All Forum Posts by: Daniel O'Grady

I checked the comps in the subdivision and most of the homes in the same subdivision with similar s.f. are selling for about $250k The tax appraisal is $239k Of course I would check it out but the house was built in 2012 and the AC was replaced in 2019 so I would be surprised if any major repairs were required. The house is not listed on the MLS

There must be a catch, I wouldn't expect someone to just give up $35k plus

smh back

neg

Why do realtors want to pretend that calculating real estate commissions or ANYTHING they do is 1. complex 2. remotely necessary ??????????

I can do fine without some real estate agent's rhetorical advice, market mastery and negotiation "wizardry". An agent provides zero value other than opening the door in my estimation.

The question is how do I write into my cash offer that the selling agent will either reduce his/her commission, or give me a credit at closing. Would it be easier to just have my own buyer's agent and agree on the rebate with them?

How would I write the commission going to me into the offer?

A friend of mine is a real estate attorney and I would like the 3% to go towards paying him and covering some closing costs.

I am very confident a buyer's agent would be of very little value to me (aside from opening the door) - (apologies to all you buyer agents out there)

Yes I realize I would have to verify the no repairs/high ARV statements, but I guess my question is more along the lines of "is it common to list a home below value, just to make a quick sale?"

If you pay cash and represent yourself but the seller has an agent with 6% commission, (3% to buyer's agent + 3% sale) where does  the 3% to the buyers agent go? Can it go to the cash buyer?

If I am buying real estate with cash - do I need an agent? What if the seller has an agent?

I'm new to real estate investing and have been getting e-mails from home investment companies stating the house (for example) 

ARV $250,000

Seller Asking Price $215,000

Repairs Needed $0

There has to be a catch. Why would they do this?

I am new to this forum and am trying to get some initial opinions on where I should invest. I have around $300k to invest in the Houston area. 

From what I know cap rate is calculated as NOI/Value of Asset (Down payment+amount financed). While the cap rate seems like an OK calculation, it does not include the part you pay for financing so it is possible to have a positive cap rate with negative cash flow.

Would a another useful calculation be your total net income/value of asset? It seems like this would be good since it looks at the whole picture while cap rate calculation only looks at part of the picture. 

Is this calculation commonly used? If so what is called?

If it is not used, why?

As a new REI, I am considering obtaining a real estate license. I'm confused on this subject however. Can I get a license and simply represent myself in transactions (accept commissions) without having to sign on with a broker, or do I need to sign on with a broker either way?