All Forum Posts by: Mark Anderson

Memphis, TN
Low price points but solid rent rates. Distribution capital of America. Sweet spot is 50k-100k all-in.

Aaron makes a good point about trying to find out what the seller owes as this will have a big influence on how negotiable they are.

If you found four homes that sold and the realtor found none, is it possible your search criteria were different? Did the realtor only look for homes within a .25 or .50 radius of the house while you searched the whole neighborhood? Are the four homes you found good comps, meaning square footage, beds, baths, parking, etc are all very similar?

Like the others said, if this is the house you want, go back with another offer. I would make it a higher offer but not your highest and best. I would be willing to bet the seller will counter your higher offer. If that is your highest and best, you really don't have room to negotiate with them. Highest and best offers are usually reserved for multiple offer or competitive offer situations.

In this case, I wouldn't be concerned one bit that you may have ticked off the seller? First, you are just assuming you did. Second, if your numbers are right and the house really is overpriced, that is their problem. Don't make it your problem.

One key piece of info you left out of your post was how many days has the house been on the market. If it just hit the market, the seller probably thinks they can get what they are asking for. But if its been on the market for several months, sellers usually start to lower the asking price or will become more negotiable.

Yes, wait a while before making another offer.

Postlets
Vflyer

And I second Mike's post.

Have you decided the zip codes/price points you will be investing in?

If you are looking for rentals, I know a good bit for properties with all-in costs between 50k-100k. If you are looking below or above that range for rentals, I don't know as much as because I don't invest in those areas though I have done some retail flips between 100k-200k.

First, my dad who introduced me to real estate investing as well as books like Rich Dad Poor Dad back in high school.

Also, the educational materials FortuneBuilders has on marketing and rehabbing have been very useful.

Throw in a handful of local Memphis investors as well.

Hello Sharina. I live and invest in Memphis too. Welcome!

In addition to a business plan, you should create a "bank book". Their is a good amount of overlap between the two but the bank book will be more focused on your financial situation so it would included tax returns, credit report, financial statement, etc.

The purpose of it is to put yourself in a favorable light when meeting with banks or other lenders. If you walk in to your meeting with that all put together in a nice format, it will definitely put you in a more positive light in the eyes of the lender.

If you have it, include pictures of any houses you've done, some examples of your marketing, testimonials, etc.

I haven't tested it but I always use handwritten whenever possible. I've read in many places that handwritten envelopes will almost always get open more than simulated envelopes.

I know when I open my mailbox, if the envelope is handwritten, I will open it no matter what. Not so with simulated.

I have a couple of rentals with one property manager and a couple with another. There are pros and cons to using a PM but I've used a PM for the last five years and have generally been pleased.

One thing no one has mentioned...and this is the biggest reason I use a PM...is I don't have the right personality to be a good PM myself. If a tenant called me and said his dog died, his wife is sick and he lost his job, I would be overly lenient and just might tell him to catch up on the rent next month. I think I'm just too nice. In the long run, that would bite me in the butt.

I know one PM who keeps a gun in his desk, a gun in his truck and another on his hip. That's just not me.