$12,000 fee on contract assignment!

$12,000 fee on contract assignment!

This was a really interesting deal. It was a two house deal. The houses were on a very busy street, next door to a marijuana dispensary. The houses were side by by side and in great shape.
I offered low on these MLS listed properties and we negotiated a workable price over the last 30 days. I got them under contract and made a couple of calls, I really did not think I would be able to move these properties but I know from experience that you just never know. One buyers nightmare may be another buyers gold! If I don't try then I have ZERO chance of making any money. If I wait for the perfect deal and over analyze the thing I have no chance of making money.
My buyers are brokers at a major commercial bank here in town. They loved the places. They put down $6000 in certified non refundable funds and we close April 9th.
They also asked if they could refer some of their customers to me AND they offered to finance my or my buyers fix/flip deals. They will loan 80% of ARV and cover rehab costs. 20% down, 5% interest only for 12 months.
I used my LLC offer, convert to assignable contract after inspection strategy again. Works like a charm.

Michael

__________________

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


Forgot to mention!

This deal came as a result of the 25/1 offering strategy. It worked AGAIN!!

Thanks Dean!!

Michael

__________________

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


Mike strikes again!

That's awesome Mike. Keep those deals & stories coming.


Corey

I have a lease/option property that the tenant/buyer is exercising their option and closing April 15th. Wait till you see the numbers on that deal. I'll post after closing.

Michael

__________________

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


Mike

Is that the LLC flip strategy?


Dan

Yes, I offer in an LLC with NO MENTION of wanting an assignable contract. That seems to be a deal killer around here. If you ask for an assignable contract or put and/or assigns after your name, agents are wise to this and won't except the offer. SO we offer in an LLC and when we have our buyers non refundable earnest money we THEN request an amend to make the contract assignable. We put in the amend that our earnest money will go hard. We have not be turned down once to amend the contract to an assignable one.

Michael

__________________

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


Great suggestion

Michael,

I love your strategy of converting to an assignable contract after you have a buyer locked up. I'm sure the extra incentive of making your EM go hard upon acceptance of the amendment is enticing.

As always great job on this deal and excellent tip!

__________________

Chris

"Faith is the eternal elixir which gives life, power, and action to the impulse of thought.

"Faith is the starting point of all accumulation of riches!"

- Napoleon Hill, Think and Grow Rich


Michael,

Is your LLC a saleable one incase they don't accept the amendment? Was this an REO?

__________________

Cathy B

Follow my progress at:
http://www.deangraziosi.com/real-estate-forums/investing-journals/44397/...


Cathy

It was not an REO. We don't have any luck getting an assignable contract on REOs. The LLC is sellable just in case. If they won't sign the amend to change to assignable we can then just sell the LLC. Have not had to do that yet. We are batting 100% so far using this strategy.

Hope all is well,
Michael

__________________

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


Thanks Coach Chris

Hope to see you at the Edge!

Michael

__________________

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


25 to 1

This strategy works when you use it the way Dean teaches!!

Michael

__________________

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


That's cool Mike I see you

That's cool Mike I see you racking it up in Denver...I commend you on that...Keeps me inspired...

Another way to do it is to act as buyer, when you have buyers lined up, you can say "My partners and I are interested in such and such...and both of our names will be going on the offer to purchase...here is our proof of funds" Most buyers will give you permission to use their proof of funds and add your name on the contract if the BUYER knows you are a wholesaler...The agent will ask you for all full names going on the contract...Then tell the buyer, you will be backing out at closing, and your non refundable deposit will have to be given to you at that time or upon signing of contract to get you out of the way...Don't tell an agent you are the wholesaler, it will put them off and kill the deal, call you names etc....


That will work!

That is a good strategy Vonny!
I just prefer to have total control of the deal and then send it out to many, many buyers.

Good Luck!
Michael

__________________

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


Michael

thats awesome, inspiring I would like to do that too, w/i have in my contracts are that emd w/be turned in 72hrs after acceptance of contract & I have assignability in it too & I have that in there because I am trying to wholesale deals in the 3 days i have to turn in the emd.

What I am thinking is that i could take off assignability & find the buyer in the 3 days or 2 days & once i do have the buyer ask them for assignability & tell them emd w/go hard as soon as I pay it(but the buyer really will)

but my question is will my buyers really want to do that? not having any more of an inspection period either? meaning they wont be able to get their emd back?

__________________

Tony Escobedo

Too blessed to be Stressed!
"Anything is possible If I believe"! Become what you believe! Mark 9:23 The Bible


$12K, good job.

Thanks for sharing your strategy, I will be using this when I submit offers and get a property under contract. Mike your rocking the real estate world.

__________________

Reynold Orozco


Tony

The key is to have experienced buyers that have their teams in place. Pros can do an inspection and come to a buying decision in less than 24 hours. With inventory low and demand high REAL buyers know to act quickly.

See you
at the EDGE!
MIchael

__________________

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


Reynold

Thanks! We just keep doing what Dean Teaches.

Michael

__________________

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


Racking them up

Hi Michael nother deal completed and your off to the next thanks for sharing your doing well there, much success, Jim

__________________

jbischoff


Thanks Jim

We just keep making offers and building our buyers list. For us, everything else is just 'busy work'.

Hope all is well,
Michael

__________________

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


Staying busy....

Staying busy keeps you focused and in the game I love your strategy mike

__________________

Watch your thoughts, for they become words.
Watch your words, for they become actions.
Watch your actions, for they become habits.
Watch your habits, for they become character.
Watch your character, for it becomes your destiny.
^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^

Our Heart's Desire must be nurtured by our mind,to give birth to common sense, that will enable us to seek out the path less traveled, with the greatest Personal Growth. -J.R.-


Michael--

You are living proof that Dean's 25-1 strategy works! Smiling Thanks for inspiring me and everyone else on here!!

__________________

Teresa
College Station, TX
**********************************************************************************
"Declare that you will prosper despite every difficulty that may come your way. Don't just survive; thrive!"
-Joel Osteen


Excellent!

Another great deal. I love what you said about not getting a deal if you don't go for it. You are absolutely right. If you don't try you sure won't get anything. You have to make those offers to see what can happen.

Great job!

__________________

Chris

"Faith is the eternal elixir which gives life, power, and action to the impulse of thought.

"Faith is the starting point of all accumulation of riches!"

- Napoleon Hill, Think and Grow Rich


It was amazing to meet you

Michael and Deborah, it was amazing to meet you. you did a fantastic job at the edge. I know a lot of people talked about your abilities to create deals and do so well in a tougher market it gave a lot of people hope that they can create a lot of deals in their markets.

I still love reading your posts, it gives me the excitement to make more offers and put more deals together. thank you for inspiring so many.

Mikessler

__________________

I always say Keep Moving Forward! Never Give Up On Your Dreams!

As Matt Larsen says "Feed the Need" - Edge 2013

Follow my daily investing journal and read about the deals I've done and am working on at:

http://www.deangraziosi.com/real-estate-forums/investing-journals/117493...


MIke!

It was great meeting you at The Edge. I hope that my message concerning competitive markets helped people out for sure.

Keep an eye out for my upcoming deals done in May post.

Michael

__________________

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


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