You can make more cash next month than the average wage worker will in 3 years!
Trip Up #1: Incomplete or Outdated Information
Think about it … this market is changing every day. The Feds are constantly changing the rules,different banks are going under, and loss mitigators (the people who handle short sales at the banks) are swamped.
There’s ways to deal with all these issues as they arise, yet the gurus and teachers haven’t changed theirinformation in months. That’s why I am writing these tips on latest and greatest changes inthe market.
Here’s where this comes full circle. Remember in Reason #2 we said that short sales investorsget burned out? Recall how we said it’s because they try to do everything themselves? They were never shown how to…
Leverage their time
The secrets of outsourcing on the cheap
Cooperation and team building
Few people really understand how to get others to work for them, without little or no charge.The y don’t know how to train their people effectively to do all the heavy lifting for them …gladly, at that! They don’t know when and how to outsource. And even if they did know all of the above, 99% of them don’t know how to do the #1 thing you must do to run a successful business: delegate!
Trip up #2: Investor doesn’t want to work with realtors because he/she wants to keep all the profit (and do ALL the work themselves)…
Ok, first of all, we already know doing all the work by yourself is not smart … or profitable. Now on to the other part…I know you’re thinking, "Why would a Realtor work with an investor on their short sales? Don't all Realtors hate us investors because they think we are trying to take advantage of the homeowner?"
While I have run into my fair share of these types of Realtors, I have found that once they understand what it is that I am trying to accomplish, they start banging down my door trying to bring me their deals. I currently have many Realtors who build their entire business around bringing me all of their short sale listings.
Trip up #3: Banks BPO (broker’s price opinion) or appraisal comes in too high or bank lies about the value…..
This is actually
the #1 DEAL KILLER. I saved it for last, so listen up!
Remember, the bank discounts their mortgage based on how much the property is
worth. And that’s often figured out by them with this “BPO.” It really doesn’t have a whole lot to do with how much is owed and what your offer is. In other words, it is normally just as easy to get a 350k mortgage down to 175k as it is to get a 250k mortgage down to 175k, assuming the BPO comes in at the same number.
It is very important to have someone meet the BPO agent at the house and make sure they have done their homework on the property. Remember, these agents are normally only getting paid $65 to do a BPO and do anywhere between ten and thirty per week. They don’t really care if the property values at two dollars, or ten million!
For more information on Short Sales and Free Webinars go to: http://www.investingwiththestars.net/season2
Nancy Geils, Owner and Founder Investing with the Stars