Why Aren’t REO’s Selling? And Why YOU Should Be Grateful You Know Some Slobs!
11. May, 2009 
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Has anyone been to a friends house and while you are there you area looking around thinking, "How could someone live in a mess like this?!" When you go to use the bathroom you don’t touch anything without having some tissue in your hand as a barrier and when you get in your car you break out the hand sanitizer.
Come on…. we all know them! Or maybe they are not really dirty, but they have more junk than your local storage facility… and no not just one unit… but all of them combined!
What’s the point of asking that? Its because it is a common occurrence that makes being a real estate investor an even more profitable business than ever! How? Its simple.
REALTORS ARE LAZY!!!!
Even more confused? Good! Let me explain. With the flood of REO’s on the market there are a number of very successful Realtors that are capitalizing on these listings. Most banks don’t want to deal with Agents who are doing much volume. They look for experience. Well that is a double edge sword for them. The reason being is an Agent that is dealing with hundreds of listings has a real problem in accurately evaluating the condition of each property. Even if they have a "team" of assistants and Agents, most of the time all they have them do is a "drive by" photo and run some comps to come up with the listing price.
Many of them never set foot in a property. Not only that, they NEVER WILL!
So lets say 123 Main Street gets foreclosed on and when Mr & Mrs. Owner moves out, after living there for 13 years with 3 dogs, 2 cats and a parrot, they only take personal items. They don’t care about the chipping pain on the walls, the brown carpet that used to be light tan, or the little bit of mold in the basement because the sump pump works "most" of the time.
This is a GREAT property to be making an offer on! And this is a prime example of why we don’t like making completely blind offers. We put ourselves in a position of power in negotiations with knowledge!
When the Realtor replies to your "ridiculously low" offer, your counter is already set. "Well Mr. Smarty Pants Realtor, were you aware that the property has a leaky roof, busted pipe in the bathroom and mold in the basement?" And you reinforce why your offer is where it is. You then at that point can also offer a slightly better counter if you choose.
There is no perfect situation where every tactic will work. EVERY DEAL IS DIFFERENT! As is every Agent. Hell, some don’t even call us back when we submit offers.
The key in this game is knowledge and persistance. And if you happen to know some real slobs, be thankful…. they could help make you rich!
Come on…. we all know them! Or maybe they are not really dirty, but they have more junk than your local storage facility… and no not just one unit… but all of them combined!
What’s the point of asking that? Its because it is a common occurrence that makes being a real estate investor an even more profitable business than ever! How? Its simple.
REALTORS ARE LAZY!!!!
Even more confused? Good! Let me explain. With the flood of REO’s on the market there are a number of very successful Realtors that are capitalizing on these listings. Most banks don’t want to deal with Agents who are doing much volume. They look for experience. Well that is a double edge sword for them. The reason being is an Agent that is dealing with hundreds of listings has a real problem in accurately evaluating the condition of each property. Even if they have a "team" of assistants and Agents, most of the time all they have them do is a "drive by" photo and run some comps to come up with the listing price.
Many of them never set foot in a property. Not only that, they NEVER WILL!
So lets say 123 Main Street gets foreclosed on and when Mr & Mrs. Owner moves out, after living there for 13 years with 3 dogs, 2 cats and a parrot, they only take personal items. They don’t care about the chipping pain on the walls, the brown carpet that used to be light tan, or the little bit of mold in the basement because the sump pump works "most" of the time.
This is a GREAT property to be making an offer on! And this is a prime example of why we don’t like making completely blind offers. We put ourselves in a position of power in negotiations with knowledge!
When the Realtor replies to your "ridiculously low" offer, your counter is already set. "Well Mr. Smarty Pants Realtor, were you aware that the property has a leaky roof, busted pipe in the bathroom and mold in the basement?" And you reinforce why your offer is where it is. You then at that point can also offer a slightly better counter if you choose.
There is no perfect situation where every tactic will work. EVERY DEAL IS DIFFERENT! As is every Agent. Hell, some don’t even call us back when we submit offers.
The key in this game is knowledge and persistance. And if you happen to know some real slobs, be thankful…. they could help make you rich!
To Your Wealth,
Dan McCutchen o) 301.805.8338 http://www.helpfulinvesting.com http://www.realestateinvestingcoaches.com
Exit SourceOne Realty
http://www.helpfulinvesting101.com
http://www.5Kin45Days.com.com
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