All Forum Posts by: Jay Hinrichs

@Mark Ferguson 

  I have often used odd numbers when offering on properties.. Seller thinks your really looking into the deal in detail.

When I bought at auction or court house steps I bought a crap load of properties were I was willing to go 57 dollars more .. as in my completion had a whole number in mind and quit bidding.

@Paul Choate 

  .25 miles of water main should not run 200k  that being said if its .25 miles and you need to run all new water mains and hydrants through the park then that adds up.

great story, you need a partner I will wire you 4500 tomorrow for 50% interest .. Oh hell I will just give you the whole 9k for a 25% interest  :)  Nice job keep us posted on this one send me private messages I want to see how this works out for you.

Is the park currently condemned with no one living there?

@Cesar Perales 

  Well there was more to the story.. you wanted to buy it for much less than what the payoff was... so the bank does not have to accept that and can take it to auction which they did

@Brandon Sturgill 

this is done frequently it follows the auto industry... In markets and or pockets of markets were your actually selling to homeowners and not markets that are saturated with investors buying SFR's for rentals.. many times people will set up search's on MLS for say 400k and under.. So yes we write our listing at 399,950.00 to catch top dollar but also be included in the buyers 400k search parameters.... I personally have done this for 40 years I like it.

@Victor Mejia 

from my experience working in so many different markets throughout the US ... its really a regional thing.. When your in areas were there are tons of rentals and wholesaling going on its pretty hard to find a TRUE FMV... Its in the eye of the beholder many times. You get into the west coast and its really easy you can just look on MLS since everything basically sells for 1 ro 2% of listed price that gives you a good indication.

what you have to be aware of is the Seller stating you have instant equity... your house has a FMV of 100k but if you buy it from us for 80K your getting instant equity.. This could be true on some cases if you are buying it direct from an owner.. But from my experience the True value is what you pay for it. as investors especially BP trained.. use rental % formulas to back into values and what they will pay for rental properties in markets that are very heavy to rentals in the SFR stock.. IE Mid west deep south etc.

At the end of the day just do what a bank does  Hire an Independent appraiser that you pay for and ask them to give you a conservative value and an aggressive value.. BAnks when they are dealing with OREO or other type assets will set a bulk value  IE cash out to bulk buyer... and a retail value  IE on the market for a certain amount of time to find that one buyer that wants to live in the home.

If you contemplating buying in rental neighborhoods then the value should be looked a like a commercial property and backed into using cap rate or yield you want to achieve.. BEcause again as stated that's what investors in the know are doing./ 

@Christopher Jackson 

I second the above opinions, I tried to buy a few tapes back in 05.... and its an utter joke the broker daisy chains are a joke..

these things move in the many millions of dollars to 100's of millions..

Small commercial bank REO like Jon says is an option many times the banks will have that inventory right on their websites. The only thing I know of these days that sells for pennies on the dollars is low value npn notes mainly seconds.. and there is a reason they are that cheap...

I have two stunning lots at Jenner by the sea  ( mouth of the Russian River)  full on ocean view about 400 feet above the white water.

I would trade them ( 125k value) for a motor home or an airplane ( late model Cessna or Piper , Cirrus would be a dream but I would take an SR 20 and probably throw some cash in)  Motor home I would like would be less than 10 years old and in good shape.

my lots are free and clear obviously would need motor home or aircraft to be the same. Alhough I would take on some debt for the right aircraft.

@Will Barnard 

 @Karen Margrave 

I just sent over the listing of the bid dog I owned and sold for 5 mil in 04.. no pics but it was a cool home it was river frontage on two sides  3 acre vineyard.. 8600 sq ft.. 5 bd 9 bath 6 car garage big boat launch.. and what was unique about it  it was the only property in all of Oregon that has frontage on two navigable rivers. you land a float plane in front ski fish for salmon and steelhead etc etc.  AS I stated I got really lucky as there are only 3 to 5 homes a year at the most in ORegon that sell for this amount.. It just so happen the CEO of Precision Die cast just got the golden parachute had always love that location and bought it first day on the market. I listed it at 5.5   and had an offer from another B ball star but he wanted terms  McCormick paid cash in 30 days.  the other real nice mansion next store was bought by Brian Grant also a B baller. I would not do this again at that price point way to risky that was pre crash were everything was possible and we did not know about a huge downside.

@Kim Tucker   having been on both sides of the guru equation.. I can see how you were motivated to take massive action.. although knowing the note business like I do and NOT knowing anything about eddie speed.. I find it difficult for those that would spend that kind of money to actually make any money in the note bizz. as competitive as it is. and most note investors are ones of means that are looking for consistant cash flow as opposed to owning the 3 t's of rental properties.

Could you describe how your making any money in the note business without significant cash to buy notes ... Is it your just trying to find notes tie them up as a bird dog then flip them for a fee is this what its all about ?

thank you will look forward to your reply..

@Brie Schmidt 

  Ok Brie perfect  we will have been looking at our properties all day.. and this will be a nice evening.. then we are off to south Carolina in the next morning.. one day there then Birmingham for one night then over to Jackson for a night then back to PDX>

Look forward to seeing you