{"id":112,"date":"2013-03-13T19:39:00","date_gmt":"2013-03-13T19:39:00","guid":{"rendered":"http:\/\/mn.arenter.com\/coach2\/2013\/03\/13\/white-smoke-signals-fiscal-cliff\/"},"modified":"2023-09-25T19:14:42","modified_gmt":"2023-09-25T19:14:42","slug":"white-smoke-signals-fiscal-cliff","status":"publish","type":"post","link":"http:\/\/mn.arenter.com\/coach2\/2013\/03\/13\/white-smoke-signals-fiscal-cliff\/","title":{"rendered":"White Smoke Signals Fiscal Cliff!"},"content":{"rendered":"

My investor friends keep asking me…..where are the deals?\u00a0<\/span>
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\n<\/span>They are doing all the same old marketing\u00a0techniques: \u00a0probate,\u00a0bankruptcy\u00a0 divorce, foreclosure, out of area, free & clear, pretty house, ugly house, code violations, juniors, seniors, va’s, fha’s, hud’s, nod’s, fsbos, ups, and usp, and FBI. \u00a0<\/span>
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\n<\/span>Nothing seems to be working that well. \u00a0Why? \u00a0Why is that? \u00a0Where are the deals? \u00a0The market has begun to rebound, but no one is selling. \u00a0 \u00a0Is it because of the hedge funds buying real estate? \u00a0Sooooo many investors are afraid of that buzz kill – so let me address it in this month’s blog post.\u00a0<\/span>
\n<\/span>Hedge Funds (HF) have loads of capital; however, they are only interested in deals that can produce a 7-9% CAP rate. \u00a0Big deal – right? \u00a07-9 % is lame in my book, but the problem or opportunity comes in the way the deal is presented to the hedge fund. \u00a0Do you think those HF managers know how to structure a deal for double\u00a0digit returns? \u00a0Do you think they’ll be able to short a 2nd or wipe out a 2nd through a Jr. Lien redemption? \u00a0Do you think they’ll be able to negotiate 0% seller financing to produce the double digit return? \u00a0How about coupling the deal with a lending model to make close to 35-45% returns? \u00a0I’m sure those HF managers are not smart enough or nimble enough. \u00a0 They can only look at the plain vanilla deals. \u00a0Those deals that put us to sleep.\u00a0<\/span>
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\n<\/span>So what? \u00a0So quit your complaining and get out there and work the models. \u00a0It’s hot market strategies right now. \u00a0That’s right – that means post-it notes in targeted areas. \u00a0That means better lists and better marketing. \u00a0Your cost per aqusiion might go up closer to $1650-1800 per deal, but the deals should also be getting a little better. \u00a0 Profits of 50k are becoming the norm (for the 150-200k market), so get out there and get to work. Most of my clients are seeing 20-30k on wholesale flip and that (last time I checked) should only take about 10-15 hours worth of work. \u00a0\u00a0<\/span>
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\n<\/span>That’ll make the Lexus payment this month.<\/span>
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\n<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

My investor friends keep asking me…..where are the deals?\u00a0 They are doing all the same old marketing\u00a0techniques: \u00a0probate,\u00a0bankruptcy\u00a0 divorce, foreclosure, out of area, free & clear, pretty house, ugly house, code violations, juniors, seniors, va’s, fha’s, hud’s, nod’s, fsbos, ups, and usp, and FBI. \u00a0 Nothing seems to be working that well. \u00a0Why? \u00a0Why is […]<\/p>\n","protected":false},"author":1,"featured_media":410,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"pagelayer_contact_templates":[],"_pagelayer_content":"","footnotes":""},"categories":[1],"tags":[],"class_list":["post-112","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized"],"_links":{"self":[{"href":"http:\/\/mn.arenter.com\/coach2\/wp-json\/wp\/v2\/posts\/112","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/mn.arenter.com\/coach2\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/mn.arenter.com\/coach2\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/mn.arenter.com\/coach2\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/mn.arenter.com\/coach2\/wp-json\/wp\/v2\/comments?post=112"}],"version-history":[{"count":1,"href":"http:\/\/mn.arenter.com\/coach2\/wp-json\/wp\/v2\/posts\/112\/revisions"}],"predecessor-version":[{"id":411,"href":"http:\/\/mn.arenter.com\/coach2\/wp-json\/wp\/v2\/posts\/112\/revisions\/411"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/mn.arenter.com\/coach2\/wp-json\/wp\/v2\/media\/410"}],"wp:attachment":[{"href":"http:\/\/mn.arenter.com\/coach2\/wp-json\/wp\/v2\/media?parent=112"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/mn.arenter.com\/coach2\/wp-json\/wp\/v2\/categories?post=112"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/mn.arenter.com\/coach2\/wp-json\/wp\/v2\/tags?post=112"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}