All Forum Posts by: Michael Dumler

@Colton Kotylo, with the new NAR settlement and the ever-changing landscape of buyer/seller representation, particularly commission fee payout, this should have been crystal clear between you and your agent before she toured homes with you. Have you ever had a conversation with your agent regarding the fact that maybe the builder is paying her fee? If this is the case, and you are still trying to cut her out, then it's evident that you're trying to get a discounted deal.

@Nichole Kinard, I 100% concur with what Nicholas noted above. Given your situation, you should consider and explore house hacking options heavily. Acquire a primary residence, and while out of town for work, rent the property as either an STR or MTR. House hacking will be a risk-averse investment strategy compared to implementing the BRRRR method. Moreover, you'll receive more favorable terms/rates utilizing a primarily home loan product than an investment loan.

I highly recommend the above strategy. Please let me know if you have any questions. 

@Ben Stanley, take the time to understand what house hacking means in your market. Sometimes, there are other house hack opportunities to explore and implement than just your classic duplex example. What you can do right now is connect with an investor-focused real estate agent who has house hacked before or is house hacking now and routinely works with other house hack buyers. Come quarter one of next year, start connecting with lenders to determine your budget. In the meantime, take care of the financial basics. Save religiously, improve your credit, and pay off any outstanding debts you may owe. 

What market are you in? 

@Marc Shin, "Be fearful when others are greedy, and greedy when others are fearful." - Warren Buffet. 

"Buy when there's blood in the streets, even if the blood is your own." - Baron Rothschild 

"The way to make money is to buy when blood is running in the streets." - John D. Rockefeller

@Tyler Kesling, if it's an FSBO, the owner is likely not going to pay the broker commission fee, which means that it will be added to your cash to close. Nevertheless, this conversation will need to be had with the seller for clarity. If this is your first transaction, I would advise working with an experienced agent. As noted above by Chris, they'll be able to help with the offer process and provide a sound purchase and sale agreement for use.

@Bacongo Sandou Cisse, you can invest and make money in any state. What profession are you in? 

@John Hobbs, I'm sorry to hear this! What market did you buy/invest in? 

@Darryl George, I concur with Abel's statement above. If you have a high-quality deal, all you need to do is post the property in an investment Facebook group, and you'll likely have multiple buyers show interest. Moreover, I think Googling and reaching out to local investor websites may be a waste of time because those are likely wholesalers, which will add more middlemen to the deal. This isn't to say you can't work with other wholesalers to have them bring a cash buyer, but your payout will be reduced respectively. 

In-person meetups are another great way to source and connect with legitimate cash buyers. Simultaneously sourcing deals while connecting with cash buyers is the route to take. Don't necessarily prioritize one over the other. If you have dozens of cash buyers but can't bring a deal to the table, you're essentially back to square one. 

Good luck! 

@Prince Bariffe, when you say agent objections, does this mean you are setting appointments? What are you specifically referring to? If you're successfully setting appointments, then kudos to you because this is 90% of the battle. If objections are brought up during a listing presentation, this can easily be corrected/resolved. 

However, I get the sense that setting appointments in the first place is the roadblock you're facing. To which I ask, what are you doing/implementing to prospect to get in front of homeowners and have conversations about real estate? Moreover, having a mentor or some sort of coach is an absolute must-have, in my opinion, if you're just starting out. 

@Greg P., on a somewhat unrelated note, once this is all said and done, have you considered renting the ADU as an STR if your community/County allows it?