Posted by Bobby on October 01, 2000 at 16:26:02:
I agree, be careful of Rehabs…remember whatever you think the Rehab cost will be it will be more if you are not good at repair estimates and the time you need to Rehab until it is rentable. Good Luck.
Finding distressed properties - Posted by Amy
Posted by Amy on September 28, 2000 at 09:58:57:
My husband and I are ready, everything is in place, including the $. However, we are having a heck of time finding properties! We have definitely decided that rehabs are our chosen course to start. Since we both still still have full time "other " jobs, staying on top of those Sunday adds can be hard. Just last week ,we called about 2 houses on Sunday and made appointments to view them . Monday our appointments were cancelled due to they were sold. Realtors aren’t quite “getting it”. They keep sending us houses that are “cute as a button” and “new paint and carpet”. Or…
HUD’s, open to investors. Now the Hud’s are great, but in someone out there’s infinite experience , does HUD ever take lowball offers that leave enough room for profit?
Also, what is a good source for REO’s?
Any suggestions , so we can get going would be appreciated.
We live in DFW.
Thanks,
Amy
Re: Finding distressed properties - Posted by Bobby
Posted by Bobby on October 01, 2000 at 16:24:08:
Sorry, type in my last comment, property was purchased for $30,000 not $20,000 but was leased optioned for $59,000 in three years time…not bad I would say.
Re: Finding distressed properties - Posted by Bobby
Posted by Bobby on October 01, 2000 at 16:20:57:
Hi, My wife and I bought a REO, in Danville, VA for $20,000 and it needs some $4,000 work; however, doing price checking of other house that have sold in neighborhood, houses averaged sales of $48,000, we have leased optioned it for $59,000 in three years…so CS Coaching and course have been paid for, I read so many times on this site of all the negative comments…never any good comments…come on everyone let’s teach each other and help each other out here, thanks.
Re: Finding distressed properties - Posted by Bill Scott
Posted by Bill Scott on September 30, 2000 at 07:17:05:
Amy, be careful of rehabs if you and your hubby don’t have much in the way of building experience. A major rehab is real work and can be an alligator that chews up credit right and left. Finding the problems that need to be fixed can take time and finding good contractors is really tough. Bottom line, buy the property dirt cheap and be ready for surprises.
How do you find them? Usually there are one or two brokers in the area that handle foreclosures. Check the real estate magazines in your area and look for the agents advertising foreclosures. Running ads for homes is also a good way. Joining a local REI club, where there are wholesalers is another way. find vacant properties and look up the owners is another. Rehabs can make you a lot of money—but they can be a lot of work!
I’ve got to get busy this morning on my rehab. Bought a three family a year ago, thought I had two of the units ready to go and the chimmney sprung a leak and needs to be rebuilt–I have a mason doing that. I’m working on completely rebuilding a section of wall (cutting out rotted wood/replacing studs/rafter and sill beam) prior to putting a new bathroom in. I paid $27,000 for this monster and will wind up putting about $20,000 (and a years time) in it and it will be worth about $80,000. Good return–but I wish I had taken on a smaller project first. Oh, and try to look at property on a rainy day—I prefer to buy in the winter so I can see where the leaks are and then fix in the spring and summer. Good luck!
Re: Finding distressed properties - Posted by Nelson
Posted by Nelson on September 29, 2000 at 22:45:29:
Amy,
Place this ad in the Sunday paper
NEED MONEY?
I Buy Houses-Fast Close!
Call 555-5555
In a large market you may get several dozen calls in the next three to four days. Out of those you may get one to four good ones. See, how many can you do at a time? Isn’t it a lot better when they come to you instead of you spending your time hunting them down? Sure you can do some of the standard things like canvassing for tall grass and peeling paint, but even then there’s no guarantee that you’ll get any. I don’t like cold calling on people or doing the Real Estate recruiting thing. I like to have them calling my answering machine and leaving their name and number where I can call them back. Or If I’m there I’ll answer it and get all the information I need to determine if I want to get involved with their deal. See a lot depends on the coverage that ad gets. In a large market thousands will see that ad so you only want to run it once. And what else can you do that can effectively get you into as many homes and entice those that truely need you to buy their house. See there are more properties out there that can be bought by you from people that need your help in solving their problems. So you see this is a simple way of exciting some of them into action…get them to raise up their hand and call you. Sure there will be a bunch that won’t meet your parameters for buying, but there will be lot’s that will…and how many can you do at a time anyway? I know that there’s a lot to learn in this business especially for beginners, and some techniques work better than others…but if you’ll give it a try and see if it can work for you, you’ll see that it’s cheap and a slick lil technique that may work gangbusters for you! Good Luck to you both:-)
Nelson
Re: Finding distressed properties - Posted by DOT
Posted by DOT on September 28, 2000 at 18:25:28:
Amy, try looking into RE Investors Clubs in your aera.
Re: Finding distressed properties - Posted by Rob FL
Posted by Rob FL on September 28, 2000 at 15:28:59:
There was a great list of sources posted on Newsgroup 1. Here is the link:
http://www.creonline.com/wwwboard/messages/92631.html
HUDs are a good source of fixer-uppers but forget lowballing them. Offers lower than a certain percentage of the listing price are automatically rejected. The percentage isn’t published, but I hear in my area it is around 85% of list price.
Re: Finding distressed properties - Posted by mark
Posted by mark on September 28, 2000 at 15:22:29:
amy, i have been in real estate for a while now and have done very well so far. one thing i learned very early is - be very careful of real estate agents. they are a great source of info but if a really good deal comes along, they usually buy it before you even here about it. probably the last 4 or 5 houses i’ve bought have been through “word of mouth” or just letting everyone i know that i am very interested in buying houses, and you would be surprised at how many leads i get. i have even told people that i will give them 100.00, if i close on a house they turn me on to. look out for yourself, good luck, and get started.
Re: Finding distressed properties - Posted by alfonso tostado
Posted by alfonso tostado on January 06, 2001 at 18:27:48:
i would like to get free listings for foreclosed properties.and distressed properties repos or anything in that catagory thanks a. tostado