All Forum Posts by: Dolores Ruiz

Thanks all for your replies....Thanks TC great idea I will try to find a scanner and do that.

I know I should have said can I take this home and look it over and I will get back to you. I have learned a valuable lesson as a beginner investor dont sign anything without consulting with someone that knows about real estate or a lawyer. Thank god this mistake is only costing me $295 which I willingly handed over to this unscrupulous person.

I know I should do all that you talk about in your e-mail (sounds really good) but greedy people like him hang themselves without the help of someone like me. The question to the forum is can I get out of this now so I can do other things like tell him this is not working out and he agrees to release me, or can he release me from the contract?

I need to be let out because I dont trust him anymore and I am MAD that this is his approach. thanks allo for your responses.....

I am not sure what to do! I am a new investor who has been trying to get started in the Real Estate Bussiness by buying property. I started working with a new to the Real Estate bussiness Agent and that did not work out for what I am trying to do as an investor. The other day I met a Real Estate agent at an REI Club meeting and I got his card. I sent him an e-mail telling him that I was a new investor and he started sending me properties. At one point he said why don't you come in to my office so we could talk about your investment strategies etc. I went into his office ½ hour into the conversation he pulled out a contract for me to sign stating that he is going to represent me, he gets 3 % if I sell a property and in addition I was to pay him $495.00 but he was giving me a deal of 295 because I belong to the REI club. I being new to this went ahead and signed it and told him I was going to mail him a check (I thought this was something that happened in the bussiness). I sent the check and did not think anything of it. I was having dinner with my friend and he says to me I want you to call this broker friend of his, he is going to work with you trying to get some deals etc. I told him what I did and he told me I had entered into a legal agreement with this Broker( I thought Real Estate Agent) as it says in the paper and I cannot do anything without him getting involved or he will sue me. I asked my friend what if I wanted to wholesale deals he said the same applies. I am about to join a mentoring program and we will be doing deals with them, so I will have to share profits with my mentor and with my Broker Real Estate Agent?. In addition my friend looked at the contract and it says that I am bound to the contract even 90 days after the expiration date which is December 26, 2007. Can someone advise me as to how I get out of this arrangement, at first I did not think anything of if but now I feel trapped. I will like to have the flexibility to work with whom I choose without getting sued by the Broker Real Estate Agent.. Please Help.

Got it!!!! Imagine the bank was not accepting 270 so 188 is out of the question. Now I really understand how to calculate. I will take into account the market and what things are going for in particular neighborhoods. It seems that is all about the numbers and the research. The more you research the more prepare you are to make sound decisions....Great thanks everyone for Real Estate Lesson #1

Thanks everyone for the great information...I dont so feel so alone with this. I put in my bid for $270 and have not heard anything yet. I am working on other things I am not giving up. I guess because I have not heard anything that means my bid was not accepted. It is amazing this property has been on the market since March they prefer to sit on it and incur more cost than to sell it for below market value. I am learning especially on the WORLD of REO's. I am not going to get discouraged there are bigger and better deals out there all for me....Thanks for your responses I really appreciate it..

Sorry, I am new and would like to know where the form is located so I can use it on my project.....

So if the FMV is $340,000 and repairs are 50,000 then asking price will be $340 - $50 = $290 so asking price will be 30% of the $290. I know that for a newbie doing rehab can be challenging. However, I need to learn and get my feet wet. I might make a few mistakes at the beginning hopefully they wont be very costly....Thanks for your time.....

I am a new investor and recently submitted a bid on a Property (REO),
it is listed for $300 and needs alot of work. My contact suggested I a bid of $270. I wanted to bid 70% or 80 % of the asking price . The property needs alot of work I say $50+ he is saying 20,000,. The comps in the area are $ 365,000. My contact says that if I submit a bid for 70% or 80% of the asking price my chances are slim of getting it awarded. What is the rule of thumb for purchasing REO's I thought it was to bid 70% to 80% of listed price because of repairs and other costs involved in purchasing Real Estate.....My concern is that if the repairs are in fact 50+ I might loose out on this deal...any advise will be appreciated..