As a newbie (boy I can’t wait to lose that title), I’m still trying to feel my way around. I’m interested in investing in baltimore. Can anyone recommend a group to join? Do all groups require a member “fee”?
Lastly, I’ve looked on craigslist in the baltimore area for properties. Just curious what type of questions should I (or rather would you the experienced investor) ask someone selling an investment property?
Thank you.
How did you happen to hear about us?
I buy houses (just like yours) all of the time… and I have found that, if the seller is willing, we can come up with a solution that works best for both of us. Is that okay with you?
Sometimes the only way we can buy the houses we look at is to take over the debt and pay you your equity. That means the loan will stay on the property until it is sold, assumed or paid off.
So, if we can pay you your equity, guarantee to make your payments and be responsible for all repairs, you will sell the home to us, right? Yes No
What time of day would be better for me to come out and buy your house?
or ? Teriffic!
Before I come out, there are just a few more questions I need to ask about your house. Is that okay? [They Answer: It is] Outstanding.
Is the home vacant or occupied? Occupant name?
How many bedrooms? …and the number of Bathrooms?
How many Square Feet?
Size of the garage?
How did you happen to own the home?
What kind of repairs does it need?
CarpetPaintRoofCabinetsElectrical
PlumbingPlasterSheet RockCoolerHeater
Air ConditionerWindowLandscapingClean-UpOther:
What do you think the repair cost will be?
How much are you asking for the house?
Is that Fixed-Up or ‘As Is’?
How did you come up with that price?
How soon would you like have your house sold? Days ( Date )
Is there a mortgage on the house? Yes No
What is /are the balance /balances? 1st 2nd 3rd
What is /are the rate /rates? 1st% 2nd% 3rd%
Are you in foreclosure? Yes No Notice of Default or Trustee Sale Trustee Sale Date
Arrearage Amount
I have one last question. When I come out, it is important that all of the decision makers be there, so I can come to an agreement to buy your house… Will all of the decision makers be there for the appointment? (If all of them are not there, don’t go)
Yes No
Well name thank you for calling and giving me the information about your house. At this time I need to look over the information you gave me and do some research on your property. May I call you back in a few minutes to set an appointment? [They answer: Yes] Terrific.
Note: do your research and call the prospect back within 15 minutes� If not they will call someone else� Remember our job is to solve their problems and the prospect will continue to call Investors until they find someone they believe will solve their need.
Good stuff Michael.
Anymore suggested questions?
Do must clubs require a member fee to join to receive information? Are there local rei forums I can join?
Google your local investment club.
“XXXX real estate investment club”
Some clubs will have a fee depending on their size. If it costs between 5-50 bucks, pay it and go.
To add to michaels list:
If the property is tenant occupied how long are the leases?
How long have the tenants lived their?
Get a written copy of the leases.
More advanced questions that can present NIGHTMARES if left unanswered.
If your city has property compliance be sure to find out if the property is in compliance.
Ask if their are any outstanding violations on the home?
Find out if the property is being used for what it is zoned for?
when you do make an offer on their home never say “This is what I think the home is worth” that can put sellers on the defensive. I always use “Given the current market conditions this is what I can afford to pay”. Just a small shift in word can create a huge difference in the outcome of negotiations.
Hi RAJ. This site is so cool it even does that for you. http://www.reiclub.com/real-estate-clubs/Maryland.html most of the clubs even list the fee. One is $175/year on is $20/visit (probably for refreshments)
Thanks Eric.
Those are some expensive refreshments. :bs
Most REI Clubs have some overhead - speakers, supplies, refreshments, cost of the meeting place, etc. Most operate on a zero sum budget.
Keith