Posted by Romitobaby on September 13, 2004 at 22:06:12:
I have found the number of rehabbers/flippers have increased dramatically since the stock market took a dive. They buy them, fix them up, and then can’t get rid of them. I just sit back and watch. Their holding costs must be killing them!
Short Sales not paying off any more? - Posted by Joe (Oh)
Posted by Joe (Oh) on September 13, 2004 at 17:58:06:
I been talking to my partner, who has been doing shortsales/owner financing for the past 8 years, and he says the best short sale he has EVER gotten was a house worth 85k and he got it for 65k. AND he had to fight for it. What the hell? I hear all the time on this site and this board that people are making killings on short sales with at least a 20k profit each time. Is there a secret to doing them? More than just submitting an offer along with a standard short sale package to the lender?
What gives? Do Tell…
short sales are difficult - Posted by luke-NC
Posted by luke-NC on September 14, 2004 at 13:58:19:
short sales are very difficult to pull off and make any serious money, in my opinion…
I can’t tell you how many times i have offered the lender MORE than they would get by reposessing the house ane listing it…with them not caring and foreclosing anyway unless i took their outrageously high offer.
AND…they sell them for less than my offer as an REO, further compounding their loss…WEIRD…
I have had 2 very good short sales, and have attempted well over 60 of them just this year.
the rest were dropped since the lender would go much further than 85-90% of the value…
lenders don’t budge much
the lender hates for the investor to make money off of the their loss…even if they lose money anyway…
not a good thing to concentrate on in this biz…
i’ll still try them, but they’re not my main thing anymore…
just my thoughts.
Re: Short Sales not paying off any more? - Posted by WAREIA
Posted by WAREIA on September 13, 2004 at 19:52:58:
I’d say getting a lender to accept $65K for a $85K property is pretty good. If my math is correct that is $20,000?
I probably only get 1 in 5 offers accepted. I only make offers that work for me. If my offer is not accepted so what, I go on to the next one.
You shouldn’t live by the Short Sale. Take a few properties “subject to”. Buy a fixer or two here and there. If you limit yourself to just one area you could be limiting your income. If you are not profiecient in an area of investing then partner with someone that is and have them teach you while you find deals. As you learn how to put togather offers on Short Sales your partner can put togather other deals.
I have a Short Sale partner. I have a Subjet To partner. I have a Cash/Credit Partner. I met them all at my local investors club. (hint hint)
Re: Short Sales not paying off any more? - Posted by Joe (Oh)
Posted by Joe (Oh) on September 13, 2004 at 21:54:24:
My partner doesn’t live just by the short sale. He also does sub2’s and fixer’s. he’s been doing it for 8 years, and contracting for 14 years. needless to say, lots-o-experience. And within that 8 years, that 20k profit shortsale was his highest paying shortsale. I’m just trying to find out if thats the norm now because all these stockmarket turned RE investors are paying near full price for junker REO’s and the banks would just rather wait.
Anyone shed some light on this?