2nd offer accepted this week!

Found out today. got my third home today. 3 homes in 5 days, I am happy. Great cashflow and equity in all 3.

Great job keep it up

I just can't get enough of these small deals.

How ar you financing these deals?? Thanks.

thats great cbr, HOW ARE YOU FINANCING ALL THESE DEALS???

I try to do as many no money down deals as possible. Once you own over 20 properties things start to get a little harder due to the number of mortgages you have. Especially if you hold all of those mortgages with the same bank. These were the problems I was running into. See here lies the problem...when you have one mortgage and you default on that mortgage YOU have a problem...when you have 15 mortgages with a bank and you default on those mortgages the BANK has a problem, see the difference? So a lot of times they start to tighten up, which causes you to get better and more creative and then they tighten up again, and again and again. It's a virtuous cycle. In my case I was doing everything right, the cashflow was very good, mortgages always paid early, and tons of equity. So I was able to do about 15 mortgages with no money down AND get cash at closing utilizing the techniques Dean teaches. Then all of a sudden the banks felt the need to start to make things harder for me, so I kept buying anyway. Basically, the vice president at the bank I use the most pulled me aside and said they had a meeting about my loans and they decided to try and slow me down even though everything was going great. He said they were uncomfortable because I was the magic making everything happen with the management of the properties and that if anything happened to me (like if I died) then the properties would go down the tubes. So that is when I started interviewing property management companies to take my place and put a life insurance policy in place to pay off all of my properties if I die. Once again the bank was happy again, but in the meantime, word travels fast, success creates more success (Law Of Momentum) and other investors became interested in me investing their money in real estate through a partnership. So now, although I can still create financing through a bank, I invest with private money. 100% financing with no money down! It's great and you can do it too. Just be willing to go out and find the money, prove yourself, and it will be there. Just don't let your investor partners down!

That was Incredible CBR, thank you.

What would you say is the easiest/fastest way to make money using no money down and if possible, not being too involved in a property? Say if I had, absolutely no money, bad credit, and just basic resources like a phone and access to the internet? Could someone make money from that point?

joepthebeat, the answer is yes. Please review the conference call about the instant equity exchange. If you get good at just that one thing, you will be financially free forever because you will know that you can create money out of nothing whenever you want. It is a brand new technique. I am going to try to complete one very soon.

Whats the difference between the instant equity exchange and assinging a contract?

Thanks,
D- DE

The difference between an assignment of contract and an instant equity exchange is mostly contractual. I am working very hard on completing one. I don't like to talk theory, I like to talk from experiance. As soon as I complete one you will know about it.

Thank you, cbr! We're all learning a lot from you sharing your experience! You sow, we ALL reap.

Indebted,
Rina

Hey Nice Work,
I am now reading both Deans Books.. Were any of the 5 new purchases foreclosures or just listed houses by realtors... Do you figure how much too pay for the houses using the cap rate or ??? Trying to educate myself more before taking the big plunge!!!
Thanks,
Scott

Hello cbrpower,
You are the man! Thanks for sharing your knowledge. I am suprised you have the power to do so many deals and 'post' so much. Thanks for all the hard work! Could you give specific ways that you find AND close so many deals.
Is there any method that you would reccomend to a person who is desparetly trying to put together their first deal. I have read and followed all of Dean's education but I keep seem to stumble before I get my foot in the door!
In one of your deals invloving simultaneous closings you said that it was a stategy from a coach. Are you a part of Dean's coaching program?
Keep up the great work!
CONGRAGULATIONS!
earleyeagle

OK, I will answer some of the questions asked from the last few posts. The houses I bought last week were listed on the MLS for all the world to see. I also buy a lot of foreclosures off the MLS. You have to get to them quickly. Here is a trick to do that. Have a real estate agent send you all of the new properties that go onto the MLS daily. They can set this up to automatically be emailed to you as soon as they are listed. Like Mark said I use comparable sales to figure my buy price on single family homes. Comparables tell you what the market is willing to pay. Don't fight the trends, the market doesn't lie. The way I post so much while doing so many deals is easy, I don't watch TV, I sleep about 4-5 hours per night, and I am commited. Investing comes before any hobby I have, even fishing! Honestly, the way I buy so many cashflowing, high equity deals is just that I look at tons of homes, when I am in hot pursuit I walk through 20-30 homes per week and look at another 50-100 online and study the numbers. Numbers don't lie. I run reports on what is selling, how much it is selling for, how many days it is on the market, in what specific cities. The market determines the trends. The trend is your friend. Investing is systematic and unemotional. I have parameters set up for what I am willing to pay for a house and how much it has to cashflow and how much equity it has to have. If the numbers are right, I buy it. It's that simple. I was part of Dean's coaching program. It was great. Highly recommended. Just add commitment. Thank you everyone for your words of encouragement. I want you guys to win. For this site to be the greatest real estate site on the planet, you have to become great. Great job to all of you, great questions.

This is key.. and tremendous info. Great job.

Anyone help me out

I found a property a 3 bedroom/ 1ba w/rec room
property value is $125,523.75
asking price $113,750 i offer $95,000 they said they will take $110,000 and give me $500 towards the closing costs. The couple are moving to Florida.
They also said the mortage is $889/month which includes propety taxes and home owners insurance. Is this a good deal. I want to do a reassign how would i make my first profit without missing up? Could somebody help me.

Thank you,

Shonda

Well I dont think an investor will take that assignment. If you get it for 110, there is only a 15,500 difference (12%), And if it needs any repairs, that will just eat more equity.

Most all investors will want and need atleast 20% profit after repairs and after your assignment fee.

There are no repairs need to be done. So, to get an assignment fee. Should i negotiate $100,000 and reasign to 105,000?

That will still only be 16%. (I liked the 95k offer...maybe go up to 100k.)

20k equity sounds good but, when you factor in all the costs associated in buying and selling and carring..that 20k is close to gone!

Have you looked into renting it, what could it get for rent? and would it be cash flowing...

They went down $110,000 from $113,750 Do you think they will accept the $100,000 offer. How would i bring this up to them to bring it down to $100,000? If the Mortage is $889 a month (which includes property taxes and home owners insurance)would that be the rent?

I dont think this is a deal unless you just take it subject to the mortgage and rent it.

I do not have good credit my score is 532. that is my concern of buying property. I was trying to assign it. I will not be able to get a loan from a bank because of my credit. I am so sure i can do this. I want to do good in this business.

Shonda

You definitely can do this business but not every house for sale is a deal. If you are going to assign a property there needs to be room at the top for the person you assign it to.

It doesn't look like there is in this one so just move on to the next house.

GL

Ok, i will.

Thank you for your words.

Thank you,

Shonda

thiers not enough in the property to move forward, let it go. YOUR HERO,SULLY.

I have found 8 houses that could be sold for a "deep discount" as a package deal. I won't know the specifics until I contact my realtor tomorrow. They are in another state and I will not be able to see them for another week. What I do know is that two of the 8 houses look as if they are in very good condition. Three of the houses look as if they need A LOT of work (at least from the outside). Two are old victorian houses (1901) that could probably be very beautiful if they were refurbished. The other three I could not find on the MLS. The two victorians are suppose to be "cash cows" if managed properly. I have a hard time believing that the way they look!

The two victorians are going for 69,900 each. According to the tax records he only paid 118,000 for both of them. It looks as if they guy did nothing but collect rent for the two years he's owned them. There is an access that is proposed from these properties to a major parkway that would probably do a lot to increase their value.

I am trying to build a list of questions to ask my realtor about these properties and I don't want to miss anything important. Here is a list of questions that I would like for you guys to review and possibly suggest any important ones that I may have missed (or give me an opinion on what I already have). I am going to try to lock up these properties until I can actually get down there to look at them.

1. Since they are old (1901) has there been any work done to upgrade the electrical to 220.

2. Are there any restrictions on doing renovations to the property since it is so old, such as historical society issues.

3. What known major repairs will be required to get these properties in shape.

4. Why is he selling all eight properties.

5. Is it possible to see the profit and loss statements.

I think if these properties were fixed up with the area they are in, they would be real gems. However, just the sight of them sends shivers down my back at this point. I also know that he has only had them two years. That means I would probably have to go bank financing on them,if that's even possible with their poor condition.

Any help/insight you guys could give me would be greatly apprecitaed.

Thanks,

Roni

You will have restrictions renovating a house that old. You will have to use material that is approved for that time.

Hey cbrpower!
I read this thread about all your properties - and my jaw is in my lap!I still am at a loss as to how you accumulate so many properties. Right now I am closing on my first flip, and have my sights set on the next. However, I could never qualify to purchase the next until this deal is sealed, the mortage paid off and my HELOC that I used for rehab also paid off. While I am making a profit I am very happy with on it for 6 weeks of hard work (25,000 before capital gains), I could not have rented it for enough to pay mortgage and HELOC interest combined. I dont see how to get around that. I search hours every day for deals, and have a hot dog realtor - but all the ones I find need ALOT of rehab, which in turn rules out renting. Any suggestions? Thanks for being such a help and inspiration!
Laura

One of the reasons I invest in the area that I invest in is because of the lop-sided rent-to-cost ratio. It is way out of whack and with some work you can find houses that have $200-$500 per month cashflow and more. Also, it is very hard when you get started. Banks don't always like it when you own 5-8 houses, but once you get over 25 homes it starts to get easy, real easy. Have you tried bandit signs or an "I buy houses" ad in the newspaper? I highly recommend it. Trust me if you put up bandit signs deals will start to hit you like a ton of bricks.