how important is it to get equity? listsource?

[Account Closed]

as a beginning RE investor, i wanted to start out wholesaling.

i went on listsource to get a mialing list. i did my whole state and got about 98k people. when i put the criteria to search for absentee owners owning the house for more than 12 years it went down to 1.

either i am doing something wrong or there is only 1 person?

First year mortgage from 5/5/1900 to 11/5/1999

should i go to 10 yeras? i did 2003 and i only got 103.

what should i do?

[Rafael Floresta]

Equity is important because in most deals determine how much "discount" you can get.

If I own a property worth 100k, and owe 80k, I have 80% LTV, 20% equity.

That means I can only sell my house to you for at least 80k, without doing a shortsale or bringing cash into the table. (You can do subject to, but that is another story).

If I have 0 equity, owe the bank 100k for a 100k house, it is bad for the wholesaler because there is not way he can get a discount, because me as the seller will want "retail" so I dont damage my credit with a short sale.

If I have negative equity, I am motivated to get rid of the property, and it doest matter how much it sells for, as long the bank approves.

I am simplifying things, but that is why equity matters.

If this is your first time I highly encourage you to do driving for dollars first.