Too Many Properties...Not Enough Buyers - Posted by Rik NJ

Posted by Mike o on May 25, 2000 at 22:47:15:

Hey Rik,

Where in NJ are you located ? In Jersey City we don’t have enough houses for all the buyers. Also, how do you approach your pre-foreclosure prospects?

Mike O

Too Many Properties…Not Enough Buyers - Posted by Rik NJ

Posted by Rik NJ on May 25, 2000 at 22:03:10:

I have been very successful in locating homes that are in pre-foreclosure and are prime for flipping. I?ve found at least 3-4 homes per month, each with a potential profit of $15K - $30K. I?ve been having a very hard time finding buyers for these properties.

For example, I found a 4 bedroom Cape Cod for $150K in a neighborhood where the same type house is selling for about $200K. I have been trying to market this house for $180K for several weeks now with limited interest from potential buyers.

Does anyone have any suggestions for moving houses quickly?


Rik NJ

Re: Too Many Properties…Not Enough Buyers - Posted by Laure

Posted by Laure on May 27, 2000 at 06:44:09:

I am offering owner financing on all the houses I sell. I am finding that so many people have been turned down by a bank or credit union that their self esteem is in the toilet. They NEVER dicker on price. One buyer I have only has to wait 2 months to get final approval. And he thought he’d NEVER own his own home. We are going in for final approval at the end of June. Over and over again, I hear… the bank said no, the credit union said no. I ask right up front, “why do you think you have bad credit?” And you would be surprised at what I hear… “I filed BK 5 years ag, and just know I can’t get a loan” “I was late and in real trouble 3 years ago, so I know I can’t buy a house.” Some banks in my area have shot down just a ton of buyers, that could easily get financed… they just don’t know it. And I’m not talking crummy houses, with small payments. I’m talking JOe Average house buyer with middle of the road incomes and mtg. payments.

Laure :slight_smile:

Re: Too Many Properties…Not Enough Buyers - Posted by GIO

Posted by GIO on May 26, 2000 at 17:57:55:

you say sev’l weeeks of marketing that may only be 3 wks which is not that long but refine your techniques -I’M looking to get some props in NJ, i buy all cash also, let me know the numbers. good luck
have buyers lined up - but if a prop is not in move in condition then it may be difficult to sell fast, consider some seller financing

It has been said that any property that doesn’t sell in 90 days is overpriced… - Posted by David

Posted by David on May 26, 2000 at 14:09:41:

if properly advertised. I don’t know if that is absolutely true, but it seems to be many times.

Condition of home? - Posted by Eric (IL)

Posted by Eric (IL) on May 26, 2000 at 06:50:38:

Are you selling these houses retail or to investors? If it’s to investors who sell retail, then you are marking them up way too much. If flipping to a fixup-and-sell-retail investor, you really shouldn’t be marking it up that much. After any repairs and holding costs, and investor couldn’t make any money off this deal.

Since I doubt this is the case, my only other question is the condition of the home. If you are trying to sell it to a retail buyer, then the house needs to be in working order (need no repairs) to sell at that price. If this is the case, you got me. It seems like any buyer would have a bargain.

Re: Too Many Properties…Not Enough Buyers - Posted by JohnB_NJ

Posted by JohnB_NJ on May 25, 2000 at 23:24:23:

Hey Rik,

Email me if you have any deals in southern jersey, especially Ocean county. Of course I can close 'em quick with cash.