Matt Andrews

Making Offers That Don't Get Shot Down
by Matt Andrews

Making Offers For REI Deals

One of the most important skills you need to 
develop in this business is the ability to make
 offers. . . NOT just any offers, but offers that get accepted. Unfortunately, there’s no shortcut to acquiring
this skill. The only way you become good at
 this is to consistently make offers.

When you're starting out, it's expected to have 
offers turned down again and again. Just make
 sure you're taking note of the reasons 
your offers are getting rejected. 

Maybe you offered too low. Maybe you made 
a miscalculation on the repairs needed. Maybe
 you're leaving too little room for your buyers to 
breathe.

 You should take note of all these little things 
because, in the long run, this will create a clear guide on the kind of offers you 
should be making in your market.

Making The Initial Offer

When making offers, especially through emails,
 it is important to make things as easy as possible for the recipient. You do this by 
making sure all the necessary documents are 
included in your offer such as your proof of funds.

 Let's face it: it's a whole lot easier for sellers 
to say "yes" to your offer if you can show them
 right off the bat you got the goods to back it up, right?

Create some criteria and use it to determine
 your threshold for buying. For instance, decide 
that you will pay $50,000 TOTAL (initial investment +
rehab costs) for a 3 bed/2 bath block property 
and refuse to budge from this stance.

 Keep your emotions out of it! You will not be living 
in this house. It is strictly a moneymaker as far as 
you're concerned, so the floor plan should only 
matter from a "Will my prospective tenants like this?" perspective.

Stand Your Ground & Defend Your Offer

When the sellers or bank counters your offer (and they most 
likely will!), be prepared to defend your original offer 
if you're already at your threshold. I would suggest 
sensationalizing the inspection to work them down
 on price. For instance, have your contractor/handyman 
create an estimate that includes every single possible
 repair. Be sure the estimate reflects retail (read: inflated) 
pricing as opposed to the investor pricing that he
 typically gives you. Depending on the asset manager 
handling the file, this may impact their willingness 
to work with you on price.

At times you may find that you have a lot of competition 
on a particular property. If you get outbid, it may be 
worth your time to contact the investor who got it 
and see if you can work out a quick deal. 

Many times the other investor may want to flip it over
 to you for a quick $2k. If the numbers still work for you,
 you can move forward. If not, move on. But don't ever
 begrudge another investor when they make a profit. 
Just be happy for them and move on. You don't
 want them begrudging you if you're the one who
 closed a deal, right?

So start making offers today. The sooner you get 
started, the sooner you hone your skills.




Matt Andrews
Matt Andrews has bought, renovated, & sold hundreds of investment properties throughout the country. He is one of the most active and dynamic leaders in the Real Estate Investing world today.

Matt Andrews, along with his wife Lindsay, has developed a unique business model which allows him to flip properties and teach others to do the same from anywhere in the world. Matt's main focus is to show how Real Estate Investing can help you achieve true freedom in life.

"Money is NOT the most important thing in life", says Matt. "That's why I have worked to developed passive income to a level that I can now focus on the truly important things!".

Today, Matt and Lindsay Andrews are involved in numerous outreach efforts & they use their Real Estate "Freedom" to help people all over the world in their travels.


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Copyright 2002-2018 All Rights Reserved. Published with Permission of Author. No part of this publication may be copied or reprinted
without the express written permission of the Author and/or REIClub.com.

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