Finders fee for “guaranteed sale” program
Some agents are offering “guaranteed sale” programs to home owners
with equity in their houses. I’m sure you’ve all heard of where the
agent will purchase the house for 80-90% of market minus repairs
instead of putting the home in MLS. The programs seem to work well for
people who don’t want the hassle of placing their home on the market,
but are motivated to sell.
Are any of you investors involved in programs like this? I farm an
area that has a fair amount of fixer-upper properties and home owners
with equity. I’d like to be able to afford a line of credit that would
allow me to buy the home, but I can’t do that right now.
What do you think of offering a finder’s fee for home owners that this
may help? It would let me serve my farm clients while giving good
leads to an investor who wants to do rehabs or flips.
Dee
ANSWER
Dee,
You can go broke pretty fast buying properties at 80-90% of value (minus expenses) and reselling them. If you find deals at 70%, however, let me know, and I will pay you a referral fee or possibly even fund the project with you.
Phill Grove
