All Forum Posts by: Karen Swinger

@Mykhail Bolden You can find samples on the internet and I'm sure there are a few in the Bigger Pockets forum. You'll need a simple 2-page contract with the seller (A-B) and then the assignment contract with the end buyer (B-C); or you have the option of doing a double-close which would necessitate 2 separate contracts.

@Jason Allen You're right about the taxes. I'm meeting with my accountant in a couple of weeks so I can better understand the impact and also plan better for this year.

@Khari F. I had a list of about 25 people that I'd met through different real estate meetings, and I reached out to them once I had the property under contract.  As far as the letter, I basically said I was an investor looking to buy property in the area and wanted to know if they would be interested in selling. It was an inherited property and the owners were out of state. After I looked at the property (they had a family member in state that was able to let me in), I offered them a price and they accepted. No negotiation... just good timing.

Investment Info:

Single-family residence wholesale investment in Chicago.

Purchase price: $40,000
Sale price: $50,000

Single Family town home with 7 bedrooms and 2 bathrooms
Sq. Ft. 1,948 (does not include basement)
Year Built 1890

The property was designated as a Chicago Landmark by the Commission on Chicago Landmarks in 2011.

How did you find this deal and how did you negotiate it?

I found this deal 'Driving for Dollars'. Reached out to the owners via a letter. They responded within a week and I had the property under contract and sold to an end buyer in 10 days.

Lessons learned? Challenges?

Another investor offered me $60,000 for the property (a $20,000 profit) about an hour after I signed the contract with the first investor. Lesson learned? Going forward I would probably tell investors 'Highest and Best' and leave the offer period open for 24 hours.