All Forum Posts by: Scott Schuetz

Karen K. Have you done any deals through an agent already? I learned a lot from watching and asking questions to my agent. I've been licensed for 3 years now. I started with a small firm switched to a big firm and now I'm with a 100% commission brokerage. If you're not looking for sales or agent training, you may just need to learn the transaction process. You can even outsource this, in my area we can hire independent transaction coordinators who handle the paperwork... Hope that helps

Mike Landry In Florida, we have a standardized referral form that is used by most agents. In my area the fee is normally 25% of that agents commission.

I can't believe no one has mentioned money yet. Being an agent and buying my own property the 3% commission on the buy side is like a bonus and saving 3% when I sell is great too. I decided to get my license after my first couple flips where my agent made almost the same as me since she got the buy and sell commission

Cortney Arenstein check out a book called Sell With Soul by Jennifer Allan. She may be your style and really teaches you how to seduce your sphere of influence. I found many of her techniques helpful

Patrick Britton WOW!! Great stuff, thanks for taking the time to add your insight.

I used to not deal with rentals at all. It can take quite a bit of time and the rental commission is very small.. I changed my mindset and started trying to help everyone that contacted me. I've done 3 rentals in the last six months. One of them called me last week to help them buy a house. The time I spent with them on the rental will turn into a big commission for me. If you can find the time, help them get a rental, stay in touch and maybe they will buy or refer you to a friend/family member. Or if you're lucky, maybe you can convince them to buy after you show them a few rentals.

@Jeff Fleis Welcome to Biggerpockets. Good to see people from my area on BP,  I live in Indialantic. I've been investing here beachside since 2009 and have done a few properties in Melbourne. Are you currently active as a broker?

@Jennifer Parkerson I'm a realtor/investor in the area, I can help you find your first flip, send me a message!

Originally posted by @Michael Zagorsky:

Originally posted by @Scott Schuetz:

Michael Zagorsky
I looked at this deal over a month ago and spoke to the seller, so I'm really familiar. Based on my conversation with her, she wanted to be done with the properties as soon as possible. Although some financing was offered she much preferred to be cashed out. In my opinion she needed a quick no nonsense deal. I didn't make her a cash offer because my valuation was in the low $300s and didn't think she would go that low yet.
Many times we try to use too much logic and reason to get the deal as you spelled out in your email. Sellers usually don't care about your reasons. I believe you would have been better off just making an offer without the long justification. It's likely she didn't even read your email. I wouldn't have read your email either and would have given you a similar response.
Also- you need to get an accepted offer before you do inspections, just write it into the offer, there is a section in the Florida farbar contract for inspection days. I'm sure she didn't want the tenants to know she was selling until the deal looked solid.
Hope that helps!

So here is my question.  My math was putting the value in the $190-$250 range to clear about an 11% Cap.  How did you get the higher number?

 The biggest difference was insurance. I would either uninsure as she did or use a low cost insurer like affinitygm.com. Also I know the market and I could sell it to another investor at that price. Cap rate isn't the only reason an investor will buy. 

Michael Zagorsky I looked at this deal over a month ago and spoke to the seller, so I'm really familiar. Based on my conversation with her, she wanted to be done with the properties as soon as possible. Although some financing was offered she much preferred to be cashed out. In my opinion she needed a quick no nonsense deal. I didn't make her a cash offer because my valuation was in the low $300s and didn't think she would go that low yet. Many times we try to use too much logic and reason to get the deal as you spelled out in your email. Sellers usually don't care about your reasons. I believe you would have been better off just making an offer without the long justification. It's likely she didn't even read your email. I wouldn't have read your email either and would have given you a similar response. Also- you need to get an accepted offer before you do inspections, just write it into the offer, there is a section in the Florida farbar contract for inspection days. I'm sure she didn't want the tenants to know she was selling until the deal looked solid. Hope that helps!

Great job @Austin Hughes !!