Wholesaling Houses and Investing in REO’s

You know I have been struggling with something for a little while now. I have heard all of the hype about REO’s and how they are the next greatest thing since sliced bread. I have always stuck to my direct mail methods to find motivated sellers and it has consistently produced me deals every month. But I thought to myself , wouldn’t it be nice if I did not have to spend that up front money and just go directly to houses that are on the market and ready to sell at discounted pricing? Hmmmmmm…..

It is definitely true that there an abundance of REO’s on the market right now and you would be blind if you did not know that they were out there. What is an REO you ask? Well that is a good question there shooter 🙂 Keep asking questions like that and you are going to go far, ya hear???

REO stands for Real Estate Owned. The short story is that the bank took the house back from the owner because they could no longer make their payments otherwise known as a foreclosure. Now I am not tyring to bore you with the basics but some people need to start somewhere, right?

So anyways the bank has all of these houses that they took back and now has to do a lot of different things with them. First, they have to take care of them. That entails trashing out all of the stuff the owner left behind and giving it a basic cleaning. Sometimes they may even do some basic repairs to get them in better “selling” shape. The problem here (or actually good thing for us) is that the bank has so many of these houses tying up millions of dollars that they cannot lend. When they sell a house, no matter how much a loss they take, they free up some of that money so they can begin to lend again. You can see how this would help our economy and get things moving in the right direction again, dont you?

If you checked your email sometime last week I sent you a link for the free ebook that Preston Ely is giving out called the REO Rockstar. The only reason I did that was because I was actually considering it myself because the thought of being able to get deals without having to market was pretty appealing to me.

Let’s face it, if you want to be succesful as a real estate investor you have to put some marketing out there to get the phone to ring. If you don’t you are going to spend a heck of a lot of time driving around looking for vacant houses and trying to track down the owners. Don’t get me wrong this technique works but it requires a lot of time and gas. Also, when you do get a lead you have to do some skip tracing to find the owner. That is always fun 🙂

I actually went ahead and invested in his full course myself because I wanted to see if all the hype about this stuff is true. It has a full money back guarantee so I can check it out and send it back if it is all hype right? Yes, I admit it, I am the type to actually buy something and send it back and take advantage of the guarantee! Also, if you do a deal you can get your money back by sending them a testimonial and a check. So I figured that was definitely a possibility.

So far I am pretty pleased with it. The lay out is in a very step by step format and the videos are crystal clear. They even have a step by step action plan so on Monday what I am going to do is identify the top ten agents in my market and call them up and tell them I am going to be there best next customer 🙂 I am the type of person that takes action! Remember, you need to be that type of person if you are going to get anywhere in this business!

Also another cool thing about it is that it shows you how to actually close on these deals! The problem with a bank contract is that you cannot assign it. That has kept a lot of investors out of the REO game, because they don’t know how to get around the no assignment clause. One of the tips they give you is how to close the property with a double closing. This means that you buy and sell the property on the same day in the same title company’s office. Wait a minute, I hear you. You are saying that you need money to do that type of thing. Well guess what??? You are right. You need to have access to cash to do a deal like that. You don’t need it but for maybe a day or so but you DO need it. In the course they actually give you their money company that will do an unlimited amount of transactions with you!

I am never going to fade away from what I am doing now because I know it works. That is one mistake I have made in my business. I know something works but I want to try something new. Getting all mixed up in the excitement of the newness I forget to continue the old faithful methods that produce deals month in and month out. Learn from me, don’t do that, k?

If you want to join me on the REO journey you can do exactly what I did and invest in the course for yourself. Remember there is a full 30 day money back guarantee and if you are anything like me I will use it if necessary!

Click here to Do What I Did

Below is the Link for the Free-Ebook to the Course too…Even if you decide to not do what I did and not invest in the course, you can still get a lot out of the ebook! I tried to give this link out in one of the last emails that I sent out but some people had some difficulties with it so here is the link to the official Free e-book. Just click and save to your computer.

How To Become A REO Rockstar

Well, monday is a new day and I have a lot of REO agents to call. We will see how it goes!

Think positive! Great things are headed your way!

Comment and let me know how you are doing in your business and if you have any questions. I get a lot of emails from everybody but I will do my best to answer you. If it is a question I get a lot I will do a video post to answer the question. I am probably going to do one next week or so on how do you get sellers to accept your low ball offers.

Let me know if this is something you would be interested in!

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  • Thomas

    In the course they actually give you their money company that will do an unlimited amount of transactions with you!

    What or how many points do they charge for this?

  • Vernon

    Hello Alex,
    I really should buy Preston ebook on wholesaling, I have been looking for someone to just walk me through my first sale. I am serious about getting this right the first time, so if your a student of Preston, let me know. I live in Omaha Ne and have started the wholesale process of looking at vacant homes and running them by a realtor, or using thee free websites zillow.com

    Vernon Tryon

  • Keith

    I’m curious Alex if you’ve pursued buying REO’s? If so, tell us a little about it, how is it going? Is it worth branching out to do in addition to from wholesaling?

  • mike

    im looking for a title agent that will use a simultaneous closing to close my deals.any help out there for me.im in Omaha Nebraska

  • Rick

    This is interesting and we have been doing some deal like this for a while now. Do you wholesale properties out?? If so or you have properties for sale call me. In Omaha
    Rick 402-306-1900