Here’s the question we’re working toward answering during the 24-week challenge: how do real estate investors build real wealth and freedom without access to millions of dollars in capital?
We’re on week 12 of the challenge… the halfway point! Zack Childress is guiding us through the steps to get to the answer and this week’s topic is Making Offers.
We make offers after we’ve completed all the steps discussed in weeks 1 through 11. An offer doesn’t have to be on a state-provided contract if you buy directly from seller, but it must show price, terms, close date and contingency period.
Plus, some small amount of money must change hands (from buyer to seller in escrow account) for the contract to be valid. That’s what an offer is. Not as scary as you thought, right?
Try to make a 3-option offer, which gives the seller choices. The options drive the seller to consider what he or she wants from the deal, and you appear knowledgeable and likeable. And you are, aren’t you!
The 3-option approach can also work if you’re dealing with a seller who can’t keep up with mortgage payments. The only difference is, since you can’t know precisely where the seller stands on his loan, don’t box yourself in by naming a price.
“If you’re not embarrassed by your offer, you offered too much.” Remember this and save yourself a lot of grief.
Watch and learn:
Listen and enjoy:
- Why we use escrow accounts
- Zack’s vacant property offer strategy
- How and why to use the 3-option offer method
- You can use addendum to contract for negotiation
Mentioned in this episode:
- Reach Zack by phone: 707.247.4248
- Follow Zack on Facebook: REI Success Academy Facebook
- Zack’s Book: My First Deal Playbook
- Instruction on REI Success Academy Website: Web Class