Posted by Sandy FL on January 08, 1999 at 05:56:17:
By the way, I think Steve (since I used him as an example) uses one realtor. He does cultivate a working relationship with one great realtor and submits all his MLS offers through her (like a buyers agent). I have heard this method is the most successful. Not a herd of realtors. I can see why certain folks might have taken umbrage at that remark. Oops there is a big word again.
SandyFL
P.S. I am looking for that special realtor I can work with in the Ft Lauderdale-Miami Area. If you are the one, please email me and lets get busy.
Posted by DPedersen on January 07, 1999 at 18:00:01:
After doing our first flip, my wife proceeded to āexpanding our horizonsā to find more houses. Weāve done as advised, made flyers, put an ad in the paper, and contacted Realtors. The first two she was able to get a hold of seemed to be very interested in working with us and we have gotten a pretty good selection of houses as well as area comps. (All in about two days.)
Weāve done several drive-bys and need to bid on properties. What is the formal way of submitting an offer on any property? There are about 30 properties on the MLS listing she sent us, would it be absurd to just offer (about) 50% off comp price for all of those houses? I donāt want to offend the realtor because she seems to be a good source.
Posted by LHoffman on January 08, 1999 at 07:56:30:
ā¦ looking at junkers. I mean the UGLY houses. These types of homes have termites, cat urine, the 2nd floor bathroom in the 1st floor living room. You know UGLY, not the ones that need cosmetic repairs! If your were looking at these types of homes. This 50% value would be more in line, less your profit, less your rehab and holding cost. However, This is another topic.
Now, if you submit these low offers on nice, pretty homes. Then certainly a Realtor would get upset!!! The objective of this game is to find āmotivated sellersā. Believe me, it took me a while to figure this out. I would spend my time on people who werenāt motivated. Have your Realtor pull listing on vacant house, owner financing, lease options, etcā¦ Now when you get these listing, weed those down even further. Go out and look at the property, figure out what the seller needs? and wants? are. You will have a much better chance of getting your offers accepted.
Posted by Sandy FL on January 08, 1999 at 05:42:04:
I am a litle baffled by Leeās response. This is just the kind of realtor you do not want to work with. (āBlackballedā???)
HOWEVER, if you have interviewed and discussed in detail (IN ADVANCE) with your realtor what you are doing, that you plan to make alot of low ball offers, and they are not afraid to be agggressive, why not submit 10, 20 offers at a time. Its not unheard of. Steve Cook does alot of flips and he has a realtor helping him. Naturally these low ball offers tend to work best on junkers.
Hopefully you are not submitting 30 lowball offers at a time on pretty houses, regardless of their loan balance, ā¦ THEN I could see why Lee would express frustration. But I think for any frustrated realtors who are here reading this, wouldnāt it be more productive to tell us, what you would recommend?? I think that is what DPeterson is asking for here ā¦ advice.
No Offense, guys, there are all kind of realtors and all kinds of investors with different goals.
Read your second paragraph again.
Why do you NEED to make bid on properties?
For the Realtor? ā¦ For goodness sake man,
(most of these properties are owner occupied)
these homeowners are looking for (near) market price.
The FORMAL WAY of submitting an offer on a propertyā¦
If you came to me and submitted 30 offersā¦
at 1/2 price, First, Iād submit them because of state
law, Second, I WOULD BLACKBALL YOU, I would warn
every Realtor I know, (300 + or -) to stay away from
you, (because of your logic).
You areā¦ Never mind, read the rest of your paragraph.
And you donāt want to offend the Realtor, because
āSHEā is a āGood Sourceā.
If you go out and make offers, at least be up front
with people.
Iāve tried to work with many, many realtors, without a
single success. Comedy of errors. The reasons are
complicated, but you can write me for some details.
I finally figured out itās easier to get an R.E. license yourself and find your own properties (while still working standard owner-occupied homes and making commissions).
Re: Working with Realtorsā¦ - Posted by phil fernandez
Posted by phil fernandez on January 07, 1999 at 18:49:03:
You will probably offend most realtors, but so what. You should not worry about hurting the realtors feelings or insulting them. You are in this business to make a profit pure and simple.
I never work with realtors because I offer 50% of FMV. Also you will very seldom get a creative deal through the realtor. They do not understand creative financing.
Your best bets to buy property at deep discounts is to contact bank REO departments. I know. I know that some of these departments list their REOās with realtors. Works for me.
Oops there is a big word again.