License Type: Master Resell Rights 
File Size: 6,148 KB
File Type: ZIP
SKU: 52297 
Shipping: Online Download
Ebook Sample Content Preview:
Chapter 7: The Contract
Synopsis
It's time for the contract.
Be Cautious
It's great that you now have sellers and have a network of investors to sell it to. At this point however, if you can't go thru with the deal you simply tell another investor about the deal, at best you are able to expect a small referral fee.
In negotiating you always want the other individual to name their terms first. As a matter of fact, most successful negotiating simply results in meeting the other person's terms. You would be surprised how this simple stuff works. Say you had a motivated seller who had a property valued approximately $100,000. If you came in slickly offered $90,000 for it they often feel like you're offering what is best for you and may feel taken by you. This isn't a win-win situation. If you ask that same individual how much they want, they may tell you $75,000 after some calculation. When you write a check for the full $75,000 they actually feel more fulfilled even though they're getting $15,000 less.
Occasionally it will be a lot less than you needed to pay for it and you'll make big returns while leaving the other individual happy too. Besides, the really motivated sellers will almost always respond with "just give me what I owe" when you negotiate a buy price. If they say anything other than that, ask the seller "is that truly the best that you can do?"
If the seller needs 75000 offer them their amount plus enough to have first and last to move in to new rental property. This should be something like $77,000-79,000 instead. You'll make a lot more friends this way than price haggling will ever get you. Let them tell you the deal and then merely fulfill that where it's a match for you too.
Its time to negotiate the buy. You'll make what is known as a void-able contract. Literally, it's a contract you are able to begin now and back away from later without it costing you anything. Something magical comes in when you get your offer accepted. Lawfully, the seller can't accept any other purchase offer as long as yours is in place. You'll control the property without really yet owning it. All you'll need to complete this is the standard real estate purchase contract in your state or province with a few key clauses added.
You're only going thru with your deal if the investor goes through with theirs. At this point, you may realize that any and all risks perceived in this type of real property are imagined. You're only buying something that's already sold someone else. The only thing you are able to lose is any money you've put into advertising and if you used free classified sites, you didn't even lose that. You can't possibly get stuck with the full purchase price of a home you can't afford because you're going to void your contract before that happens. Check with your own state on how to draw up the contract and record it.
Chapter 8: Time To Cash In
Synopsis
Time to get paid.
The Money
Legally the only place you own this property is in the law office or a title company. This will be what is called a "doublclose." Just a little warning for you - Most real estate brokers and even lawyers have never heard of this and they might even tell you it's illegal. They merely don't deal with enough originative investors like you. That statement is unequivocally false!
Whether the lawyer or the title company handles the closing depends upon where you live so head down to the investor club to discover which you'll need in your area. Get an exact company who handles this often this so you won't have to look around.
When you close you get paid and as people get to know you, you are able to ask for your assignment before the property even closes depending upon just how large it is.
Don't forget to pay your referals like you said you would. Even if your deal only brought forth $5000, giving up$2000 will bring you at least twice the number of deals with this maneuver.
Don't be cheap. Share the riches on your way up and it'll only serve to draw in more to you. Do this with integrity at every step. Meet your seller's needs, your investor's needs, your referral's needs and your needs will be more than satisfied.
Even greater still, you didn't need to prove you had credit or any more capital than $10. You're more than just a referral man too because you really negotiated your own deal. You get paid for your power to negotiate.
You're creating a win win. Your seller will profit by not having their credit ruined. Your investor will profit by generating a profit. They will benefit by in most cases, avoiding a foreclosure. And you? Well you'll get paid also.
- File Size:6,148 KB
- License: Master Resell Rights
- Category:Ebooks
- Tags:2014 Ebooks Master Resale Rights
