OfflineI just went to an open house that was a short sale. Are short sale typically sold through real estate agents?
It is listed at 815k, houses go for mid 900's and up. I would like to make an offer of say 740k, but do not have anywhere near that kind of money nor would I get approved for that kind of money. What should I do? I know this could be a money maker. The house only needs some paint and some carpet in the BR's.
Thanks,
D - DE
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Don't Wish the Past, Create the Future! - DH
have any input on this one.
Thnaks
D
Don't Wish the Past, Create the Future! - DH
On a short sale the price is not guaranteed but the bank will tend to look at it closer it its at the minimum that they agreed upon or more. You said the house was listed at 815K on SS and you want to offer 740K. A lot of banks will require a pre-auth letter from your lender to be submitted along with the offer. Go ahead and submit offer with out it the worst that can happen is that they come back and ask for it.
Ask for an escrow of around 90 day to give you time to find a buyer. If you have been posting your blind ads like they tell you in the book you may already have one and dont know it yet. Go thru your buyer database and see who has the credit to uphold this purchase.
If offer is accepted you have just tied that house up for 90 days so get to work. Dont forget to submit offer with ad/or assigns and when you find buyer offer him the house so that you make a profit but make your profit the down payment amount. Dont ask a crazy amount because they may not have like 50k to give you up front. Asked for 10k for example. You have raised the price of the house so you may walk away from closing with another 20k if you work it right.
Good luck
Anita
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TWITTER - anitarny / FACEBOOK - anitarny
"FAILURE IS NOT AN OPTION"
If I assign it for 10k, how would I get 20k more at closing?
Thanks,
D
Don't Wish the Past, Create the Future! - DH
I meant you could leave closing with that as a possibility if you were the buyer but if you assign make your assignment fee and move one.
Anita
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TWITTER - anitarny / FACEBOOK - anitarny
"FAILURE IS NOT AN OPTION"
Hi anitarny I have a question, can you help me? I want to know what is a short sell and how do I get started on that? and what is earnest money? and how do I get that? I want to wholesale but don't know where to begin? sorry for all the questions i need help...thank you....
SHORT SALE:tee a short sale is nothing more than going to the lenders that hold the mortgages and negotiating a DISCOUNT in an outstanding debt.In a real situation were a homeowner in PRE-FORECLOSURE has it listed and is trying to sell it, the LENDER is the 3rd party and the sale is subject to the LENDERS approval.The realator does the negotiations with the lender when the sale is made, the banker will then have to get approval from his management, LOSS MITIGATION DEPT., on the buyers bid proposalbefore a sale is closed....CLASS DISMISSED,SULLY.
YOUR HERO, SULLY
tee, all EARNEST MONEY is,is money that you give the HOMEOWNER for a DEPOSIT on the property when an agreement has been reached with a seller.DISMISSED,SULLY.
YOUR HERO, SULLY
oh tee,tee,tee,o.k. here we go: WHOLESALING is nohting more than buying and selling property without RETAILING THE PROPERTY, so you would not do any work on the property(no rehab) just a quick sale, or you could RE-ASSIGN the property thats also WHOLESALING.CLASS DISMISSED,SULLY.
YOUR HERO, SULLY
Hi sully I am so glad you are on....please help me......
can you also tell me about earnest money too? Thank you so much...
THANK YOU SULLY SO MUCH...WOW,..
anything to help my little tee tee,just kidding,haha,lol,anyway tee,you want to know more about EARNEST MONEY? like i said it's just a deposit that you put down in good faith to a bid proposal,when you put in a offer, you will submit the offer on paper with a $100-$500 deposit or EARNEST MONEY.They will only cash the check if they take the offer..or if you give EARNEST MONEY on a PRE-FORECLOSURE that you and a homeowner signed a PURCHASE AGREEMENT, you would then give your DEPOSIT or EARNEST MONEY to the TITLE COMPANY( you would put in ESCROW )YOUR HERO,SULLY.
YOUR HERO, SULLY
I hope this doesn't come off as offensive to anyone, but I have to ask this question:
DO PEOPLE ACTUALLY READ DEAN'S BOOK before asking some of the questions I see posted in these forums?
Come on people - do the basic work first -- read the book!
Again, I don't want to offend anyone, but it seems in every area of life too many people want the answers (or the $$) without doing any ground work.
If you HAVEN'T bought the book yet - do that first!
If you HAVE bought the book but HAVEN'T read it yet - DO THAT NEXT!
THEN...if you don't understand - READ IT AGAIN!
Yeah, there will be some questions you have after that - then, the way I see it- that's what these forums can help with.
As someone said before....
Class dismissed.
"Make it an AWESOME day! (Who else is going to do it for you?)" - Mike Spillman
"As long as there is breath there is hope!" - Mike Spillman
mspillman....to answer your question. I think a lot of people don't read the book first but, they may just be checking out the site to see if this whole real estate investing thing is for real, once they get here they begin to browse around and decide to ask a question that interests them. Don't hold it against them, they may not be as commited yet as a lot of other people are. I do appreciate your honesty and straight forwardness but, lets not scare away the new people we want them to be great. We want people to jump on the site and ask questions. I have made some of the same points you have to the DGAdmin, and pretty soon there will be a How-to, on some of the more commonly ask questions or a way to just tell somebody to go to a certain link to get their answer rather than having to explain it everytime. Once again, thanks for making the point you made.
You've got to find your obstacles and call them out! Unsheath the sword, and do battle with whatever it is that holds you back!
everyone is going to have questions no matter what! We are all hear to learn AND to help! If you are (not saying you are) only asking and not helping thats BAD KARMA...Besides doesn't it just feel good to help someone understand something that you already know.....I know it does for me.
D
Don't Wish the Past, Create the Future! - DH
Sully you crack me up.
You've got to find your obstacles and call them out! Unsheath the sword, and do battle with whatever it is that holds you back!
If you HAVEN'T bought the book yet - do that first!
If you HAVE bought the book but HAVEN'T read it yet - DO THAT NEXT!
This is a good point. I know everyone is anxious to get started, but read the book. For many it will probably still leave a lot of questions about the fine details and how it applies to a specific deal or situation. This where the forum picks up where the book left off. But if you haven't read the book, then you are coming here trying to ask how to solve a algebra equation without knowing how to do addition or subtraction.
If you haven't read the book, and things on here are greek to you, you will have a much better understanding after you read the book. Not only does it cover a lot of the investing topics we are discussing, it is chalk full of anectdotal advice and stories that will likely apply when you are approaching a deal.
Again, without reading the book not only are you starting steps behind, you will be missing out on a lot of the intangibles that go into investing that are not cut and dry.
There are a handful of people on here who are kicking butt, taking names, and watching their net worth grow at a rate to make most (including myself) jealous. The one thing they all have in common that I know of for sure, is they have read the book. If you want to be able to replicate their success, or even Dean's for that matter, do what they do, learn what they know.
-DGadmin
Hi everyone,
I've been reading through the topics over the last week or so while I am still reading the book. DGadmin you are right about the book. And what's more helpful are the stories Dean uses to illustrate his points. I think it's a good idea to read first or just read the book and come to the site and read through some of the success stories. The guy who had offers on three more properties used one of the ways in the book. I got off the computer last night and read about it when Dean used a story to illustrate how he used a buyers concession, I believe that's what you call it, and allowed him to walk away with money on the transaction.
This is exciting stuff. I urge everyone to read the book, come to the site and read what others are doing, then if still not sure, ask.
This is one of the best sites I've been on and it's been so helpful already and I'm not quite finished with the book.
Here's to everyones success!
I'm trying to learn as much as I can about this, since they are still prevalent in my area in Ca. I would get an appraisal first by your appraiser and tell him you want a High one. Then I'd see if there's a second on it and try to buy it as cheap as I could. With these 2 things in hand as well as a letter of credit from an HML or proof of funds from any source, I would approach the bank. Also you need the OK from the owner, and owner hardship letter and their proof of insolvancy.
Jrgnsn But I'm still learning.
jrgnsn
Hi Everyone,
Just wanted to say some of us (no offense) please, actually do read the book, and then read up in the forum, sorry have to stand up for the newbies am one, but as for myself sometimes we just still don't get it and it has to be put to us in lamen terms or maybe worded in a different way so that those of us who never have had any dealings in real estate can understand, and that is where you awesome people come into place that help us to understand better even when we do ask the same questions what seems like over and over again, as for myself heads up LOL will probably be one of those as even though i write great and speak great in english don't always get some wording because Im from Germany. Anyway just wanted to put in my 2cents worth. May the force be with you and thanks for all the heads up great info jest and overall comfortability you guys and gals bring to this forum, I feel like part of a family here.
Andrea
Everything starts as a thought, choose the good ones!