All Forum Posts by: Peter K.

Hello @Naoise M. 

I agree with @Will Barnard

Another possibilty is to contact the owner to determine his plans and motivation.  If he is open to selling, ask him what is owed on the property (mortgages, back taxes, etc).  Then ask him aka Michael Quarles, "knowing that we will pay all closing costs, close on the day of your choice, eliminate realtor fees, no repairs needed, etc, what is the least that you'd consider taking as your Walkaway money?...meaning after everyone gets paid off, what is the least you would like to net?"   This helps get them off of a gross selling price and starts them thinking about what they can do with their net money.  

When he answers, unless next to $0.  Cringe a little and ask if he can do better, help you to help him.  Reiterate the benefits of working with a cash buyer, quick close, no contingencies, no Realtor fees, no closing or fix up costs, etc.  

This will all help determine motivation and if you can tie it up at the right price, you shouldn't have too much trouble finding a cash (or hard money buyer).   

If you have a relationship with a realtor or title co , ask them to pull a property profile.  From the profile you can get an idea of what is owed to know if there is equity. 

hello @Nicholas S.  i may be intested in a Jv.  Pm me and or email me the numbers and other details. If you already have it tied up please include address so I can run comps.  

Thanks!

Peter

hello @Anna Watkins!  

Good for you for saving for the future.  

Most of the top IRA custodians offer a very similar mix of services and transaction types. So you shouldn't need more than one account.

I've been with Pensco for well over a decade and have no major complaints. They are very knowledgeable, fund pretty quickly, usually in under a week unless I'm the weak link by not getting paperwork back quickly. They have a good web portal to get deals submitted and check status as well. They also offer a checkbook IRA option which I haven't switched to yet.

The only relatively minor complaints are that they get pretty busy at times.  It can often take 10-30mins to get a live person in the phone, however they do give you option of pressing a number on a keypad for a call back so that you are not on permahold, which works well.  The 2nd complaint is that they are relatively expensive.  It you have a fairly large account...over 250k the costs are a small enough percentage of your profit, so it probably shouldn't be your main deciding factor. Saving $500 in fees per year with a sloppy custodian that loses you a deal, is not a good deal. 

I've gotten great feedback from a couple of trusted investor about another custodian based in San Carlos Ca called IRA Services Trust Co.

I called them because I'm seriously considering switching, primarily to lower costs.  They are roughly half the cost of Pensco.  They offer A very similar service offering to Pensco.  They were very knowledgeable and helpful over the phone. 

I would narrow your search to the top few suspects and call, ask lots of questions about pricing, processes for each type of transaction and you'll get a good feel of how organized and helpful they are.  Don't worry too much about making the perfect choice as it is not too difficult to switch custodians if you choose to.  Even if you have active investments, they can switch over to another custodian before they are closed out. 

hello @Peter Lange

I agree with @Darrell Shepherd   

Ask your title co (or re lawyer, depending who handles closings in your state).  They may be able to help facilitate the paperwork for you.  

If not, reach out to you local rei group leader and ask them. They probably can help steer you in the right direction.  

As a last resort try googling "Texas private money note" or a couple of variations on that search term. You'll likely come up with a downloadable doc that you can have a lawyer or escrow company review.  

Good luck!

hi @Jessie Huffey  I totally agree with @Robert Musallam and @Colin Smith  

Disclaimer:  I am licensed but don't do transactions for others.  I only list my own properties.  So I'm not a good candidate to list your property.  And I'm not giving legal or professional advice.  

You definitely want the exposure that the MLS will bring, along with the network and exposure that a good agent will bring to the table. I was taught very early on in my investing career from a multi-Millionaie real estate investor that thinking "that's expensive" is a consumer mentality. An investor should ask themselves a follow up question "compared to what?" 5-6% to a broker in your case is very inexpensive compared to the exponential expose, expertise, avoiding potential legal issues, holding multiple open houses, quick access to the property, qualifying buyers, potentially avoiding escrow fall out, etc that a GOOD or great agent brings to the table.

When I list my own properties or make offers on properties listed on the MLS, it still amazes me how much the sales price gets bid up to, usually way over what we initially thought. If the property is appealing to a typical owner occupant, you will likely cost yourself much more than 6% by trying to sell it yourself, especially remotely.

No offense.  I say this with your best interest at heart.  If I were in your shoes, I would get out of my own way, do what I do best and what makes me money.  Let a professional do what they do best.  Like a wise man named Jerry Macguire once said, "help me, help you".  ;-)

I often follow my own advice, by offering other agents that bring me deals to list my rehabs on the back end.  And I pay full commission, assuming there is room in the deal. 

Best of luck on whatever you decide. 

Offering to let an agent list the property for sale once renovated results in 2 commissions on one property.  That is usually a huge incentive for any agent. 

I always preface the offer to let them list it with "assuming there is enough profit in the deal".  Simply because sometimes there isn't enough profit to pay a full commission on both sides.  In those cases we will either negotiate a slightly reduced commission or co-list the property or...everything is negotiable.  

Ca is one of the more tenant friendly states in the union.  Not much you can do except to incentivize them to leave...or another option is to tie up the property then flip it to a local buy/hold investor.    Either way, I'd make a low offer.  At the right price, almost anything can be monetized.  

Other thoughts are: 

See if the owner is willing to carry some of the purchase. 

After tying it up, ask the tenant if they want to rent to own.  You may be able to get some or all of your cash back on lease option plus a little cash flow. If they did a 3-yr lease they probably like living there. 

Good luck!

Thanks @Account Closed can speak more to this. 

3. Assuming that they are local to the property, they are lending in their own backyard which is usually their sweet spot. 

4. By getting an idea of what's available from your bank, you'll be confident that if you work with us, we are getting you a competitive offer(s).  I really strive to work with clients where I am adding value to the transaction.  

 I am happy to have a 5-10 min discussion to see if there is a good fit.  Feel free to call or email me anytime!  :-)

Hi @Perry Z. does some buy and hold investing in some of here areas.  He may have some input. 

@Joshua Dorkin will all due respect, because I love you and @Brandon Turner and what Brandon as the founder has created here.... Haha just kidding...you would likely get less requests for an Android App if you made an announcement about it like you did with with killing the chat feature.  In all seriousness, this post was very professionally and gracefully done.   Kudos. 

 How about announcing your plans, even if it's months down the road, for the android app?  I believe it may quell the angry mob.  ;-)

Keep up the amazing work.  BP rocks!