30 Days Quick Cash Formula

30 Days Quick Cash Formula

IMPORTANT!!! Before you ask a question, please go through the thread's Table of Contents via the link below. Your question may have already been answered!

http://www.deangraziosi.com/real-estate-forums/everything-else/86517/30-...

Topics of regular discussion:

*Finding the Perfect Real Estate Agent
*Building a Buyer's List
*Ghost Ads and Bandit Signs
*Assignments VS Double Closings
*Contracts and Purchase Agreements
*Earnest Money

This will be updated as progress is made Smiling

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~Michelle Casey

"Now all glory to God, who is able, through his mighty power at work within us, to accomplish infinitely more than we might ask or think."~Ephesians 3:20


Answer to Not Paying upfront Earnest $ or Property Inspection

Here is the answer from my fellow RBBP Mastermind member via Skype tonight, with his permission but I've kept our names confidential:

[9:48:20 PM] D: Hey there, I dont put Em down, i use this "1. Pest and Property Inspection will be performed and reported to Buyer within 7 days of acceptance of this agreement. Buyer will pay for all inspection. Copies of reports will be provided to seller.
2. Initial deposit will be wired to Escrow holder after pest and property inspections have been performed and reports approved by assignee.
3. Once end buyer is located and approves property a standard purchase and sales agreement will be draw up and closing will be Two (2) weeks from date.
4. All Deals are Cash Deals and will be assignee in 48 hours from seller acceptance.
[9:48:53 PM] D: I change it from time to time depending on the seller desire
[9:49:18 PM] D: also
[9:50:14 PM] D: when I write in my offer with my agent, I make the initial despit the same as the sale price
[9:50:28 PM] Me: Thanks for all the help!
[9:50:29 PM] D: so if i am buying it for 100k
[9:50:51 PM] D: my int will be 100k that why i havent been having to put anything down
[9:51:22 PM] D: also with REO you need to put things down to have a better chance
[9:51:44 PM] D: you dont have too but they most of the time wont send your offer in
[9:51:54 PM] D: so when you find an amazing one
[9:51:56 PM] Me: Yes, much of what is on the MLS are REOs and Short Sales
[9:52:18 PM] D: you write it in, I/D wired in 3 days
[9:52:26 PM] D: then go to your list and so who wants it
[9:52:44 PM] D: when someone takes it u get the EM from them and put it down
[9:52:49 PM] Me: So these are written as an addendum in your offer?
[9:53:06 PM] D: yes
[9:53:10 PM] D: on the CAR
[9:53:48 PM] D: but u have to be careful and line everything up right
[9:53:56 PM] Me: Excellent. THanks for the awesome advice. If you don't mind, I'll put this on the deangraziosi.com forum
[9:54:18 PM] D: and done the leg work and everything before with exit terms in so you can get it back
[9:54:27 PM] D: o no go ahead
[9:54:53 PM] D: with your inspector. Its tricky, you need to build a good relationship with them
[9:55:05 PM] D: like your rehabber
[9:55:24 PM] D: and let it know that they will be paid when you close that deal
[9:55:31 PM] Me: yes, I may need to pay up front first time or two perhaps to build trust or
[9:55:47 PM] D: but its a must that you close some deals
[9:55:55 PM] D: and get them same money
[9:55:58 PM] D: some*
[9:56:22 PM] Me: the market may be tough for them so they might be willing to inspect for a fee at closing since they are desperate for work
[9:56:49 PM] D: thats how I do it
[9:57:19 PM] Me: Well thanks for your time, I got way more than expected. Contact me anytime and perhaps I can be of service to you in the future.
[9:57:23 PM] D: let them know that they will only inspect homes that already undercont. and closing soon
[9:57:34 PM] Me: Yes, good point
[9:57:42 PM] D: we give and take and everything to grow
[9:58:02 PM] Me: And explain if they find something it won't doom the deal it will just adjust the offer slightly
[9:58:15 PM] D: right just tell them
[9:58:22 PM] Me: Cool.
[9:58:27 PM] D: u find something, i just go back to the sell for a lower price
[9:58:34 PM] D: hahaha, I rarely walk away
[9:58:45 PM] D: unless its need to be torn down
[9:59:04 PM] Me: Yes!
[9:59:10 PM] Me: HOpe I never run into one of those
[9:59:19 PM] D: hehe they out there
[9:59:26 PM] D: but see u build trust with them
[9:59:52 PM] D: and let them know they their time is the up most important to you and u will never waste it
[10:00:17 PM] D: great hope all that helped


Transactional Funds

Hi,

I'm putting in several offers right now and I'm trying to choose a transactional funding establishment. Is anyone here familiar with shortfunding.com out of Denver CO? They appear to have best rates. Are they reliable/dependable. Any info on this would be greatly appreciated.

Also does it matter in if you chose to get funds from a different lender than the one you submitted you POF with?

Thanks,
Karemah


Writing Cash Offers

Another Question...

I'm writing offers with my REA and she say's (according to lenders) that these offers cannot be written up as cash offers because they are being 100% financed. Is there any way around this or are they not supposed to be written up as cash. I'm using transactional funding for the deals.

Thanks,
Karemah


re: not paying EM or inspection upfront

Great info SoccerGuy!
Added to TOC.

__________________

Mark K. Cool

Life Disclaimer: Past Failures are NOT indicative of Future Results.

Real Estate Glossary - Click Here for PDF

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Karemah - pls clarify

Since you're using TF, I'm assuming you're planning to double close on the deals you lock up. Realistically, your end-buyers should be paying CASH to close the deal.

If your end-buyer needs bank financing, consider using the IEE strategy (it's found in the book 'Profit from Real Estate Right Now').

So bottom line, if you're paying cash (at least when it's in your initial plan), you could submit a cash offer and double close with TF. But if it's going to be financed, go check out the IEE strategy (I don't remember the details but I'm sure other DG members could chime in).

Just be clear about what you wanna do. Hope that helps!

Karemah wrote:
Another Question...

I'm writing offers with my REA and she say's (according to lenders) that these offers cannot be written up as cash offers because they are being 100% financed. Is there any way around this or are they not supposed to be written up as cash. I'm using transactional funding for the deals.

Thanks,
Karemah

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Real Estate Investor, if you would like the chance to work with me in the US East Coast, send me a PM (Private Message) anytime to see if we are a good fit for each other.

Wishing you abundance,

Ken Siew


Answer to Not Paying upfront Earnest $ or Property Inspection

Hey soccer guy in LA,
There is a lot of good stuff in this post.
Thanks for sharing it.
all the best!
Bob Woloss


@SoccerGuyInLA

I hadn't thought of asking inspectors to take their fee at closing. Smiling I like that one! Cool


Karemah

Write it up as "Funding provided by a third party non institutional lender. NO financing contingencies" Same as cash.

Pm me with any questions

Michael Mangham
MD Home Acquisitions LLC

__________________

The ladder to success is NEVER crowded at the TOP!!

http://www.mdhomeacquisitions.com Seller site
http://www.mdhomeacquisitionsbargainhouses.com Buyer site
http://www.mdlodeals.com Tenant/Buyer site


Im still taking action but I

Im still taking action but I have not found the right fit agent as of yet and my buyer list are leads only still awaiting call backs . will experiment with ghost ads this weekend. Also finding an agent that fits what I am trying to accomplish

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calcie madison


Who pays for the agents commission?

Ken_Siew wrote:
Hey guys, got a quick question related to double closing commission. My agent is the listing agent and buyer's agent for the first sale, and she's helping me with the 2nd sale as well. The end-buyer has a buyer's agent so I'm paying him the commission (it was a mistake in the negotiation).

My question is, is it standard in double closing situation NOT to pay my agent any commission on the 2nd sale? She's getting the 6% from the short sale in the first sale. And she hasn't really done a lot for the 2nd sale other than sending me the contract from the end-buyer's agent.

If you would pay her, how much would make sense? $250? $500? All the closing costs, money costs, and commissions are eating into my profits!

I thought the end buyer pays for all the closing costs and the agents commissions but I think I am wrong.Please let me know who pays ,will it be me or my end buyer?

__________________

"The Thing Always happens that you believe in;
And the belief in a thing makes it happen"
-Frank Lloyd Wright


Agent

calciemadison wrote:
Im still taking action but I have not found the right fit agent as of yet and my buyer list are leads only still awaiting call backs . will experiment with ghost ads this weekend. Also finding an agent that fits what I am trying to accomplish

I strongly suggest finding a local REI club. A lot of investors are also Realtors so there is a strong likelyhood that you can find an agent there. If not most investors are excited about what they do and what the know. You can always ask other investors for a referral.

__________________

The only thing that will get you out of your comfort zone is your why. It's what drives you. Is you why stronger than your pain? If not I suggest you go back and focus on your why!!!!

You may not always get what you ask for but you'll never get what you don't ask for. So what if someone tells you no.


Jas

Jas, I believe you would usually cover your own closing costs. Typically you should ask the end-buyer to pay for his agent's commission. But I made a mistake -- I agreed to the price without taking into account that part of the deal. Lesson learned! Anyway, as long as your overall number makes sense it doesn't matter who pays what. Just make sure you're happy with your NET profit.

P.S. Anyway, everything is negotiable. Just do it as if you don't need the permission!

Jas wrote:
Ken_Siew wrote:
Hey guys, got a quick question related to double closing commission. My agent is the listing agent and buyer's agent for the first sale, and she's helping me with the 2nd sale as well. The end-buyer has a buyer's agent so I'm paying him the commission (it was a mistake in the negotiation).

My question is, is it standard in double closing situation NOT to pay my agent any commission on the 2nd sale? She's getting the 6% from the short sale in the first sale. And she hasn't really done a lot for the 2nd sale other than sending me the contract from the end-buyer's agent.

If you would pay her, how much would make sense? $250? $500? All the closing costs, money costs, and commissions are eating into my profits!

I thought the end buyer pays for all the closing costs and the agents commissions but I think I am wrong.Please let me know who pays ,will it be me or my end buyer?

__________________

Real Estate Investor, if you would like the chance to work with me in the US East Coast, send me a PM (Private Message) anytime to see if we are a good fit for each other.

Wishing you abundance,

Ken Siew


Thanks Michael and Ken Siew

Thanks for the answers about transactional funding.

Ken Siew, no my buyers will be doing cash, but in order to do the double close
I need to first purchase the house then it's like the end buyer will be buying from me. Well since the purchase contracts are in my name then I will be the one needing the funding, and the funding company told my agent it had to be written up as a financed loan. I've already submitted 40 offers so, Michael I'll definitely use your advice next time. I have 10 more offers that I need to write up.

Thanks all for your support.


Great Idea :)

Hi, Im new here at DG's World Smiling...thanks for this great tips and ideas to deal with agents Smiling I'm following every step in Mr.Dean's book " 30 Days Quick Cash Formula". and already called and agent , he told me he will email me the listing, stil waiting for his email Smiling God Bless! - Farrah -


Ken

Hey Ken,Thanks for answering.

One more Question, you were talking about a Double Closing.
What about if I am just Assigning to an end buyer.(so there is no end buyer's agent) Then who usually pays the listing agent's(Seller's) and my agent's commission? Me or the end buyer?

__________________

"The Thing Always happens that you believe in;
And the belief in a thing makes it happen"
-Frank Lloyd Wright


@Jas

Jas wrote:
Hey Ken,Thanks for answering.

One more Question, you were talking about a Double Closing.
What about if I am just Assigning to an end buyer.(so there is no end buyer's agent) Then who usually pays the listing agent's(Seller's) and my agent's commission? Me or the end buyer?

Normally, the seller pays the full commission, and the seller's broker splits it with the buyer's broker, and both brokers will pay both agents respectively. Yet, some lenders have drafted listing and sales agreements that required the buyer to pay his/her/their own broker.

Either way, the commission ultimately will come out of the proceeds of the sale--whether they belong to the buyer or seller--from the money that the buyer will pay. So I factor that cost into my calculations anyway regardless.


Jas

Just to follow up on dp2's explanation, you should let the end-buyer know that he should use YOUR realtor as his buyer's agent so you don't have to worry about your agent not getting anything. Unless you have some other types of pay arrangement. This of course assumes that your realtor has helped you land this deal in one way or another.

dp2 wrote:
Jas wrote:
Hey Ken,Thanks for answering.

One more Question, you were talking about a Double Closing.
What about if I am just Assigning to an end buyer.(so there is no end buyer's agent) Then who usually pays the listing agent's(Seller's) and my agent's commission? Me or the end buyer?

Normally, the seller pays the full commission, and the seller's broker splits it with the buyer's broker, and both brokers will pay both agents respectively. Yet, some lenders have drafted listing and sales agreements that required the buyer to pay his/her/their own broker.

Either way, the commission ultimately will come out of the proceeds of the sale--whether they belong to the buyer or seller--from the money that the buyer will pay. So I factor that cost into my calculations anyway regardless.

__________________

Real Estate Investor, if you would like the chance to work with me in the US East Coast, send me a PM (Private Message) anytime to see if we are a good fit for each other.

Wishing you abundance,

Ken Siew


Thanks Ken and dp2

I got it now. Thanks for clearing up my confusion!!

__________________

"The Thing Always happens that you believe in;
And the belief in a thing makes it happen"
-Frank Lloyd Wright


Ok, DG Family .... I'm just doing it Period !!

I've put out bandit signs, and I have gotten about 50 calls, but of course I don't have the 3bed/2bath, what do I say to these people, it's hard to call them back, when I don't know what to say to them,

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Being Scared Is Not An Option.


what to say

GoldenChild wrote:
I've put out bandit signs, and I have gotten about 50 calls, but of course I don't have the 3bed/2bath, what do I say to these people, it's hard to call them back, when I don't know what to say to them,

See link to 30 Days QCF Table of Contents in my sig or at top of page in Michelle's original post.

__________________

Mark K. Cool

Life Disclaimer: Past Failures are NOT indicative of Future Results.

Real Estate Glossary - Click Here for PDF

View My Everyday Blog - Click Here


Damion, Damion!

It is not Dean's fault. What he teaches works after you adjust to your current market place. Which he states in all of his teachings.
The fact is that 95% of the population does not have the capability to run a business. To learn how to acquire their product and successfully market that produce to their customer. NOT DEAN'S fault. He tries to help every one.
It takes EXTREME determination, persistence and common sense!

Michael Mangham
MD Home Acquisitions LLC

__________________

The ladder to success is NEVER crowded at the TOP!!

http://www.mdhomeacquisitions.com Seller site
http://www.mdhomeacquisitionsbargainhouses.com Buyer site
http://www.mdlodeals.com Tenant/Buyer site


Regarding Assignment Contract

Can anyone doing assignment tell me what form they use? Is it just a simple "Assignment of Contract" form like the one Dean provides here or is there any other form as well.

My agent sent me a 10 page contract called "California Residential Purchase agreement and Joint Escrow Instructions" Am I supposed to fill that one and put and/or assigne in there?

__________________

"The Thing Always happens that you believe in;
And the belief in a thing makes it happen"
-Frank Lloyd Wright


Hey Jas

I believe what Dean provides is a 'template' contract for investors to use. I'm pretty sure he wants us to take his contracts to an experienced RE attorney and have them look it over and modify it to fit state law.
It sounds like California is one of those states that requires an approved contract to be used in all real estate transactions. You should still be able to have an attorney modify the contract to put whatever contingencies or anything else in there that you need.
I think the best thing to do would to talk to an RE attorney. I'm going to try to see one this week.
Hope that helps.

RENinja

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Have faith in your ability."
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Assigning contract in low priced neighbourhoods

Hi,
First of all I would like to say that I have found a great realtor to work with, using Dean's strategies! He just sent me a list of closed, cash sales. I don't live in the area, so I was astounded that many of these properties sold for between $7000 and $20,000.
My question is whether assignment of contract is viable in this price range? Lets say I find a house with market value of $18,000 and lock it up for $10,000. The spread is only $8,000 so I wonder if investors would be willing to pay me a fee for finding this deal. If not, maybe I should focus on higher priced neighbourhoods, where I might find an $80,000 house for $50,000 where the spread is larger.
Any thoughts would be greatly appreciated.
Thanks,
Gord


What we Should be Doing with 85% of our Time...

Okay so I spent the past weekend watching some of The Edge and trying to learn a bit as I do.

I found Matt and Ali Safavi's presentations the most informative, but I am a bit confused about something. Why is it that they were saying that we need to spend 85% of our time building our list, but they both admitted that they had very few buyers on their lists.

I also so a comment here on DG where someone said ghost ads produce ghost ghost buyers. I don't have much problems with getting buyers on my list, I'm having problems delivering the deals. I'm a little embarrased that I've had some people on my list for over 2 months, but havn't posted a deal yet.

Any advice or insite on that 85% time thing would be appreciated.

Thanks,
Karemah


An Obstacle before Closing - Any advice?

Hey guys, the closing for my first deal is scheduled for tomorrow. Just got the bank approval letter today (they were really late), and found out that there's a loan on the property by a contractor. The loan was paid off 20-30 years ago, but somehow the file wasn't closed properly. Now, the company went out of business, and we couldn't find the company's owner. We're trying to track him down to close this file properly. Any other suggestions on how we could go about doing this? My realtor is working hard to put out this last-minute fire! Smiling

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Real Estate Investor, if you would like the chance to work with me in the US East Coast, send me a PM (Private Message) anytime to see if we are a good fit for each other.

Wishing you abundance,

Ken Siew


RENinja

Thanks for your response. I asked my agent and she referred me a RE Attorney.I will probably meet him this week.

Also I have 2 agents whom I have developed a connection with. But both say they will be putting out only ONE offer each day since we'll need to be filling in over 15 pages of purchase agreement Contract for each and they want me to look at each property and evaluate it thoroughly before putting the offer.
Is this how it goes for others also? I mean I read in one of dean's books that you should put atleast 5 offers daily.
I dont know if I should work with these 2 or look for a new one.
Any Suggestions?

__________________

"The Thing Always happens that you believe in;
And the belief in a thing makes it happen"
-Frank Lloyd Wright


Ken

Best Wishes! Hope everything goes well for you tomorrow Smiling

__________________

"The Thing Always happens that you believe in;
And the belief in a thing makes it happen"
-Frank Lloyd Wright


Jas - making offers

Many times the agent could just submit the offers verbally. And then follow up with the signed agreement if appropriate. It doesn't sound like the agent is on board with you -- I'm taking it that you're not planning to walk through the property unless the offer is accepted. Just tell them this is how you do it and you don't want to waste each other's time walking through properties when you don't even know if the offer will be entertained. Anyway, you should be the one telling them what to do, since you're the one making deals come together.

But if you wanna pay the dues and look at many properties, don't hesitate either - there's plenty to learn about real estate!

Jas wrote:
Thanks for your response. I asked my agent and she referred me a RE Attorney.I will probably meet him this week.

Also I have 2 agents whom I have developed a connection with. But both say they will be putting out only ONE offer each day since we'll need to be filling in over 15 pages of purchase agreement Contract for each and they want me to look at each property and evaluate it thoroughly before putting the offer.
Is this how it goes for others also? I mean I read in one of dean's books that you should put atleast 5 offers daily.
I dont know if I should work with these 2 or look for a new one.
Any Suggestions?

__________________

Real Estate Investor, if you would like the chance to work with me in the US East Coast, send me a PM (Private Message) anytime to see if we are a good fit for each other.

Wishing you abundance,

Ken Siew


First deal under 30 Days QCF?

I don't recall seeing anybody close their deals yet so I think we have a winner here with MurdockSusan.

See their thread here:
http://www.deangraziosi.com/real-estate-forums/my-deals/93264/3500-our-f...

__________________

Mark K. Cool

Life Disclaimer: Past Failures are NOT indicative of Future Results.

Real Estate Glossary - Click Here for PDF

View My Everyday Blog - Click Here


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