BigBenRE

Okay today after hammering the phone for a short while I managed to get somebody bite. I already sent him a short offer + Lease purchase advantage sheet: Please reveiw the numbers and let me know what you think. The numbers: Leath of Lease: (12mo) Asking price: $545,000 Rent: $2,295 RC's (11mo) = $12,622.50 My fee = $15,000 Escrow Account = $100 1st mo + SD = 4,590 -------------------------------- $32,312.50 Price to home owner = 545,000 Price to T/B = 577,312.50 Okay, the only thing that concerns me is that comps that sold where at the peak of the market for 560k. Is my 577k to the T/B a little steep considering the market probably will take a hit in the next year? Should I take money out of my portion or make a lower offer on the house? What would you do? I am also concerned that if the market goes down the T/B wont be able to get a loan b/c the price of the house is above FMV. Pleae share your ideas. -BEN

Hey dt, Okay here's my two cents on short sales. First you need a "Authorization to Release Info" from the home owner in order to talk to the bank. Second as far as the deficieny judgement goes, you can ask the bank to waive the judgment, and in many cases they will and 1099 the home owner for however much was discounted to the investor/buyer. Also Creonline.com has some good info on short sales and many people on the site are very knowleable on the subject. Hope this help a little. -BEN

You never mentioned if you paid lexington law. The only incentive I can see for them to repair the credit if you didnt pay them is that they would be doing the loan. Please clarify. Also how do other go about helping repair a T/B credit? and do you help repair T/B credit if you are doing a C/A? Thanks -BEN

Thanks for reply Dan : ) Ok I want to throw the question out to the group where one would draw the line between greedy and fair. Is it worth it make less on a deal to get it done, or is it import to stick to your guns. In one way I can see that if you start discounting your services you can get into a bad habit of doing it to consistently (devaluing yourself), on the other hand I can see how discounting can get more deal done. What do you guys think? -BEN

To tell you the truth im not exactly sure. If you want the lady phone #, just PM me and its all yours. Hopefully somebody can help her son out. -BEN

Can someone please share some input on my above post. Thanks : ) -BEN

The list that Im talking about is from people that contact me from my ads and signs. Although i do wish you could just buy a list of tenant buyers that are already qualified (that would be pretty great) : - ) -BEN

Does everybody charge a fee to the potential T/B for the application or do some of you guys inccur the credit check cost yourself. I can see how this $15-$35 fee can turn some T/B off. Please share your expierences. Also WestCGirl, when you say you have the Mortgage Broker pay me a marketing fee, are you talking about him giving me a referal fee for funding the loan? (That part kind of confused me) Thanks for the reply -BEN

Hey All, First I have to give KUDOS to Dan(SoCal) i had a conversation with him today and I probably had 5 diffrent AHHH HAAA's in about 20 min. Gerald good to see you are on board. I am hoping that the holidays motivate people to start the New Year out fresh by letting me handle their property. Anyway, my weekend was not as productive as I had hoped, I couldn’t bribe any of my friends to help me hang up signs, and I didn’t make 1 cold call. It was just one of those Sundays where eating and watching sports took over : )(Not a good excuse). Tomorrow I plan to spend about 2 hours making calls. I keep you guys posted! -BEN

Okay here is how I envision structuring this deal. Firstly I learned today that I am talking way to much with the homeowner. I for one think I am giving him to much info. and two I think I have built a little to much rapport that he is asking me all sort of questions. ( I want to help but I don’t want to be a therapist or financial advisor) On that note here is How I can see the deal going down: Condominium Unit Existing Loan: $310,000 (Conventional Loan) Monthly Payment: $2100 Comps in area: $350,000 PP: 2 years 20% of principle balance First tell owner to contact his bank to get rid of or reduce the time of his PP penalty (how do you guys go about this?) to 6month or 1year. Then get an agreement with owner to sell house for $327.5k. Then make agreement with T/B - 12 month lease, $1500 with 50% rent credit. Got to this number by: $350k FMV (condo is in great turnkey condition / price for T/B) - $9000 ( (1500 x .5) x 12 months) - $10,500 (option consideration/ down payment 350k x 3% my fee ) - $3,000 ( First months rent and Security Deposit) = $327,500 (What the owner will receive if option exercised Q: Is there any way to get more money out of this deal so I can give some to owner at close so that he has money to pay neg. cash flow for a few months? Okay if I am missing something please point it out, also this looks like a way that I can actually help the homeowner get out of his situation and get him some cash in the process. Please anybody who can fill in any blanks or offer advice please respond. Thanks in advance. -BEN

Jonathan, Is your operater a person or recording? Also by chance do you have a pic of a bandit sign that you have used with success to advertise a property. Thanks -BEN

1)Today I told my mortgage broker friend that I will soon be sending him lists of T/B, and if he could please run a credit check on them and see which one would be good T/B (qualify for loan after term). He said that in order for him to do this he must get permission from the T/B because its illegal to pull someone credit with out their permission. Can you guy please tell me how you get around this or what exactly you do to qualify your T/B? 2) Can someone please upload a pic (or email me) of what one of their bandit signs looks like that advertise a specific property you have under contract? 3) Also I read that somebody uses a website with an application to get T/B info to pre-qulify, can somebody please post a link to one of those pages. THanks in Advance for all responses. -BEN

Okay KUDOS MC on a easy to understand well written manual. The combination of the manual and this board is easily worth 10X what you charge so thank you. On that note, Tonight I will be hanging bandit signs, i know in your manual you say 50 a week, but hanging signs takes me quite a while (I use a step ladder to get them high so kids and competition cant just walk by and take them down). My goal will be 35-40. Half of them are "We Buy Houses" the Other half "Avoid Foreclosure". ( I know many people feel its better to concentrate on one nitch in real estate but both foreclosures and lease purchasing interest me greatly. And my marketing often kills 2 birds with one stone). Okay so I will keep you guys posted on my progress. -BEN

Got the program today!! I should be able to get through it at least once by tommarow. I also check my sunday paper from last week, and my penny saver which will provide me with about 200 For rent leads of which I assume at least half will be FRBO. Also in ads when a phone number is follwed with "pp" what does that mean? Also anybody else who has goals give me some competition or at least a partner in crime . Once again thanks for all the support! -BEN

I agree completly. Right now he is not ready and in about a month I already have him sceduled in my calender to give a call, back. Thanks for the replies. -BEN