Correct Way To Approach A Seller Regarding Getting A Option On The Property Instead Of A PA
to those who have gotten an option on a property before, how do you get them to sign an agreement with you knowing fully well there is a chance you may not buy?
"In looking at this deal I'm not sure about a few things but can you give me 30 days (60,90, etc..) to see if I can make this happen?"
That sounds good to me but when the seller is looking to SELL, how do i convince them to work with me when i am not commiting to buy?
I mean what should i say to work the conversation up to the point where i can use the above sentence?
Verbatim
How about something like "This house doesn't meet my investment criteria. I do however have a list of people that are looking for homes in this area. Some of them might be interested in purchasing your house. I'll tell you what. If you and I can arrive at a mutually acceptable figgure, I could do an option on your property. If I sell it to one of my buyers, you agree that my price will be XX and what ever I can sell over that amount I will keep. If I don't find a buyer, you can sell the house, or even list the house with a realtor, just exclude me or my assigns. You're house stays on the market, and I only get involved if I find a buyer for it. Does this sound fair to you?"
does anyone have a pen and paper we should all write that down!
Verbatim,
Excellent question. I always wanted to know but would forget to ask
THAT,, mr jeff, is a great way into an option..i will certainly use this verbage..thanks a million..
regards-pat
...darn Jeff, that sounds just like the script I use to the sellers when i purchase on options. Great post!
jonesoe30,
So far nobody that responded is near you,
Maybe your still the smoothest person in town.
Thanks for the generous responses everyone.
Good Luck to all,
Jeff
Brilliant stuff! Thank you! - Dave
thanks alot jeff -- thats great
I always tell the seller I have qualfied buyers looking for properties in their area. I run an ad in the local weekly paper that has free ads for garage sales, items under $25.00, ect. I then get the PRE-QUALIFIED BUYER set up to see the house. The sellers and buyers are both happy.
in reply to your private message:
First of all you need to set up a network of people:
1) paper for ads
2) who will qualify the people
3)once you have that up and running go to the real estate meeting and network with other investors. Investors don't want to answer a hundred calls a week when only 40-45% are qualifed.
4) you must have qualified buyers, put them in catagories from 2-5 bedrooms and start marketing your buyers.
5) most investors are willing to give you your clients a chance
JUST MAKE SURE THE PERSON WHO IS QUALIFING THEM IS A KNOWLEDGEABLE BROKER!!!!!!!!!!
That is your most important tool to have
good luck
in reply to your private message:
First of all you need to set up a network of people:
1) paper for ads
2) who will qualify the people
3)once you have that up and running go to the real estate meeting and network with other investors. Investors don't want to answer a hundred calls a week when only 40-45% are qualifed.
4) you must have qualified buyers, put them in catagories from 2-5 bedrooms and start marketing your buyers.
5) most investors are willing to give you your clients a chance
JUST MAKE SURE THE PERSON WHO IS QUALIFING THEM IS A KNOWLEDGEABLE BROKER!!!!!!!!!!
That is your most important tool to have
good luck
[addsig]
thanks tinman for responding
Verbatim
Quote:
On 2004-01-18 11:25, jeff12002 wrote:
How about something like "This house doesn't meet my investment criteria. I do however have a list of people that are looking for homes in this area. Some of them might be interested in purchasing your house. I'll tell you what. If you and I can arrive at a mutually acceptable figgure, I could do an option on your property. If I sell it to one of my buyers, you agree that my price will be XX and what ever I can sell over that amount I will keep. If I don't find a buyer, you can sell the house, or even list the house with a realtor, just exclude me or my assigns. You're house stays on the market, and I only get involved if I find a buyer for it. Does this sound fair to you?"
That is only a few words off of what I say to the seller!!
I simply let the seller know that I have a very nice buyers list (I do) and I am always looking for houses for them...using the same wording as Jeff said above!!
I have confidence in myself getting the house assigned...Due to the homework I did on researching this deal and #'s before offering on the deal!!
Use that quote and you should have the seller sign on the dotted line
Thanks. I've been jotting down a lot of notes today. People have had excellent posts/questions and this is a great example.
carpediemi24 can you offer any advice on how to obtain a sizeable buyers list?
I like to be up front with the seller, that I am a real estate investor(problem solver)that i buy,hold,other word (control)with contract and sell it to agressive buyer"s.Yes good to have buyer's line up differ buyer for differ deal.
stardave(fl)
Please remind me again why the phrase "just exclude me or my assigns" is so important.
Thanks,
JohnMP
because you are being up front about the fact that you will be finding someone else besides yourself to buy the property. If the homeowner lists the property with a realtor, they will need to exclude that person from the listing. Since you don't know the name of that person yet, you instruct the homeowner to tell the agent to exclude you or your assigns. (The person you will be assigning your option to when you find a buyer)from the listing agreement. This way the real estate agent with the listing won't be in a position to collect a comission from the sale when you provide the buyer.[ Edited by jeff12002 on Date 01/21/2004 ]