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About alterman

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  1. I will connect with a mortgage broker locally for that information- just didn't want to put someone in a home with no way of qualifying in a year. In addition to the option fee do you collect a security deposit ?
  2. I was going to connect tb with someone that can tell them what they need to do for credit issues. I just wanted a ball park score so that I would not go through the app process if there is no way they will come close to qualifying in a year . For ex. if they had a 580 credit now is there hope it can be brought up enough in a year or can it be lower or needs to be higher.... If they had a short sell they would not qualify in a year either.
  3. I can see how the owner would like the 1 year. My concern with TB is will they be able to repair credit issues in 1 year. What type of credit score do you accept so that it would be realistic for them to get approved for a loan in l year?
  4. How about the negotiating with the seller end . I am not sure what information to give him as he is going to ask how much can I get for my house? I will tell him $150K and the tb will pay me? and do I not mention the rent credit?option fee the tb is paying me? I am guessing at the end paperwork he will see that and I don't want any surprises. Ex. I am giving $200 a month rent credit. Year one he will get $150K TB pays $5K+$2400rent credit= $157,400K Year two if we add 5% to the house price $157,500 + $5K + $4800= $167,300 K Year 3 add 5% to the house price $165,375K + $5K+ $ 7200K= $177,500K Do you add a increase each year to the sales price and rent price? Is 5% too high or should I only add 3%?
  5. Background: One of my property management owners had expressed interest in a LO in the past . He bought a home in 2104 for $120K and today it is assessed for $150K. Comps are selling for $150-$165K. We had been renting the home for $1400. Since the lease is over I put a tester ad to see if anyone was interested in a LO for $1600 and over the weekend I got a call from a interested TB with $55K income, 580 credit score plus $5K option fee. She has a home that is too small and will need to rent her home when she finds a place so another opportunity possibility. I have 2 managed homes with this out of state owner and I want to make sure I am treating him fairly as he is a client. His other home the current tenant has expressed definite interest in a LO for the home she is living in in the spring when her lease is up. I know a sandwich I can make more but as this is my first deal , a client I am more comfortable taking the option fee and turning it over to the owner. I can possibly make something managing the property-making sure the rent is collected. I am just trying to figure out how I price it -Is the price $165,000 to the TB in the paperwork and I take my fee from that. So in 3 years she owes $160K. Or is the actual home price $165k and to get the $165K she gives me a option fee of $5K. We have not discussed rent credit at this point. I was going to go up on the house price and rent price a % each year. ------- I guess another way I could do this deal is to split the difference with the owner of $200 each month.This is from the $1400 traditional rent and the $1600 Lo rent. Or give the tenant $200 a month rent credit to get the deal. Don't want to be greedy but want to make my first deal and have to make it desirable for all parties.
  6. For some reason I am getting a message "I can not upload this type of file "so I will email my letter to you separately. Besides MLS any suggestions on where to get vacant/ out of town owners ? I think someone suggested realeflow for leads??
  7. Yes I am a Florida Licensed Real Estate company so I can buy, sell etc.
  8. As a realtor I have access to the MLS and have done some marketing with expired listings. I have concentrated on pretty homes $100K- $500K ,out of town owners ,vacant homes or owners with a different address than property. Not short sales. I know they are getting bombarded by all the realtors but in my letter I am trying to be different from the sales realtors. Since I am a property manager ( yes I really am) I am telling them I specialize in LO and rentals. I have not been doing this long but feel I should get some response. What is the response rate you are getting ? Any ideas for getting my phone to ring? I want to get my first home this month! Shelley
  9. I am curious if anyone does LO's with condo's / townhouse? I am starting some marketing and didn't want to waste time and money going after this market if tenant/buyers are primariiy interested in SFR. I was trying to zig while everyone else zags but at the same time want to go where the results are.
  10. alterman

    MLS Book

    How did we ever operate... My husband sells logo merchandise and we use to have companies fedx the artwork to us and we had a file drawer with all the art stored. When my kids were small we went to Key West and the hotel had a ice tray in it . They had no idea what it was-lol. And lastly my dad moved in with us and brought his dial phone. Again, the kids had no idea how to use it. Times have certainly changed. Everything is instant now.
  11. I was going with the seller gets the $!43 and I assign to the TB for $148. Thus me making $5K Are you saying for the seller to get $ 148K and me to add my fee to that?
  12. Michael , This is what I came up with to present to the seller. I want to give her options sell vs LO. My question is do the tenant/buyer pay all the closing cost? Even if they do not , the seller still comes out ahead unless I made an error. Am I missing anything in my presentation or good to go? COST TO SELL HOME (estimated/average) $143,000 List Price 6% commission $8589.00 2% closing cost $2860.00 6% sellers concessions $8580.00 3% holding cost $4290.00 (date put offer in to end of escrow) 17% $20,510 cost to sell $143,000 list price -119,000 debt - 20,510.00 cost $3490 owner net --------------------------- Rent w/ Manager $1100 average rent in neighborhood 10% mgmt. fee $110.00 maintenance $1000. (yearly ) -------------------------------- Sell On Lease Option ( our fee paid by tenant/buyer)- close 24 months $143,000 owner $1300.00 rent give the tenant 50% rent credit = $15,600 rent credit $143,000 sale price -15,600 rent credit + 4800.00 rent profit ( $200x 24) owner owes approx. $1100 a month ---------- $132,200.00 -119.000.00 $ 12,030.00 owner net I sell to tenant /buyer for $149,000 Net to me $5000.00 Shelley
  13. What about Frank Dobb with an assignment? How about with a sandwich? Is there any difference?
  14. Michael , Thanks for the quick response. I want to make sure I am on the right track with my thinking..... Does tenant/buyer pay a option fee PLUS security deposit? I will tell the owner I will get him a Tenant/Buyer within say 90 days. Sales price will be $149K and my fee is $5K. Tenant will pay $1100 rent for 12-24 months. PROS= Seller will get more money doing this than a traditional sale as he will not pay sales commission of 6%, no closing cost. Seller will also get more money due to receiving $ 144K and in a traditional sale the price is negotiated down. I will get a tenant/buyer who will purchase the home for $149K within 12-24 months, pay $5K option fee and pay general maintenance and all closing cost. Michael- do you use lease option or lease purchase? I am wondering on the tenant/buyer side if they will pay lets say $1250 rent ( a little higher than market since they have a option) and maybe $100 goes toward the purchase at the end? Do you do rent credit with your deals? I was not sure if tenant/buyers expect that? Do you set your tenant/buyers up with credit repair? I would not think it is realistic for the tenant /buyer to be able to purchase within 12 months. I was thinking more of 24+. Thanks again, Shelley
  15. I am working on my first deal:) I have a owner that contacted me to sell her home ( I am a licensed FL realtor). I want to give her other options such as a LO. We had the home appraised and it is $143,000. She paid $160,000 and owes $119,000. Her Monthly payments including escrow$1020.00 Market rent is $1100. Home is vacant-she lives out of town. But she is not desperate. Said she wants to sell by Jan when she moves out of state. She just spent $10,000 doing rehab-so she told me. I need help in structuring this, I am not sure if I want to sandwich or just get out and assign since this is my first deal and I am nervous. Can you give me some examples on what I should offer her and how do do this deal ? Shelley
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