All Forum Posts by: Marty True

I'd say this is very dependant on the market. In markets like South Florida where there is often times an extreme arrogance with some of the listing agents, this strategy could be difficult and see some of the downfalls you mention above. However, in other markets this does work and it can benefit all parties.

In regards to "seller's agent is just that. They watch out for the seller's interest..." - that is not necessarily the case. Realtors are (supposed) to be held to a "transactional" standard where they represent both sides equally in the transaction. Now I know that is not always (or even usually) the case but, I have worked with listing agents that have displayed that integrity and truly were representing the transaction.

I myself have put deals together where I used this strategy and when a professional agent/broker can see that by crediting a point or three, the deal gets done. Trust me, agents/brokers are much more happy at the closing table than at the negotiating table (for the highest price).

So while this is a great topic for discussion, I would disagree with some of the generalities in the original post.

@Lindsay Stewart should we assume this is vacant commercial land?

I have to agree with @Chris Mora here. What's an investor got to do to get a "1% rule" in Miami?? Most of the "deals" around here won't support any kind of debt put on them. And honestly, as long as investors here are pricing for those "foreign investors looking to park cash" it is only going to keep our market (for investors) from improving. Besides, most of the foreign investors looking to park cash are dealing in the luxury space, not so much multifamily/income-producing.

I'd love to start seeing more investor-friendly pricing around Miami but unfortunately, I think greed will keep things overpriced as long as the "foreigners" are parking cash here.

@Robert Lindsley are those numbers in Mass or in South Florida? If you're finding numbers like that in South Florida, I'd love to know where.

Hi @Javier Urena I love to see old threads come back around! And yes, after a good solid year, I must say that I am pretty knowledgeable of most of the markets in the greater Miami area. So for Miami Gardens, I did find that most of the comments a year ago were fairly accurate. There are some good areas and some bad. I'm not really a flipper however, if you are looking to do flips, there are some opportunities there. As for buy and hold, I'm strictly multifamily/commercial and for me, Miami Gardens is not a market that I focus on for my criteria.

Hope this helps and good luck in your business!

Hi @Paige Feddersohn welcome to BP! So... Miami/Miami Beach is sort of a different world in REI. The market here is filled with so much cash, from both locals and foreigners from LATAM and other places. In regards to your specific question of "Wouldn't they have great short term rental potential?" - Miami Beach is very strict on short-term rentals and issues the highest fines in the country ($20,000) if you are caught operating a short-term rental without all the proper licensing, certificates, etc. And only certain areas of Miami Beach can be approved for short-term.

Here's where you can get more info: http://www.miamibeachfl.gov/business/vacation-shor...

Many people are operating short-term rentals in MB and many of them are doing it illegally. Good luck in your search!

Hi @Kizzy Parks I'm also from Melbourne but live in Miami Beach now... welcome to BP and MB!

Hi @Stephanie Lewis Congrats on getting sellers calling you! As far as your question of whether there are any issues, there is nothing different in wholesaling vacant land vs a single family residence. That being said, there are issues surrounding wholesaling in general, that many "wholesalers" in Florida ignore. As long as you're wholesaling in a manner that is abiding by the FL laws regarding unlicensed brokerage, then there is no difference between wholesaling vacant/improved land. Hope this helps and good luck to you!

Lots of good stuff on this thread. I would add that if you're going to move into this level of CREI with no money and little experience, I would optimize your education first. There's been nothing mentioned of deal structure, entity structure, PPM's, SA's, etc. The deal could be a slam dunk/homerun but if the "deal package" and business plan are not present or poorly constructed, then it will be difficult to close it.

My experience, from conventional lenders to hard money (commercial), is that finding a lender that will let you acquire with $0 or 0% of your own money is nearly impossible. I've had numerous deals where the seller is offering more than enough financing to cover the 20-30% needed as a "down payment" however lenders typically come back with at least a 10% requirement.