I got 2 birds.....I just need 1 stone! - Posted by Young Buck


#1

Posted by Doug Jones on December 13, 1998 at 05:28:13:

Jimbob,

None yet. I just started these offers about 2 weeks ago with a single realtor who is, of course busy with
other deals at the same time.

I don’t know how many offers it will take to find a seller that wants or needs to take payments on a second mortgage, but the only way to find out is to try.

I am only looking at nicer homes that don’t need much
or any work. The seller may or may not be in a rush to sell. But they are vacant.

DJones Tampa


#2

I got 2 birds…I just need 1 stone! - Posted by Young Buck

Posted by Young Buck on December 11, 1998 at 22:17:57:

Well I read one of the articles that said something about getting cards and letting people know that I was an real estate investor and now I have a problem. I have 2 diffrent women who I have told that I could get them a house, they both have decent credit and they both have the $3,000 (I just picked any # amount for a down payment) which was to see there reaction and to see if they were serious…they were!. They have there money and they both been pre-aproved. I have been staling them because I havnt had time to prepare for anything or get to a realitor to find a good, NO 2 good investment properties. I am expected to meet with them each sometime next week to explain everything…The only problem is that I dont really know much of “Sugar,Honey,Ice,Tea”. Just that I am suppose to find a house for LOW and sell it to them HIGH…:slight_smile:

I am nervous as hell and cant sleep. I am in the process of doing my first “flip”. In a way i kindav feel LIKE A VIRGIN!!!

I JUST KNOW in my heart that with some guidence and help that fliping two properties to these 2 ladies could very well change my life for ever.
I thought I had an investor who said they would help but he has not returned my calls and I fear I am running out of time.
Any comments, or suggestions would be greatful.
I would especially want to hear from any realitors OR investors interested in New Jersey, Essex County


#3

Re: I got 2 birds…I just need 1 stone! - Posted by SCook85

Posted by SCook85 on December 12, 1998 at 17:40:51:

I used to run ads for homes that I did not have trying to line buyers up for when I did have homes. You won’t get in trouble for what you are doing, but don’t act as an agent. Tell them when you have something available you will give them a call. You have only conquered half the battle so far, when you find a home they have to like it or no deal. Don’t worry about it. Keep there names tell them that you have nothing avaialbe at this time and you will call them when you do. I have a buyers list of about 30 people. I call them when I have something available and most of the time this is the way that I flip my properties. If they are real hot to do something calling the I buy houses ads is a good suggestion. You could get one of those people to option a couple of properties to you for a day so that you can show it to these women. Tell them if your buyers are interested you will sign a contract. I hope this helps, it is not the end of the world just tell them that you have sold everything and you have nothing at this time.

SCook85


#4

Re: I got 2 birds…I just need 1 stone! - Posted by Ray(OH)

Posted by Ray(OH) on December 12, 1998 at 15:19:53:

Sounds like you got yourself in a bit of a jam. I’m pretty new at this myself, but, if I was in your position I would call all the ads in the paper saying “I buy homes for cash”. I would ask if they will pay a finder’s fee for a qualified buyer with a downpayment. If they don’t I would give them the names free in order to save my reputation. At least this way you will get your name in their book, (or at least in their mind) that you turned them on to 2 good buyers. Doing your local investors a favor can do nothing but help you as a newbie.
Just 2 more cents from another newbie.
Let us know how it goes.


#5

Re: I got 2 birds…I just need 1 stone! - Posted by Mike(Fl)

Posted by Mike(Fl) on December 12, 1998 at 12:49:25:

Get your ducks in a row before you start! We realize that you have to start somewhere but it shouldn’t start with frank misrepresentation. hk CA is right, not to mention that these women could potentially ruin your local reputation if you let them down. Look hard to get outta this pickle and use it as a “learning experience”. Let us know how you do.
Mike


#6

Lost message to Young Buck - Posted by Ben

Posted by Ben on December 12, 1998 at 12:14:18:

Young Buck,

I may have a solution. Contact me at darbenlaw@msn.com


#7

“Can’t go my bail, at the Tijuana jail” - Posted by hk CA

Posted by hk CA on December 12, 1998 at 11:59:59:

Keep doing what you’re doing and I can guarantee it “could very well change my life for ever.” You’re riding a fine line, bordering on fraud and acting as a RE agent without a license. You could be looking at jail time, buddy. If you can’t do this business without deceiving people, then find another career. Your actions reflect on all of us that try to be honest and aboveboard.


#8

Re: I got 2 birds…I just need 1 stone! - Posted by .Doug Jones

Posted by .Doug Jones on December 12, 1998 at 05:04:52:

I have recently been making offers on houses that
are listed in the MLS. I am only interested in vacant
homes in which the owner has at least 75% equity.
I offer 50% down in a new 1ST mortgage and a no
interest 2ND mortgage for at least the first year.
I am offering around 95% of the appraised value and
plan to lease option for 105% of appraisal.

Example: $90,000 house

offer $85,000
1st pmt on 42,500 …$400 ( no credit needed)
2nd pmt(no int) …$300
tax& ins …$100

offer for the seller to pay your closing costs

sell $100,000

$3000 option money

$950 to $1100 month

Maybe you could offer the seller 5% interest starting
at the 13th payment, but try to get the new people
financed by that time. Have the new option agreement
increase by some amount to cover the interest if
they do not pay off by then.
You might get the seller to go on for 3-5 years, who knows?
I am just trying this but it might give you some ideas. Good Luck

DJONES


#9

Re: I got 2 birds…I just need 1 stone! - Posted by rudy-austin

Posted by rudy-austin on December 14, 1998 at 07:07:48:

I get and pay 1.0% of the selling or buying price in Cash, Barter (Not Free) for a referral of a buyer or seller. $20.00 when I qualify the referral and the balance at closing.rudy-austin


#10

Re: Young Buck returns - Posted by Young Buck

Posted by Young Buck on December 12, 1998 at 19:20:39:

O.K. first of all I never decieved anyone I simply told the ladies that I could find them a house. PLAIN AND SIMPLE! I never said that I a was a realitor or anything and you obviously do not or have not done a flip with a statement such as “If you can’t do this business without deceiving people”

Just what exactly do you think you are doing when you go and purchase a house for $50,ooo and then resell for $75k you have just decieved this person, and thats for sure. There is no other way around. This is a business, I have not DECIEVED anyone and dont plan to but If I know that these women are willing to pay for X amount of dollars you best believe that IM going to get that house for -X to resell to them.

Now its kind of funny. Im new at this and I take everyones opinion very seriously but its people like you that give this site a bad name.

HAD YOU BEEN THE ONLY ONE TO REPLY…YOU COULD HAVE JUST SCREWED UP MY LIFE,( for a very shoooort period in time).

p.s. if you read on later you will find a lot of people who disagree with you…WHAT IS YOUR RESPONSE TO THEM. HUH!

Please do not let the name “Young Buck” give you the impression that I am Young and Dumb. I am new but I am not Dumb

THANK YOU TO EVERYONE WHO DID RESPOND POSITIVELY…I HAVE ALL OF YOUR NAMES PRINTED OUT AND POSTED ON MY WALL…ITS THE BEST I COULD DO!

ONE MORE THING, in the future please remember that when you reply to people they are depending solely on your response because OBVIOUSLY THEY DONT KNOW THE ANSWER.

THANK YOU,


#11

Re: I got 2 birds…I just need 1 stone! - Posted by Jimbob

Posted by Jimbob on December 12, 1998 at 08:35:00:

Doug,

How many of your offers have been accepted and how many deals have you closed?

Just curious…

Jimbob


#12

And what the heck does this mean? - Posted by hk CA

Posted by hk CA on December 14, 1998 at 14:50:52:

The only problem is that I dont really know much of “Sugar,Honey,Ice,Tea”.

Dumbfounded


#13

Re: Young Buck returns - Posted by hk CA

Posted by hk CA on December 14, 1998 at 13:28:17:

Don’t know why I’m even bothering to respond to your post; I guess I’m just fascinated with your ability to justify your screwups.

YB: “O.K. first of all I never decieved anyone I simply told the ladies that I could find them a house. PLAIN AND SIMPLE! I never said that I a was a realitor or anything . . .”

You never said you were a Realtor or anything? How about the fact that you told them you were an investor? Are you? How many investment deals have you done? None, you say? Then how can you call yourself an investor? You have deceived them into thinking that you know what you are doing when you obviously do not. They are depending on your expertise which you don’t have. That is deception, pure and simple.

YB: “Just what exactly do you think you are doing when you go and purchase a house for $50,ooo and then resell for $75k you have just decieved this person, and thats for sure. There is no other way around.”

This one’s a beauty. By buying a house for $50k and reselling it for $75k I am making a profit. I am upfront with my buyers and sellers and I even put the statement on my agreements to the effect that “I am a real estate investor (and by the way, I have done a deal or two) and that I will be making a profit.” That eliminates any questions in their minds about the reasons I’m doing these transactions, and it also keeps me out of court. Just like a car dealer who buys a car for one price and sells it for a higher price, I, as a professional, am entitled to make a profit. There is no deception at all, providing the transaction is done properly. And your statement: “There is no other way around.” There has to be a way around deception if you want to be in business for any length of time.

YB: “its people like you that give this site a bad name.”

I wasn’t aware the site had a bad name. Hey JP, did you know that?

YB: "p.s. if you read on later you will find a lot of people who disagree with you…WHAT IS YOUR RESPONSE TO THEM. HUH!

A lot of people? How many is “a lot?” Tell me who they are, count 'em for me willya, and give me their exact quotes. And how would I respond to them? I would say they are entitled to their beliefs and opinions and that I repect their right to say what they believe. But that does not mean I have to agree with them.

YB: “Please do not let the name “Young Buck” give you the impression that I am Young and Dumb. I am new but I am not Dumb”

First, I never said or implied that you were dumb. Tell me where I said that. But since you brought it up, I always find it to be curious when someone makes a statement like that. Why do they feel they have to defend their level of intelligence when no one has questioned it? Sounds a bit paranoid to me. Maybe you’re trying to convince yourself.

YB: “Any comments, or suggestions would be greatful.”

I gave you my comments and suggestions. How come you’re not grateful?

And lastly, since you are obviously reeking with wisdom and my realestate experience is very limited, I can see that you could be right on and that I am probably wrong. But to satisfy that tiny bit of doubt I still have, here’s what I propose: With your permission, I’ll send your original post (you know the one, something about having two birds and one stone) and your email address to the NJ Real Estate Commission for their comments and interpretation of your methods. Most likely they will extapolate that you, Jerome, are indeed a pillar of your community, and that you deserve much respect for your unselfish gestures of helping others. But I would like to see that in writing. Let me know if this idea is OK with you.


#14

Young Mr. Buck sir … - Posted by Redline

Posted by Redline on December 14, 1998 at 12:12:22:

What our friend hk (CA) up there was telling you is good advice. You should listen.

The point is this: We (you) or anyone else is NOT deceiving anyone when you buy property low and sell it high. The only way you can buy a $100,000 property for $50,000 is if there is motivation. There HAS to be a reason the seller would do this. You are coming along and solving that sellers problems - and making some money in the process. IT IS A BUSINESS TRANSACTION that requires RISK on your part, so there BETTER be amply RETURN or you’re wasting your time and worse.
Plus, do you really think (in this example) there’s $50k in profit to be had? There’s not.

Now, what you’re doing is borderline illegal. That’s because “finding people houses” is what Realtors do. Realtors are licensed and all states require a license for doing such things. Now, buying and selling houses YOU OWN OR HAVE AN INTEREST IN is NOT something that requires a license. Get it?

So, once you tie up a property with a contract or purchase a property you may sell this property to anyone you’d like. Yes, you can find out what these people want, make a mental note, and try to go out and find the house and make a few dollars … but you simply CAN’T pick up the phone, talk to complete strangers and tell them you’ll find them a house. It just doesn’t work that way.

HAVE PATIENCE. LEARN THE BUSINESS FIRST BEFORE YOU GET YOURSELF INVOLVED and influence other peoples lives.

THINK BEFORE YOU SPEAK. Here, and in your private life.

LISTEN AND LEARN.

RL


#15

Where did you go? RE Board Inquest? - Posted by Tex Mex

Posted by Tex Mex on December 13, 1998 at 15:42:22:

.