Another Day, Another Deal!

TL;DR

Rick shares a real-time deal he recently closed, revealing how he purchased a 322 CBS home in Florida for only $25,000, despite initial title issues and an illegitimate mortgage.

Transcript

hey there Rick gim with flip with Rick want to show you a realtime deal I just did this house I initially put under contract for about 70,000 it was an estate sale um it came off of one of my handwritten postcards on a high Equity mailers list after multiple mailings and we were waiting to get a payoff on the mortgage only to find out that the mort... Read More

Key Insights

• 🥺 Direct mail campaigns, such as handwritten postcards, can be effective in generating leads for real estate deals.
• 🆘 Title issues can pose obstacles, but creative negotiations and legal assistance can help find alternative solutions.
• 👨‍🔬 Conducting thorough research on mortgage legitimacy and consulting with experts can provide opportunities for substantial discounts on properties.
• 🤝 Profits in real estate are not solely dependent on the number of deals but rather the amount of money made from each deal.

Questions & Answers

Q: How did Rick first discover the property he eventually purchased?

Rick found the property through a handwritten postcard he sent as part of his high Equity mailers list. The owner responded, leading to the initial contract.

Q: What was the issue with the mortgage on the property?

The mortgage was discovered to have been written using a typewriter in the 80s, and the company responsible no longer existed. This raised concerns about its legitimacy and made obtaining a payoff challenging.

Q: How did Rick resolve the title issue?

Unable to get clear title, Rick went back to the owner and renegotiated the deal, buying the property subject to the existing mortgage. He then hired an attorney who expressed a 90% probability of successfully wiping out the illegal mortgage.

Q: What are the potential options for Rick with this purchased property?

Rick can choose to do a wraparound subject to, offer rent-to-own options, or simply flip the property for a potential profit of around $50,000 to $55,000.

Summary & Key Takeaways

• Rick initially put the house under contract for $70,000 through a handwritten postcard sent to the owner.

• The mortgage on the property was found to be illegitimate, causing difficulty in obtaining a payoff. However, Rick renegotiated the deal with the owner, buying it subject to for $55,000.

• With the assistance of a knowledgeable attorney and a 90% probability of clearing the title issue, Rick is confident about the potential profits from this deal.