All Forum Posts by: James Popp

@Account Closed Yeah I wasn't totally sure if that's what the author meant or if somehow we were supposed to figure it out on our own. Thanks

On one of the first sections of the book, we are told strategies for analyzing the markets in which we want to flip. In one part the author talks about determining if there are buyers in the area by seeing if at least 60% of the houses that are listed get sold vs expiring. This is probably a newbie question, but how to we find that information? I can't seem to figure out how I'm supposed to see whether or not homes were listed and bought or listed and expired. Can someone help me out?

@Brent Coombs Ohhh okay, I get what you are saying. You are talking about initially buying from the bank, and I was talking about ARV. That's where the confusion was. So the problem still remains, why are my comps so much different between me and my realtor? Should I ask her about it?

@Brent Coombs I had 4 comparable properties that I found, same bed and bath, similar square footage, all built around the same time, and close by. I actually got on google maps and looked at all the neighborhoods with street view, and they all pretty much match my target property, if not slightly nicer, but definitely not enough to cause the discrepancy. My realtor had 3 comps, but only 1 out of 3 is accurate in my mind. The other two have 2 bathrooms instead of 1, one of the two has 400 extra square feet, and the other one was built in 2006 when mine was built in 1956. So honestly, looking at mine, I think they are better. Also I looked at zillow, and it adjusted the ARV down because it also said that homes sell for less when they are foreclosed than they would in a traditional sale. So I'm not entirely sure what to think

The property is also a foreclosure just an FYI

So foreclosure has nothing to do with ARV then? Like I have a property right now asking 27,000. I found some really good comps that are all less than .4 miles away from the property, have all the same attributes, and based on these the ARV should be $113,000. But when I asked my realtor for comps she said it's only worth around 85-95k all fixed up? What can explain that discrepancy?

Also, unrelated, but how do you mention someone in a comment? Thanks!

Hey guys. I pretty recently got some education about wholesaling. When we were learning about coming up with an ARV and finding comparables, I was taught that foreclosed homes sell nationally for 30% less than what they would if they weren't foreclosed. Is this true? And if so, why is this the case?

@Brett Coombs yeah you're pretty wrong. I mean out of the 9 or so cash buyers I've contacted in the last week, 6 have answered and want to work with me. And why would having an investor friendly agent be a bad thing? It certainly isn't a negative, and they have access I could never have, so it must be a positive. I can add value to them because I will still be trying to contact unlisted sellers via postcards, letters, signs, craigslist, etc. If it turns out that the sellers that contact me wont work, then I can give them to my realtor as a warm lead for them. It's a symbiotic relationship. I don't want to leach off anyone and I don't want people to leach off me. There's no reason realtors and wholesalers can't both coexist and both benefit from each others services, as long as the intentions are clear.

 I appreciate you saying that, because I've been conflicted about whether or not I should tell the realtor the "whole truth". I don't like lying, but I don't want them to chase me out the door either. Do you think if I am upfront and honest, and present my side rationally, that they will me more likely to work with me?

 Thanks for saying that man, it's nice to have a response from someone actually in the wholesale business. Yeah I've heard about the "wholesalers" that take an hour long seminar then try to go out and do it and discredit actual wholesalers. I've gotten education in the whole process and I've been doing a lot of self educating on sites like these too, and I have every intention on making my business respected and reputable. My understanding is that, even though other buyers may have access to the mls, they still find wholesalers valuable because they extend the buyers reach, and give them the chance to see deals they may not have seen otherwise because of time or any other factors. Is that about right?