I tried to get an option on the house I went to look at last week because I wasn't sure if the numbers were good enough, but the sellers wouldn't go for it. I ended up telling another investor about it, and she now has it under contract- we are going to split the assignment if/when we find a buyer.
I got a call today from one of the realtors I spoke to last week. His client has dropped his price again, and he called to see if I'd be interested. The ARV is 175k, it needs minor work, and he's asking 125k. He lives in California and just wants to be rid of it. I'm going tomorrow morning to check it out, and most likely get it under contract.
I haven't spent a lot of time looking for deals this week, as my brother is in town from Illinois, and I have some other stuff going on. I still want to get another deal by the end of the year. Hopefully the one I look at tomorrow will work out.
One of the deals I have going may be closing tomorrow instead of next week- I'm still waiting to hear from the title co. I will be getting 5k, which I really really need, so I hope I don't have to wait until next week. Nothing like being broke for Christmas.
Thursday, December 21, 2006
12/21/2006
Subscribe to:
Post Comments (Atom)
2 comments:
I know this was a while back and I am not sure if you remember any more, but could you explain the math (specifics) of how you walked away with 5K in this case. I am reading your blog from the beginning to the end and you have been very inspirational to me. Thank you!
Hi Lana,
I can't remember the deal or the specific numbers on this one, but I know that it was a regular assignment deal.
Like I said, I can't remember the numbers, exactly, but I'll give an example with fake numbers....
Let's say I put a property under contract for 100k. I then go out and market the property for 105k, and find a buyer. I assign my contract to that buyer for 5k. I bring the original contract (between me and the seller) along with the assignment agreement (between me and the buyer)to my title company, and then when we go to closing, I walk away with my check for 5k.
I'm basically selling my contract to another investor for a fee (in this case, 5k).
Hope that helps.
Steph
Post a Comment