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<Steve>

E-mail Flyers to FSBOs

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James, sold! is right. Always have an idea what it is you want to do going into the deal, but be prepared to change hats and go with Plan B if necessary.

For most newbs, it just seems a heck of a lot easier to pursue Cooperative Assignments rather than sandwich leases. The obvious reason being if you can offer the seller everything they want, maybe even more, your chances of getting the deal are a heck of a lot easier than if you need to knock them down 20%.

Personally, my preference is to approach most deals as a CA. My local market has been appreciating at about 20% per year for the past five years. CA's just make sense in this environment.

Now, if after speaking with a seller it becomes evident they are more motivated than initially suspected, I can quickly change my approach and explain to them my "program" which "Mr. Homeowner, is ideal for your situation. We'll make your payments, handle all maintenance and repairs, etc......." And this would be the time to whip out your trusty FAQ's document, which is better suited for sandwich leases.

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Can somebody show me the FAQ's document?

 

I appreciate it.

 

Thanks.

 

sold !

 

Rich B.

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Again...thank you !

 

 

 

To all Board Members,

 

You should feel priviledged to have a guy like MC hosting this board and allowing the free flow of information and motivation.

 

I do not own MC's manual and material. He told me privately that I don't need it since I have a similar program to the one that he started with.

 

In the meantime, he has let me come here to learn and contribute and has even shared bits of helpful information he COULD HAVE SOLD ME, but, chose not to because his material is much like what I already have.

 

Here's a guy who turned down money I was going to send him because he felt that I didn't need what I wanted to buy!!!!

 

Are there many salemen like him around? NO !

 

Thank you for the boards and the openness within them. And, mostly, thank you for being self-less and willing to share what you know with the rest of us.

 

Sold !

 

Rich B.

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Thanks for the kind and generous words, guys. It's posts and the emails like that that make this all worthwhile, and reminds me that we something really special here. I appreciate it greatly when someone takes a moment to express and share their thoughts.

And as for this statement:

Are there many salemen like him around? NO !
Because if there were, they'd be starving like Willy Loman. I couldn't sell a pair of gloves in International Falls, Minnesota. :)

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FIRST TRUE NAKED INVESTOR SANDWICH L/O!!!

 

OK, this deal will be completed tomorrow night! Meeting the t/b tomorrow so they can sign the agreements. The deal came through as planned.

 

(4) weeks of marketing and I will have a great t/b in place. Had so many calls on this house, I was able to be selective in placing a good tenant/buyer. The homeowners are extremely grateful and excited to get this property off their back.

 

The only problem I have is waiting until Monday to go to the bank. :blink:

 

Thanks for everyones' input and support. :blink:

 

<S>

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Second, I talked with a seller on a larger home and the seller put it on the market after 9/11, couldn't sell and rented it for a while. And now the house is vacant and the seller again can not move it and is motivated. Reason they are selling, they built another home. They can not sell this home because simply, they are priced to high. The seller called me back with additional questions and I told them about the price and they dropped their asking price from 190K to the low 170s about market. This may work well as a CA.

 

Looks like I will be closing with the seller tomorrow on this house! I have been working with the seller all this week and they are ready. A little tweaking of some verbiage in the contract and this will be my.....

 

FIRST TRUE NAKED INVESTOR SANDWICH L/O!!!

 

 

This is a gorgeous house in an awesome neighborhood with nothing for me to do but market and lease it to a t/b. Finally!

 

Here are some numbers:

2 year term with 1 year extension

60 day-no pay to market for a t/b and if one is found in 30 days I get a free months rent!

 

First year:

T/B price $190,000

T/B rent $ 1,300 to $1,400

my equity $15,000

positive cash flow $100 to $200 per mo.

 

After rent credits the first year my equity to capture on the front end and preferably on the front end $6,600. And if fate has it, I'll do it again the second or third year with a different t/b.

 

This deal isn't huge and I realize somethings that I could have done better with my negotiating that I will catch with the next one. But I have possession for 3 years and am sure to have at least 2 separate deals with t/bs over that time period. :unsure:

 

This house was found using email marketing this month.

 

Salute!!!

<S>

 

Hey Steve,, Did you ever have to put any cash out of pocket for this deal? Also, what were the terms with the seller. I see u have a "24 month term with 1 year extension if needed, 60 day-no pay to market for a t/b and if one is found in 30 days I get a free" What was the purchase price from the seller, any option deposit, any rent credit. Just want to see how I structure my deals.

 

Thanks,.......

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Steve,

Don't forget to get a love me letter for a credential book.

 

 

 

 

 

 

Her I sit broken harted

with no spell check, I can't get started

for if I do, all will gripe

cause I don't spell well as I type

the post are posted and I can't reply

We all know its MC's fault, he woun't even try

So I end this post with one last ryme

GET US SPELL CHECK, or face hard time

 

Written by me cause I am at work, board and on pain killers......was I supose to work tonight....hmmm.....I wondered why no one else was here :unsure:

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Her I sit broken harted

with no spell check, I can't get started

for if I do, all will gripe

cause I don't spell well as I type

the post are posted and I can't reply

We all know its MC's fault, he woun't even try

So I end this post with one last ryme

GET US SPELL CHECK, or face hard time

 

Written by me cause I am at work, board and on pain killers......was I supose to work tonight....hmmm.....I wondered why no one else was here :lol:

:lol: I return from my trip to Baltimore, only to find our resident poet at it again with yet another cry for an onboard Spell Checker. OK, OK! I hear ya! I'll see what I can do about one! Sheesh!! In the meantime, HOP on over here. :D

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FIRST TRUE NAKED INVESTOR SANDWICH L/O!!!

Nice going, Steve! Excellent deal! I may have missed it, but did you need to put any of your own money down to secure the deal?

 

In regards to putting an option deposit down between you and the seller..Can you arrange to have that option deposit paid to the seller when the TB is found? Do you normally have a 30-60 day window to find a TB..meaning you dont have to pay the rent for 30-60 days giving you enough time to find that quality TB. So if you get lucky and find one within 30 days...You collect the option deposit from the TB then you pay the seller their option deposit. IS this possible??

 

Then if you do get a TB in early, are you able to collect that extras month rent because you dont have to start paying the seller for another 30 days?

 

Thanks,

 

Akin...

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You can "arrange" anything with the seller that he accepts, basically. If you feel you need a 30-60 day window with which to find a TB, you'd write your contract to state that it begins on such and such a date 30-60 days out from the time it was signed. It's all in what you can negotiate with the seller. You should also have some sort of escape clause stating that you can cancel at any time before the start of the lease.

 

As far as option money, that's your fee and I'd try to keep as much of it as possible. earnest money of $10.00 might be a nice jesture to the seller, but try to limit your liability to just the earnest money.

 

Regarding getting a TB in "early", the lease begins on a certain date and that's when you should try to get him in. If you find him NOW, talk with the seller and see what you can arrange. All good questions and there are no right answers. A dialogue with the seller and negotiations of what you need and what he'll accept is going to change with every deal you do.

 

Good luck.

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