Deals and Last Minute Trips, and Stuff

Friday, January 15, 2010

Hi Everybody!

Long time no post, sorry. icon sad Deals and Last Minute Trips, and Stuff

I’ve been a busy little bee over here these first few weeks of 2010. I managed to get my first deal of the year under contract and closed already. Woohoo! It was another JV deal that I did with a wholesaler buddy of mine. Not a huge payday (3k), but I literally had less than an hour of work into it, so I’ll take it.

I did a phone call with Alex Pardo earlier in the week where I go into detail about how the deal went down. The call is about 45 mins, and we also cover some other topics that I think you will enjoy (building your buyers list, staying motivated when you’re just getting started, etc). If you’d like to listen in on the call, click here. It’s not a sales call, just content. Hope you enjoy!

I’m writing this post from a restaurant in the Atlanta airport, as I’m en route to a last minute business trip to St. Louis where I’ll be meeting up with Charrissa Cawley and checking out her bus tour.  It’s going to be a great weekend, and I’m really excited about it.  I’ll explain in more detail when I get back on Monday.

Hope you guys have a great weekend!  Gotta run- my plane’s about to board. icon smile Deals and Last Minute Trips, and Stuff

Later Alligators!

P.S.
I just created a Flip This Wholesaler fan page on Facebook- I’d love for you to become a fan! icon smile Deals and Last Minute Trips, and Stuff

P.P.S.
If you haven’t listened to the Red Pill yet, I highly recommend doing so. It’s an hour-ish of really awesome motivational content. I’ve listened to it twice already. You do have to opt-in, but it’s worth it. Also, make sure to check out the recommend reading list and affirmations at the bottom of the page once you opt in. Good stuff! Click here to get it.

Could not find style "section"60 Responses to Deals and Last Minute Trips, and Stuff

  1. On January 15, 2010 at 11:56pm, Matt said...

    Hi Steph. Just started reading your blog and I think it’s great. I’m just getting started here in the Philly burbs. I’m getting the Steve Cook Wholesaling course to get totally up to speed. But, I was wondering…what is a JV deal? Thanks and have a nice day.

  2. On January 16, 2010 at 8:03am, Stephani said...

    Hi Matt,

    Thanks for stopping by. JV stands for joint venture- basically just partnering up with another wholesaler to do a deal.

  3. On January 16, 2010 at 1:18pm, Shae said...

    I listened to the Red Pill and it was definitely good stuff, Steph. Have a spectacular time in St. Louis!
    .-= Shae´s last blog ..Real Estate Investing Bloggers to Watch in 2010 =-.

    • On January 17, 2010 at 8:08am, Stephani said...

      Thanks Shae! Having a great time so far. Will give you a ring tomorrow. :)

  4. On January 17, 2010 at 9:31am, Nick@Subject2.com said...

    it’s been a while, I was wondering where you went. Glad to see you back. I hope you’ve got some frequent flying miles added up by now with all the traveling you’re doing.
    .-= Nick@Subject2.com´s last blog ..What Are You Doing for Your Prospects? =-.

    • On January 18, 2010 at 7:06pm, Stephani said...

      What’s up Nick!

      Yeah I was out of town for a few days and had problems getting internet access, which was awesome, esp when I had important emails coming in. Good times!

      I’m back in action now, though. :)

  5. On January 17, 2010 at 10:04am, Melinda said...

    Can’t wait to hear all about your weekend. Also listened to your call with Alex Pardo – good stuff. As a buyer who would be easy to find through the methods you describe, I’ve been amazed that I haven’t been “found” and marketed to by a single wholesaler in the market I’ve been active in. You are inspiring me to think seriously about doing a bit of wholesaling or wholetailing in the market I live in. Thanks so much for your efforts.

    • On January 18, 2010 at 7:09pm, Stephani said...

      Hi Melinda- thanks for stopping by!

      What market are you in? Just curious. :)

      • On January 23, 2010 at 8:08am, Melinda said...

        Hey Steph, it’s a midwest market. If I mention it people there may feel my earlier comments were critical – sure didn’t mean them that way. Everybody has their own marketing methods that work for them. I was just kinda surprised that I hadn’t been marketed to that’s all.

        • On January 23, 2010 at 11:04am, Stephani said...

          Gotcha.

          Could be there just aren’t as many wholesalers there as here. :)

  6. On January 17, 2010 at 9:26pm, JIM GOULD said...

    I SENT A COMMENT BUT NO REPLY–DO I GO TO FACEBOOK TO SEE REPLYS????

    • On January 18, 2010 at 7:08pm, Stephani said...

      NO I WILL REPLY HERE.

      I WAS OUT OF TOWN AND DIDN’T HAVE INTERNET ACCESS.

      • On January 18, 2010 at 7:10pm, JIM GOULD said...

        OK Thank you I will wait for the reply JIM

  7. On January 20, 2010 at 11:37am, Scott Herrera said...

    Hi Steph. Just listened to your video on Patrick Riddle’s blog nice content! I am going to take massive action in wholesaling…looking for the person I can be mentor by.

    What are your thoughts on the Probate niche for wholesaling houses? it seems that these are very motivated sellers for many reasons. I live here in San Francisco so not sure if I should look for wholesale deals here in SF where there are very expensive homes or if I should go outside of the City like Sacramento, any thoughts?

    Thanks again for your informitive blog!

    ScottH

    • On January 20, 2010 at 2:27pm, Stephani said...

      Hi Scott,

      Welcome to the blog!

      I have never done anything with probates, but know of several people who do quite well with them. If you haven’t done so already, check out Scott’s blog: http://www.strugglinginvestor.com/Blog/

      He has been focusing on probates for the last few months, and is starting to get some leads coming in from his marketing.

      I’m not really familiar with the higher priced markets, so I’m probably not going to be the best person to ask. I would think, though, that as long as there are investors buying in your market, that you would be able to wholesale deals to them once you find out what they are looking for…

      Hope that helps,
      Steph

    • On January 24, 2010 at 12:54pm, Scott Costello said...

      Thanks for the mention Steph.

      Scott if you have any questions I’ll be glad to help you as best I can. The response rate to my mailers has been pretty good so far and I’m getting closer and closer to my first deal.
      .-= Scott Costello´s last blog ..A Book About Me?? =-.

  8. On January 20, 2010 at 4:19pm, JIM GOULD said...

    HI STEPH,
    WHICH AVENUES ARE YOU PURSUING FOR “”SELLERS”"
    ” ” ” ” ” ” “”BUYERS”"
    I HAVE TO KEEP THIS SIMPLE BECAUSE IF I READ ALL THE BLOGS-BOOKS-VIDEOS–I MIGHT –ONE DAY– GET STARTED. I WANT TO, NEED TO, CANT WAIT TO, GO GO GO GO
    YOUR VIDEOS ARE THE BEST THE BEST THE BEST AND THAT IS WHERE I GET MOST OF MY INFO—THANKS SOOOO MUCH. JIM

    • On January 20, 2010 at 5:11pm, Stephani said...

      HI JIM, I GO AFTER REOS (BANK OWNED PROPERTIES), AND ALSO JOINT VENTURE WITH OTHER WHOLESALERS. THAT IS HOW I FIND MY DEALS.

      AS FAR AS FINDING BUYERS GOES, HERE IS AN ARTICLE I WROTE ON BIGGER POCKETS THAT EXPLAINS HOW I DO IT: http://www.biggerpockets.com/renewsblog/2009/08/06/easy-ways-build-wholesale-buyers-list/

      THERE ARE ALSO SEVERAL VIDEOS ON THIS SITE WHERE I TALK ABOUT THE DIFFERENT WAYS I FIND BUYERS. IF YOU CLICK ON “CHECK OUT MORE VIDEOS” YOU CAN SCROLL THROUGH ALL OF THEM AND WATCH THE ONES THAT PERTAIN TO WHAT YOU ARE LOOKING FOR.

      STEPH

      • On January 24, 2010 at 12:55pm, Scott Costello said...

        Caps for Caps I see LMAOF
        .-= Scott Costello´s last blog ..A Book About Me?? =-.

        • On January 24, 2010 at 12:57pm, Scott Costello said...

          ok, reading down further I just realized I’m the guy who got the joke 20 minutes to late :/
          .-= Scott Costello´s last blog ..A Book About Me?? =-.

          • On January 24, 2010 at 1:03pm, Stephani said...

            Slow poke. ;)

  9. On January 21, 2010 at 3:43pm, Tamara said...

    Aw man, i missed the call link with Alex :( Is there anyway I could beg you to send me the mp3? *starts fixing some cupcakes for bribery*

    • On January 21, 2010 at 3:47pm, Stephani said...

      Hi Tamara,

      You should be able to click on the link and then download it. I just tried it and it worked…

      I’ll still take the cupcakes, though. Chocolate w cream cheese frosting will be just fine. :)

      • On January 21, 2010 at 6:47pm, Tamara said...

        I dunno, i get the yousendit page when i click the link and then this:
        THE FILE ASSOCIATED WITH THIS LINK HAS EXPIRED..

        A file link is only available for a certain number of days or a limited number of downloads, whichever occurs first. Once an uploaded file expires, it can no longer be downloaded. If you still need the file, please contact the original sender directly.

        To learn more about files that have a longer expiration time, and learn about the YouSendIt service, click here!

        • On January 22, 2010 at 8:21am, Stephani said...

          Sorry about that Tamara, I’ll see if I can get another link…

          • On January 22, 2010 at 4:14pm, Tamara said...

            YAY!!, thanks Steph!!! *prances around like she has to pee while waiting*

        • On January 23, 2010 at 11:26am, Stephani said...

          Hey Tamara, I can’t post the file to the blog at the moment because it says it’s too big. I might be able to email it to you, though, if you don’t mind posting your email address. Let me know and I’ll try to send it over. :)

        • On January 23, 2010 at 11:37am, Stephani said...

          Actually, scratch that- it should be working now. :)

          • On January 25, 2010 at 4:39am, Tamara said...

            Yay! Thanks, Steph! :)

  10. On January 21, 2010 at 6:57pm, JIM GOULD said...

    WHAT IS THE BEST WAY TO LOCATE THE REOs

    • On January 22, 2010 at 8:22am, Stephani said...

      THEY ARE LISTED THROUGH REALTORS ON THE MLS.

  11. On January 22, 2010 at 9:44am, Tim (ME) said...

    HI STEPH,
    JUST SEEING IF YOU’LL REPLY WITH ALL CAPS. HE HE HE

    • On January 22, 2010 at 9:46am, Shae said...

      LOL! Good one, Tim ;-)
      .-= Shae´s last blog ..Did we hit pay dirt? =-.

    • On January 22, 2010 at 9:51am, Stephani said...

      HEHEHEHE! GLAD TO SEE YOU GET MY HUMOR. :) :)

  12. On January 22, 2010 at 9:58am, AnotherSteph said...

    Hey Steph,

    Just curious, how was the trip with Charissa? Also, what’s your take on Freedomsoft? Since you’re also in Tampa, thought you might have the inside track! LOL!
    .-= AnotherSteph´s last blog .. =-.

    • On January 22, 2010 at 11:26am, Stephani said...

      Hey Steph,

      Sorry I haven’t been able to post this week to talk about the trip and Freedomsoft. I’m going to write a post later today…

      In a nutshell- the trip was awesome. :)

      As far as Freedomsoft goes- I think it’s a kick ass product if you already have your business up and running. I’m considering buying it for myself since my methods for keeping track of buyers,/offers/deals, is basically a big fat joke! Not sure if you saw the demo or not, but it was very impressive.

      I’ve been recommending it to people who already have their business rolling, and telling folks who have never done a deal to get that out of the way first, and then worry about automating their business…

      Hope that helps,
      Steph

  13. On January 22, 2010 at 11:38am, JIM GOULD said...

    AH HA–I HAVE BEEN RECOGNIZED “THE CAPS KING” WELL THATS OUTSTANDING !!!! GOOD QUESTION ANOTHERSTEPH, THATS A CHUNK OF CASH FOR FREEDOMSOFT AND THEN EVERY MONTH $$ TOOO. BUT IF IT WOULD FIT IN AT THIS POINT –A BEGINNER– I WOULD STRONGLY CONSIDER IT. WHAT THEY HAVE DONE WOULD SAVE NOT ONLY HRS BUT DAYS AND DAYS TO GET THE THE END RESULT. TRULY A WORK OF ART.

  14. On January 22, 2010 at 11:47am, AnotherSteph said...

    Good advice, thanks so much for your input on Freedomsoft. Looking forward to hearing about your trip!
    .-= AnotherSteph´s last blog .. =-.

  15. On January 22, 2010 at 5:29pm, JIM GOULD said...

    CAN WE WALK THRU THIS (MAY HELP OTHERS TOO) AN AGENT HAS AN REO LISTING-YOU HAVE A BUYER-YOU NEGOTIATE FOR YOUR BUYER WITH THE LISTING AGENT WHO IN TURN BRINGS THE OFFER TO THE BANK -THE BUYER IN THE MEANTIME IS GETTING OR HAS A LOAN IN PLACE-THE DEAL GOES THRU AND YOUR FEE MAY BE EQUIVALENT TO 50% OF THE TOTAL COMMISSION BEING PAID BY THE BANK. – IF YOU ARE NOT AN AGENT YOU SIMPLY MAKE A FEE FOR A SET AMOUNT WHICH YOU PUT IN THE HUD 1 STATEMENT SAY $3500. YES :) !!

    • On January 22, 2010 at 6:29pm, Stephani said...

      1) Make offer on property

      2) Get offer accepted (we’ll use 25k as the accepted price)

      3) Sign a contract to purchase with the bank and give the agent a 1k earnest money deposit

      4) Market for an end buyer at a price above what your contract with the bank is for.

      5) Find an end buyer willing to pay more than 25k (we’ll say 30k in this example).

      6) Sign a separate contract with end buyer selling them the property for 30k. Collect an earnest money deposit from them equal to or greater than what you gave to the agent.

      7) Close on the sale between you and the bank for 25k, and then immediately sell the same house to your end buyer for 30k. You keep the difference.

      That’s as simple as I know how to explain it….

    • On January 22, 2010 at 6:34pm, Stephani said...

      One more thing- your buyer needs to be paying with cash or hard money, or using a lender who does not require that the seller (you) be on title for a specified period of time. You can’t sell to buyers who are getting conventional financing when you are wholesaling REO properties.

  16. On January 22, 2010 at 7:11pm, JIM GOULD said...

    WHERE ARE THE “DANGER” PARTS… IF THE BANK ACCEPTS THE OFFER AND YOU CANT FIND AN END BUYER… (YOUR STUCK) ??– WHEN YOU DEAL WITH BANK REOs CAN YOU PUT IN ANY “WEASEL CLAUSES” SO YOU CAN RUN RUN RUN FROM THE DEAL. ALSO, WHO WILL QUALIFY WITH THE BANK AND WHEN. I WILL KEEP IT SHORT SO AS NOT TO CONFUSE THINGS (ANY MORE THAN I AM ALREADY)

    • On January 23, 2010 at 11:09am, Stephani said...

      You can add whatever contingencies you want to your offer. The more you add, however, the weaker your offer looks to the bank.

      Not sure what your last question is referring to.

  17. On January 22, 2010 at 8:03pm, JIM GOULD said...

    HOW ARE THE HARD MONEY GUYS PAID BACK

    • On January 23, 2010 at 7:58am, Shae said...

      Jim, no offense man but you should really pick up Steph’s ebook or spend some time reading through the forums at some of the real estate investor communities. You have to educate yourself and it can be done at little to no cost. It’s not fair or reasonable to expect Steph to continue to answer all of your questions here on her blog. Good luck to you, Jim.

    • On January 23, 2010 at 11:05am, Stephani said...

      Not sure what you mean. Hard money gets paid back when the house sells or when you refinance into another loan.

  18. On January 23, 2010 at 2:08pm, JIM GOULD said...

    HOW LONG WILL THE HML PEOPLE ALLOW YOU TO CARRY THE NOTE. AS I UNDERSTAND IT YOU JUST PAY A FEE. WHAT IF YOU CAN NOT SELL THE HOME FOR 6 MONTHS OR LONGER.

    • On January 24, 2010 at 10:06am, Stephani said...

      You don’t need hard money if you’re wholesaling. If you’re talking about transactional funding, that is paid off as soon as you sell the property to your end buyer. They won’t fund the deal at all unless you have an end buyer lined up to purchase the property immediately after you buy it from the bank. Costs are typically around $2500.

  19. On January 25, 2010 at 9:52am, Tony Zamberlin said...

    Steph,
    I’m about to start hitting these reos up here in sc again and have someone to put up the earnest money on deals as well as an attorney that does simeltaneous closings. do u happen to have a pof i could use if i pay u 10% of my profits or know anyone that does?? thanks

    • On January 25, 2010 at 3:05pm, Stephani said...

      I use a bank statement from a friend/private lender.

      You can get a letter from any of the transactional funding sites- most banks will accept them. If that doesn’t work, why not ask the friend who is putting up the earnest money..

  20. On January 27, 2010 at 12:23pm, Tony Zamberlin said...

    Steph,
    i finally got someone to put up a letter for pof on all deals now!!! im so excited ok im focusing on price drops and stuff that falls out of escrow. what about new listing and stuff thats been on market for 6 months or more ?? wat do u want me to focus on??

    • On January 28, 2010 at 9:02am, Stephani said...

      I go after the stuff that my buyers are looking for. If the price is close, I make an offer.

  21. On January 27, 2010 at 12:45pm, Tony Zamberlin said...

    hey steph,
    how is the toastmasters experience going for ya?? im looking at joining my local one. im already a talker, just not fun in front of lots of people. he he

    • On January 28, 2010 at 9:03am, Stephani said...

      It’s going well so far. Still haven’t given a speech yet, though.

  22. On January 28, 2010 at 9:15am, Tony Zamberlin said...

    k great! im gonna join soon…..
    How long u been on with them? u must be
    like me kinda scared as hell in front of people
    with a speech. lol

  23. On January 28, 2010 at 9:15am, Tony Zamberlin said...

    Steph,
    what do u mean by close? u mean like 20% below asking or i mean can u make lowball like half of asking?

    • On January 29, 2010 at 9:24am, Stephani said...

      You can make whatever offer you want to. If it’s a new listing or if it doesn’t need much work they are less likely to discount. The longer they sit, the more flexible the bank gets.

      • On January 29, 2010 at 10:26pm, Jason said...

        Hey steph,

        I’ve been having some great luck in this business and now teaching two students of mine who want to learn the business too! I’ve been attending REI meetings and networking like a mad man!(thanks to my speech alot investors in Southern California know you!!) I’m doing real good thanks to you. I do have a question though, Im working in california(not the best market in the world) but I need to get these prices down. Any negiotiating tips you can lend me?

        • On January 31, 2010 at 7:15pm, Stephani said...

          Hey Jason,

          Sorry for taking so long to respond- I somehow missed your comment in my emails…

          Great to hear you are doing so well over there, and thanks for spreading the word about my blog- I appreciate it!

          As far as getting the prices down- there’s really not much you can do but make offers that make sense for you. If they get rejected the first time- keep after them, and keep making your offers every 3-4 weeks until they accept or until someone else gets it.

          It also helps to offer all cash, large deposits, and fast closings. Other than that- you’re pretty much at the mercy of the banks.

          Keep up the great work, and thanks for stopping by!
          :)

  24. On January 29, 2010 at 1:55pm, JIM GOULD said...

    OMG–STEPH–YOU ARE ADDICTING IN A WONDERFUL WAY–I’M LIKE A LITTLE PUPPY WHEN I SEE YOU HAVE MADE A COMMENT – CANT WAIT TO SEE WHAT YOU SAY. FINALLY !!! SOMEONE WHO REALLY HELPS PEOPLE – YOU COULD NEVER BE A POLITICIAN. YOUR THE BEES KNEES-THANKS, JIM