All Forum Posts by: Robert Lorenz

That 6% cap isn't terribly exciting, but if you were willing to offer the same property as a lease w/purchase option, no credit check @ 4k down and rent at +20%per square foot over market, you could cashflow significantly more and pocket some nice option money.  Offer to put the lessees on RentReporter.com to help them build their credit, and get a little info about the Home in 5 program offer by Maricipa county, to assist with their down payment come tax time. You can do it for a six month lease to catch 2016 returns, or another year (and another 4k option) to help them get better credit and a loan to match.  You buy for 100k, sell it to them for 125k minus their option(s) and pocket some nice rent and option money in the process, and write into the contract that they cover closing costs as well.  That puts your profit potential much higher than it would have been, and forces appreciation into the property that may have taken years to build. And if they back out of the purchase, send them packing because the home is not for RENT, it is for SALE on YOUR terms.

Wash, rinse, repeat.

Welcome to Bigger Pockets.... oh and join AZREIA ;)  azreia.org $200 per year and don't forget to add the Phoenix Real Estate Club membership!  Next meeting is on the 28th, look for me if you go.  I'll be the guy with his 9 year old girl in-tow!

Hello from south Phoenix, Karim.

You just missed a great class on wholesaling at AZREIA last night, but it's a frequent topic at the Beginning Investors subgroup so I wouldn't sweat it too much.  You should definately check it out, though (azreia.org).  The Phoenix Real Estate Club is a subset of the organization, and shares many of its members. The next meeting is on 6/28, $20 at the door or free if you join AZREIA and PREC at the same time ($200 a year covers both).  Always a good time, and a great networking opportunity. If you see me there with my daughter (she's 9, you can't miss us) be sure to say hi!

2% is not flipping likely here... Phx metro runs on avg about 81 cents per square ft for rents, higher if you're offering LO's.  With 60k, if you're looking for cheap cashflow properties, try mobiles.  Before you spend one red cent, you should absolutely positively join AZREIA and Phoenix Real Estate Club.   www.azreia.org 

Best $200 you'll ever spend IF you show up for subgroups. Last nights was OUTSTANDING, and I hooked up with a local old REI vet who wants to look at and maybe play a role in my fledgling operation as a partner/mentor. Seriously, you should come. There's a few other BP members there that I see regularly, as well. Next meeting is on the 28th.... $20 to attend for non-members, or $200 for annual membership in both (join both, trust me). Hope to see you there, and welcome to Bigger Pockets :)

Andrew I've been to every AZREIA event I could attend for the last 3 months, including last nights main monthly meeting and tonights Beginning Investors subgroup. I'm consuming as much info as I can in the time that I can, and networking as much as I can with the people that can actually buy.  I have already taken action and started writing offers, just haven't hit yet.  No biggie.  As I said, I've come a long way since posting this.  

Unfortunately, the best I've gotten from someone taking me up on an offer for free work came in the form of cleaning rat crap out of an attic in exchange for seeing her purchase agreement and estimates from various subs. I also got an offer to go door-knocking in Maryvale. In June.  Already doing that in my own area, but ya ;)  

If you're interested in letting me come see your process/CRM or, even better, allow me to come with you on a couple of calls as an "observer/trainee", I'd be happy to pass any deals you have on to my buyers (I have plenty) without asking for a share or tacking anything on to it.

I've come a long way since posting this, but good advice. Are you wholesaling out those properties, or holding on to them and renting them out? I have a few FSBO's in my sights, including one that rejected my initial cash offer a few weeks ago that I'm going to re-approach with an LO offer this weekend. I've also got my NOD list I'll be working this weekend for hopefully a little hot, sticky sub2 action ;)

I second that, though you don't need 5k to get educated on wholesaling.

I pulled a few generic ARI's off the web to have available for working my NOD list, but I'm kinda thinking I should have my own..... Are there any rules or guidelines I should know about beforehand, or can I just draft something very similar to what I'm seeing that's perhaps a bit more specific to myself and later my LLC?

I'm also interested in this answer, and if I may add a question without hijacking this thread and hopefully shed some light on this subject...

Do we need to have a license to negotiate a short sale with a bank? I'm starting to work my NOD list and have a number of leads that are viable for sub2 or lease options, but there are also a number that are upside down and only suitable for short sales. How can we approach these as unlicensed investors, if at all?

Layanna hello from south Phx!  I'm also pretty new but I've been hitting it pretty hard and it's paying off.  I highly recommend joining AZREIA  (azreia.org) and the Phoenix Real Estate Club,  $200 if you join both at the same time.  I have found them to be much more educational and engaging than any of the Meetups I've attended, unless you're a fan of drinking, not learning anything, and being pitched to sign up for expensive training or asked to work for someone else for a fraction of what you would be paid on your own. There are two great meetings next week, but if you have to pick one I recommend the Beginning Investors subgroup on Tuesday, as it is always a great time and very educational. Your first meeting is always free, and if you want to hit both you can attend as my guest for one and do your freebie the second night! Details are on the site, PM me if you like.  I've also found a lot of great info on YouTube, but learn a little bit by reading the forums and listening to some podcasts so you know what to search for, and if you have any questions try searching this website using keywords first, as most likely you are not the first person to ask!  Again, welcome to BP :)

I'm not sure where I saw them exactly, but Michael Quarles also has some stuff online that makes for a decent script. Also check YouTube for live calls and transcripts.