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Jesse Hepburn
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How do you work with drug addicts?

Jesse Hepburn
Posted

Seller has no money to pay utilities or buy groceries. I’m 99% sure they’re drug addicts. The seller owns the house free and clear. He says he doesn’t want to sell because he has no where to go. He’s calling me asking me to buy him groceries. 

How do you help somebody like this?

I’d like to wholesale it or do a seller finance deal with this seller. 

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Charles Carillo
  • Rental Property Investor
  • North Palm Beach, FL
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Charles Carillo
  • Rental Property Investor
  • North Palm Beach, FL
Replied

@Jesse Hepburn

This is a tough situation, but I would not be trying to do seller financing with them, and an influx of cash from a sale is most likely not going to be beneficial for them in their current situation.

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Denis Ponder
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  • New to Real Estate
  • Yuma, AZ
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Denis Ponder
Pro Member
  • New to Real Estate
  • Yuma, AZ
Replied

In some cases, the juice isn't worth the squeeze; this sounds like it might fall in that category.  If the seller has already told you they don't want to sell and they are asking you for grocery money, this isn't going to go do a very logical path.  Negotiating with people who only live through their emotions is difficult.

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JD Martin
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  • Rock Star Extraordinaire
  • Northeast, TN
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JD Martin
Pro Member
  • Rock Star Extraordinaire
  • Northeast, TN
ModeratorReplied

I don't work with drug addicts. That's the best answer. Why would he think you should buy him groceries?

Anyway, you can't help someone like this. You're trying to get a deal from you, he's trying to bamboozle you and string you along on the hope that he'll sell and you'll spend money trying to make it happen like buying him some Twinkies and Doritos. 

You should go down the road. 

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Livia Adams
  • Real Estate Consultant
  • Miami
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Livia Adams
  • Real Estate Consultant
  • Miami
Replied

I would say don't touch something like that.

Don't try to make money on people that are at the bottom. At least they have their home. If you have them seller their home they will potentially end up being homeless.

Stay away.

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Chris Seveney
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  • Virginia
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Chris Seveney
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Replied
Quote from @Jesse Hepburn:

Seller has no money to pay utilities or buy groceries. I’m 99% sure they’re drug addicts. The seller owns the house free and clear. He says he doesn’t want to sell because he has no where to go. He’s calling me asking me to buy him groceries. 

How do you help somebody like this?

I’d like to wholesale it or do a seller finance deal with this seller. 


 I would also not do seller finance with a drug addict, they will keep coming back and probably break in and steal from you. I would walk away from this one.

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Michael Papps
  • Investor
  • Norfolk, VA
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Michael Papps
  • Investor
  • Norfolk, VA
Replied
"How do you help somebody like this?" You don't.
-Michael

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Bruce Woodruff
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  • West Valley Phoenix
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Bruce Woodruff
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  • West Valley Phoenix
Replied

I would not do any business with a druggie. You'll just regret it. Not only is there an brain addled person, but the drug issue shows their character as well. It takes a lot of bad decisions and more than a few character flaws to get where he is. 

Just move on to the next one.

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Theresa Harris
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Theresa Harris
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Replied

Why not just buy the house from him (not wholesale, but actually buy it)?  Have all the paperwork signed and once the house closes, he can move into a hotel until he finds a place to live.  Don't make his problem yours.

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Replied

that's good opportunity, why dont you make offer right away ?

oh i love buying from druglord , and the neighborhood would like you too.

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Russell Brazil
Agent
  • Real Estate Agent
  • Washington, D.C.
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Russell Brazil
Agent
  • Real Estate Agent
  • Washington, D.C.
ModeratorReplied

Don't. Leave it alone.

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John Ojo
Agent
  • Real Estate Agent
  • Northern California
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John Ojo
Agent
  • Real Estate Agent
  • Northern California
Replied

I know this is a tricky situation. My first thought was, "You don't," but if you are really committed to getting this deal done. I would say proceed with caution. Depending on their level of addiction it may not be worth it. You must asses if they are they the weekend weed smoking warrior or are they number 1 customer from Breaking Bad. 

The groceries may be a test to either see what you are willing to do or a test to see what you are willing to do. 

Personally, I have lost a deal to someone who did the extras like groceries, payrolls, rent a storage container. You must calculate the risk as for that individual it may mean the world. Since the seller is worried about having nowhere to go, that presents a different issue. Are the working? You may not want to do a seller financing deal as I can see that blowing up. However, check on their support system and just be ready to bail if it gets to weird. 

A suggestion could be help them find temporary housing, such as a rental or a motel, and possibly cover the first month’s rent. ***If there is enough money to be made. This addresses their primary concern. For the deal itself, we have two options: seller financing or wholesaling. With seller financing, I personally feel that would be to risky as they may becoming back for more after that magical month runs out. I would look to Wholesale and sale quickly. 

You can get creative with the terms and even throw in some real care like if they attend classes or group then X. Throughout this process no matter who they are or what there issue is,  stay in touch with the seller which keeps everyone eye to eye and builds trust.

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Bob Stevens
Pro Member
#4 Innovative Strategies Contributor
  • Real Estate Consultant
  • Cleveland
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Bob Stevens
Pro Member
#4 Innovative Strategies Contributor
  • Real Estate Consultant
  • Cleveland
Replied
Quote from @Jesse Hepburn:

Seller has no money to pay utilities or buy groceries. I’m 99% sure they’re drug addicts. The seller owns the house free and clear. He says he doesn’t want to sell because he has no where to go. He’s calling me asking me to buy him groceries. 

How do you help somebody like this?

I’d like to wholesale it or do a seller finance deal with this seller. 


 why are you even speaking with this person? Move on 

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Bruce Woodruff
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#1 Contractors Contributor
  • Contractor/Investor/Consultant
  • West Valley Phoenix
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Bruce Woodruff
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#1 Contractors Contributor
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  • West Valley Phoenix
Replied
Quote from @Account Closed:
Quote from @Jesse Hepburn:

Seller has no money to pay utilities or buy groceries. I’m 99% sure they’re drug addicts. The seller owns the house free and clear. He says he doesn’t want to sell because he has no where to go. He’s calling me asking me to buy him groceries. 

How do you help somebody like this?

I’d like to wholesale it or do a seller finance deal with this seller. 

Every house I’ve ever bought from a drug addict or who had a family member that was an addict was trouble. Profitable, but trouble. They return to the nest as do their buddies, looking for their hidden stashes and for more drugs.

We've found little blue fentanyl pills (extremly addictive and deadly) in cracks in the floors and in "out of reach" places they had fallen. Where crawling babies could find them.

You have to do an entire detox of the house to be sure and then you still don't know what a child will find in a sidewalk crevice or under a bush.


 This ^^^^^ It is just not worth it. Why would you even consider dealing with a druggie? For money...that's your only reason, Don't let greed screw you up, just find another house that's a deal. There are millions of them out there. Again, don't let your greed get the better of you.

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Bruce Woodruff
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  • West Valley Phoenix
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Bruce Woodruff
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Replied
Quote from @Bob Stevens:
why are you even speaking with this person? Move on 

 As usual, Bob says it like it is...... :-)

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142
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Gustavo Delgado
  • Houston, TX
87
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142
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Gustavo Delgado
  • Houston, TX
Replied

you should just walk away and refer them to social services

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49
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Alyssa Wright
  • Real Estate Agent
  • Pittsburgh, PA
49
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86
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Alyssa Wright
  • Real Estate Agent
  • Pittsburgh, PA
Replied

The short answer is, you don't. 

This does not seem like a good/fair deal for either party. Seller doesn't want to sell & is only doing it for money. He might just be asking for groceries now but throughout the closing process it could turn into him asking for added contingencies, money, who knows.