All Forum Posts by: James NA

 Equity…
Appraisals are highly restricted…. But BPOs aren’t… so “ appraising a house though BPOs” is the preferred loophole by lenders who don’t care about tomorrow.

Near the beginning of the end.. 2006- 2008… there were ads gaaaaalore… about refinancing and pulling out your equity.

We just had two years of that. Yes borrowers needed credit and income verification this time…
but now there is a pool of properties that DONT HAVE EQUITY or as much equity….

So…. AMAZON…TWITTER.. FACE TUBE…. they all start laying off… and the stampede will start as a trickle…

One black swan… ( another COVID type event) .. 

full tilt selling and competition.

Crash?… maybe not…. Better deals and Sub-To?…… all day

 Please don’t be fooled…

YOU ARE CORRECT…
There are too many people WAY…overspending on “ investment” properties….therefore… with mortgage debt too high… there …IS … no cash flow..

To be perfectly honest and a little mean…… I am tracking the manes of the mentors and gurus in my town that aren’t raising hell about over spending…

When / if the next crash happens, they will be all over the REIA circuit selling foreclosure and short sale courses…

And I will be there too… asking open ended questions that lead to no other answer that… THE REIAs and the GURUS were a part of the reason that so many young naive investors went BK.

and… yes… if the crash happens… I am locked and loaded.
experience in Short Sales.. ( worked …IN… Bank of America’s short sale department… so I KNOW the process from their side of the transaction)
killer cash
Killer credit
killer Instinct

I don’t cook…

I pay someone to cook and then I sell great meals.

Chose your strengths…do those things

Accepts that you can’t do everything

Pay GOOD performers to the what you can’t or won’t do

Factor these items in to your business model

Factor this in to your cost to buy

Factor this into your decision TO/HOW TO/ WHEN…. to buy.

( only my opinion)

Bad idea…
I didn’t go to law school
I didn’t get a RE Agent or Broker License
I don’t swing a hammer
I don’t unstop toilets

Yes SEO CAN BE EXPENSIVE… MARKETING AND GETTING GOOOOD LEADS…. is/can be labor / investment heavy.

Chose your skill sets… don’t do what you’re not good at.
Factor in your costs… dollar v time.
Find a whole-saler that isn’t greedy… or build you own.

( only my opinion)

Bad idea…
I didn’t go to law school
I didn’t get a RE Agent or Broker License
I don’t swing a hammer
I don’t unstop toilets

Yes SEO CAN BE EXPENSIVE… MARKETING AND GETTING GOOOOD LEADS…. is/can be labor / investment heavy.

Chose your skill sets… don’t do what you’re not good at.
Factor in your costs… dollar v time.
Find a whole-saler that isn’t greedy… or build you own.

I am rebuilding an old web site CHARTERED to share real… deals…

It had…. And will have ..a GREAT FORUM…that has the typical…” Deals Available” section.

PLAN A
But… the deals REQUIRE …
a) the seller post the deal and …
b) Include …. TWO EXIT STRATEGIES… per deal 
c) WITH NUMBERS 

PLAN A1
Then all members ( at a given level) ( NOT PAID LEVEL) vet the deals…. 
A given number of “ down votes” and this posting get marked as “ marginal”

Plan B… same forum…
Based on the market of the property, a live “ investment “ number score will post immediately next to the title… so all you need to do is… look at the title… look at the “ investment rating” score… and decide if you even want to open up the posting.

Also enough Retail Deals listed as Whole Sale Deals… and the posting member gets suspended.

Three suspensions and the member is blocked.

——————————

Why in the WORLD would any whole-seller want to participate ?
because if you’re known as a great whole-seller with GREAT deals…. Then buyers will be looking at your postings first.

My personal record for a killer deal for me AND the investor
22 hours from me signing the option ( buy) paperwork to signing the assignment
$50 ( fifty)… five…oh… FITTY dollars out of pocket
My “ option to buy price”..$15,000
My “ Assignment fee” …$. $17,000
Assignment deal completed 22 hours after I signed the initial docs.

Sound like a rip off? Did I make too much in the middle?
The initial total cost to the end investor buyer was;

$32,000 total cost at closing
$30,000 rehab cost
8 months later the investor sold it for $110,000 ( I think)… 
even the retail buyer got a deal.

So…. Yes… fair deals are possible.
Currently the whole-salers are not leaving any equity in the deal.

And (in my opinion…).. IN…THIS…ORDER…
Unwise/ Immature Investors.. aka Gamblers
REIAs
Mentors
Gurus
Whole Sale sellers

Are the problems

Of the above , THREE …CLAIM… to be “ Ed-vocates” ( my phrase) but aren’t advocating for anyone but themselves… in the form of selling training, gathering a following of new sheep, skimming the best deals for themselves.. ( yes I personally saw this repeat again and again).

And one is risking Bankruptcy.

Sorry for the rambling…

Nancy Reagan should have been a guru…..

Let’s follow her wise teachings

Go to your Real Estate Investment Association meetings… stand up and 

Ask…” HOW DOES THIS DEAL COMPLY WITH WHAT …ALLLLL … OF US WERE TAUGHT”
how is this a deal

How is this a deal

The quote Nancy

JUST SAY ..NO !,!!!!