need help with possible first deal!!!!! - Posted by tampa steph

Posted by Neill on April 07, 2002 at 13:47:35:

Chad - VERY good point! Always get comps. Appraisals can be very misleading.

need help with possible first deal!!! - Posted by tampa steph

Posted by tampa steph on April 06, 2002 at 14:47:32:

I need advice quick!!! Found a motivated seller (He just moved into a new house, and the buyer he had for his old one backed out at the last minute). He now is making payments on both and needs to sell asap. House was appraised at $172,000, he owes $117,000, and is asking $144,000. I just went to look at the house, and it is in move in condition in a great neighborhood. I have never even made an offer, so I am unsure of what to do next!! I plan to flip this to a cash investor, but don’t know if this is a good enough deal. What should I do? Thank you in advance :slight_smile:

Re: need help with possible first deal!!! - Posted by Shawn Dostie

Posted by Shawn Dostie on April 06, 2002 at 22:36:29:

Just my 2 cents… See how motivated he is? Ask if, since he owes $117k on it, if he would take that. Maybe you’ll get really lucky. Find his bottom dollar and best terms.

Good Luck,
Shawn

Re: need help with possible first deal!!! - Posted by Chad (OH)

Posted by Chad (OH) on April 06, 2002 at 21:29:27:

Ok, it is appraised at $172, but what is the FMV? Be sure you get comps. A friend of mine who is an investor has a run down brick duplex he could hardly get rid of at $35,000 that is appraised at $82,000.

Good luck,

Chad

Re: need help with possible first deal!!! - Posted by Jim FL

Posted by Jim FL on April 06, 2002 at 19:56:11:

Tampa Steph,
Are you in Tampa Florida?
Just asking because I am not far from there.
Anyway, this sounds like a GREAT person to pitch a creative offer to.
L/O, agreement for deed, seller financed 100%, subject to with the seller taking a second for some of the equity, or not.
The sellers pain is that he is making two payments, right?
Relieve that pain by taking it and passing that on to someone else for a profit.
If you want some help, feel free to e-mail me, as I might be local to you.
Take care and good luck,
Jim FL

Re: need help with possible first deal!!! - Posted by Gil

Posted by Gil on April 06, 2002 at 16:19:33:

Hi Steph,

I am a beginner also, and am starting out, but have been researching and looking for some time. It sounds like quite a deal. Looks like you are getting in @ 81% LTV of appraised value. That is a good deal.

Have you actually checked the comps in the area lately? When was it appraised? Why did the person back out last minute? (Did they find something wrong?)

If you want to make the offer, go to http://www.dealmakerscafe.com/forms.html and get the AGREEMENT TO HOLD PROPERTY form and tie it up. That should give you time to find an investor possibly.

Now about your plans. Do you have good credit? FICO 700+? Good income? If so, I would probably acquire it and ‘wrap it’ or ‘lease-option’ it out. Contact Sean Minor @ investorloans.com and he should be able to help you acquire the property with no money out of pocket if you have good credit with a loan. I am not affiliated w/ them in any way. Otherwise, you need to find an investor.

I would possibly be interested in entering in a limited partnership in which you could use my credit/income to purchase if this deal checks out? I am in california though, and it would be more difficult.

Good job on finding the lead. Sounds like you found one!!!

Again, take all this for what it is worth, I am a novice also, I just hate when my posts go unanswered.

Best Regards,

Gil