All Forum Posts by: Tony K.

Update:

I was able to get the property under contract at $100,000. I thought this deal was dead.. During contract signing, he decided he wanted $120,000. I walked. He called me back a month later and we were able to put it under contract earlier this month.

It is currently being marketed at $115,000 through a couple of local wholesalers. I believe it's priced right, with ARV around $140,000 for a wholesale deal.. I will provide updates as new information develops.

Thanks for the suggestions, I am researching cash buyers in the area now.

@Bryan R. do you have any recommendations for local hedge fund buyers?

@Timothy Javins

That'd be great, I'd love to check it out.

@Karen Rittenhouse

I have not discussed a owner finance option with the seller but it may be an option since seller is flexible with lease-options. Subject-to does not apply as there is no mortgage. I believe the property will be structured as a cash deal, and to wholesale to investors.

@Brandon Turner Thanks for advice from a local buy and hold investor. I will look up into contacting cash buyers that have purchased in the area.

The home's comps seems to be at 120-140k and I took the higher end as it's a in very good condition and show recent renovations. The seller initially wanted 120k but I negotiated the price down to 95k so the property can possibly be wholesaled to a potential investor.

@ Brian R Thanks for the feedback. $1,700 for taxes and $500 was allocated for the insurance (used county data; and guested the insurance for the county). I will contact local hedgefund buyers and see whether it fits their criteria. The property hasn't been flipped yet, and with recent price negotiations, this is a possibility.

I have a lead came in from Auburn, Wa, which is about 30 minutes away from Seattle, Wa. I was wondering if this deal seems enticing to a buy and hold buyer? In my particular market, King County, properties prices are high and difficult to find good cap rates. Our market average is 4-6%; however this property has been analyzed at 7.89%.

Deal Analysis:

Sale Price to Investor: $140,000

Repairs: 0 (Fully renovated, new tile floors, marble granite table, move-in ready)

Rental Estimate: $1,400

No HOA

Annual Taxes + Insurance = $2,200

House built in 1969, 3BE, 1 BA

House is 960 sq. ft.

Rental comps in area are between: $1350-$1500 for 3/1

Great cash flow property, right across the street from a community college in high demand for student rentals). Owner inherited family’s property but does not want to be a landlord anymore.

Would this be a tough sale or does it seem reasonable?

I appreciate all feedback.

Congrats, good deal!

Brian Fouts Welcome to BP and investing. I am also a local Seattle investor which connects buyers and investors.

Tony

He owes 25k on the property; when the house may be worth 45-50k....

Figure out
1) Repairs (you guesstimate ~5k)
2)what he wants for his property.**
3) How long tenant has been there, will be there..**

Short sale applies if he owes more than what the house is worth. So not applicable.

Even at 40k; if tenant stays, that's 1% cash-flow which is standard for SFR and investors)

Brian Lane Nice post! I will be following your journey.
I like that you are using a CRM manager; Zoho should have a .csv file for exporting raw contact files in. Just organize your excel sheet to match the instructions.
http://www.zoho.com/creator/help/views/import-and-export-data.html
^ may be helpful.

@ [REMOVED] , good site with some notes:
-needs faster load times. I had an error with firefox, and Internet Explorer loads slowly as well, esp for the contact fill-out forms.
-Are you using wordpress? There are caching plugins that can increase speed of site.
-Looking to sell property link doesn't work, which may be good for people to reach you, esp. since buyers may be so abundant atm. Perhaps try using craigslist to advertise.. As well as Bandit signs ( I hear those are popular in NJ). Put them up high and nail 'em in good. YL are very good too, I look forward to reading more about this marketing aspect.

I'm currently newly entering real estate market as well and have developed this website: [REMOVED] using WordPress. I can refer you to some plugins (there are tons of great plugins for website enhancements via WP) that can increase your SEO, loading times, etc.
-http://marketing.grader.com/ maybe of particular interest to you as well.

Tim G. Good advice on website and competitive marketing wholesaling.

Tony

I'm curious to find out how many individuals/companies provide their investors newsletters for hot properties. This is a tactic I am working on incorporating into my website, which has been quite easy with Wordpress.. I like the idea of having subscribers tuned in.

How often are newsletters sent out, how are response rates, has it helped with sales?

I know many wholesalers like to sign up for as many buyer's list as possible, but would like to hear from members of the BP community that create these newsletters.

Thanks,

Tony

Has anyone used social media to find scouters? Ie. look @ craigslist to find carpenters, lawn mowers, trimmers to discuss dog-bird scout for distressed/foreclosure properties?

Any Success? How did you develop your relationship with people that scout good deals for you? Or are they generally your business partners that are vested? I am looking for properties that I can send yellow-letters to or properties that are not on the market.

Tony