You can find asset managers with a little bit of work. Not all real estate companies know where to find an asset manager, the best way is to ask. If they never heard of an reo asset manager then they probably do not have one in the office. Keep asking around and you will find one. Depending upon the area im finding some like to be wined and dined, i personally will not do this. Im here buying a house they have so im actually helping them out. The only downside for them is its a minimal amout they get from the bank. Sometimes 1500 to 2500 which is really low. But if you are buying a 25,000 house then 2500 isnt too bad to me. The guy i deal with has access to the entire US through 8 of the major banks. If you need help getting started let me know ill be happy to get you started.
dsandlin, I am a new investor looking for that first deal is it possible for you to assist me with the assest manager that you mentioned. I am looking in the santa rosa ca and the dallas dfw area texas areas. Thanks in advance. Kelly Email me please
dsandlin
I too would appreciate any assistance you could provide to me on REO Asset Managers.
Thanks
I know in my state you are perfectly allowed to pay a realtor for any service, you would just need to pay the realor through his broker.
Eric Medemar
Hi Dsandlin,
Would it be possible for you to turn me onto your REO asset manager? I won’t waste his/her time. Thanks in advance.
What are you looking to get ahold of asset managers for? You can often get ahold of asset managers simply by calling the banks and asking for them.
Eric Medemar
Eric: great answer on where to find out contact info of asset managers. Pretty simple…just call and ask for one! LOL
On a general note, as far as finding buyers, as a mortgage consultant, I was wondering, is it always a wholesale buyer people are asking about getting?
What about actual owner-occupied buyers?
Would access to finding buyers like this be a question to ask also?
Just a thought, as the sub-prime mortgage lenders dry up, alternatives for people to buy a home may be drying up for a while.
I have a buyer, while qualified income-wise and asset-wise, her credit is far from stellar.
It’s because her loving husband of 13 years decided to leave her and divorce her for someone else, and in the process of divorce, ruined her credit by not paying on the mortgage on time for the past 15 months. Now not every month, but enough 30 and 60 day lates to cause her credit score to drop. As well as consumer lates on credit cards.
Anyway, I arranged for her to lease-to-own a property from an investor/realtor in my area, so that she can have a place to live for her and her children. She’ll be able to refinance the property into her own name probably in 12-24 months and the term on the lease is 36 months.
Incidentally, I know advanced investors will know this technique; it is being done through a Revocable Land Trust, so that this mother of 3 will be able to take a tax deduction on the interest paid on the mortgage, as well as the property tax portion. Such a lovely vehicle for real estate investing…the Illinois Land Trust!
So, back to original question: Do investors here (from newbies to experienced and all levels in between) also seek out sources for end-buyers?
If you do, than look into contacting as many loan officer and mortgage planners possible and see if they have any situation you can help their client’s with in terms of buying a home now.
Looking for any thoughts; I certainly don’t pretend to have all the answers. LOL :biggrin
Your humble Mortgage Planning Consultant,
Ed Bisquera
P.S. Yes, I did receive a referral fee for finding a tenant-buyer and suggest anyone do the same. If we (the loan consultant) can’t make money immediately from doing a loan, than at least we can make a small fee for finding a solution. Not much, mind you, since the intent is to get the loan business when the tenant-buyer eventually needs a conventional loan later down the road. EB
You can also use the “Safe Land Contract” if she wants all of the tax benefits of homeownership. Essentially you do a lease option of your choosing on the home, then ad your buyer onto the deed. Right after you have the buyer sign the quit claim deed adding them on you have them sign another takiing them off. You file the deed adding them on then save the deed taking them off. If the buyer decided to stop paying you go and file the quit claim taking them off. I have never had to use the second deed, because the fear of me having that has always kept the buyer paying, or they are just good buyers.
:biggrin
I screwed that up, I have found a decent amount of end buyers from contacting loan officers, they are usually pretty happy because I can provide their buyers with great deals, which ad values back to them
Ericmedem, Pdxloan and all. Thank you for the great information!
As the sub-prime mortgages dry up, how can we assist these buyers to purchase homes? Thanks in advance!
What’s the best process after getting a house under contract to then sell (probably an investor below FMV) and then arrange for the house to be L/O or placed on land contract to help first time homebuyers or credit challenged buyers?
- How would you advertise to get the investor?
- After you set-up the L/O or land contract deal for the investor with
buyer, you would then be out of the deal? - Your profit would only come from the profit you made when you
sold the house to the investor?
there are a vast number of ways to structure deals with investors, end users and yourself using lease options and L/C.
They all depend on what type of financing you are able to get. I have done 2 deals this year that I found and put under contract, then held the financing for 6 months with 10 percents down. I have sold these properties to other investors. I got these investors from running short classified ads using my website, which allows a low contact entry point. one of the investors I got from calling cash for you house signs that he has all over town. My profit came in 6 months when they sold to the end user. I also profit along the way by playing the rate spread between what I pay and what I charge them, along with the price difference I by for 52k sell for 64k so I am paying 8% on 52k and selling for 64k at 10%.
This is just one way to make money, I could go on and on, when I get time I will.
Eric Medemar
eric,
how would you handle wholesaling a property that is tenant occupied?
I would get copies of the leases and find out how long the leases run. If they are non long term then you could sell to an owner occ or a landlord. If they are long term then you can sell them to other landlords. It is really no diff than any other deal.
Check leasing laws in your area and be sure to get the tenants to sign off that the lease that the owner gave you was the original lease. other wise you could be hurtin for certin
thanks eric, they are actually on a month to month with no signed lease.
I would still get the tenants to sign off that their is no lease, if you listen to the owner or the tenants, and then after close they produce a lease you could get screwed pretty royally.
Howdy… do I need a RE License in order to get pay at the first closing?
And can somebody expalin what a double closing?
Excellent advice on creating a buyer’s list
I would also like to add to that list ~ via networking events and happy hours
but my favorite is open house. Dropping cards/flyers on people car and creating a contact with the open house agent.
Megachurches are good source of buyers. :shocked
Hello Eric,
Thanks for all of this usefull (and free) info. that you have posted! Most of us beginners can really benefit from this.
I want to take one of your ideas to action and place an ad in the paper:
ATTN:CASH/HARD $$ BUYERS!
FREE list of 45 Foreclosed & Distress Properties in **** County
Call me today for you FREE list!
xxx-xxx-xxxx
One question on this strategy, since I’m not a licensed agent yet, do you think I could be accused of recruiting buyers without a licence?
Any advise from you or anyone would be greatly appreciated.
Thanks,
Lety