Help me get started!

General Real Estate Investing
1

Hello fellow investors,
The past 2 months have changed the way I look into the world of REI. Still attending college, I realized that I want to choose a different path. All my life I wanted to be financially independent and to give back my family what they have given to me. With this, I sat myself down and picked up a couple books to read. I got hooked on one and it has given me great ideas on how to get started. I am here writing this post because I would like to get all the help I can. With that said here are my questions:

1.) Where or how do I get the best person to tell me a property’s worth?
2.) Where do I get a Contract written up if I find a motivated seller?
3.) How are Closing costs and other taxes determined? (southern California)
4.) At closing is it best to have seller pay the closing cost?

There is a house for sell on my street and it has been listed there for quite a while and I was inclined to approach the seller soon and ask if I could step in and get her house sold. If this works out, my exit strategy is to finance the property. I will pay her a agrred monthly payment and when I sell it, I will cash her out of the property. When it is signed to my name I will find a renter who will rent 1-2 years. I just need those questions above to be answered and hopefully this will open me up to greater opportunities. Thankyou All in advance! :slight_smile:

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Anyone have any useful tips?? ???

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Hey,
#1. A realtor can give you accurate comps. I don’t know about your area but in Oklahoma you can get comps online w/ the tax appraisals as it is a disclosure state.
#2. Use the search option up there around your name to find contract info. Also to your left under Investor Resources see Real Estate Forms. I would also consider Prepaid Legal or some other legal review of your contract. In fact. it is mandatory if you want to stay solvent.
#3. Dunno. Check w/ a real estate professional or title company.
#4. Believe it is customary (at least here in Texas).
Good Luck.
Peace,
Richard

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  1. Usually, an agent or appraiser can do this. If you’re experienced enough, you’ll start learning values, but most investors have agents as partners so they can go into a deal with their eyes open.

  2. REALTORS® have standard contracts, but there are many forms available. The other person mentioned to use the tools on this forum. There are many good articles on what to include in your contract, depending on if it’s a lease-option, standard purchase, contract for deed, etc.

  3. Closing costs are determined by the method of financing (lender fees versus paying cash), title company fees, legal fees, etc.

  4. Custom is that you pay your own costs. If you can get someone else to pay them, that’s even better. If you’re in a hot market, the seller won’t pay your costs unless you want to finance them into the loan (if you’re getting a loan). If you’re trying to quickly acquire a property for a flip, you need to make the offer as quick and easy as possible for the seller or you’re going to lose the deal.