Driving for dollars $$$

[Account Closed]

Hi all,

I have a question that I have been trying to figure out myself but haven’t managed to find a real answer. I recently starting gathering my business plan for a wholesale campaign. I began by driving for dollars and writing addresses down in my neighborhood that could be a potential deal. The majority of the "vacant" or "distressed" had a red sign on them which means they are banked own. My question is Do I still direct mail to these properties? Or now that the bank owns them I won’t be able to do deals with those properties? If anyone can give me an answer or an alternative, it would be highly appreciated.

Best regards,

[Jayden Pudney]

You can contact the banks and buy the properties but not wholesale them. You have to make a cash offer and provide proof of funds. They won't let you assign It.

[Roland Paicely]

Good luck working with the banks on this.  Often times the houses are involved in a process toward getting these homes to the market for sale.  It can involve a Realtor at some point.  I hope you have a lot of patience.

[Matt Musser]

Steven,

In my experience, the time spent dealing with banks could be better spent finding owners that are looking for creative ways to sell their house. The trick with driving for dollars is to find the properties before they get to that point.

[Tyisha G.]

@Account Closed Great question and helpful responses as well. I have found myself in similar situations when driving for dollars. Hang in there.

@Matt Musser One step further, how do you find and contact the owners before it reaches that point? And what creative ways would you suggest as starting points? Always looking for helpful ideas. Thank you.

All the best to everyone.

[Adrien C.]

If the property is obviously being maintained by the bank, I'll do a quick property records search to see if it is bank owned or abandoned but still owned by owner (in foreclosure process). If it is in fact a bank owned home- I'll email/fax an offer directly to the bank. the website www.laneguide. com is a good place to get contact info for the bank. I'll email a purchase agreement as well as a 1 page summary of the condition of the property. I've never been asked for POF and have always had a 10 day inspection period where I can access the property. I'll find a buyer during that inspection period and double close. If I don't find a buyer, it's not a deal and I tell the bank my numbers don't work now that I've been inside and have a better idea of the condition (which is true).

With properties in the foreclosure process, I'll try to track down the owner to make an offer. Lots of times, the owner doesn't know they have options or it's an estate with no will. If they want to sell and it's upside down, I'll have the owner submit a short sale offer directly to the bank. It's contingent on not having to submit all the financials of the seller as well as no recourse on the seller for the deficit. I want to make it as easy as possible for the seller. 

It's a number game- the vast majority of my overs are rejected but occasionally one is accepted. It doesn't take but 10minutes to email/fax something in. My bread n butter is the houses that are distressed but not bank owned/foreclosed but i like to have several avenues of leads out there. 

[Matt Musser]

Tyisha,

I get on the county assessors website and find out there name to personalize the phone call. Its amazing what you can find on the Internet...

[Cassio De almeida]

@Adrien C.great info.