MY TOP KEY TO SUCCESS WITH THIS...Having the AUDACITY to make A LOT of OFFENSIVE OFFERS, with tact to soften the blow
(20) per week = 1040 offer @ 1% acceptance = 10 deals @ $20k profit = $200k per year
THE MATH:
$175 - asking
$200 - remodeled comp
$100 - reality comp
$100 - offer to contract
$125 - sell contract position to flipper
$30 - repairs
$225 - asking
$200 - sell
$45 - flipper profits
$25 - my profit
•Find Flippers/Investors - Find at least 3 buyers, to have in your pocket.
•Find Properties - Look for properties that need repair and have been listed for awhile on wwwrealtorcom
•Run repairs formula - (FY + BY) + (BA + K) + (WL + FL) + (WD + MS) = Investment
•Request proof of funds - wwwbesttransactionalfundscom
•Make offers 10-20 offers per week - Dont worry about the judgments, make offensive offers consistently, don't wait for response just keep throwing them out...it'll sting but you can always walk away
•Get property "under signed contract" (standard purchase and sell, one sheet document) can't sell the house...don't own the house, but can sell position on contract.
•Best transaction makes the loan at 1.75% (10k loan = 1,750 profit for them - They wire the money to the title company,
•Text buyers list "hey I got this property under contract with proof of funds, do you want to buy my place on the contract for $125k? If not im backing out in 3 days."
•Sign a second document - (assignment of contract) Saying i'm giving The Flipper, the rights to show up and purchase instead of me
•DOC 1: purchase and sell agreement, saying im going to buy for $100k goes to Title Company
•DOC 2: assignment contract, saying I sold my position to The Flipper for $125 goes to the Title Company
•The Title Company does all the paper work and gives the seller the $100k, that I agreed to give them. Then wires me the remaining $25k.
•The Seller shows up to 1 closing, with The Flipper who is buying my contract position and leaves happy with $100k
•The Flipper shows up with $125k (their own funds?) and gives it to the title company, to fulfill the contract between us and leaves happy with the property. Then invests $30k fixes it up and sells it for $200k
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Aarons course Simplify4success.com