All Forum Posts by: Charles Whitaker

Natalie, what type of contract do you have on these properties where someone came in and bought it from under you? Also, what is the length of time that you have it under contract?

I would immediately take my contract to a title company after signing with the owner, even if I am not the end buyer. Start title work immediately so no one can undermine you.

OF, If you have very hard water, might want to drain that thing once a year. The calcium buildup will prematurely wear out the heater(not in your case, ancient heater that runs forever) and allows bacteria growth as well as decreased thermal capacity.

Best of luck

Insight anyone

Nicholas,

I have to jump in and rock the boat a little. You only have had two wholesale flips since you started, correct? Back in June of the summer of 79'. lol. Sorry, that was uncalled for :wink:
You don't have enough data to disprove any method or any amount of risk. Come back after 15-20 of these flips and see if the method is solid.

Also, Is the letter mailings the only marketing that you currently employ? I really find it hard to believe that you are working smarter not harder by just concentrating on deal finding if this is the only method currently being used, if not, sorry for bringing it up.

I am still curious about the price of training? Anyone?

Rachel, IMO if you go through all that to FIND a deal for an investor you might as well SELL that deal rather than just give over the information. Their is a big difference between making 2K and 5K as long as the risk element is under control.

Nicholas,

That was a great response, however, why does someone need to go to a bootcamp to learn the material that you just spelled out in a few paragraphs? Everything that you have just mentioned can be learned right here on the forum; the amount of time it takes depends on your motivation. I have learned 90% of my knowledge either from the people that post here or the personal relationships with the people I have met as a result of this forum.

I just don't really think the bootcamp stuff is necessary; you've been sending out 200 cards every month, averaging one deal every two months? That don't sound very tenacious. Also, what about all those people who have called but receive no reply? Showing people the courtesy and respect by calling them back is where most of my business has originated.

I'm not harping on you or what you have done, to each their own .The real estate learning curve has a definitive price, mine was $80 for the few books that I have purchased. But I have paid a priceless amount with my blood, sweat, and tears in this game.

Elaine,

What is your exit strategy, ie, wholesale, rehab, rental? Also, what is the price of the funds available by the investor network you are referencing?

Yes, I am. However, I would not leave it that way for owner financing; interest rates are high these days. :mrgreen:
Do you use conventional financing or lines of credit?

I suppose the typical deal goes down as follows:
Chris, let me know if I have deviated from your outline

ARV = 100K
Repairs = 5K
Closing costs = 2K
Purchase = 58K (65% minus repairs, minus Closing)
PI Calculated @ 6% = 489

Down payment = 10K
Finance 90K @ 10%(?) = 967.14

Cashflow = 478

Obviously I am missing some things. Taxes, Insurance, wrong rates? Please share the knowledge

Dan, I would really like to know about all the strategies. I just don't know how they are organized and what types of financing is used. A lease option is where someone leases from you with the option to buy down the road. Which party controls such items as PITI, maintenance, etc. What % or cash flow should you receive?

Land contract being similar but employing either a wrap or straight sale. Likewise, who controls what? Also, what type of financing is best suited if a wrap is involved?

Once I figure out some of these variables I'll be able to judge which strategy I need to focus on.

Thanks for your help

I have always consideerd owner financing and consistently have clients call asking if I have any; how does it work. I know that many scenarios exist but which method is preferred?

What type of ROI should one expect?
What type(s) of financing should you have lined up?
Do you always use balloon payoffs?
Etc, etc, etc

Please fill me in, new niche underway and I'm low on the learning curve.

Thanks

Yes, Chris.'

Said property is to be sold free and clear of all encumbrances, liens, etc

I forget the wording but really close to that. Do you not have the standard investor purchase agreement yet? I have seen so many people lately, all with the same contract in hand. Need one?