Update 5; 3.12.14Good evening everyone, this is my 5th update and my report for weeks 1 and 2 (Feb.24-Mar.3) in my 3rd yellow letter campaign with me attempting to wholesale SFR's in San Diego, California.Activity, Results, and Findings.

The seller said he'd be open to selling them on contract.I’m including the total costs for the 4 units (one is a duplex with one bedrooms each side).Owner is asking a total of $120,500 for the four properties.Current rent $1,925/month (rent is low for the market and needs to be increased over time)Total Monthly taxes: $230Total Monthly Insurance est: $175I’m not sure how to structure the offer if I buy on contract (the seller said he’d sell on contract with a 2-3 year balloon payment.

How do you prove the contents of the letter that you send if it gets before a judge?

here is part of the proposal:STORE SIZE & LOCATION:The demised premises will consist of approximately 2,000 square feet.Said premises to be located in the Shopping Center as shown on the attached site plan.LEASE COMMENCEMENT:Upon mutual lease execution and Landlord’s delivery of the demised premises.TERM:The Term of the lease shall consist of a period of ten (10) years commencing one hundred twenty (120) days from the date Landlord notifies Tenant that the premises are ready for possession or upon opening for business, whichever date shall first occur.RENTAL: Tenant shall pay Rental during the first year of the primary lease term an amount equal to $31.00 per square foot on a triple net basis.Tenant’s annual rent shall escalate at the rate of three percent (3%) per year.Said Rental will be payable in equal monthly installments.OPTION TO RENEW:Tenant shall have one (1) five (5) year option to renew this lease.The Rental in the first year of the option period will be three percent (3%) greater than the rent in year ten (10) of the primary lease term.Annual Rental shall escalate at the rate of three percent (3%) per year.PROPOSED USE:A first-class frozen soft-serve yogurt operation similar to other Frozen Yogurt locations and for no other purpose (to be further defined in lease).ADDITIONAL CHARGES:REAL ESTATE TAXES:Tenant shall be required to pay its pro rata share of real estate taxes and assessments on the land and improvements on the shopping center site, estimated to be $1.25 psf.INSURANCE:Tenant shall be required to pay for its pro rata share of fire and extended coverage insurance on the building, estimated to be $0.29psf.COMMON AREA MAINTENANCE:Tenant shall be required to pay for it’s pro rata share of Common Area Maintenance costs, estimated to be $2.44 psf.LIABILITY INSURANCE: Tenant shall provide liability insurance in keeping with the requirements of the Landlord and/or Landlord's mortgagee.STORE FINISHES:Landlord will deliver the demised premises to the Tenant with RTU’s in good and working order but otherwise in “As-Is” condition.All improvements will be at Tenant’s sole cost and expense.SIGNAGE:Tenant may use its logo and colors for said Signage on the fascia of the said premises as long as it is subject to the Landlord’s sign criteria and governmental agencies governing the project.SECURITY DEPOSIT:A Security Deposit equal to $2,500 is due upon execution of this Letter of Intent.

Local lenders that I have spoken with are looking for 25-30% down with 3 or 5 year balloons, and rates just slightly more favorable than what Brady pointed out.Even better would be if you could get the owner to carry the financing.

You did send written letters via registered mail, right?

My end goal is to be able to take the list and merge/export it into a DM site that will mail out the letter to the indicated address.

Send an email/letter to the tenant and hope they comply?

Although I did create a custom form letter to send out to potential Realtors.

To prevent accusations of discrimination in todays world, it is best to give an application to all interested prospective tenants, when you have verified the applicant doesn't qualify, you can send them a denial letter (Rental Application Response/ Adverse Action Notice).