All Forum Posts by: Steven Holiday

God forgive us.  I can't imagine.  

Great points on the Valuations. 

Once we were in the hunt on real prospects, my realtor was able to run comps and the packages she sent were very impressive.  Sorry, I don't remember the software.  I've sent her a dozen or so prop's based on my very amateur analysis and she has diligently whittled those down to three or four, based on her best advice regarding the neighborhood, rent-ability, etc. 

The part that's throwing me off is the "off market opportunities". 

After I posted, she responded to my email with a pretty reasonable explanation. She and her husband used to be in the REO business and they have flipped some properties using this company. She said she's offering these prop's because they still come to her inbox. The business model is rescue distressed buyers, rehab, place tenant/s, sell contract to new owner, all before the property officially changes hands. I'm probably not doing the explanation justice, but for what it's worth.

Thanks Everyone for the input and I'll be following any other comments.   

You both can't be right and yet you both sum up my feelings perfectly! 

I did hear back from the Realtor.  She said that she has used this wholesale company in the past for their investments.  I told her I'd want my management company to screen the current tenants and that I'd want all the normal property inspections.  She didn't have a problem with those contingencies.  In the mean time, we're proceeding with an offer in another city. 

I'll update if I get any farther along on this deal. 

Thanks for everyone's input.  Can't thank everybody enough!

Great Point, Chris!

So let me offer some specifics and see what you think. 

It's a duplex, currently rented, with photos that look like a rented unit.  She said they're getting 1100oo total. 

Her contact is asking 28 k... 

Zillow says 36k.  Zillow doesn't think it's for sale, but has pictures of a crappy house. 

So I figure they rehabbed and split it into a duplex, placed some renters and are looking to sell.  My concern is how good is too good to be true and is there enough lipstick to make a pig look this good. 

Would you say, get good property inspections, have MY property managers approve the current tenants and condition of the property, but generally move along? 

She also used some interesting language regarding the terms.  I've made a few realtor to realtor, mls type transactions, but this language is new to me.  I pasted it below. 

Again, thanks for your thoughts! 

---The property I was telling you about in ___  handled just like a purchase. It will go through a title company, transfer, and you will hold deed, get title insurance from seller, etc., - all like a normal transaction.

Great Points, Justin. 

If that's what's going on, then I feel bad if I'm "looking a gift horse in the mouth".  On the other hand, I don't know this person or what she's getting out of the deal.  Thanks for your story.  That's the exact kind of situation I'm hoping for--someone looking out for their client.  Unfortunately, I'm to new to this kind of "alternative" offering. 

Thanks again for your response. 

Thanks for the response. 

I spent several months calling listing agents on properties I was interested in.  While they were on the line, I was  "pitching" my plan and asking realtors to put me on their portholes with the specifics I was looking for.  I still get emails each morning with listings.  This agent seemed to understand where I was heading, said she had dealt with previous out of state investors and said that she and her husband were closing on several fix n' flip deals in the same market where I was looking.  But short answer is no, she wasn't referred. 

Thanks again. 

Hi Everyone. 

I have a realtor for an out of state investment.  I have a management company ready to assist with the walkthroughs, rehab bids, etc., but we haven't been successful on several offers (various reasons with listing agents). 

After doing a lot of analysis on numbers, my realtor will insert outside "opportunities" from wholesalers that quite frankly look a little too good to be true. 

In the mean time, I have other folks in the mix waiting for progress on the properties I'm wanting to make offers on.  I don't know if I'm making sense, but should I be concerned that my realtor is getting sidetracked with outside, sweetheart deals that she's trying to sell to the out of towner...?  Or is this just the realtor trying to offer good "off market" deals?

I appreciate thoughts on this.

Thanks.  

...

We are in central Calif and rent our current residence because we can rent for cheaper than buying.   We weathered the crash and are breaking even on a rental we own (25 percent, 50k in equity) in another city.  I'd like to enter the Cleveland longterm, buy and hold market, but we will only have about 5,000oo cash for down payment, reserve, etc.  We're looking at the 50k range either retail or finance the buy and rehab deal.  I'd love to do a 30-year fixed at that down payment, but the deal I'm getting so far is like 20% down and 6-7000oo in reserve.  That's not going to work.  I'd like to keep the Cal property if possible, but I'd consider a 1031 exchange.  Line of Credit might also be an option, but I'd eventually want to refi and might run right into the same situation.  

Any thoughts? 

Thanks!