Hey everybody,

Ive been putting alot of work in Since getting the book a month ago, ive attempted to put a few offers in, but agents never responded back and the agents ive been trying to get on my team were not liking my strategy SO.

I went straight to the listing agent and found this house Listed at 144,350. The house has been on the market for about two months with no offers??? and the pictures look great. I called the agent reppin the house, and after asking a few questions, i had found out it was a death in the family and the onwer wanted to relocate.

I went to look at the house and boy was it too good to be true. rooms were a good size carpet just needs to be updated, paint is decent but counters in kitchen are new apliances not even a year old. AND the best part they built another room. that isnt listed in the MLS. so its actually a 3/2 not a 2/2.

After looking at the house I told her she would hear an offer from us later that day. I used a LOI that I learned from this site(thanks dg fam) and I started with 119,990. Today she called back and countered with 125,000. My partner and I was happy being that 125 was our Max, so we went to meet the agent for lunch and discussed the final decisions...

to fasten the story, we countered again to 123,000. and they accepted. The house last sold for 117,000 a yr ago, and in 06' it sold for 335,000. So i figured it would work out.

We sign papers tomorrow, but this is my only concern. I would like to know what the house is appraised for before closing. I've heard of an Aprasial Contingency but unsure of how to use it. im sure the house is worth more than 123,000 but i would still like to know.

All in All, I gotta say that this was onyl possible with all the help ive recieved from everyone here. I had no idea what escrow was before buying deans book a month ago. and here I am today Talking to a realtor with the confidence and knowledge to make a deal happen.


Indiana joe
wonderwoman and super girl lol
dg admin
and count less others....


impossible is nothing!

congtats!!!!!!! Good luck.

congrats!!!!!!! Good luck.

thanks man

thanks man


impossible is nothing!

Hey Larry

Wow - sounds like you really found a great deal. I personally have not heard of an appraisal clause, but of an inspection clause. I'm sure you will get other feedback about that here. If you didnt already - run the comps for the neighborhood - thats always a good indicator of value too. Use the Total View Tool from DG, zillow, electronic, or even better -the listing realtor you are working with. They can do it in a flash. But unless you find something major wrong in your inspection sounds like you cant loose! Good luck and keep us posted!

re: appraisal clause

Hi Larry!

Congratulations! What a great deal and great job on taking action and making it happen!

Before you sign a contact, you can essentially add any addendum you wish to the contract, though that doesn't mean the other party will sign off on those addendums. Just like the price, everything is negotiable. My past experience has been that if I'm using a loan (mortgage) to purchase a home there is usually standard in the contract a clause that the sale is contingent upon being able to secure a loan for the property. If the property doesn't appraise for the sale amount and the bank won't give you the loan amount you need because of that, then that means you haven't been able to get the loan and that is an exit strategy from the contract. In turn, any money you may have put down should be returned to you without penalty. If the contract doesn't indicate or say any of that, then you can write it in as an addendum and see if the seller agrees to it.

Now, a couple more things. Since you went straight to the listing agent keep in mind that the agent is actually working on behalf of the seller and will first and foremost "watch out" and "take care" of the seller, not you. Be careful of the things you say to the agent...don't disclose too much that the agent doesn't need to know as the agent will use it to the seller's advantage (in other words, a saying my mother use to say "don't show your underwear in public!"). The real estate agent's main goal is to get the deal done so that he or she can get paid and for the biggest commmission possible -- which means, she's not working to make you the best deal, that's up to you.

Also, even though it's long and seems complicated READ the entire contract before signing it. Don't let ANYONE hurry you or tell you "this is just a standard contract; no need for you to read the whole thing." WRONG! This is a legal document that you'll be signing and obligated to. You must be sure you understand it and not be surprised by anything. It's best if you can have a real estate attorney look it over first and advice you---they are worth the money every time--but if that's not possible, ask as many questions you need to ask and take as much time as you need doing this until you are completely satisfied with the answers. In my opinion, nothing is ever standard. I've written things into contracts that aren't standard or I've crossed out some standard words and sentences because it didn't favor me.

All my best to you. It sounds like you have a really great property and I believe everything will go smoothly for you! And enjoy the process because it's a lot of fun too!

Nancy D.


Help feed the hungry -

This is true for RE..."The best way to learn this business is to do this business." - John Addision, co-chief executive officer, Primerica

Aerialist's Journal - Because Life Is a Circus

Wow thats great

I sure hope all works out well for you. If all is good with the inspection and you close on this property with no problems I wish you luck in creating a positive cash flow for you and you family to enjoy. Best of luck!

Nice job !!!

Very glad to read of your first deal !! Let the adventure begin..



Fantastic job! You wasted no time, thats what I like to see!! See how far (and quickly in this case!) determination can get you? Laura and Nancy have provided you with some excellent direction. It sounds like you're doing great tho!

I can't wait to hear how everything plays out! Be sure to keep us updated on your progress with this deal and continuing on to many more! Good luck! Smiling
-Mike Hutchins


Congratulations on taking action and getting your first deal. Sometimes the first deal can be the hardfest one. It is true that dreams can become a reality with effort and consistent hard work. It sounds like you are well on your way! Please keep us posted on your progress and continued success on all your real estate deals! Way to go! Believe and Achieve! Smiling - Joe


YOU TUBE CHANNEL - Follow me on my You Tube Channel at Joe Jurek Real Estate Investing Adventures

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Joe Jurek CPA


Job well done whit that attitude and action you will be on the top of the hill really soon.One ? where did you go to get a listing agent and how did you whent about asking him/her to give you the info on the propertie.Thanks olot and best of luck to you.

1st one down

I've often told people that thet 1st deal was the hardest to close. Now that you've done're on your way...much luck and success in the future.



Glad to see you taking action even without a REA on your team. Keep those deals coming!


Amazing how a little knowlegde can make so much difference in our lifes.
Keep it going.


"Don't compare your life with others. You have no idea what you are getting into."
"No compares tu vida con otros. No tienes ni idea de lo que se trata tu travesía."


Nancy D certainly did a great job explaining the details. Larry, you said you will do it and you did. You acted on your plans and acquired results. For this you must be commended. Lubertha and I celebrate this success venture with you. May you continue this journey to your next deal. God Bless.



"You can never get to the top, if you are not willing to climb. Do not look at the difficulty of the climb, only anticipate the view from the top."
"Can't even walk without you holding my hand." (Song)
"Is anything too hard for the Lord ..." Genesis 19:14
"In all things, wait on the Lord."
"Think not of your own deliverance, but trust in God who will give in abundance."
"When you are down to nothing, God is up to something." Unknown
"Our lives begin to end, the day we become silent about those things that really matters." Dr. Martin Luther King Jr.

First Offer

Just wanted to congrat on your first deal and future ones! I just finished reading and looking...praying its as good as yours!!!!!! It feels scary but can't wait!!!!! see ya around.


"No matter who you are it's the simple things in life that lead you to believe that you can achieve anything"...

Good Job

Congrats on your deal like Nancy said you can add the addendum house must appraise for at least the agreed upon amount of sale. It is just another exit clause for you if it doesn't. Esp if you are in an area that your not able to find a fmv on total view, zillow or eappraisal. If you are financing it the bank u are using will require an appraisal if you are paying cash strike a deal with an appraiser to add to your team. IE your going to look at X number of houses a month and put in X offers and would like him to give you a general appraised value for X amount on each house these guys are making any money either if houses aren't saling so if you can offer him a steady income he maybe willing to discount appraisals if he knows he's going to get a certain amount from you each month. Just a thought.
Continued success


My topics on the front page??? Yayyyyyyy!!!

any way guys, So we just signed the papers, Altho we had to take a lil higher price to not pay closing, we settled at 126,000, As far as the aprasial contingent we get an apprasial in five days so around wensday i'll let you know. and if we are unsatisfied we can back out of the deal before 17 days.

Alot of people have been telling me that the banks wont let us take out the equity right away, which is kind of a bumer but we'll still ask anyway. if not we'll rent ona 6 month period, with a chance to purchase at 160,000 depending on the amount apprasied for.

we'd like to buy and hold, and pull equity out when ever a good deal come out so we can pay cash but, its all in good time, plus it just feels good to get a deal done...i mean REAL GOOD. Ive been on here twice a day sometimes no ones on and i just read every topic. and with deans books and some action thing happen.

thanks again guys. you rock. i couldnt have done it without you.

i'll keep you posted as time goes on....

TO any one whos just started......IF I CAN DO IT......ANYONE CAN.


impossible is nothing!

Congrats!! Larryshouses on a

Congrats!! Larryshouses on a job well done.



So glad to read your deals moving forward. Very exciting! As far as pulling out money - I dont know where you are located or if rules are universal, but my lender will allow me to pull out only 70% of my purchase price. That didnt allow me to hold either - so I am selling this one and plan on leveraging myself for buy and hold on the next. But however you work it you have a winning situation so congrats and enjoy the ride! Really happy for you!

Keep negotiating!

Hey Larry,

I hope you got the stuff I sent you through PM. Keep up the good work on negotiating, and if you don't feel comfortable with price, negotiate some more! The worse thing the bank could say is "No." Remember if the appraisal comes in at your buying price you can still try to negotiate with the bank and tell them that you need to "fix" a few things and knock a little more money off the price. Keep us posted on your appraisal and good luck Wednesday!

Press on...

Hey drew. Ive actually been

Hey drew.

Ive actually been lucky to partner up with someone and were going in on everything together.

He's pre appoved for 160,000.
my exit stategy is i have seventeen days to back out after signing, with a five day appraisal as well. just in-case the house isnt worth what we bought it for.

as well as a re-inspection clause. so five days before the close of escrow if we re-inspect the house and it wasnt as before we can back out.

if its appraised for a lot more than we exspect than we'll flip it if not were going to rent it out.

thanks drew.


impossible is nothing!


I bought Deans book well over a year ago and I have been scared to pull the trigger. I finally put a bid on a 4bdrm 2 bath hud home and won this bid. The price was 92.5k. It needs about 70k of work but when all is said and done it will list for around $290k which is a potiential profit of 127.5k. Not bad for my first house. I may even move into it and take the equity out to buy another one. (scared to do that also)I know their is a lot of money in realestate but its so hard to pull the trigger for fear of losing what you already have. I guess sometimes you just have to take a chance to better your life, although I didnt fully complete Deans book part of the book, Deans blogs, and reading these posts helped me take the step. Thanks to all!!!!


getting started

Did You join the Academy for additional help? I got the book with hopes of being armed with enough info and how to to get me going. Was it enough for you?
I am very motivated to get started but taking the 1st step is a little daunting. What was your 1st move?


tho the books alone was enough for me.

i would recomend the acadamy to anyone...i just didnt have the money to start..???

if i could get a deal done i would gladly pay to get the acadamy...

just follow the book and read up here...ive learned so much from just being on here everyone is helpfull.

its all about actions.....

make offers!!!!!!!!!!!


impossible is nothing!

Appraisal Clause

For next time:

“It is expressly agreed that notwithstanding any other provisions of this contract, buyer will not be obliged to complete the purchase of this Property described herein or to incur any penalty by forfeiture of earnest money deposits or otherwise unless Buyer has been given, in accordance with HUD/FHA or VA requirements, a written statement by the Federal Housing Commissioner, Veterans Administration or a Direct Endorsement Lender setting forth the appraised value of the Property of not less than $____________
[The dollar amount to be inserted is the sales price as stated in this agreement]. Buyer will have the privilege and option of proceeding with consummation of the contract without regard to the amount of the appraised valuation”
You can always add more to the addendum, but this is the minimum, in order to allow you an out, and at the same time retain your right to proceed; your choice.


Thanks a bunch.

i knew it was around but never seen what it was, nor did i know how to word it myself.

i appreciate it very much...


impossible is nothing!


Congratulations on your progress and for sharing this information. I wish you much success.


Congratulations Larry!!! This is truly a inspiration to those of us that are so fearful of just starting out. Thank you for sharing with us, you have given me hope!I wish you the very best!!!
Deborah Hernandez


Deborah Hernandez

glad to have inspired. last name is hernandez!!!!!!


impossible is nothing!

Congrats to you and thanks

Congrats to you and thanks for the inspiration.



^^^^ thank you. im glad i

^^^^ thank you.

im glad i could be some inspiration.


impossible is nothing!

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