it might not be… you’ll be more apt to be cautious and not jump in on every deal…

Second…asking more questions… To learn how to listen…

I’d rather ask the dumb questions on deals I don’t want…

Third…

To develop your presentation… It takes time and most don’t want to write a canned speech… but, believe it or not you go through a phase where you’ll be telling every seller a basic canned sales pitch…

Then after awhile you’ll probably shorten that… even somewhat…

Fourth…

To learn how to structure deals in your head… and on the fly…

to make the creativity flow…

Fifth…

To learn what tools you have available to buy and sell… everything doesnt need a hammer…

To make yourself think while your in the moment… Can I help this seller… and make a buck in the process… or would I just be taking on his problems…

Sixth…

If you go out and meet even unmotivated sellers at first… you will develop relationships… they may become motivated later down the line…

And then after awhile… you will develop the art of phone screening…

You’re will learn that if I want 3 deals this month I need to talk to 20… 10… …5 or 3 sellers… toe to toe…

As you hone your skills you don’t need to go talk to every seller… You won’t need to spend ludicrous amounts of money on marketing…

I’ve picked up 6 deals in the last week and half from a little over 100 banditsigns… I have 10 calls still waiting on my voicemail… to called back…

I would like to know what your advertising was if you weren’t get calls…
I have successful weeded out 80% of the unmotivated sellers with my voicemail…

David Alexander

22

agkatz,

You heard from this conversation, that they listed with a Realtor, they are not behind in payments, they do not have to move for nine months and they want you to buy there house. Why did they call?

This is what I heard, we listed with a Realtor however we are not certain the Realtor can get the job done. They are not behind in payments, sure and the check is in the mail. What are we going to do if the house does not sell in 9 months, I have bought many houses where the sellers did not move for up to a year, yet they knew I was there for them when the time came.

Is the glass half empty or half full, guess it just depends on how you look at it. I use a scripted memorized presentation each and every time I make a call on a seller, it starts with building your credibility to closing the deal.

I would like to have a dollar for every time I heard someone say on the phone “this isn’t one of those darn deals where the loan stays in my name is it?”, these people were my favorites, because I always bought their house and you know what the loan stayed in their name. :brow

It takes dedication and training to overcome objections from sellers, show them that your way is the right one for them. Everyone wants to fly the plane but no one wants to take lessons. :banghead

Bottom line is I will keep getting calls and buy & sell houses. My students will keep getting calls and buy & sell houses. :deal Yes, Mr. Seller this is where you sign.

John $Cash$ Locke

23

I’m a total newbie and a woman. I’ve read many times not to let the people you do business with know where you live or that you own the property (you work for the owner). Is that how you operate also? What are your thoughts? I’m a very trusting person by nature which isn’t always good. I don’t lie, therefore I don’t think people will lie to me. :bs

I’m learning so much from you guys. Thanks. :banana

24

Dretke,

When you lie, albiet you are not the owner, etc., then your integrity will sooner or later be challanged if not by the seller or buyer, but by the most important person yourself.

My advice is always be upfront when dealing in creative real estate investing. People will lie to you, sometimes they have a memory lapse, forgetting the second on the property, or the tax liens, etc. You are sometimes dealing with people in self denial, you will always find out the truth when you do your due diligence.

I can tell by your post that you may have needed a little reinforcement, that your ethics are the right way to go and they are.

John $Cash$ Locke

25

Refraining from volunteering unnecessary information is not lying.

Just because somebody asks you a question does not mean that you have to answer it, at all. Perhaps it’s none of their business?

As for this issue… if your LLC owns the property, then YOU DO NOT OWN IT. If you are telling them that you own it, then… technically, you are lying, right? However, I think that framing your life in terms of what is a “lie” and what is not is an over-simplification of the shades of gray we call life.

“Honey, does this shirt make my gut look too big?”