How I Made My First Deal

[Michael S.]

First of all I want to thank everyone on this board who is helpful to new investors looking to find their way. I learned a lot on this site about how to wholesale and 2 months later I closed on my first deal. Here's how it went down.

First of all -- I've been a full time real estate agent for less than one year, barely getting by here in Ohio. One week after reading Danny Johnson's blog and many posts on this site as well as other info I found on the internet -- I ordered 100 bandit signs and 2,000 "We Buy Houses" business cards. I put out 10-15 signs every Friday night and passed out business cards here and there (not nearly as much as I should have). The best thing I did to find sellers was calling probates. I started out sending 35 letters to probates in my county but after 2 weeks or so only had a few incoming calls, so I started calling them. I wrote a script and had great success with this. My goal was to set appointments, and I set quite a few (roughly 1 out of 5). I've picked up 4 listings through the probates for my real estate business.

The deal I finally made was a probate who called in from our letter. I set an appointment, assessed repairs and offered him $17,500. He accepted, and I marketed it to our buyers list for $21,000 giving myself 20 days to close. After 15 days or so I realized I had overestimated the value of the property and basically told him that the investors I work with didn't think it was worth the price I was offering. I told him I was going to have to re-negotiate or walk away. Fortunately he was motivated to sell and accepted my offer of $10,800.

Meanwhile, I had been calling investors that I had located through searching the sold properties in the area (cash buyers). Once I had the new contract, I called a few of them and offered it for $12,000. On my 2nd call I got acceptance. That was Monday, we closed today. I didn't have to show to closing, they mailed the check today.

[EMAIL REMOVED]

I'm no expert but will help with what I know!