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DeeLight

House in the Boondocks

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I got a call from a nice lady yesterday about a house that she is "seriously interested in l/o". She set up a l/o for this house but I guess the contract she used said the extra $$ over the rent amount was refundable---something like that.

 

Anyways the renters left after the 1st year and wanted their money back that was to be toward the "down payment". Thus she wants someone who "knows what they're doing" YIKES!! that would be me??

 

So she's concerned about the legality of the forms I use and would want them reviewed by her lawyer. That's fine, right?

 

BUT the main thing about this deal is that it's 20 minutes from the nearest main town. It's a small town of 7k people out in the boonies. She said that the buyers would probably would come from one of the larger cities.

 

The house seems to be priced right according to Trulia and Zillow. Comps are scarce---only one that sold that has same $persf. Zillow says it's worth 10k more than she had it listed for. The realtors said it was over priced though---that's why it didn't sell in the 6 months that just ended. All the houses for sale in the area have been on the mkt for 100+ days.

 

The rent she's been getting is in the right range also.

 

My marketing plan would be to market in the larger towns because there isn't a lot of traffic driving around in the her neighborhood.

 

I really don't have money to place newspaper ads. Does anyone still read those anyways?

 

I'd have to get a realtor to place some signs and flyers.

 

I don't have the know how to build a website with all the pics and a form for the possible t/bs. Are any of you doing that? I read on here that someone was using a call # to get the information to the callers to weed out some of the lookie loos. What would be the name of that service? Is it worth the cost?

 

Thanks for your help!

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I got a call from a nice lady yesterday about a house that she is "seriously interested in l/o". She set up a l/o for this house but I guess the contract she used said the extra $$ over the rent amount was refundable---something like that.

 

Anyways the renters left after the 1st year and wanted their money back that was to be toward the "down payment". Thus she wants someone who "knows what they're doing" YIKES!! that would be me??

 

So she's concerned about the legality of the forms I use and would want them reviewed by her lawyer. That's fine, right?

 

 

 

Seems she is so concerned about the legality of your forms, but why didn't she consult "her lawyer" before lease optioning the house with her forms?

 

In other words, she wants to have you send your forms so she can do it herself (without you)

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First, heed what Erik wrote above. Your agreements don't leave your side. If she actually has an attorney, ask for his name and number and tell her you will contact him directly to set an appointment to review the agreements. If she blinks she's Bee-essing you and there's no need to go any further. So that's the first thing I would do before spinning your wheels on anything else.

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Perfect guys, thanks so much. This deal is 6 hrs from me so it all has to be handled by fax and email. But I will tell her I can send it to here attny.

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Dee,

 

I was forced to release contracts to out of state owners via scanner and e-mail--people who agreed to the short offer. They asked a bunch of questions, and then I never heard from them again. I think they stole the contracts and figured they could do the deal themselves since they were experienced landlords. I hope that doesn't happen to you.

 

Does anyone know how to keep contracts safe when dealing with out of area homeowners?

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It's a bit of work, but you can email your docs as a PDF attachment that is not printable.

 

If your files are in Microsoft Word format, you can download PDF creator for free. Then print to PDF.

 

You can open your Word file. Then take this JPG and from Word choose Insert > Picture From File. Then right click on the picture and choose Format Picture. Then choose the Layout tab > Behind Text > and Horizontal Alignment Center. If the image doesn't fill the whole page you can resize it.

 

 

Then use this program from an old post that I made to secure the PDF (not printable, you can't right click and copy the text, etc.)

 

http://www.naked-inv...?showtopic=8268

 

That way at least if they steal them they will need to type them out.

 

If you need help, let me know.

 

Hey MC, is there a way to make the attachment a link instead of this huge picture?

post-26326-0-68335200-1344984187_thumb.jpg

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Eric,

 

That looks interesting. I think I can create these protected files...I already send docs as PDF so they can't conveniently edit them. When it comes time to sign, however, they need to be able to print (or use a service like docusign). Once they can print, they can copy the file or at least re-type it. Some scanners even have optical character recognition. I wish there was a docusign type service that didn't allow you to print till you agreed to the deal and that signature was emailed back to me. I called a couple of these services and they allow you to print before signing...so anyone could steal your materials and abort the deal. It seems that dealing with out of area folks might be challenging if they chose to be dishonest--but that's true for anything.

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WOW, ok Mighty MC what do you do with your OOA deals? All the ones (3) I'm working on are OOA. People in my area are just too cool I guess. :glare:

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Hey Dee, I saw earlier that you were working on a Tehachapi property...you know that is closer to me then you...I can't believe you are reaching into MY turf LOL. Actually, I'm trying to focus on stuff within an hour from me because its over 1,000,000 people and I have some familiarity with the area...I can't help, however, if those home owners are out of state or out of the area.

 

Brian...

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Hmmm, I smell a jv possibility here Brian ;) But the Tehachapi deal isn't happening---too many cooks in the kitchen and unrealistic expectations---price etc. Maybe it just needs to ripen more.

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. . .

Hey MC, is there a way to make the attachment a link instead of this huge picture?

Yes. In the lower right hand corner of the reply box are the options to Post and More Reply Options. If you click on More Reply Options you can add an attachment to your post.

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WOW, ok Mighty MC what do you do with your OOA deals? All the ones (3) I'm working on are OOA. People in my area are just too cool I guess. :glare:

Dee, I can't tell you that I have never had homeowners rip off my agreements as there is no 100% way to prevent them from doing so. I rely on my gut to tell me if someone is honest. Often correct but not always.

If I need to send agreements in advance I can fax them with a line drawn through them and the word "Sample" across the page. This will require they do a word by word copy if that's their intent. You can also do as Erik said. I have Adobe Acrobat Pro and I can email a file that can only be viewed, not copied or printed. Again, requiring the tedious task of wriitng out the agreement word by word.

Bottom line: if someone wants to steal our agreements bad enough, they will find a way to do so. Overall, though, I haven't found this to be a big problem if I follow my own advice.

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Sheesh, hard to tell when I'm wasting my time or not. I guess it gets easier to discern after a while.

 

So this old lady I'm talking to is handling everything for the son (who will be in on negotiations too---both are on title, he is the decision maker though). Wow , this is sounding more and more convoluted as I type.

 

He wants to know if I have references. Michael I know you mentioned this in the Manual but isn't this a stupid question anyways????

 

I mean, let's see, I'm offering to market their house and organize all the pieces of the transaction, make them money and take care of their problem. And THEY need refs??? :lol: :lol: :lol:

 

I told her this is a no risk agreement---non exclusive contract and that I work with partners that have references. Then I asked her why her son felt that refs were necessary. She didn't know.

 

We're going to talk in the morning.

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References, if needed, are the very last thing anyone need be concerned with. First let's see if the homeowner is open to the concept and idea of a lease purchase. Then let's see if the terms they are expecting are realistic. Once an agreement is reached in principal on the above, if they still want references we can take care of that.

Everytime I have had a homeowner ask for references from the get-go, it has always been a precursor to that owner being a pain in the ass. . .if the deal even gets going.

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Yeah, that's the feel I'm getting Michael. They know enough about real estate to be a P.I.T.A. :huh:

 

They are open to a l/o for sure and the numbers make sense. She's worried I might not have enough buyers in that rural area. . . . and what if they find their own buyer or decide to rent after a couple months. Jeez. I think I'll let them stew a bit. They seem a bit high maint but then I am not familiar with this niche---maybe they're all this way?? :blink:

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