OfflineClosed a deal June 28th, Made $6,000. Estate sale.
Closing one July 10th, will make $6,000. Individual owner. Both are LLC transfers. Single closings.
Both were listed on the MLS. Both were asking more than $50,000 more than I offered. Both of my first offers were rejected. Got them both on the 3rd or 4th time around. Follow up is critical!
I got two more under contract yesterday. One was an REO, the other an estate sale. Both MLS listings.
These two I have been countering on for at least 45 days. Follow up is critical!
The REO is a pretty interesting deal. I first offered $249,000 and the bank rejected that offer. I came back at them about three week later with an offer of $229,900. They rejected that. My agent has been in contact with the listing agent, constantly letting him know our offer stands. The listing agent called yesterday saying the bank would take $231,000. $18,900 LESS than my first offer they rejected!! Go figure.
The estate sale was listed at $369,900 and after nearly 2 months of back and forth they accepted my original offer of $292,500.
Both of these will be LLC transfers, single closings and I will net $10,000 to $12,500 on each one. I already have buyers for each one. Closings will be in a couple of weeks.
These deals are a result of:
1. Using Dean's 25/1 offering system and having an A player agent.
2. Building a HUGE buyers list.
3. Having our offering system in place.
4. Making and tracking multiple offers daily.
Happy 4th of July everyone!!!!
Michael
Knowledge is power, but execution trumps knowledge. Tony Robbins
http://www.mdhomeacquisitions.com Seller site
http://www.mdhomeacquisitionsbargainhouses.com Buyer site
http://www.mdhomeacquisitionshousehunter.com Bird Dog Site
http://www.mdlodeals.com Tenant/Buyer site
I registered my LLC with the State of Colorado and opened a checking account in the name of the LLC just for the purpose of the one property purchase. I then sold my LLC to the end buyer. I hope this helps.
Sounds good. No need to go through the trouble of opening a checking account in Colorado however. Just create the LLC and sell it!
Michael
Knowledge is power, but execution trumps knowledge. Tony Robbins
http://www.mdhomeacquisitions.com Seller site
http://www.mdhomeacquisitionsbargainhouses.com Buyer site
http://www.mdhomeacquisitionshousehunter.com Bird Dog Site
http://www.mdlodeals.com Tenant/Buyer site
Hi Mike,
How often do you make an offer after rejection?
Did you just use an attorney to set up your LLC?
Are you making blind offers on these properties and then inspecting them?
Thanks
Jay C
Jay C
We follow up every 2 weeks. What happens often is a property we offered on goes under contract with another buyer. We watch that property daily and if the deal falls out and it goes back on the market we offer immediately.We pick up quite a few this way.
I did not use an attorney to set up my LLC. In Colorado, you just go on the Secretary Of States website and create and pay for the Articles of Incorporation. I did Pay my attorney to create my LLCs Operating Agreement and transfer Docs.
When I first started I looked at a lot of properties! What a great learning experience. Now I know the entire Denver area quite well. Now I make offers based on the CURRENT 25/1 system. Finding the bottom of the market and offering on properties that need work or can be expanded for the added value. The old 65% or 70% minus rehab cost formula does not work in this market. It may again someday! Anyway as soon as we get a decent counter or an accepted offer, then I go right over and take a look.
Michael
Knowledge is power, but execution trumps knowledge. Tony Robbins
http://www.mdhomeacquisitions.com Seller site
http://www.mdhomeacquisitionsbargainhouses.com Buyer site
http://www.mdhomeacquisitionshousehunter.com Bird Dog Site
http://www.mdlodeals.com Tenant/Buyer site
Thanks for showing us how it's done Michael. I truly believe having a system in place is the greatest tool we can have for huge success in this business. Without it we can certainly do a deal here or there but by creating a system we can do multiple deals at a time and do it over and over again. You're showing us the value in this. Not to mention your persistence.
Chris
"Faith is the eternal elixir which gives life, power, and action to the impulse of thought.
"Faith is the starting point of all accumulation of riches!"
- Napoleon Hill, Think and Grow Rich
Chris, having systems is an absolute must. 25/1, bandit signs, networking with other wholesalers, craigs list. You must do it constantly, every day. Also, we work hard to keep up on the current marketplace. Thanks to Dean and Matt! They make it a lot easier. What Dean teaches works, if you DO it!!
Thanks again,
Michael
Knowledge is power, but execution trumps knowledge. Tony Robbins
http://www.mdhomeacquisitions.com Seller site
http://www.mdhomeacquisitionsbargainhouses.com Buyer site
http://www.mdhomeacquisitionshousehunter.com Bird Dog Site
http://www.mdlodeals.com Tenant/Buyer site