Novations aren’t always Beautiful

First off, the subject of this conversation is a property we actually closed on and got funded today 🤩

So this particular LEAD was acquired about six months ago. They reached back out to me in March.

One thing I’m big on when it comes to talking to working with sellers, is 1.) acquiring as much information as possible about their situation and their timeline and 2.) what it looks like for them once they close and are funded.

Like most deals, I do, this was a virtual deal that I was able to acquire a contract on based off our conversation site, unseen. Originally this was Contract at $239,000 with an estimated rehab of $65,000 based off the conversation with the seller.

Once we did our inspection, we realized that our rehab cost was practically doubled and that the condition was not anywhere near what the seller described to us. (it’s important if you are doing anything virtual to always have boots on the ground in the market to do a walk-through once once you get a contract)

So we were able to negotiate this down to $139,000 and we listed it on market for $199,000 anticipating at least $30,000

By collaborating with

@Beatriz Saucedo

as the listing agent, she was able to bring us multiple offers in about four days. Which was a great turnaround time for a home that needed over $100,000 in rehab

We acquired a cash buyer for this property. And we thought we were good and had a clear path going forward..

Then we found out there was multiple liens on the property from taxes to solar and another lien that totaled about $108,000

Fortunately, by working with the right title company, we were able to get everything done and cleared, But the numbers completely completely changed from what we were originally able to offer the seller to our bottom line what we were going to walk away with

Overall, the deal ended up and the seller understood that they all they could from the property before selling it.. this ended up being a win-win situation for everybody involved

You see this is what The Collaboration is all about. It’s not just about collaboration between real estate agents and wholesalers but also with the sellers right because we’re all in this and all have the same goal which is to close and fund

Have this been a traditional Wholesale deal we might’ve walked away with $5000 on this transaction and the seller might’ve been lucky to walk away with at least 10

But the seller was able to walk away with $30,000 in their pocket and you can see the picture from the hood as to what we were able to walk away with on our side

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