All Forum Posts by: Mark Graziano

Quick and dirty analysis

ARV - 58000

Purchase price: 14,900

Closing; $1000

Holding cost (utilities): $400

Taxes (200)

Rehab; 30,000 

Selling costs: (6%) 3,460

Closing Asst. (1%) 580

Potential Profit = $7460

Rough estimate - you have to be very strict on your rehab cost - a 5k overrun will potentially kill this deal.

I am going to try this technique this weekend and see if i get anything of it.  I sent out 273 text postcards in September and had 2 calls both wanted retail prices for their homes and were not willing to owner finance.

For that mailing list I focused on home owners;

10 mile radius

at least 5 year ownership

assessed value under 100k

2+bed 1+bath

at least 30% equity

Nice that is still really good return rate. Much better than my yellow card campaigns.  Did you use a traditional message hand written? All typed? handwritten envelopes?  What do you think made your letters distinctive?

That is a great return @Kortez Walker, how many did you send?   And did you get 10, 7 or 107?

When marketing to pre-foreclosures what techniques are giving you your greatest conversion rates?

Door knocking?

Calling?

Creative door hangers?

Creative door stickers?

What is getting you in front of owners?

@Michael Quarles I am using conventional financing for my buy and hold properties as I thought this was the least expensive way to finance the properties.  Is this incorrect?  Do you have a better technique that you use for your buy and hold investing?

Everyone,  thank you for your feedback. 

What is the easiest way to make multiple offers to multiple MLS properties? It is hard to find a realtor that wants to write 100 low ball offers so what do you do to get this process accomplished?

1. Call the listing agent?

2. Send the listing agent your purchase contract with an offer price?

-if so, do you think this ever makes it way to the sellers?

3. Suck it up and get a licence?

4. Other

Thank You

@Michael Quarles I agree. I currently have an active direct marketing campaign which is eating up most of my small marketing budget. Any other suggestions other than D4D , looking over craigslist and MLS.

Do you think the $200 - $300 is best spent on direct marketing?

What should I be doing that I am not?  I am sure there are multiple things but as they say " you don't know what you don't know".

Thanks for your replies

@Logan Dickson  I do have a family member that is willing to provide private funds on a limited basis.  They are only interested in fix and flip possibilities but not so much in private lending for rental properties. 

 @Jerry Padillathe short answer is no.  The property that I purchased was purchased at a discount but after the renovations the mortgage is at about 70% and any fees that I would encounter in the refi would eat up any moneys I would get back in a cash out refi.

This purchase is more of a cash flow property than anything else.  Its value is around 72k has a mortgage of 45k and cash flow of about $350 per month.