No Exclusives Welcome

[JerseyJeff 0]

I guarantee that the only time sellers bring this up is when you give them the impression that you will let them get away with it.

Not in my experience.

 

You may very well be dealing with sellers who have not yet hit the wall.

Most likely. I keep finding people who are interested in rent to own, but they're not motivated enough because they do one of the things we talk about (no exclusivity being the biggest, I'll sign an agreement when you bring me a TB, etc.), so I walk away. I'm getting tired of walking. I don't want to enter in with an owner who is trouble and put myself in a bad situation, but, at some point, I have to do something.

 

If you are willing to take on a deal that is nonexclusive, at the very least you should have some sort of cancellation clause in the Agreement. You need to be compensated for your time and marketing expense.

As I mentioned earlier, the few times I went down this road, I pretty much got laughed at. Was I correct in walking away, yes; Am I getting frustrated, yes;

 

Like I said, maybe I need to take some calculated risks to get something going here.

 

Who knows.

 

As of now, I'll hold the line, but at some point, somethings gotta give.

 

Jeff

[Doug Pretorius (ON) 9]

Jeff, sorry I shouldn't be making blanket statements about a market I know nothing about. However, generally you get exactly what your attitude dictates. Look at Bev, her market is hot hot hot but she's signing them up left and right.

[JerseyJeff 0]

Doug,

 

...only time sellers bring this up is when you give them the impression that you will let them get away with it....generally you get exactly what your attitude dictates.

I disagree with this. The fact that I am willing to walk away shows the seller that I'm not going to let them get away with it. I've yet to have a seller stop me from saying goodbye, or call me back saying we'll give you an exclusive.

 

I'm not sure what gets BEV or anyone else around the exclusivity snag, but sellers I'm dealing with don't want to play ball with just me; they want to play with everyone. I could sign a few sellers a week if I overlooked the exclusivity problem. I don't know if I'm ready to do that just yet.

 

Jeff

[Doug Pretorius (ON) 9]

Jeff, in a couple of weeks I'll have voip. Then you can give me some numbers, I want to talk to these buggers!

[MichaelC 160]

I hear ya, Jeff. And there are times that rules need to be broken. If you find yourself staring at a deal, or deals, the one hangup being the exclusivity issue, perhaps we need to revisit this. It may be something in your approach or what you are saying. It may very well be attributed to bad luck. I can't say with any certainty. But maybe taking on one of these deals is the right thing for you, at this time. It could get you over the hump, so to speak, and rekindle the fire we all need to keep at it. If you do go this route, be selective if you can. Choose a property that you think would be an easy one to move. Just a thought, Jeff.

[JerseyJeff 0]

Doug,

 

Jeff, in a couple of weeks I'll have voip. Then you can give me some numbers, I want to talk to these buggers!

Let me know when you're ready and I'll shoot some your way.

 

MC,

 

If you find yourself staring at a deal, or deals, the one hangup being the exclusivity issue, perhaps we need to revisit this.

Well, then let's start revisitin' because this is where I'm finding myself.

 

It may be something in your approach or what you are saying. It may very well be attributed to bad luck. I can't say with any certainty.

It very well could be in what I am saying, (I am very gun shy with what happened with my first deal, and them pulling the rug out from under me), but I go through everything with the seller, and they're sold, and then we talk about exclusivity, and they express that they want to be able to continue to sell the home on their own, and that if I bring them a TB, they'd be very interested.

 

But maybe taking on one of these deals is the right thing for you, at this time. It could get you over the hump, so to speak, and rekindle the fire we all need to keep at it. If you do go this route, be selective if you can. Choose a property that you think would be an easy one to move.

Yeah, that's what I've been saying. When I find one of these deals close enough to my home (so I don't go broke on gas), I'll probably take the chance. I'll do some free/cheap marketing and see what happens.

 

Jeff

[Doug Pretorius (ON) 9]

and then we talk about exclusivity

To clarify... are they bringing it up or are you?

 

If you are then STOP!

If they are then ignore them and give them an exclusive contract to sign anyway.

[JerseyJeff 0]

To clarify... are they bringing it up or are you?

 

If you are then STOP!

If they are then ignore them and give them an exclusive contract to sign anyway.

So just bury my head in the sand, have them sign the contract with them under the assumption that they can sell the property, get the call 2 weeks later that they did, and then go pay a lawyer to try to recover my expenses?

 

Jeff

[MichaelC 160]

If you are the one mentioning it first, obviously that needs to stop. If the homeowner is the one, I'll repeat what I have said earlier about this:

"Mr. Homeowner, I am not a Realtor. If I work on this without an agreement that places me in the deal as a principal, I could be accused of brokering real estate without a license."

Or, "Mr. Homeowner, you understand I am working for you, not against you? My motivation is as great as your's since I don't make any money if I don't succeed. Believe me when I tell you I'll be doing all that I can do to complete this deal ASAP." Etc. . .

If they're still fighting you, Jeff, it isn't you. They are neither motivated nor interested.

[Doug Pretorius (ON) 9]

Jeff, LOL not exactly

 

Let's go over this...

 

You're talking to a seller, you describe what you have in mind (lease with option, assign to a buyer you find, everybody's happy) and the seller says: "Yeah! Sounds great, when do we sign?"

Then they add: "Oh by the way I will be able to sell or rent to someone I find and screw you out of the deal, right?"

 

To which you reply...?

[JerseyJeff 0]

It either comes about when I ask them if they are listed with a realtor, to which they reply yes, to which I reply exclusive yada yada yada.

 

If they are not listed I do broach the topic of exclusivity to which they reply they are trying to sell FSBO/FRBO and still want to be able to do that yada yada yada.

 

If I don't bring this up, yes, I will be able to sign the agreement, but that doesn't change anything. The seller will still have the same frame of mind whether or not I asked them about exclusivity, ie., if they plan on continuing to sell the home themselves, they are going to do so, except now I'm blindly spending time and money or marketing, showing the home, fielding calls from TB's, etc. But now I have a contract, right? What is my recourse, spending more time and money to pay a lawyer to try to get any money from them? Is that good business when all of this could have been avoided?

 

I can see your point about not mentioning anything, but I’d rather find out their plans before I get involved, rather than after.

 

You guys might as well tell them about exclusivity because, basically, from what you're saying, you're going to enter the agreement regardless of what they say, I mean, that's what you're doing by not bringing up the topic.

 

Jeff

[Doug Pretorius (ON) 9]

Jeff, you're creating a problem that rarely comes into play in the real world. Most sellers have a "wait and see" attitude, if they really like what you're offering, they're not going to push too hard to sell it themselves. They'd rather wait and see what you come up with.

 

It is unusual for a seller to bring up exclusivity as an issue of their own accord, and if they do, the only answer I will give them now (after learning my lesson) is: No I need 30 days to make this work.

 

If you're convinced that they are going to try to cut you out of an exclusive contract just as easily as a non-exclusive one, then there's a much cheaper solution than hiring a lawyer. Simply record a memorandum of option. Then the seller can't deliver clear title without dealing with you.

[jtlab 0]

It either comes about when I ask them if they are listed with a realtor, to which they reply yes, to which I reply exclusive yada yada yada.

 

If they are not listed I do broach the topic of exclusivity to which they reply they are trying to sell FSBO/FRBO and still want to be able to do that yada yada yada.

 

If I don't bring this up, yes, I will be able to sign the agreement, but that doesn't change anything. The seller will still have the same frame of mind whether or not I asked them about exclusivity, ie., if they plan on continuing to sell the home themselves, they are going to do so, except now I'm blindly spending time and money or marketing, showing the home, fielding calls from TB's, etc. But now I have a contract, right? What is my recourse, spending more time and money to pay a lawyer to try to get any money from them? Is that good business when all of this could have been avoided?

 

I can see your point about not mentioning anything, but I’d rather find out their plans before I get involved, rather than after.

 

You guys might as well tell them about exclusivity because, basically, from what you're saying, you're going to enter the agreement regardless of what they say, I mean, that's what you're doing by not bringing up the topic.

 

Jeff

 

 

Jeff, keep your head up! I mean it! It sounds like you were extremely unlucky on your first CA. In other words, if the probability of this happening to you is 1 out of a million, what is the probability of this happening again? Well lets just say if it does , you better put that power to better uses like playing the lotto! You get what I am saying? Do not let this bad experience stop you from helping the homeowners out there that truly do need you!

 

Imagine for a second that you have a purpose. That you were put on this earth to make peoples lives happier by putting their financial obligations at ease. The one way you know to do this is by helping them sell their home so they can move on. You talk to people and it makes you HAPPY when they tell you that they have a buyer already. That is exactly what you like to see, people happy. And you keep talking to happy homeowners until you run into the unhappy homeowner. Now your goal is to make that homeowner happy no matter what it takes. Its not for the money, its for them!.

 

Once you get in that frame of mind, I bet there will be no stopping you, Jeff.

 

Jacin L