"I BUY HOUSES…CASH! - Posted by Jim
Posted by Jim on March 08, 2001 at 22:13:08:
That’s… if the deal makes sense and it is in the vicinity of 50¢ on the dollar (usually the fixers), and owned free and clear.
Now, when a seller calls and says are you the guy that buys houses, and you reply yes, and then he says… you can come down right now and buy this one. I just want out of this house and I want to move out of state.
My house is in excellent shape, needs no work. It was just recently remodeled, and was appraised last November for $97,000.00. I owe $54,000.00 and have about $43,000.00 in equity. I want to get as much as I can for that equity and move on.
Now, I’m certainly not going to buy his equity from him for full price! (Where would my profit be)? So when I tell the guy this he says “Your Ad says you buy houses CASH”!
The only thing I told him was that I do buy houses and I do buy for all cash, but if I were to pay him all cash for his house it would only be enough to pay off his underlying loan and that’s only because the house needed no work, otherwise it would be even lower. (Even down-right embarrasing to him)
I did tell him however, that I would agree to buy his house for close to full market value under my terms. He said he wants all of his equity in cash so he can move on…blah, blah, blah! (No Terms)
His final response was that he’ll call some of the other investors in the paper and the first one there with the cash gets the house!
I wished him the best of luck and I’ll just wait for his call in a few days or weeks or months to do something creative.
Would any of you have done it any differently? He sounds motivated by needing to move fast, but on the other hand he don’t because he wants all of his equity before he moves. Hmmmm