Green Bay, WI
I did a probate deal as I market consistently to new informal probates on a weekly basis. Happened to be a person I had done business with 13 years ago and recognized my name on the letter I sent. His mom had passed away and they didnt want to work on the upgrades needed on the house. Bought for just under 80K spent 13K in total rehab and sold for 127k 1st day I had it on the market…just posted it on Zillow and had 7 realtors show the next day, the first showing purchased at $500 under ask price.
I put out about 100 bandit signs. The seller called and did not originally leave a message, but I called his number back anyway and set up an appointment.
They bought the house all cash about 6 years ago and are looking to move back to South Carolina from Atlanta next year after their son graduates high school. They did not want to have to fix up the property or deal with realtors when selling the house (unsuccessfully tried to sell retail within the past 3 years) so decided to go the investor sales route.
The house is 4,200 square feet on a corner lot with a full basement suite. Lots of space and a great yard in a nice community. ARV is anywhere from $260K-$300K depending on how nice of a rehab is performed (Needs $60K-90K in work) They seller originally wanted $140K and I got him to sign for $130K.
I called in a guy I know who is an investor and contractor to do an inspection two days later. I paid him $300 to take pics/measurements, tell me any major issues with the house, and give me a repair estimate for the entire job. I took this info back to the seller and got him to lower his price to $118K and we signed a new contract on a Saturday.
I marked it up $7,000 and went to a local REIA meeting on that Monday and was able get the speaker to feature a property analysis of my house during the meeting. After doing a training on how to evaluate this property for 30 minutes, he told everyone in the audience how it was great deal and proceeded to call me up to sign a contract to buy it right on the spot. He did his inspections on Thursday and asked me to drop it another $5K if he could close it within a week. I was able to convince my seller to drop the price again to $113K and we closed as soon as the title came back clear.
Palm Bay, FL
Picked up another house, this time from a new relationship…a wholesaler I met. It’s a 3/2 1900 sqft at 765 Angle St NE, Palm Bay FL…signed the contract last Thursday and closed on it yesterday. Bought it for $60K, ARV is $130K and needs about $15-$18K.
I bought a house for $15,000, and sold it for $20,000 in just 3 weeks!
My partner Kala and I received a call from a seller name Jerry who was highly motivated to sell his property. Jerry called off one of our bandit signs. The house originally belonged to his parents which they built it. Jerry and his brother Michael inherited the property after their parents passing. They had rented the property for 4 years on a lease to own but the tenant in place fell behind on payments. They eventually evicted the tenant and listed the property for sale with a realtor a year prior to contacting us and had no success getting it sold. Jerry told us over the phone he’ll accept 16k for the property. We met with Jerry and Michael to view the property and offered them $12,000, they accepted. We marketed the property on postlets and craigslist for 19k and a week later received a phone call from a realtor who said she said had a client who was interested and asked if we would be willing to pay her commission. We responded “HELL FREAKING YEAH” …just kidding; but we said sure. We gave her the lockbox code and later on that day she called back and said her client’s offer is $17,000. We accepted, assigned our contract and closed 1 week later. After paying her commission we walked away with $4,490.
I sold half interest in Duplex I’ve owned for over 10 years. Made $20,000 profit.
I had done HUD deals but knew I could learn more after my departure from my full time job. I bought John’s King of Systems and jump into the HUD deals section. I instantly learned how to get the lowest price and techniques I still use today. Within 40 days I had a wholesale a deal and got a check for $9180.65. I know at that point I wasn’t going to get a J.O.B… I was going to make this my career. Now I can go deep sea fishing when ever I want! We bought the property for $60,320 sold for $69,900; I never even saw the property!
I had taken John’s HUD course and had been looking for a HUD home for a while without much success. A high number of the HUD homes we see in this area are double wide mobile homes but I was set up to receive the auto email every day when there was a property on the list in my sweet spot.
One day… a property hit the list I was very interested in because I was also looking for a home in the mountains to move in to.
Because I had taken John’s HUD course I was well informed on the HUD process. The property was in the exclusive listing period and HUD was also offering a $100 down payment to owner occupied buyers. I’m a Realtor so I was able to get in right away to look at the property. It was in pretty good shape but needed a new heat pump, appliances and repair a broken water line under the house. The rest was just cosmetics. I had made a few trips out to the house and on one of the trips I was able to talk to the neighbor about traffic to the house (and they would know because they are retired and there is only 1 way in/out of the property and it was past their house). I found out all about the house and that there was a lot of traffic to the house and a lot of interest in it. Since I wanted the house I submitted an offer that would net HUD 92% of the list price and got it accepted. I won the bid and got paid a commission at closing for buying it. I did the repairs and refinanced the house a year later and pulled out $20,665.19 cash. John’s HUD course gave me the knowledge on how to submit an acceptable offer. It worked for me and I am now looking for the investment HUD property.
Barefoot Bay, FL
I purchased a Fannie Mae property in a Resort Park that required a Rehab job. I knew the Mobile Home Park very well before I purchased this property because of course purchasing Mobile Homes can be riskier than single family homes. Mobile Homes just don’t hold their value over time. But… I knew that this Gulf Resort Park was a Sweet Spot! I purchased it July 7, 2015 for $20,000. spent $20,000. in Rehab money, and closed on the re-sell March 7, 2016 for $74,000. It took a little longer to turn around than I had hoped for but still… it turned out to be a great investment.
Wholesale lead came through yellow letter marketing. Property was part of an estate and the personal representative wanted to sell quick and without making repairs. This one was an assignment of contract. Wholesale price was $116,500 and included an $8,000 equity payout on the finish of the rehab by wholesale buyer.
Sent out a direct mail campaign in Conroe, TX. Received a call from a lady wanting a little above what I would be comfortable paying for a house, sight-unseen. As such, I was able to negotiate her down to $22,000. I told her I would meet with her face-to-face and we could walk the property. After walking the property with her, her husband and her sister she asked me if I wanted to “back out” of the contract. I told her no, but that we needed to come down a little more on price. So, we all agreed that $20,000 cash would be the agreed upon price. After giving them a few days to move out, I put signs around the area asking people to “Please buy my house.” The response was so high that I had to take the signs down in less than 24 hours. I ended up selling the house, AS IS (only took out the trash left behind:$500), to an owner occupant for $39,000. 813 Silverdale, Conroe, TX 77301. After closing costs, I netted $16,985.77 minus the $500 trash bill.
Lead came through yellow letter marketing. The property was a rental and the owner wanted to sell quick and without making repairs. This one was a double close because of the high profit margin. Wholesale price was $210,000. The address on the property was 533 Woodside Terr, Madison WI.
Spanish Fort, AZ
This project was from a Beth Buys Houses sign we had in the from of a rehab we were working on in the neighborhood he lived in. The guy called and asked if we buys houses that may need some work…lol? Ended up he was the Administrator of his aunts estate. We talked and came to an agreement after making sure no family members were wanting the place 1st? I didn’t want to be in the middle of any family mess. This was one of the 1st exposure to Probate process from this side and how providing a cash sale and being willing to except the property as is really helped them out.
Spanish Fort, AL
This was a dead probate deal that I was able to revive and close on it. We were planning on trying to prehab this property by adding a 2nd bath and updates. But because we have three other prehab / rehabs going on, no way to stretch things out so decided to wholesale this one out. Again all we had to use was bandit signs.. didn’t even post it on the internet or launched, and got a contract on it with a first time homeowner. Profit will be the same as prehabing??!!!!!!
This is a wholesale deal that my husband and I just closed on! The property is a 3 bed/1 bath single story brick ranch with 1,336 sqft. I found this deal by calling the City of Raleigh and I got a list of vacant/code violation properties. After skip tracing the owner I simply called her at home. Not even 1 minute into the conversation she completely opens up to me and tells me that she has had 3 strokes and is in very poor healthy. She also states that she inherited the property from her aunt and owes about $1,300 of back taxes on the property. She then tells me that she wants $30,000 for the property. I book the appointment and run the comps and find out that the ARV for the property is $105,000-110,000. After the appointment we get the property under contract 3 days later. Within 2 days, I have secured and end buyer for the property at $40,000. Unfortunately, the buyer is not able to secure the funds to purchase the property so I have to cancel the contract. I then proceeded to re-launch the property and within 24 hours I had secured a new end buyer with proof of funds for a purchase price of $50,000! We completed the transaction with a back-to-back closing yesterday. Our total profit is $16,348.45!
We took over the trust on a property @1654 Atwood, Longmont, CO 80504. The Trust had a 90 Day Purchase Agreement that was about to end, we did an Agreement Amend/Extend contract giving us the ability to Rehab the property and sell it. We had a Money Partner that funded everything, No money out of our pocket. We took over the property on March 24th, 2015 we had 90 days to complete the renovation and sell the property. We sold the property on May 7th, 2015 with an A to B, B to C closing it was a cash deal with full asking price. Plus we sold the contents left in the home for $ 500.00.
Purchase Price: $176,000
Earnest Money: $ 36.000
Rehab: $ 8,100
Sold for: $221,000
Profit: $ 43,800
A few months ago, I followed John’s advice on the pricing of a home. The seller was selling his home, which was in retail condition (it was fairly updated and in very good condition) and he wanted retail pricing. Comps have been selling for $290,000 in this neighborhood and the seller had faith in me when I said to price it for $260,000. In 3 days, we had 9 offers and the bidding war was in effect. We ended up getting an offer for $294,000 with no closing assistance by day 5 of the home being on the market.
I purchased a HUD home in September 2015 for $13,300 and I wholesaled the home for $45,000 in April 2016. However, the buyers did’t have the $16,000 needed to close the deal being they’re getting a hard money loan for the aquisition and re-hab, so I had my Attorney draw up a second mortgage on the property with a security deed, holding both LLC and the buyer both liable with a $5,000 penalty if the loan is not re-paid within 45 days. According to the buyers they would have the money to re-pay me within 30 days, so I gave them an extra 15 days to pay.
I found the deal from another wholesaler. I knew a local mentor of mine had a foreign buyer looking for that exact scenario. We did a joint venture for the deal with the realtor who represents the buyer. The original wholesaler made $9,000. And the three of us split $6,000. So I made my profit from this deal basically just by responding to an email and making two phone calls.
I found this one as a judicial foreclosure. I saw that the foreclosure was due to the death of the borrower, Carol Webb, and that it was a reverse mortgage, which is due on the death of the borrower. I then checked the probate data base, and saw the probate documents, which listed the Small Estate Claiming Successor (Personal representative), along with his phone number. I set up an appointment to meet him at the property. Interior inspection showed that the bathroom had a partial remodel, leaving open framing, and that there were unfinished electrical problems. Ryan the grandson in charge, agreed that he did not want to do the repairs, so I offered him $1,000 for the deed, subject to the $132,000 defaulted loan. After several email and phone contacts, we agreed on a net payment to the Estate of $3,262. When the payoff came in, it was $139,177!
However, through my 90% relational contacts, I was able to assign the deal to a rehabber for $16,000, which I will split with my partner. I expect to close by May 31,2016. Note: I have No money out of my pocket, no closing costs, as the assignee will pay all closing costs, and I will put $8,000 in my pocket!
I purchased a house at 38 Sorrellwood Lane, Sharpsburg, GA 30277 from the owner by using a Contract For Deed for a term of 36-48 months for $175,000 and I put $10 down. My monthly payment to the owner is $939.38. I already have an application for a tenant buyer to lease option it from me for a term of 36 months for $1395.00 per month with $5,000.00 option money down for an agreed upon purchase price of $189,000 in 36 months.
$189,000 Sale price in 36 months to tenant buyer
-$167,781.00 Estimated seller payoff in 36 months
-$5,670.00 Estimated closing costs
-$600.00 Rehab costs to date
$14,949.00 Sub total
+16,402.00 Positive cash flow over the 36 months
$31,351.00 Total Profit
I originally had made an offer on this property to purchase, fix and flip but the appraisal came back significantly lower so we could not purchase it for cash. So instead of walking away we re-negotiated the deal with the seller and came to an agreement to do a Contract For Deed to get the the most money possible and still make us a good profit as well.
Lead came through yellow letter marketing. Property was part of an estate and the personal representative wanted to sell quick and without making repairs. This one was closed on, updated (very minimal), and listed on the MLS. It received an above-list-offer after two days on the market. Resale price was $142,500. The address on the property was 707 Fairmont Ave, Madison WI.
Jorie keeps her head up and keeps moving forward with relationship-based leads in sweet spots
“Thanks to Real Estate U for all the great advice and great systems! I have my last flip with my investor on the market in Chicago 10720… what a bad area. I also am motivated to sell it now, and realized I will possibly take a loss; we have had it for over a year. Ugh!! I have been so down on myself… this was a wholesale I bought from a friend and it was not a great deal. The other ten deals we have done have made money in the last 2 years but I felt awful; this one we just need to sell.I’ve been walking everyday and getting my head out if my you know what and realize how much I love this biz and now with the amazing sweet spot locater it should never happen again. I need to focus on this last deal get the money out and keep going. Thank you for sharing John’s darker times, it’s nice to know it can happen to everyone. When you have a partner and let them down it’s awful. I’m picking my head up and starting to focus closer to home. I have agents I work with in Texas, Arizona, Florida, Missouri, and of course here in California. I have been intimidated to work where I live because of the price points. I am noticing HUD and auction homes in my sweet spots that are coming up. I have bought on auction and HUD but as you mention the prices are high and getting bid up. I had a friend whose neighbor is a foreclosure in one of my sweet spots, so I’m going to talk to them this weekend. Once you start talking and reaching out to our project 100 and relationship-based leads, the opportunities can be endless.”
Robert confidently keeps his eyes on the prize
“We are not going to let a lack of funds for Earnest money deposits, auction bid deposits, points and interest on lenders funds, inspections, utility deposits, title fees, homeowners insurance, or whatever out of pocket costs etc. get in the way of us achieving our goals. Feeling more confident that I’m good to go which is most important to attracting something. Believing that I can actually have it!Thank you for the awesome training and for telling me that it’s ok to feel uncomfortable.”
Eric puts his game face on and finds some promising properties
“Due to some personal issues I have fallen behind, but I am back in the game and ready to move. So far, I have submitted 5 offers on properties but none have been accepted yet. I do have my LLC setup and have 5 new properties from ‘driving for dumps’ that I am reaching out to this week.”
Buddy casts net out to hot leads
“I received a list of 58 motivated seller lead last week and another 70 this week. These are pre-foreclosure, probate and heirship assignments. I mailed out 127 letters this week. Then I received another list of about 40 more potential sellers.”
Etay has bid accepted, enjoys the freedom of options, and gets to go on vacation!
“I Placed a bid on a Hud Property in Florida, deploying the strategy that we spoke about on bidding for all properties. That said, when the bid was accepted I was elated! Not only because the bid was accepted at the price I wanted… but because I AM GOING TO THE BAHAMAS BABY!! YEAH!! Originally I wanted to wholesale it but since then, we had someone come to us and wanted to rent it so we will entertain that possibility. Gotta LOVE win-wins and options.”
Robert crushes goals
“We are crushing our goals!!! Here’s a couple recent achievements we want to share:
Real Estate License Attained
Won an Online Auction
Mailed 1100 Thank you Cards to Mega Realtytrac Vacant List
Got Delinquent Tax List From County
10 Prospects In BOF
Met and Made Offer with 1 Probate Attorney Reached out to 30 Attorneys
20 Craigslist Ads for Real Estate Wanted
Added 4 Wholesaler/Birddog Contacts”
Tim uses iComp to scope out potential properties
“Called today by Probate Attorney. Has 2 properties he wants me to look at in Toledo and give an offer if interested. Both are 2bed/1bath, taxes current on one, less than $1,000 on the other. Both are in not-so-good neighborhoods but not the hood. Did icomp comparisons. The Attorney told me to call him if I want to get inside and look.”
Caroline has property under contract with motivated seller and potential buyers lined up
“My husband and I just got a property under contract for $8,500. The seller is very motivated because he owes $3,000 in delinquent taxes and has medical bills to pay. The property is in a rental income producing neighborhood of Rocky Mount, NC. We have 3 landlord cash buyers that are interested in the property. It does need about $12,000 in repairs. We will be showing the house on Monday, May 9th. The ARV is $45,000. We hope to make a wholesale fee of $ 7,500. The house can be rented for $700-750/month.”
Chris has projected profit of $48,000 on HUD home under contract
“I just got a hud home that I was working on under contract to sell. Haven’t sold it yet, but on the way. Buyer has had inspections done already and appraisal has been done. Haven’t heard back on appraisal yet. I bought the home for around $35,000, selling it for $108,000 thru my realtor. I put in roughly $25,000 in repairs. Set to close in end of May.”
Eric uses Project 100 strategy resulting in lead-boosting active contact list
“I just finished loading all the business cards I received from attending local REIA groups and motivational seminars. This brings me up to 65 active contacts not including the 25 attorneys I added. I am reconnecting with each of them to increase our relationships. This has been a powerful tool to boost by leads. I should have my first deal under contract by the end of the week!”
Martin makes agreement with agent to put in HUD bids
“I found an agent who is putting in the hud bids for me everyday. I told him exactly what I wanted to do and he is glad to work on it every night after I send him the list everyday. It’s definitely tedious type of work every night but I make time for it. Figure I might be able to get at 1-2 deals a month this way maybe.”
Jamario has a great potential profit on a wholesale house
“I made an offer on a house that was sent to me by a wholesaler. The ARV is $220K for a 5/4 3400 sq. ft. and it needs only cosmetic repairs. I offered $150K and would wholesale it for $195K.”
Kala benefits from following up on leads
“I went through my call list and followed up with past sellers who have called in from our bandit signs, I called about 10 people. I ended up getting a property under contract to do a quick wholesale deal!”
Ben succeeds with iComps and Buyers On Fire
“We put a great deal under contract. We are buying the property for $48,369. We used iComps to find the ARV of $140,000 so there is a great deal of room for profit. We will be looking to wholesale the deal and have it listed through Buyers On Fire for $79,900, where we have gotten a bunch of inquiries through. The Buyers On Fire software has been a great learning experience in tagging, messaging, etc. Once we close we will list the property if we don’t yet have a buyer, but we can afford to wait a bit as we are financing the property through our portfolio lender.”
Jay earns Goal Crusher Badge with Success Story about his first property launch
“Did my first property launch. Actually, I had to do it 3 times to get it right, but got it launched. So far I have 4 leads from it. I boosted the FB post for $20 to reach a larger pool and expect good things. I’m following up on the leads and updating the contact information accordingly.”
Donell gets his LLC and is ready to hit the ground running
“I went to the state building and applied, paid, and received my LLC (B. Diamond and Associates). I am all set and ready to go on my first deal as soon as I find one.”
Jessica follows REU marketing models to capture leads
“I was able to complete my homework; I ignored my fear and sent my Thank You cards to people anyway! Now I have a new postcard design for direct mailers, and hired my mother in law to assist in capturing lead phone calls and follow ups based on commission compensation only. I was able to get one county list of delinquent taxes and have initiated communication with two prospects so far. A few more hoops to jump through to get the information means my lazy competition will not be competition for these properties!”
Edward uses REU’s Business Transformation to transform his selling power
“Started off a little slow from June 2015 – March 2016 working part time I found a local private lender and have purchase six properties. I sold five.Now I am full-steam-ahead from April 2016 working full time; I have one property on the market and two properties tied up to purchase soon.”
Ray does a rehab deal with an assignment contract
“I had a chance to tie up a home in an estate thru an Attorney, and turned around and did an assignment to a rehaber. This was my first one like this that I did with an assignment contract.I made $5,000 on the deal.”
Maryanne gets possible lead as a result of using Project 100 tactics
“Yesterday a pro football player came to our home to meet us, interested in our new business. We will meet again in two weeks.Today a friend called me because she received my thank you note (Project 100), she thinks that her neighbor wants to sell his house. It’s in an awesome neighborhood, where I grew up. I went to see the house and left a handwritten note on the front door. Now all I need is money!!!”
Acquired property at 203 N Pauline Ave approx 8 years ago “subject to” for approximately $120,000. Rented to Section 8 tenant for most of the time. Repaired house for $40+/- Sold in May 2016 for $205,000. Paid off remaining loan balance of $103,000. Profit approx $60,000.
I just secured an end buyer for the deal I mentioned that I got under contract. This 3 bed/1 bath 1,336 sqft is under contract with me for $30,000. I signed the contract with my end buyer for $40,500 8 days later. I will be doing a double closing on this deal so I will make somewhere around $7,000 on this deal. Closing is scheduled 10 days after signing the contract!
Port Orange, FL
In July, 2015 my business partner and I were approached about by a motivated seller that had heard through the grapevine that we were looking to buy more properties in their town in Iowa. They asked us if we would take a look at their property at 506 4th St Durant, IA. We talked with them a bit and found out that they had purchased the property for their son and daughter-in-law as they didn’t have good enough credit to do so themselves. Their kids put the money down and they put the mortgage in their names.
The kids were now getting divorced and would be moving out of the house as they couldn’t afford it on their own and now the parents were stuck with the house. Being retired, they had no desire or intention of becoming landlords so they just wanted to get rid of the property for what was owed on the property. We were more than happy to oblige because the property was in great shape and needed very little except some roof repair on the back of the house and some interior drywall repair where the roof had leaked.
We could have easily flipped this property and made a very nice profit, but we decided to add it to our rental portfolio instead. We currently rent the home for $1,100 a month and are making a 30% return on our original investment. We were also able to leverage the property with our portfolio lender as the property appraised for $120,000. We now have a nice sum of money that is at our disposal whenever we come across another property that we have an interest in.
Spanish Fort, AZ
This was another HUD deal we were award the winning bid.
This was a 4 Bedroom 2 full baths with a nice little kitchen and family room and a large fenced in back yard. Hard to believe we got this property for what we did and then prehabed this property, included an appliance package and made a new family VERY Happy.