All Forum Posts by: Mitch Stephen

Put a "FOR SALE sign in the front yard with YOUR phone number on it...the owner will call you.
--Mitch Stephen--

1. Offer large sums of earnest money
2. Offer to close way faster than they can
3. Send a copy of your dynamic experience in the field of RE.

I say, "NEVER involve a realtor if you don't have to." There are offers you can make that a realtor won't even come close to understnding. Example; I did the first 400+ deals with $10 dollars earnest money. Try getting that done with a realtor. I offered to pay the full asking price of $100,000 if the Seller would accept 120 equal payments of $833.34 (and had it accepted)... That's a no interest loan for 10 years ($100,000 divided by 120 pmts = $833.34 per month). Try getting a realtor to make that offer and be successful. I've made offers with the right to substitue collateral. Try getting your realtor to support that offer. Now, I want to be perfectly clear; there are bound to be realtors out there that will do it, but they are far and inbetween.

Learn to write your own contracts. Get a list of things to consider adding into the [b]"special provisions" when your BUYING and another list to consider adding when your SELLING. Just a sentence or two can save you thousands and/or make you tens of thousands.

I think it's smart you started by getting a list of Investor/Buyers. Now...

1. Put their numbers in a TEXT distrubution list.
Much more effective than an email list. Everyone reads their text messages...almost immediately.

2. Put the details of your deal, with photos, on some type of internet accessible site. They have free ones.

3. Send the link to your property details out to your Text distribution list.

If you truly have a good deal the money will find you. You simply have to let the world know your out there with a deal. DO NOT send out skimpy deals. Real Buyers will begin to ignore your text messages or ask to be removed. Send out REAL DEALS! Leave your investors plenty of room t make some money.

After they buy a few from you...get to know them. Nest deal, ask to be a partner...you bring the deal, they bring the money!

If you know where the mound is you can try this;

1. Take an empty, clean, 5 gallon, plastic, paint bucket.
2. Cut a 6" hole in the middle of the bottom of the bucket
3. Line the bottom of the bucket in syrup (sweet, sticky stuff)
4. Set the bucket over the entrance hole of the ant mound
5. In about 2 weekes the ant's will have moved into the bucket and moved
the queen into the bucket as well.
6. Carefully turn the bucket upside down...fill it full of water
7. Put duct tape over the whole and let the water fill bucket sit for a day or so.
8. Take Xanex so you won't feel guilty about the entire colony of ants you've
murdered.

I think as a newbie you shouldn't be going into multi-unit properties; especially at 10% caprates. If you're new, I can almost gaurantee these tenants are going to eat your lunch. They are eating the seller's lunch...that's why they're selling I bet. People don't sell things that make easy money (unless it's an estate or something). A 10% caprate vanishes in a nano-second. It's hard for a pro to function off 10% caprates. Seasoned investors buy at steep deep discounts or negotiate terms that would make the upside overwhelmingly in their favor. If you want to make 10% then loan out your money to someone who knows what their doing... never loan over %65... and sleep like a baby while you dream about what you want to do tomorrow... because you won't be getting any phone calls about landlord BS. Dr. Stephen prescribes; Loan out your $$$$ for 10%... and call me in the morning.

I say it's communism...soon we will all be equal...equally broke.
--Mitch--

I think the 50% rule is good enough. I invest in Texas.

I loan money in San Antonio, Tx and do it without downpayments all the time. The question is; is the collateral well worth the risk of the loan. I'm not sure of how other hard money lenders judge a loan, but, that's how I judge a loan.

I'm with Marc,
If you buy the right notes, the heavy lifting is already done for you. If you buy the right notes and you have to do some "Lifting"...it should be well, well worth your time.

--Mitch Stephen--