Posted by Redline on June 16, 2000 at 17:00:44:
I’m certainly no expert, but here are my thoughts:
“For example, there is a great house that is almost new and is being foreclosed on (builder is being foreclosed on) This house needs minor cosmetics and carpet. It’s only 2 years old. They are asking $94,900 and it has been on the market for months.”
– If this house only needs cosmetics and is such a great deal, why is it sitting for months? That would make me wonder. Around here, a house like that must’ve had 10 offers on it already. Now, I’m not saying you can’t do a deal here and make money - but be skeptical.
“Second, I decided to search MLS for L/O’s or owner finance deals. Everyone of them is requiring a large down payment and crazy terms. I would buy one of those as a rental house. But, since I have no money then there’s no deal.”
– I own one of Joe Kaisers courses and one of my favorite quotes from him on this board was something to the effect of: You don’t want to find people who have it all figured out already. IOW, don’t look for people who are offering L/O’s and carry back’s per se, because there’s a good possibility these are savvy investors who are NOT going to leave any money on the table for you. Look for someone who’s selling who’s desperate and offer a L/O or carryback as your solution - that’s how you make it work. REMEMBER: No motivation on their part means no deal for you!
As far as general advice on how to make it all come together, that I can’t give you. For various reasons I am not where I want to be in this biz either (but I know exactly why). All I can say is: Keep plugging away, believe in yourself and keep frequenting this site. Oh yeah, and don’t listen to all the idiots you’ll meet who say it can’t be done.