Negotiations with seller.

[Malcolm Brown]

First off, I would like to say that i have successfully launched my first marketing campaign, and I am feeling very excited.

~first call from a seller~

A day ago, I received call from a seller I sent a letter to. He said he had a offer for 60k from another buyer. He also stated he had the property apprised and the appraisal was for 120k. The property is set for foreclosure the beginning on Feb. What I didn't find out was what was needed to be done to the property. How should I handle those situations if an offer is on the table? How can I be better prepared to negotiate those type of deals, in such a short notice? 

[Don Konipol]

The offer may or may not exist, may or may not be serious, the buyer may or may not be able to close, the offer may or may not be subject to anything or everything.... since you are new, and do not have the experience to evaluate the "other offer', my advice is to ignore it.  You need to visit the property, inspect it and conclude what repairs may be necessary, the cost of those repairs, the value of the property as is, the value of the property after repair.  You then need to calculate your costs.  Assuming you are interested in purchasing the property to fix and either resell or lease, you will need to have cash or a financing plan line up.

From your questions it sounds as if you are not quite prepared to move forward with an actual purchase.  So let me suggest an alternative.  Find an experienced investor to partner with.  If you have capital, provide the capital in exchange for his expertise.  If you have no capital find an experience wholesaler to learn from.  I have seen many new potential investors, flippers, and wholesalers get to your stage and realize they don't now how to proceed.  It just takes the time acquire some more knowledge. The best way is as an apprentice to someone experienced.

Good luck!