A week has went by, not one call on the 4 acre 2 houses on 1 lot deal. I cancelled my contract so not to tie up her property and hopes, just maybe it will get the price down. Such a nice property but I want fixers on a city or country lot. That’s the bread an butter.
And a full week with no word on my tweaker deal, which is good news, wen they contact you before closing its not always a happy joy thing.
I luv the waiting.
It’s been exactly 4 weeks since I got this tweaker house on contract. The waiting is a test of patience… I know its going to close any minute, but the time waiting is torture, but is perfect for looking at other deals and getting more post cards out.
My buddy Bob emailed to say he had 4 deals closing this week, all small $1,000-$1,500
He’s a great guy and has made me a ton of money, I wish I cud help him get organized. He’s been doing real estate for over 10 years. I sent him a house in his town a few days ago and asked him wat he thought of it.
The ARV is 190K Seller owes 160K and it needs 50K in repairs including the pool.
Bob says, get me seller number and I’ll go over and take photos.
I told Bob, let me save you a half days work. I went on google maps and the over view shows a tarp on the roof, the street view shows an old shake roof, old windows. I tell Bob, this house was built in 73, needs a 12K roof 7K in windows and will need complete updating, the whole burrito.
The repairs and the amount owed make this a non deal, unless we can get owner to sell to us sub to. Then we can collect a nice assignment fee.
I also sent Bob the Title report. I had this deal looked over and an offer going out in about a hour.
Bob wud have wasted so much time making an appointment w renters, taking photos, evaluating the deal and in the meantime I’ve dropped dead from old age. He brought in a stuffed briefcase with some of the deals he was working on, I exclaimed holyship,
then he tells me he has another one out in the car that’s bigger. I ask him how do u stay organized?
But now I got him doing direct mail which he had never done and I wanted to do a 50/50 on a campaign but ol Bob is doing it on his own and his GF is helping him write the post cards. So I’m seeing some progress, and luckily he didnt get pissed cuz I was frustrated w him and telling him how to streamline his process.
My buyer Matt txts me yesterday asking wat was wrong with my sellers and is this deal going to happen.
It seems the Title company asked seller to sign a release to get the banks payout info on the loan on the 22nd so we cud wrap this up and he never got back to them.
The seller is tweaking, his GF says he don’t have hav a phone. I tell the GF in a txt, The title company wants Mike to sign something so we can get this deal done and Mike paid.
She replies that she will take him in to title in the morning.
It’s kinda sad, this seller had a pool cleaning business, a nice home with wife and kids and screws it all up because of meth.
He’s a tall good lookin white guy about 40, had it all, and I’m profiting off this guys downward spiral, makes me sick.
If it wasn’t you it would be someone else. Meth and heroin are crazy bad drugs that normal people never do. He got messed up somewhere in his life way before the spiral hit.
My buyer Matt is calling, he’s wound tight, I suspect too strong and too much $8 a cup coffee. Seller says he faxed that authorization in last week and he just did it again this morning. Then days go by and they need seller in ther to sign final docs.
Matt is calling and whining about not wanting to deal w tweakers staying past their agreed upon date. And he had his funds ready to deposit and weeks have been wasted and yada yada.
I had to contact seller thru his GF and told her to get Michael down to Title to sign docs cuz we want to close today. Later she txts me that everything is done and Title told her they will close on the 10th and wants to know what to do about it cuz I told her today. I tell her, yea, were gonna have to hang tight.
The title company wud usually deal direct with seller but he don’t got no darn phone. The GF is seriously wanting that 2 grand finders fee and I don’t know how much seller is getting after the mortgage is paid off. He might be getting a good chunk.
I actually enjoyed being the calm cool headed wholesaler pulling it all together, it’s like it’s what I was born to do.
The buyer is dealing with a tight margin. Purchase price of 260K including my fee and ARV of 320-340K A 30K rehab cud be painful.
Payday is so close I can taste it.
When we first started out we had very similar numbers with out direct mailing campaigns. Lucky you, you get a few (but good) calls. We got a lot of calls, most of them yelling at us, amongst the good calls. I am happy to say we stopped any marketing efforts and get our leads for free from our website. Obviously most leads this way are great leads.
I know you love direct mailing because it is working for you.
Let me give you some advice.
While things are still good, get your site and SEO in order. Direct mail is short term leads. Keep them coming in while your site ages and climbs the ranks (long term leads). As this is what happened to us. The first few campaigns were great, then we had 2 following campaigns with 0 results, and there was no income. That was quite scary. Never again.
As I said before, now we do not spend a cent on ur leads and we get about 6 to 8 a day!
I’m climbing the walls. It’s been like 3 or 4 days with no word. The seller and his GF have called and txted.
Then at 8:30 this morning I get an email from Title saying the final frikin docs are ready to be signed.
I txt the gf that docs are ready and no reply, then a few hrs later the Title emails to say seller came in but they didn’t have a Notary there and rescheduled for 3:30.
Now, if only our seller don’t get hit by a big ass truck on the way back to Title… He wud probably crawl in, he wants paid.
I shud be stressing, I got this email from Title,
Hello,
Seller made it to his appointment but he does not currently possess an ID of any kind. He is to call back when he has 2 witnesses that can come with him to his signing.
I also told him about the property being vacated and he said he would look into it.
My buyer also sent me an email saying he wud not sign closing docs if there were tweakers still staying in house.
This seller don’t have a phone, no ID, Strung out on meth.
I thought this was going to be easy. I shud be worried, but it’s gonna happen, I’m gonna relax and wait.
It’s when you think it want it. That’s when everything works out.
I’ve had this feeling of doom, I tried to suppress and over ride but then this morning the ship has hit the fan.
Seller shows up at Title and has no frikin identification, they tell him to bring in 2 witnesses with ID’s to verify he is human and they can proceed.
OH crap, now it’s time to worry, that feeling of doom is getting stronger.
Soon my buyer txts me and says the seller don’t know which way is up, the tweakers in the house havnt been informed they got to be out. There is very little room for profit and the headache. I am reconsidering this deal, I can only do 250K
Oh man, I’m going down in flames. After a short while I txted him back. Yea it’s a mess, let’s do 255K and I wont have to send it to my other buyer.
Oh crap, An hour and a half went by, I was trying not to think of the worst scenario.
Finally, he comes back with OK.
I’m gona still celebrate, Instead of the steak house, It’s gonna be Taco Bell.
Another week has went by with no word. If were waiting for this seller to get his ID, it cud take 3 weeks.
I offered 60K on a 3/2 1100 SF nice home a few months ago. Built in 79, It’s in a bad area of town. The seller called and wanted to know if I wanted to meet her at the property. I told her yes but first can you tell me if you will accept my 60K offer. She says Oh No, that’s too low and we need 90K.
The house is worth 130K but she’s telling me she had some squatters in there. I mailed a follow up offer for 70K and she calls yesterday and tells me shes ready to sell but her husband is not. Haha, if mama wants to sell for 70K it will be sold. Now she says it’s rented.
So now I got an appointment to talk with them and get this house on contract. One of my buyers is a realtor and he wants to look at it. He tells me the same cash buyer that purchased a home I sold 2 yrs ago wants it. This buyer owns several Mexican restaurants in town, he’s very successful, does not speak English and had his beautiful 19 yr old daughter translate.
I told him the price on this one is 85K. A 15K payday is just what I need.
Listen, keep your head up. Our beginnings were WAY worse than this. The trick is keep at it. You really need to keep growing your buyers list. And I keep saying it, ut get your website in order!
When we started, it took us 3 months to finally get a deal. And it was hell. Our second DMM we got an other deal and the 3rd DDM yet an other… then the next 2 DMM were duds. It was HORRIBLE all money gone! LUCKILY we were working on our site all this time and it started ranking and we started to make deals that were from much better quality leads. I am telling you. Get your site up!!
Lo an behold, the Title company emails to say that seller finally made it in and closing docs are signed. A few more days and I cud be holding that 15K check.
My other deal I got going is from my mailings to high equity owners. The lady says shes ready to sell but not hubby. I called her up yesterday to get a signature and this deal locked up. Seller was just driving home from church and was hesitant. She mentions that she has the 1 acre lot next to the house and wants to know if I’d be interested in that. I told her yea I would. Now she’s waiting for me to get back to her with a price.
I’m feeling extremely optimistic here. This morning I mailed her the purchase contract all filled out w my signature and with 100 dollar bill for earnest deposit.
I explained I was ready to buy this house and I will contact some of my investor buddies to give her offers on the lot.
I know I cud lose my 100 buks, but risk is small compared to the end cheese, I already got this sold, and I got another back up buyer that wants it. It’s exciting, I got this seller looking at my bait, she’s already nibbled, You know the payout is great, but the most fun is in the chase.,
I got another round of post cards ready to go out,
Let’s make some Money,
Rando
Man that’s the best part. You are definitely are motivating me to mail more!
Are you still having good success with your direct mail??? I have noticed a sharp decline in response rates.
It took almost 2 weeks for the seller to get in Title and sign the darn closing docs. Then he txts me whining that the funds have never been deposited, he cud have sold this to any number of other investors for 20K more and he don’t like being dicked around. I txted back that if he cant wait a few days I can tear up the contract. I didn’t answer his call cuz trying to reason with a meth user is not any fun.
Then my buyer calls and says he just looked at property and he’s backing out of the deal cuz the house looks worse now and not much chance to profit and he’s sorry and blah blah.
Now I’m desperate, I tell him just give me 5K and let’s get this done.
Just got my check, I can at least pay my bills and keep the mailings going out.
I wondered from day one, how is this buyer going to profit on this skimpy deal. So I understand his situation.
But he waits till the last friking minute, never deposited his funds. I am a bit agitated.
It’s all good, but this buyer is not getting first shot at my deals anymore, he’s on my crap list.
Let’s make some Money…
Rando
Ugh that’s bullshit but at least you didn’t lose everything.
My response rate is so low now from my direct mailings that I have been concerned. I have been listening to my success and abundance MP3’s and videos on You tube non stop.
As instructed, I decided to ask my unconscious mind what to do. Several days had gone by and I had forgotten that I had done this. While I was walking in to my home office and sitting down the other day, this inner voice says, “Change the design of your post card”.
Some spooky sh-t. It was a definate voice, clear and loud enuf.
So now I’m working on a new design and I have some templates from courses I’ve purchased.
I’m listening to Self Love videos now, if I can learn to love myself, then look out.
I redid my post cards and have sent out tons and spent hundreds on stamps and still getting very few calls cept a few to say they sold that house a year ago and to kindly take them off my list.
It’s frustrating and scary, do I bite the bullet and keep sending or try a dif design or method?
Waiting for the phone to ring but the only calls I’m getting is from the Indian online pharmacy to purchase more blue pills.
But then I get a call from Roberta, she says the post card she found in her sick husbands stuff from me is postmarked 2015. It’s a wholesalers dream, house has been vacant for years, homeless breaking in and stolen everything that’s not nailed down, has bad roof, built in 1924 and sits in a good middle class rentable area. Roberta is distressed with her ailing husband, the house is distressed. It’s about an hours drive out in a one horse cowtown, in the same town I have done several other deals. Now do I just kick out a low number and mail it, or do I meet Roberta at the house and become her new best friend? Well, since things are slower than a cement tird lately, I’m going out there and get this fixer on contract. My buyers will be salivating on this as I am.
The direct mail is working. I have another deal going with 2 houses on 1 lot, just one house wud be worth 120K or more, and I got the sellers son to agree to 135K for both. There are no comps but hell, I believe I can get 145 for it, both houses rented for $550 each which is way too low, market rents for a 2/1 in this area is a minimum of $800
However the son handling the sale is one odd cookie. He was worried about the defects paragraph and zoning and hazardous crap. Finally after a few weeks of asking when was he going to sign the damn purchase agreement he says oh we are finally getting the renters contact info when they bring the rent June 3.
I wanted to tell the guy we dont need no stinkin renters contact info to start this deal going. So now after I resend the contract and have deleted and re-written the defects paragraph, he emails to say he will have his dad sign the contract and wants to know if I want to view property Sat morn at 10 AM. I email him back and tell him, after we get the signed agreement we can schedule an inspection. That was a few days ago. I anticipated delays and lollygagging, so I wrote in my email this offer of 135K expires this Friday at Midnight, thinking its going to piss him off or get his slow ass in gear.
I changed the wording on the defects paragraph to say: buyers are buying as is and will have no legal recourse from sellers or their spouses or offspring & will not be held liable for any catastrophic event or condition that affects the financial or mental conditions of property or buyer in regards to the purchase of this property.
I wanted to include that this revision extends to all future offspring of sellers and to the end of time until the sun no longer shines and this encompasses all Universes and dimensions.
That might have pissed him off though me being a smart ass.
If he will just get the darn thing signed so I can see if I can get it sold.
I got an appointment with the seller on the vacant fixer in the 1 horse town tomorrow.
She was talking to a realtor, you know how I luv those people, they usually screw up these deals.