When you show a seller what they might net selling their house traditionally, you can easily get them to take 10% to 15% off the present value and still call that full retail price. You can then get them to go even lower by asking if it’s OK if you made a margin on the deal. Then lower if you took the property as is. And even lower if you gave them some or all of their equity in cash now instead of later.
Once you can reliably predict what you can sell the house for offering owner financing or a lease option to your buyer, you can then determine the maximum price you can pay the seller. I suggest your price to the seller ensures you get at least a 15% net profit after your transactions cost of buying, holding and selling. If that drives the price down too low for the seller to accept, you now can push the price back up by stringing their money out into the future.
Dan Doran and I have put together a comprehensive new training system for buying and selling free and clear houses. It includes my Free and Clear Offer Generator software that allows you to make these multiple offers within a few minutes. It will do all those calculations for you and allow you to run unlimited “what if” scenarios to find the price and terms that will please the seller… and get them what they want most. Check out “The Ultimate Strategy: Creating a Free and Clear Money Machine” at RoopDoran.com/tushub
For more FREE information about Free and Clear Cash Flow Investing visit
www.free-and-clear-cash-machine.com
July 16th, 2009 at 4:54 pm
this is really works!