Investing Strategy & Tips
Quick Start A Real Estate Deal In 3 Easy Steps! By Mark Walters
By Mark Walters
Jun 10, 2005, 00:01

I get emails on a regular basis from people asking how they can Quick Start their investing.

Here's one I just receivedˇ­
Mr. Walters,

I am just starting to take my first steps in this business. Thanks for the advice you have already offered.

In your opinion, what is the best way to attract motivated sellers? I know this is probably the number one question of all new investors....

Thanks,
Jeffrey Littorno

Hi Jeffrey,

Good question! I'm happy you asked because I can probably save you tons of time with the answer...

Most investors are doing the same things, which means loads of competition if you do what they do. Here's what we do...

Step 1.

We blanket areas we're interested in owning homes with postcards on a regular basis with our marketing message.

Postcards usually always get read.

We know that in any given area there are people struggling to make their payments.

Sound reasonable?

We then get calls from these people interested in our offer to help them out of their tough situation.

What happens is we find out about the deal before any of our competition!

By the time they might know about it, we've got the loyalty of the motivated seller and hopefully already a signed contract!

Step 2.

Once we have the motivated seller interested in our offer, we usually take over their payments so that we don't have to qualify for a new loan.

This also saves us time and lots of money.

Often investors can't qualify for a loan, so buying the property "Subject To" the underlying financing is a great technique.

Also, you get the deed and a power of attorney, which puts you in the drivers seat.

Once we've got the deed we will then offer the property for sale using a Lease with Option to Purchase, rent it, flip it, etc.

Step 3.

One more thing you should know about is something called a 1031 Tax Deferred Exchange.

It's a way real estate investors defer the taxes owed when an income property is sold.

There are steps you must follow after holding the property for a certain amount of time.



One thing most investors don't think about is an exit strategy. You need to know what you're going to do with the property once you get it.

Knowing how to defer the taxes is a wealth tool you can't afford not to understand.

If you add this simple technique to your investing you can save yourself tens of thousands of dollars.

Hope that helps! About The Author - Mark Walters has written "Profits in Probates - The Amazing Real Estate Secret.

© Copyright 2004 by Buyincomeproperties..com