Let's look at the situation where you are looking at a REO listed at 25k and they have just come down from 29k. The bank most likely did not really look at it because it isn't worth that much. The house is in bad condition and would have to be gutted to rehab; the only good part of the house is the structure. You don't want to rehab it yourself but you would like to make a low ball offer on it to flip it.
If this doesn't work, you are not interested. But you don't want to let this property go just yet as it is listed by a realtor who doesn't even have a sign in the yard. No one knows this house is even available. Also, the house should sell for anywhere from 45 to 106k after rehab.
You are wondering why there is no sign in the yard? For one of two reasons. One could be simply that the realtor is lazy.
Second, if a realtor knows what they are doing, it means they have investors or friends for whom they are trying to hold the house. Then they hope that nobody notices the property and they will get to sell it to their buyer who buys from them and closes all the time. They may know it needs to get to a certain price range for their buyer to be willing to pick it up.
Anyway, this kind of thing happens all the time; and quite frankly that is just business and building relationships. You want to be that person eventually. This kind of relationships helps to get successful in real estate business. They are not hard to build over time but they do take a little skill.
About the Author:
The author, Jesse Davis is an expert wholesaler in the Jackson Mississippi Real estate Market. Go here for tips on how to wholesale Real Estate and to get a free audio on Wholesaling Real estate
No comments:
Post a Comment