Real estate/ finance idea?

[SELF-MASTERY]

I've purchased a list of ppl who have been denied mortgages and who are in bankruptcy. My plan is to broker deals between this demographic and FSBO, motivated sellers, and home owners having trouble selling their home.

Ideally, the homeowners will finance the sell of the home. Most sellers don't like this idea because they rather receive payment immediately. My solution is to build a relationship with private mortgage investors who are willing to buy the mortgage from the homeowner. I'm negoiating with 3 such companies and I'm not sure how much to ask in commision, maybe 7% of the purchase price? What seems fair for the amount of work I will be doing?

I understand that this will take marketing and hardwork, but what do you think of the general idea?

Heres the short version:

I bring sellers and buyers together.

I coerce owners into financing the buyer

I relieve the homeowner worries over getting paid by having an investor buy the loan from the home owner.

Buyer gets a home. Seller sells their hard to sell home and collects a down payment. Investor gets property with tenant. I received a commision of sorts for structuring the deal.

 

[Ronin I]

Why doesn't the investor simply purchase the home from the seller and rent it out?

 

[Francisco d'Anconia]

Is there even such a thing as a "motivated seller" in the current market? I've found that it's a seller's market and sellers are getting what they want or even more for their homes.

I'd look into just how many desperate sellers are actually in your area. Also, I'd focus on attempting to find programs that are more receptive to distressed buyers. Work something into you get a fee that is paid for at closing by the buyer via 100% financing.

But to tell you the truth, I'd just purchase properties myself and hire a management firm to take care of renting the properties. That's actually more fun to me than being a middle man between buyers and sellers.

 

[SELF-MASTERY]

Ultimately he does simply purchase from the seller and collects on the mortgage. But without me he doesn't have knowledge of the deal, I'm the glue that brings everyone to the table on favorable terms.

investor- gets property and a paying occupent.

seller- gets cash up front and rids himself of a hard to sell property.

 

[cave dweller]

license?

Hey self,

Do you have a real estate license?

You can not play the 'game', you are talking about, without a valid RE license....

cave dweller

 

[SELF-MASTERY]

I'd look into just how many desperate sellers are actually in your area.

Quite a few. I can use my own neighborhood as an example, house in my hood go for 280-320, we have 3 homes for sell, 2 have been on the market for around 2 yrs, the homeowner of the third home has a big sign that says owner financing available and has been on the market for at least a year. I know my hood isnt a microcosm for the whole city, but it does show a trend.

I reallly would love to find away to exploit the pre-foreclosure market. My city has the 4th highest rate of foreclosure in the nation.

Also, I'd focus on attempting to find programs that are more receptive to distressed buyers. Work something into you get a fee that is paid for at closing by the buyer via 100% financing.

I was thinking about this before I posted, but need to figure out a fee that is favorable to both parties.

thanks fo' replying

 

[cave dweller]

again.....

Self,

I will ask again.....

Do u have a RE license?

cave dweller

 

[cave dweller]

self........

Hey,

These sites will answer all of your real estate questions.....

----agentsonline.net

-----creonline.com

Good luck.

cave dweller

 

[SELF-MASTERY]

Your right about the license, I called my states real estate ommision this morning and they suggested that I obtain a liense, which fks my money up more than my plan. I also asked them what was the penalty of operating without a license and the lady on the phone said "fine." Lucky for me my father has been licensed for the last 15 yrs and is studying for a brokers license, if I pursue a license he'll give me a good split. If a deal comes along before I sort out all of this I'm willing to take a risk.:woo: :woo: :woo:

 

[Page]

If you're planning to broker real estate, yeah, you probably should get a license. Fortunately, they're easy to get. It's a week-long course and an exam.

 

[cave dweller]

rat eat rat

Self.....

There are several problems here:

1....It is 'dog eat dog' and 'rat eat rat' in the real estate field, because:

"There is a broker on every corner."

2....9 out of every 10 brokers are crooks , cheats and liars.

Don't take my word for it----check it out...

You will get an damnnnn education.... (it is a dirty field)

cavedweller

 

[SELF-MASTERY]

cave,

funny you post about the grimminess of the re biz, I met a realtor who was recently cheated out of 20k from her broker.