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One thought is that experienced investors know what they're willing to deal with. They know how to structure the deals they're looking for. So long as a transaction is within their scope of knowledge and experience, there's nothing to worry about, regardless of if the other person is green.

If a new guy brings an investor a deal where the math works out and the right clauses are in place, what's the problem?

I'm not saying this question is invalid. But I expect seasoned investors to understand that I can leave a good deal for a great deal if I have the opportunity.

I have a list of buyers for great deals. Sometimes I have good deals for investors and others times I have retail deals for end buyers. The point is that investors who jump to conclusions soley based on the fact that I'm an investor, are cutting themselves off from potential deals that might actually work for them.

BTW, I'm not telling people that I'm open to a "subject to" deal. I said that to show how there are in fact opportunities if someone knows how to ask the right questions and how foolish it can be to make such assumptions.

I reach out to all types of people in attempts to make long term, mutually benfeficial relationships. One thing that continues to happen is negative responses from a lot of the "we buy houses" groups.

Example 1: I had a wholesale deal not too long ago (sold now) and I was on the phone with a supposed investor and I mentioned sometime in our conversation that we were investors. I immediately got a change in tone from this lady with her saying "Well, we're investors also.". Her tone implied that BECAUSE of that fact, there was no way to do a deal. I responded "I figured when I saw the 'we buy houses' sign. What does it matter?".

Example 2: I called someone with "WBH" sign and after saying I was an investor, he immediately said "I don't work with other investors". My response being "If I have a deal that works based on your criteria, what does it matter that I'm an investor?". His response "I'm busy right now, I'll call you back".

And the stories go on and on. One strong indicator of an amateur, at least in my book, is when a supposed investor makes assumptions on how the deal is going to work out without any investigation into the specific situation. I have a 10 unit fixer that I might be willing to allow someone to take "subject to" (short term) and provide partial owner carry. One of the responses I've gotten on it was "Well, if it's a good deal and you're an investor why are you selling?".

My decisions are based on my specific situation. Most investors have limited resources that they're putting to work for the best return possible considering their personal temperament for perceived risk. If I'm looking to sell a deal to another investor, it doesn't necessarily mean that it won't work for them.

My personal guess is that these people assume that because I know what I'm doing, there's no way they can structure a creative deal. And if they're coming from that perception, then I can only guess that they believe that what they do is take advantage of other people's ignorance. I find it to be the opposite for me. Because I'm an investor, I'm willing to entertain creative offers, since I'm familiar with them.

Can anyone give me some insight here? (Sorry for the rant.)

This is why I follow trends in that particular area/neighborhood/subdivision. Anything outside of the norm is for the most part speculation. Speculation is for gamblers, we are investors.

My apologies John. I have a tendency to think the world is all about me :shock: .

I completely agree with you post. The marketing from most "guru's" lead people to believe that they are going to get rich without any effort and that it's easier than learning how to ride a bike.

I did get a year's (from my last job) income in one month through assignments, but I was working at my job about 35+ hours a week plus another 30+ hours working in preforeclosures. I did it through 2 assignments. I've tried to show some people how to knock on doors and once most realize that the check doesn't just fall in their hands, I never heard from them again.

Most people don't realize that real RE investing is a long term commitment to learning and application, not a lottery ticket.

I keep it pretty simple. When you speak to someone, take interest in their interests. Get to know them, create rapport. What do they want, what are they looking for. If they're looking for deals, I simply ask them if it would be okay if I brought them a deal that fit their specific investment criteria. I haven't gotten a negative response to that approach yet. I've also found that a lot of the people at these events pretty much expect to network. Most people I meet are more than happy to take my cards and give me theirs.

Generally speaking, I'd allow the comps to dictate what I do with a property. If you have good comps with garages that have been converted and that caused prices to go up compared to the ones that left the garage, then go for it. Otherwise, unless you know the area well, I'd say it's more of a gamble.

Since I'm the only one who's admitted to doing a $50k+ assignment on a deal in this thread, I presume you're referring to me. IF this is so, the ego here is assuming what someone has done just because one personally experiences the opposite. For the record, I didn't imply that this type of assignment was a regular thing.

This I agree with.

I am very curious as to who you are referring to.

This goes back to what you suggested earlier Jon where you find you buyer's maximum purchase point. I have a guy waiting for a deal with 10% equity minimum from me. Not my type of strategy, but whatever floats his boat.

JC,

FWIW, I found preforeclosures in all price ranges. A couple of months ago, I spoke to a fellow who's house was recently appraised in the $2 million range and he just shut himself off from the world. I wouldn't discard a preforeclosure just because the price range is higher as long as I'm comfortable working on that level.

Here are some tricks that I've used to get into gated communities in the higher end properties. Tell the security guard:

"I'm a property manager for ____ st"
"I'm a repo man, I'm here to get a car"
"I'm here for the open house"
:mrgreen:
I've also used a lot of lines that failed horribly.