I see that alot of things i’ve been reading lately are out of pracitce b/c of the market today. I would like to know if it’s still in practice of having a title company hold your earnest deposit, so this way if you make 100 offers, you wouldn’t have to put 100 deposit, but just having the title company hold it, when anyone call the verify the answer will always be yes we do have a deposit.
I give my real estate agent a personal check. When I make offers he fills in the earnest money amount and sends in a copy of that check with the offer. He will send a copy of the same check to all 100 offers. Only when an offer is accepted do I need to provide real funds. Those funds must be certified funds. I then go out and get a cashier’s check or money order to place the earnest money down.
Thank you bluemoon for your reply. I’ve filled out those paper work many times and they can be tiresum. I’m learning that I have to put out many offers and then only look at the 1’s that come back to me accepted. I like that plan, my question is are you or anyone else can chime in have your own letter maybe gernated from a software where it plugs in all the info so then all you and the realtor have to do is sign the dotted lines?
I went to a rich dad seminor and they have a software “real estate success software” and in the software and had all sorts of letter along with an offer letter. anyone knows of a software that has those and can you use those when dealing w/ a realtor or they have to use their own.
Let me go over my process. I find the house that I want to buy and determine the price I want to pay for it. I e-mail my realtor and say make this offer on this house. He puts together the contract and places the copy of the earnest money check and pre-approval letter together with it and submits the offer. I don’t do any of that work. That is what the realtor is for. I repeat until my realtor calls me and says we got the offer. I usually have to ask on which house?
Realtors are free. They are paid from the seller. Get one and use him for that stuff. He will love the easy money you are making for him.
I have to disagree… Realtors are not free to the Buyer… The buyer gives the money to the seller to pay the real estate agent… All the seller does is authorize the payment contractually…
Also I would say you are doing most of the work… You’re finding the house and determining the price you’ll pay…
Ok guys thanks for the info. my other question is. How do you guys evaluate a deal so you can see if it’s a good fit for you. I read some are doing the 1 or 2% rule, but I wouldn’t invest just based on that. Are you guys using any RE software to help you out and if so what are they. I just looked at 150 listings from my RE. I’m down to about 20 and i’m trying to figure out the best way to evaluate them to see the cash flow and what my potential mortgage will be.
Realtors are free. You don’t pay any more if there is a realtor you don’t pay any less if there is not a realtor. You buy the house based on the value of the house. The work that I do is the work that only I can do. The work I refer to is the filling out of the papers, chasing the seller down to make sure everyting is being done etc. All that stuff is clerical work. Your time is too valuabe to be doing it. That is what a Realtor is good for.
You don’t need RE software to determine if a deal is good or not. Gross rents of 1% of the purchase price is way too low. 2% is a good number.
You should check around with banks and see what they’re details are for investment loans. You may be running your numbers on 5% for 30 yrs, but maybe the bank is at 7% and no longer than 15 yrs for investment property.
Self deleted
Part of the reason why I asked that question is because I attended a rich dad 3 day seminar and they had a software called “real estate success software” selling it for 1200. I see dolf de roos has a similar 1 called REAP. will I like the software pretty much for all the reports it has in it. so if you’re dealing with a seller for example. once you run your #'s the software could run some reports for you 1 to show the seller what the #'s look like on paper, 1 with your offer and another showing him some creative financing option. The system would just plug in all the address and financial info and you can generate all the letters you need.
I find it to be more professional and some people have to see things in black and white vs. you trying to explain how you came up with your #'s.
so if anyone knows of a software that does that, that would be great.
For $1200? You probably already have a word processor and spread sheet that came free with your computer.
For $1200, I’d type myself up some stock letters. The sort of spread sheet that you’d need to show figures to a seller ought to take you about 10 minutes to set up. No matter who set up the spread sheet, you are still going to have to sit there and put the figures into it.
You can not replace first impressions with a software report…
You need to learn presentation skills and stop relying on a tool to cover up weakness or fear…
I’ve been in all types of sales, and I have no problems speaking. I just like to be oever prepared, there will be times you will run into people who like to see data along with a presentation and if I have all of that already generated, then it saves me and them time. what i’m looking for is just a “want and not a need” until I have a team who can run all those #'s for me, then it would be nice to have a software to do it.