So when it comes to Real Estate Investing, it is all about buying right. You make money when you buy yada yada, you get it.
In order to make good offers you need to be accurate. Everyone says you should be conservative (meaning make offers to be sure you dont get in trouble offering too much or if there are unexpected issues with the house). That is all great and dandy, but if you are competing with other investors, being too conservative will never get you the highest offer and you will always be outbid.
Does that mean you need to give high offers or forget about being conservative? Nope you weirdo! Of course not!
The solution is to be accurate. Often people say “ohh a bathroom, $5,000, a kitchen …ohh np $17,000. Oh a roof? Sure $15,000. Then they add it all up and they have a $37,000 repair cost.
Now us? Ohhh we are awesome. We come in and we do Ohh a bathroom OK, we can keep the tub, looks good, just demo the walls, put subway tile, keep the sink, new vanity though.. so the bathroom hmmm $2,500 should do it, but lets put a margin of safety and we make it $3,200, Oh the kitchen? Let’s see.. Does Home Depot have any specials going on now? Ohh lookie here. They have a discount on appliances. Instead of the standard $3.500, we can get an entire kitchen set for $2,800, so the kitchen is now only $13,800 ohh and that roof.. lets measure the Squares. Ohh so it is NOT 9 squares, It was infact only 7 squares., cool beans, that’s just $11,000 and our cost of repairs is…. let me calculate… $28,000.
So our offer would have been $9,000 more. And we win the contract without sacrificing being conservative, too much.
So that is why we do walktroughs. (often investors skip this). They make the offer first and only after the offer gets accepted then they think it is worth it to look at it. But by that time we have the contract signed weeks ago, friggin prick loosers muuhahaha
OK so I know the previous posts didn’t have much value so I tried to make this post at least informative. I treat you so good don’t I!
