Posted by Ib (NJ) on January 10, 2001 at 16:22:39:
Thanks Leon. I’ve been searching for vacant homes for the last couple of weeks. I usually do this first thing in the morning on my way to work. Came up with some pretty nice ones and have also dug up the names and addresses of the owners. I’ll be sending letters out in the next couple of days. I’m using the database from Joe Kaiser’s Abandoned Properties course to keep track of them (pretty nice Joe!).
But I’m wondering if you’ve gotten in contact with any owners of occupied junkers and if so, what were their responses to you offering to buy their house. I’ve seen my share of junkers but haven’t gotten around to tracking them yet. I figured I’d start out with the vacant properties and get some experience.
Actually I bought another one from the same guy who recently sold me one. I just wanted to share what’s going on so that you all know that your answers to my questions aren’t a waste of your time.
I’m a little NERVOUS but hopefully I’ll get through these and on to some others. I’ve flipped junkers before but I want to start holding short term for the cashflow.
Here’s how it went…I drove around for a few days spotting junkers and vacant houses. I sent letters to all of them. Got a few calls and snagged two houses from one guy. I need to spend more time driving around looking for junkers. Actually as you all know it wasn’t exactly that easy ;?}
I’m buying one with cash and he financed the other for me for a year with some down and no payments. This guy even offered to GIVE (deed) me one if I did the repairs and split the rent with him. I haven’t even had time to think about that one yet. It was a house I told him I’d pass on. I might have to rethink it now. Maybe after I get these two situated.
I sure hope I’m finding a niche…buy low, repair, and lease/option. There’s going to be a lot of equity in these two when I’m done! You don’t need to do too many of these to quit your job.
I’m not one much to talk about things that I do but I feel I OWE it to you all and tell everyone here that I appreciate everyone who participates here. I owe a special thanks to some people right now. ScottS thank-you, Jim Piper thank-you, Steve Cook thank-you, Ed Garcia thank-you, Mark Sternberg thank-you. Thank-you Terry and JP Vaughn.
I feel like I’m babbling and I’m laughing right now thinking I might be the only one reading this but I don’t care. It’s an awesome feeling when you accomplish something you set out to do. I’m pretty cash strapped as usual but I’d sure like to go to the convention this year. If I can get a flip done before then and get the time off from work I hope to see you there this time. I don’t care if I don’t learn anything I just feel like I owe the people on this site a handshake in person. The bar thing sounds kind of fun too!
I do write down the houses that look a mess from the outside whether they’re occupied or not. I’m building a pretty good database to mail to. Also if you look closely there are a lot more vacant houses out there then you think. I just look up the owner and send them a letter and wait for the phone to ring. Then just deal with them like any other seller.
Posted by Mark-NC on January 09, 2001 at 19:54:14:
Tony,
The quickest eaisest way is to put an ad in the paper. It has been my experiance that there are many investors and wanabe investors out there just dying to get a hold of a fixer upper. They are relativeley easy to sell as long as you have them calling you.
Just run an ad that says:
Fixer upper , wholesale, Cheap, you fix it and make the money. 555-5555
I can guarantee you will get more buyers than you have homes.
When ever I run an ad like this I collect at least 20 good names for future deals and generally make some good contacts from people in the business.
Posted by IB (NJ) on January 09, 2001 at 13:29:31:
One idea I use to find rehabbers:
Ride around town looking for homes that are being rehabbed. Stop and talk to the Contractors (the owner or rehabber may or may not be on site). This accomplishes a coule of things: (1) You will get a chance to look at the quality of work done by the Contractors and thus possibly hire them for your rehab project(if you’re also a rehabber). (2) You will eventually meet the owner (rehabber) and tell him you sell homes wholesale.