All Forum Posts by: Tony Schreiner

Good evening BP, 

I was writing up the agreement for my future Contract Assignments and came across the possible necessity of an escrow agent. Do we actually need an agent to cover the contract and hold the fees until closing, or would it just cause more problems?

Thank you all,

Tony

Nadia, To clear your confusion about showing both parties who I will be representing: 4)I ran into some laws about how it’s illegal to wholesale or broker property without a license, unless you let both parties know your equitable interest basically. By letting both parties know where I stand in the deal I should be avoiding any hard feelings between me and the other parties (or causing hard feelings) and avoiding any legal disputes, which could jeopardize my business. It sounds like you’re referring to Transactional Funding in your last paragraph Thanks, Tony

Karen Rittenhouse , Thank you for the genuine response, that was very informative.

Good morning BP,

I have searched all through the wholesale forums, along with the "flipping contracts" discussion topic and put together a 9 step plan to wholesale contracts while Driving for Dollars, from what I learned. Can I please get some feedback on what flaws and holes I need to fix in this plan? I put the few questions in parentheses.

Thank you,

Tony

Plan:

possibly start out with small, unimproved/vanant land

1)Find buyers and make a buyers list

--Market your wholesaling business

---Using bandit signs "I sell houses dirt cheap"

---Business cards

---Internet

---Real estate meet-ups

2)Find a lawyer that can help make a contract

--due diligence clause

--option agreement

--allow both parties to know who you are representing to avoid legal disputes (buyer & seller)

3)Find my target area where I will do my house searching

--Using the County Appraisal District

4)Find distressed properties

--Tall grass

--Piled up mail

--Boarded up windows

--Take a pen & paper, take notes and pictures of the property

5)Create an excel spreadsheet of the property

--Owner-occupied?

--Address

--Appraised value

--Condition of home

--Ect...

6)Send a formal, typed letter to the owner (what address do we send the letter to?)

-- Make sure a picture of the house is in the body of the letter and the top left of the envelope

-- Ask if they want to sell their house

-- Include your name and business info

7)**When you get a response**

-- Do a walkthrough inspection

-- Find holding costs, rehab costs, insurance, taxes, and other fees (is there a never-ending list of fees?)

-- Use 70% rule (30% off appraised value)

-- Take the contract and discuss the deal on the house (do I really need a downpayment?)

8)Access your buyer's list and push the house until an investor buys it

-- Market your wholesaling business

-- Possibly make a website for buyers to see your criteria of properties to sell

9)**When an investor signs the contract**

-- Charge an Assignment Fee

-- Get your deposit back (if you needed one) and make a profit 

Good evening BP, 

I have searched all through the wholesale forums, along with the "flipping contracts" discussion topic and put together an 8 step plan to wholesale contracts while Driving for Dollars, from what I learned. Can I please get some feedback on what flaws and holes I need to fix in this plan? I put the few questions in parentheses.

Thank you, 

Tony 

Plan:

1)Find buyers and make a buyers list

--Market your wholesaling business

---Using bandit signs "I sell houses dirt cheap"

---Business cards

---Internet

2)Find a lawyer that can help make a contract with a due diligence clause and option agreement

3)Find my target area where I will do my house searching

--Using the Central Appraisal District

4)Find distressed properties

--Tall grass

--Piled up mail

--Boarded up windows

--Take a pen & paper, take notes and pictures of the property

5)Create an excel spreadsheet of the property

--Owner-occupied?

--Address

--Appraised value

--Condition of home

6)Send a formal, typed letter to the owner (what address do we send the letter to?)

-- Make sure a picture of the house is in the body of the letter and the top left of the envelope

-- Ask if they want to sell their house

-- Include your name and business info

7)**When you get a response**

-- Do a walkthrough inspection

-- Find holding costs, rehab costs, insurance, and other fees (is there a never-ending list of fees?)

-- Use 70% rule (30% off appraised value)

-- Take the contract and discuss a deal on the house (do I really need a downpayment?)

8)Access your buyer's list and push the house until an investor buys it

-- Market your wholesaling business

9)**When an investor signs the contract**

-- Charge a wholesaler fee

-- Get your deposit back (if you needed one) and make a profit 

Thanks for the motivation @Henri Meli, and great idea. Once I feel confident on a deal and with my knowledge, I can ask a family member for a private money loan and go from there

@Mitchell Benson well that was a load I was expecting, but not wanting to hear. Looks like I need to build some capital and learn as much as I can in the meantime.

@Corby Goade I want to start off with flips and have cash on cash returns so that I can build capital. I have less than $1,000 in the bank for starting chips, and I need about $6,000 from my first flip because that will jump start my business to bigger and better deals/properties

I'm looking to buy, fix, and sell my first investment property. I already have hard money loaners who are willing to work with me; I am just not exactly sure what "numbers" I should be running to determine if the deal is right. 

Any ideas on what I should be looking for in a property, particularly in Spring, Texas?

Thank you, 

Tony