Podcast appearances and mentions of earnest money

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Best podcasts about earnest money

Latest podcast episodes about earnest money

Cleve Gaddis Real Estate Radio Show
Real Estate Dictionary: Mutual vs. Unilateral Termination & Understanding "As Is" in Real Estate

Cleve Gaddis Real Estate Radio Show

Play Episode Listen Later Nov 4, 2024 12:01


In this episode of Go Gaddis Real Estate Radio, brought to you by Modern Traditions Realty Group, we dive into the “Real Estate Dictionary” to clarify two important terms that can impact your transaction: Mutual vs. Unilateral Termination and what “As Is” really means. We'll explore the implications of each for buyers and sellers, helping you understand the finer details of your real estate agreements. Segment Teaser: Ever wondered about the difference between Mutual and Unilateral Termination? Or what buying a home “As Is” really means? We cover these terms and more in today's Real Estate Dictionary segment. Cleve Gaddis: Helping listeners go from real estate novice to expert, ensuring that home selling and buying can be done with total confidence and without the usual worries of life's biggest investments. Let's Talk: Visit GoGaddisRadio.com to ask questions, leave comments, push back, share your ideas, and explore our Neighborhood Spotlight. Don't forget to subscribe to our podcast! Mutual vs. Unilateral Termination: Sherry from Canton asks about the difference between Mutual and Unilateral Termination of a real estate agreement and what happens to Earnest Money in each case. Cleve explains how these terms affect contract termination and funds distribution. Understanding “As Is” in Real Estate: Jennifer from Smyrna shares her experience of buying an “As Is” home and later discovering issues. Cleve clarifies what “As Is” means in a real estate context and discusses potential recourse options for buyers in similar situations. Join us for an educational episode filled with critical insights into real estate terminology, helping you navigate your real estate transactions with confidence. If you have a question for Cleve, click here : https://gogaddisradio.com/ask-a-question If you are looking to buy or sell your home with Cleve, click here : https://moderntraditionsrealty.net/contact If you are looking to join a real estate team, click here : https://moderntraditionsrealty.net/careers

Dawn Moore's Tip of the Week
Option and Earnest Money under Back-Up Contracts

Dawn Moore's Tip of the Week

Play Episode Listen Later Sep 19, 2024 4:26


Today, Blair dives into performance under a backup contract as the market starts to pick back up.

AZREIA Show
Real Estate Hustle: Insights from a Young Investor

AZREIA Show

Play Episode Listen Later Aug 23, 2024 49:46


Join Mike Del Prete, Executive Director of AZREIA, as he interviews Luke Careccia, a young real estate investor and entrepreneur. Discover how Luke entered the real estate world at 17, overcame personal tragedies, and built his career from door-to-door sales to successful real estate investments. Learn about the strategies Luke uses, including cold calling agents and focusing on educational growth. This insightful conversation also covers the nuances of the Phoenix market, financial management, and the importance of building long-term wealth. Tune in and gain valuable tips for aspiring real estate investors.   Key Takeaways: 00:30 Luke's Early Life and Tragic Loss 02:18 Starting a Career in Sales 02:53 Transition to Door-to-Door Sales 08:36 Lessons from Door-to-Door Sales 11:31 First Steps into Real Estate 13:48 First Real Estate Flip 17:46 Balancing Traditional Real Estate and Investing 21:59 Scaling the Wholesaling Business 25:33 The Importance of Earnest Money 26:02 Understanding Real Estate Contracts 27:20 Building Relationships with Real Estate Agents 28:07 Tips for New Real Estate Investors 30:53 Managing Real Estate Business Operations 39:54 Navigating the Phoenix Real Estate Market 44:44 Future Plans and Long-Term Strategies 46:42 Conclusion and Final Thoughts   Connect with Luke Careccia https://www.instagram.com/introduced.as.luke/   ---- The Arizona Real Estate Investors Association provides its members the education, market information, support, and networking opportunities that will further the member's ability to successfully invest in Real Estate. Join AZREIA here. Is a Career in Real Estate Right For You? Take AZREIA's Real Estate Investing Entrepreneurial Self-Assessment at  

The Mobile Home Park Broker's Tips & Tricks To Investing
The MHP Brokers Tips and Tricks Podcast Summarizing The Mobile Home Park Broker's Sellers Guide

The Mobile Home Park Broker's Tips & Tricks To Investing

Play Episode Listen Later Aug 23, 2024 80:06


In this episode of The MHP Broker's Tips and Tricks podcast, Maxwell Baker, founder and CEO of The Mobile Home Park Broker, will discuss the company's Sellers Guide, a book he authored with valuable advice for selling mobile home communities.  As with every Tips and Tricks podcast episode, this one is brought to you by The MHP Broker's proprietary Community Price Maximizer. Use this four-step system to get the highest price possible for your mobile home park or RV community when you sell it through The MHP Broker. Guaranteed. Call Max for details. Here Are the Show Highlights: Max overviewed and read directly from the book he wrote to help mobile home community sellers recognize and avoid disastrous obstacles, bad decisions and sleazy buyers and brokers. (Max, 0:22) You'll learn how to pick the right broker and dodge the wrong ones. Here's how Chapter One starts. (2:03) Chapter One of the Sellers Guide starts by highlighting the importance of knowing the value of your park before it goes on the market. It can be equally disastrous if you price it too high and drive buyers away, or leave money on the table by pricing too low. Make your park as attractive as possible before it goes on the market by improving the infrastructure, cleaning up books and records, and making other changes that improve curb appeal and heighten buyer interest. The better the the condition of your financial records, and the more data you have, and can show interested buyers and their lenders, the more money you'll make. Also, keep up the reputation of your community. Get rid of the riffraff. No one wants a park where the police are called in nightly, (2:35) It might be tempting to do a lot of cash business as you run your park, keeping your tax responsibilities low, but that will bite you in the ass when you go to sell your park and it looks, by the records you do release, like the park made very little money. So keep clean, honest books, pay your taxes, and make more when you sell your park. Buyers and lenders want to see receipts and deposit slips as proof of what you say you make. (5:00) The less risk for the buyer the better when it comes to sewer and utilities. Septic systems can go bad and have to be expensively replaced. City water and sewer and roads are always a prime attraction in a sale because these responsibilities can be ignored by the new park owner. (10:13) Max frequently gets emails from rookie investors looking for 10 percent CAP deals, and he laughs them off. 10 CAP deals go off the market very quickly, and not to newbie buyers. Get realistic. Also, the least desirable parks are those with lagoons or privately owned sewage treatment plants. (11:30) When it comes to park-owned homes on your property, institutional lenders don't like to see many. Community lenders, on the other hand, are more generous. Institutional lenders generally like to see no more than 15-25 percent of homes to be park-owned, though it can sometimes go as high as 30 percent. Park-owned homes can also be a stumbling block for buyers. Many don't want the responsibility of having to keep up with maintenance and repairs, and would rather have a park full of tenant-owned homes. (12:27) The most valuable communities are those where the city owns and maintains all of the roads, and the water and electric utilities are direct billed. Dirt roads command the least respect by buyers, but it's helpful if at least those dirt roads are owned and maintained by the city. (13:32) Your buyers are also going to be very interested in knowing about your park management. Do you have someone on site? Will they want to stay on for the new owners? Some buyers prefer to install their own professional management team, but it's a subject of critical importance during negotiations. This is where the topic of park-owned is back in the conversation. If you have a lot of park-owned homes, buyers think they'll have to have someone on-site for a lot of repairs and maintenance. If it's mostly tenant-owned homes, they might feel more confident that it's more of a turnkey operation nd they can operate the park from afar. At any rate, be ready to discuss the management situation. (14:17) Chapter Two of the Seller's Guide is about some common mistakes park sellers make. First of these is to miscalculate expense ratios. Unless your park is big on such hands-off features as direct billing of utilities, and city-owned roads, your expense ratio is probably in the neighborhood of 30 to 40 percent. (17:47) Another leading mistake this chapter points out is the failure to prepare the park for sale at the highest possible price. You want to put it in its best light possible, even if it's just a matter of cutting the grass, getting rid of debris, and patching potholes if you own the roads. This cleanup might not be as important if your park sits in the middle of a retail center and your prospective buyers are all developers who plan to tear the park down and redevelop the space. Otherwise, basic cleanup can put thousands of additional dollars in your pocket that you'll miss otherwise. (19:10) Big seller mistake #3, according to Max's book, is not being honest and straightforward with your management team about your plans to sell the park. Your on-site manager is at the heartbeat of the community. Everyone knows them, and you don't want this person spreading rumors or bad vibes. Buyers can smell turmoil in a community, and they want no part of it. They also don't want an on-site manager who might be pissed off and leave right after the deal closes. (22:16) Another mistake can be doing business with Wall Street “wheeler-dealers” without having a broker like Max and his people on your side. Max made this point with an anecdote about an Alabama park seller who asked him to review a deal by Wall Street types. The buyer was demanding 120 days due diligence that wouldn't even start until the seller turned in a load of requested paperwork that could take 30 days to acquire. The lesson here, according to Max, was to not try to deal with the highly educated Wall Street types without having someone on your side who understands your culture, speaks your language, and knows how to run a deal that's fair to the sellers. (25:29) Once the Alabama seller dumped the Wall Street guys who wanted to close in something like 180 days, Max was able to get them a buyer who closed in 45 days. (29:31) The next big mistake sellers make is neglecting to formulate an exit strategy. They're going to get a lump sum of cash, and it's in their best interest to be able to keep as much of it as possible. That means knowing how to invest that lump sum and reduce your tax load as much as legally possible. Max works with, and can put you in touch with, tax experts who can help you negotiate your state and federal tax load. (30:27) Another big mistake park owners make is with insurance. They might carry too much homeowners insurance on old homes worth no more than $5,000. On the other hand, they won't have liability insurance, which can leave them liable for getting sued for a dog that bites someone, or someone wanders into the community and gets hurt. Rethink your insurance coverage. (32:42) Chapter Three of the Sellers Guide is about how to cash in on your financials. Keep good books, is the bottom line. Have at least two years of tax returns you can show a buyer or lender, and at least eight to 12 months of rent deposits. To illustrate this point, Max told of a seller in mid-Georgia who “didn't like to pay taxes.” He also didn't deposit rent checks. He had a nice, tidy park, but zero financials. The only interested buyer said he wanted a six-month close. During those six months, he wanted the seller to deposit rents in a bank so he could prove the revenue generated. During this very long closing, COVID took place, the buyer's partner left, and the deal fell through. The lesson: have your financials clean and lined up, ready for inspection. AND PAY YOUR TAXES! (41:21) Another mistake with financials that sellers make is in not keeping the titles for the mobile homes they own. Typically, a community bank is going to want to see the title for every park-owned home in the deal. For some reason Max doesn't fully understand, big institutional lenders tend to care less about those titles. Max can usually still get the deal done if you don't have titles, but it could be more of a hassle than you need. (44:33) Owner financing can be a very good thing for sellers. For one thing, they can get a better price. It's worth the extra money for the buyer, who gets to avoid the multiple hassles of getting loan approval from a bank or other commercial lender. (47:03) Max can show sellers how to put together a good owner financing deal, at slightly higher than market interest rate with 20-50 percent down. (48:21) Chapter Four is on tips to prep your park to maximize your sale price. First impressions are critical, so make sure your community is as aesthetically pleasing as possible. Such niceties as landscaping and freshly paved roads do matter. (50:46) Replace and install skirting around your homes and pressure wash the gunk off them. Get rid of rust spots on metal roofs. (52:22) Max points to a park in Birmingham, Alabama. It was an ideal community in a lot of ways: city-owned roads, city water and sewer, etc. But the grass was overgrown, the park sign was old and hidden in vegetation, there was moss on the homes. Max recommended a series of improvements, but the next time he came by almost none of them had been done. The owner said he was old and just wanted out. So Max sold the place as is. It was a park worth $1 million, but he got only about $800,000. For, at most, less than $25,000 in general cleanup and improvement costs, the retiring owner lost about $200,000 in sale price. Not very smart. (54:29) The title of the next book section is, “Appraisers and Buyers are Eagle-Eyed.” In addition to looking at the financials and curb appeal, bank appraisers look at sale comps–what similar properties are selling for in the market. That's why Max's company stays current on sale and rent prices and can provide lenders with the information they need to evaluate sale price. This is a valuable selling tool. (56:04) In Chapter Five, Max has indicated five kinds of buyers (including one to be avoided at all costs.) This includes The Turnkey Buyers…they want deals where they won't be needed day to day because on-site management is in place, as is direct billing, high occupancy, etc. But they'll pay for that hands-off ease, so they're good buyers. Retirees…are looking for a good place to live, as well as a business. Your park will be appealing to them if it's in the Sun Belt and a quiet community. Value-Add Buyers….want properties that they can get for a bargain because the parks need work. These are often in secondary or tertiary locations. They're good buyers to find if you basically want out without doing a lot of work to maximize profit, but others go around all the time making inadequate offers on properties, which makes Max think of them as time vampires because they just suck the time right out of you. First-Time Buyers…these buyers might have gone to seminars and are trying to work “no money down” deals. They often have little or no money, so they can be tough to work with. (1:00:39) Scam Artists are, by far, the worst type of “buyers.” Max has a database of these individuals and he actually labels them as “Scam Artists.” These people never put up earnest money, they make big promises and have no intention of delivering. Max and his brokers immediately recognize these people, which is yet another reason you need The MHP Broker, to help you avoid wasting time with Scam Artists. The Max team can also immediately identify other buyers by type, and know how to relate to each. (1:01:10) Chapter Six of Max's book deals with the risks of trying to sell your park by yourself. You need a professional, extending professional guidance and mediator services when you sell. We can direct your community to the right kind of buyer and be able to tell you whether or not a buyer is legit. We're professional negotiators who can help you get the optimal price for your community. (1:03:21) One section of Max's book, “Mythbusters” blows up the myth that you, the park owner, can easily sell your own property and make more money than if you hire a broker. In truth, you might be left vulnerable to wheeler-dealers or scam artists who can leave you hundreds of thousands of dollars shy of what you should be able to sell our park for. (1:08:06) Chapter Seven deals with how to get the RIGHT broker for your deal. Hiring a specialist is always your best option. In other words, a real estate agent who only deals with mobile home parks as opposed to one who might sell commercial real estate or traditional homes. This market is unique, and it needs someone with a unique skill set and area of experience and expertise. Max has, over his 15 years of experience, identified several versions of the WRONG broker: the Wheeler-Dealer Brokers…they're fast talkers who come across as untrustworthy sales guys. Then there's the brokers who promise you an unrealistically high sale price, one that's nowhere near what the market will bear, just to get the listing.  The Brokers Who Buy Listings…want to get your listing at any cost. They don't care if it doesn't sell, because they're using your listing to get more listings. They just want to look busy in their marketplace. (1:11:04) Max has also identified so-called National Brokers…those who say they operate all over the country–and they might–but they don't have a clear idea of where your market rate is at. If you're in rural Georgia, you have no interest in what mobile home parks are going for in Boulder, Colorado. Maybe the worst broker is…The Ghost Broker…that's the one who basically disappears as soon as your property goes under contract. It's as though this broker's job was to get the listing..not to actually sell the property. That's hard work. (1:13:30) And finally, there's The MHP Broker…These guys have researched the entire state and found out where rents are at, and have identified the most active buyers. They set realistic sale expectations and stay engaged once your property goes under contract. The MHP Broker stays two steps ahead of all situations on your deal, so we can put out any potential fires before they even happen. This broker will advise you to possibly make improvements to increase your price and lower the park's perceived risk profile. Finally, your The MHP Broker team has connections with most, if not all, of the local lenders who will finance the deal in transaction for you. This brokerage team only deals with mobile home and RV parks, and is a one-stop shop for anything related to this industry's marketing and sales because we do it every damn day. (1:14:20) The book's next section is called “Thinking Regional.” It's here where we present the way we do business, with the regional data that matters to you when reaching for an optimal price. We crunch numbers to see what the local economy is like, employment, culture, and the mood on the ground. All that and a lot of other numbers that help us set optimal sale price strategy. 1:15:25) “Thank you for listening to this summary of my book,” says Max Baker, signing off of Sellers Guide. (1:17:46) Are you thinking of selling your mobile home community? @Would you like to get optimal price–guaranteed. Reach out to Max Baker at The Mobile Home Park Broker, (678) 932-0200. You can also drop us a line at info@themhpbroker.com. While you're at it, ask for your free copy of our Sellers Guide. Power Quotes in This Episode: Failing to research a plan and exit strategy can spoil your future or leave you vulnerable to excess taxation.” (30:27) “The more information you have, the higher the price you're going to get.” (35:56) “...appraisers look at your property much like buyers. They'll examine the local lot rent and their sales comps. They're going to look for curb appeal and for what the park's first impressions would be due to its current appearance. (56:04) “We do come across bad eggs (among competitive brokers) every once in a while, we label them as Scam Artists in our actual database. We all know that every industry has them. These people do things like re-trade deals for no reason right before closing, never deposit Earnest Money, make big promises with no intention of delivering. (1:01:10) “We have the ability to ask the right questions, interpret prospective buyers' answers, and gear the marketing of your community to a certain type of buyer.” (1:03:21)          

True Tales From Old Houses
137: Minisode The Cottage Sale - It Ain't Over 'til It's Over

True Tales From Old Houses

Play Episode Listen Later Jun 24, 2024 33:10


In this week's episode, Stacy tangles with TSA, and Daniel inches closer to selling the cottage.  First, Stacy and Daniel discuss Stacy's recent trip to Florida and her airport mishaps. Then, they move on to Daniel's cottage update, including the process of accepting an offer and the potential for the buyer to back out before signing the contract. They also compare their experiences with buying houses and the differences in the process. The conversation ends with their thoughts about the importance of maintaining a good relationship with the buyer.  Next, Stacy and Daniel discuss Daniel's plans for the extra money he will have after selling the cottage. Daniel's first plan is to pay off his debts, which will provide a sense of relief. He also wants to invest in his current house by adding air conditioning, which will increase the value and improve his comfort.  Finally, they talk about different options for air conditioning, including conventional HVAC systems, heat pumps, mini splits, and high-velocity systems. They also touch on the challenges of retrofitting an old house with air conditioning. The conversation ends with Stacy expressing her excitement for Daniel's upcoming house sale. WE LOVE OUR SPONSORS The Window Course from Scott Sidler of The Craftsman Blog - For 10% off The Window Course, use the coupon code truetales. Sutherland Welles - Maker of exceptional polymerized tung oil finishes since 1965. To save 10% on your first order, use the coupon code truetales. Chapters 00:00 Airport Mishaps 02:24 Cottage Update 07:01 Accepting an Offer - There are no guarantees! 09:26 Buying Houses 17:22 Paying Off Debts and Finding Relief 19:09 Investing in Home Improvements: Adding Air Conditioning 20:31 Exploring Air Conditioning Options for Old Houses 23:26 Challenges of Retrofitting an Old House with Air Conditioning

Financial Residency
Mortgage Minute - Understanding Earnest Money Risks: A Must for Homebuyers

Financial Residency

Play Episode Listen Later Jun 18, 2024 4:56


This episode is brought to you by Equity Multiple. Dedicated to assisting physicians in simplifying their investment journey, Equity Multiple enables passive investment in vetted, professionally managed commercial real estate. Learn more at www.equitymultiple.com. In this episode of the Mortgage Minute, host Doug Crouse discusses crucial aspects of real estate contracts that can jeopardize your down payment, with a focus on earnest money. Learn why earnest money isn't always refundable and the risks involved in waiving loan contingencies.  Doug provides essential tips to protect your earnest money and navigate the home-buying process more securely. Tune in to ensure you're making informed decisions when buying a home. If you have questions, Doug is available at DougCrouse.com

Cleve Gaddis Real Estate Radio Show
Insights into Georgia Real Estate: From Monumental Developments to Earnest Money Explained

Cleve Gaddis Real Estate Radio Show

Play Episode Listen Later Jun 3, 2024 12:00


Join Cleve Gaddis on another enlightening episode of GoGaddis Real Estate Radio, where we delve into the latest updates and essential information shaping the Georgia real estate landscape. From exploring the Peach State's first national monument to unraveling the intricacies of earnest money, this episode offers valuable insights and expert guidance to empower both buyers and sellers. Tune in as we navigate the dynamic world of real estate with clarity and confidence. Segment Introduction: Welcome back to GoGaddis Real Estate Radio, your go-to source for expert insights and practical advice on all things real estate. In today's segment, we'll be diving into the latest developments in Georgia's real estate market, including the unveiling of the Peach State's first national monument and a comprehensive guide to earnest money. So sit back, relax, and let's embark on this insightful journey together! Metro Atlanta Real Estate Update: Cleve kicks off the segment by providing listeners with a comprehensive update on the Metro Atlanta real estate market for the past month. From trends in housing inventory to fluctuations in home prices, Cleve offers valuable insights to help buyers and sellers stay informed and make well-informed decisions in today's competitive market. Unveiling Georgia's First National Monument: Transitioning to statewide developments, Cleve shines a spotlight on Georgia's historic milestone—the unveiling of its first national monument. He explores the significance of this landmark achievement, its impact on local communities, and the broader implications for Georgia's cultural heritage and tourism industry. Cleve's expert analysis provides listeners with a deeper understanding of the state's rich history and ongoing efforts to preserve its legacy. Understanding Earnest Money: Moving to the intricacies of real estate transactions, Cleve demystifies the concept of earnest money and its role in homebuying. He explains the purpose of earnest money as a good faith deposit and addresses common misconceptions about its refundability. Cleve offers practical advice on how buyers can protect their earnest money and navigate potential scenarios where it may be at risk. Listener Questions and Expert Answers: Cleve addresses listener questions on both topics, providing clear and insightful answers to demystify earnest money and offer guidance on navigating real estate transactions with confidence. From understanding the nuances of earnest money contracts to exploring strategies for safeguarding one's investment, Cleve empowers listeners to make informed decisions and protect their interests throughout the homebuying process. Closing Thoughts: As the segment draws to a close, Cleve reflects on the valuable insights shared and encourages listeners to stay informed and proactive in their real estate endeavors. He emphasizes the importance of seeking expert guidance and staying abreast of market developments to make informed decisions and achieve their real estate goals. With Cleve's expertise as a guiding light, listeners are empowered to navigate the complexities of real estate transactions with clarity and confidence. Closing Segment: Thank you for joining us on another enlightening episode of GoGaddis Real Estate Radio! Be sure to visit our website and subscribe to our podcast for more expert insights, practical tips, and engaging discussions on all things real estate. Until next time, happy homebuying and happy selling! If you have a question for Cleve, click here : https://gogaddisradio.com/ask-a-question If you are looking to buy or sell your home with Cleve, click here : https://moderntraditionsrealty.net/contact If you are looking to join a real estate team, click here : https://moderntraditionsrealty.net/careers

The Reality of Real Estate with Chris and Bri
"From Earnest Money to HUD Homes: A Comprehensive Guide to Real Estate Costs"

The Reality of Real Estate with Chris and Bri

Play Episode Listen Later Mar 11, 2024 28:17 Transcription Available


Ever felt like real estate expenses have a life of their own, creeping up when you least expect them? That's what we're tackling head-on with Christopher Lynch and Brianna Lehmann in our latest podcast episode. Get the lowdown on everything from earnest money deposits to the often-invisible costs like home inspections. We're all about transparency here, and you'll learn how to navigate those out-of-pocket surprises that leave many buyers reeling. Plus, we delve into regional variances that can make or break your earnest money expectations.Join us as we break down the nuts and bolts of home inspections and closing costs, with a clear-cut discussion led by our industry experts. Chris and Brianna don't just throw numbers at you; they explain the reasoning behind the costs of additional inspections and why some fees are non-refundable, with earnest money occasionally bucking that trend. Not all lenders are created equal, and we examine the nuances of lender credits towards closing costs, alongside the ins and outs of appraisal charges that can swing wildly depending on your chosen abode. Brokerage fees—those pesky, elusive beasts—are also put under the microscope, revealing when you can negotiate or even skip them altogether.Wrapping up this robust discussion, we shed light on the maze that is home buying programs. Qualifying can be as much a test of patience as it is of your finances, but we've got the scoop on how to navigate those waters. Hear a firsthand account of a buyer's journey through closing on a HUD home with the remarkable HUD's $100 down option, proving that government-owned properties might just be your ticket to homeownership. Don't miss out on our upcoming real estate Instagram post where we'll share a resource sheet and a blank contract—because knowledge is power, and we're here to empower you. Keep chasing that American Dream and remember, we're just an Instagram message or email away for all your real estate queries.YouTube: https://www.youtube.com/@LucasLiveMediaInstagram: https://www.instagram.com/realityofrealestatepodcast/Email: Brianna Lehman- blehmanrealtor@gmail.comEmail: Christopher Lynch- Christopher.Lynch@ccm.com

Ron and Don Radio
Episode #689 - This is how earnest money works and how to leverage it.

Ron and Don Radio

Play Episode Listen Later Mar 1, 2024 17:16


===  Sign up for the Ron & Don Newsletter to get more information at www.ronanddonradio.com ==== To schedule a Ron & Don Sit Down to talk about your Real Estate journey, go to www.ronanddonsitdown.com  ==== Thanks to everyone that has become an Individual Sponsor of the Ron & Don Show. If you'd like to learn more about how that works: Just click the link and enter your amount at https://glow.fm/ronanddonradio/ RonandDonRadio.com Episodes are free and drop on Monday's , Wednesday's & Thursday's. From Seattle's own radio personalities, Ron Upshaw and Don O'Neill. Connect with us on Facebook Ron's Facebook Page Don's Facebook Page ==== --- Support this podcast: https://podcasters.spotify.com/pod/show/ronanddonradio/support

The Amputee Investor
Q&A From One of Our RELCom Facebook Members | All about earnest money

The Amputee Investor

Play Episode Listen Later Feb 29, 2024 31:22


If you need help funding your earnest money, reach out to my team at info@risenrei.com or text 706-814-2821. This episode is all about how to deal with earnest money whether you are wholesaling or buying real estate.If you want access to all of the resources I provide to accelerate your business, like virtual assistants, community Facebook group, help setting up your LLC's, software and more, head over to mylesberriogo.com.Your fellow amputee investor Myles,God blessmylesberriogo.comYour fellow amputee investor Myles,God blessmylesberriogo.com

The DealMachine Real Estate Investing Podcast
089: 16 Tips for Making $22,000 with Ethan Wadsworth

The DealMachine Real Estate Investing Podcast

Play Episode Listen Later Dec 25, 2023 37:26


Ethan Wadsworth shares his journey in real estate wholesaling, starting with his first wholesale deal and transitioning from the financial side of the industry. He discusses finding deals through marketing strategies, targeting specific properties, and analyzing after repair value (ARV). Ethan also shares his negotiation tactics and how he calculates offers. He explains the process of selling wholesale properties and building a network of buyers through personal connections and joint ventures. Ethan emphasizes the importance of finding distressed properties and leveraging option periods. He concludes by highlighting the benefits of wholesaling and the freedom it offers. Takeaways • Wholesaling can be a profitable entry point into real estate investing, allowing for quick profits and minimal risk. Marketing strategies, such as cold calling and social media, can be effective in finding distressed properties and motivated sellers. • Analyzing ARV and calculating offers are crucial skills in wholesaling, and tools like Propelio can assist in determining property values. • Building a network of buyers and joint venturing with other wholesalers can help in selling wholesale properties and expanding business opportunities. • Leveraging personal connections and word-of-mouth referrals can lead to valuable deals and partnerships in the real estate industry. Chapters 00:00 Introduction and First Wholesale Deal 02:05 Transition to Wholesaling 03:21 Finding Deals and Marketing Strategies 05:18 Targeting Properties and Analyzing ARV 06:18 Negotiating and Making Offers 08:30 Calculating Offers and ARV 11:25 Selling Wholesale Properties 12:55 Building a Network and Joint Ventures 14:35 Finding Buyers and Joint Ventures 17:09 Finding Deals through Social Media 18:50 Leveraging Personal Connections 20:22 Finding Buyers through Personal Connections 23:07 Finding Distressed Properties 25:14 Earnest Money and Option Periods 28:37 Transition from Financial Side to Real Estate 33:45 Benefits of Wholesaling and Conclusion David's Social: @dlecko https://www.dealmachine.com/pod

Colorado Real Estate Podcast
What to Know About Earnest Money in Colorado

Colorado Real Estate Podcast

Play Episode Listen Later Oct 4, 2023 16:14


In this episode of the Colorado Real Estate Podcast, hosts James Carlson and Erin Spradlin discuss what an earnest money deposit is and when can you get it back during real estate deals in Colorado. Also, the Colorado Springs Reddit page is a useful resource for those wanting to know more about Colorado's second biggest city. Finally, Bread & Butter is the Colorado Springs' coolest downtown market. For more information visit https://www.erinandjamesrealestate.com

The RV Park Mastery Podcast
Non-refundable Earnest Money? Just Say No

The RV Park Mastery Podcast

Play Episode Listen Later Sep 8, 2023 9:40


The standard construction of an RV park purchase contract is for the buyer to put up refundable earnest money, subject to the findings of due diligence and financing. However, some sellers and brokers will float the idea to you of that earnest money being non-refundable on day one. In this RV Park Mastery podcast we're going to drill down on this concept and why it's always a bad idea for the buyer.

Palmetto Street Church of God

In this message, Pastor Steve Byrd is speaking a message entitled "Earnest Money". This sermon was recorded on July 19th, 2023 at our main campus in Florence, SC Support the show

Global Investors: Foreign Investing In US Real Estate with Charles Carillo

Welcome to Strategy Saturday; I'm Charles Carillo and today we're going to be discussing what is Earnest Money in Real Estate. Earnest money is an important part of making an offer on a property. In this episode, Charles discusses what earnest money is, and why it shows the seller that you are serious.   Connect with the Global Investors Show, Charles Carillo and Harborside Partners: ◾ Setup a FREE 30 Minute Strategy Call with Charles: http://ScheduleCharles.com ◾ FREE Passive Investing Guide: http://www.HSPguide.com ◾ Join Our Weekly Email Newsletter: http://www.HSPsignup.com ◾ Passively Invest in Real Estate: http://www.InvestHSP.com ◾ Global Investors Web Page: http://GlobalInvestorsPodcast.com/  

Decoding Real Estate in Baldwin County AL
Earnest Money Deposits: What You Need To Know

Decoding Real Estate in Baldwin County AL

Play Episode Listen Later May 24, 2023 19:48


When you make an offer on a home, you'll likely be asked to make an earnest money deposit, also known as good faith money that shows the seller you are serious about buying the home. It is usually 1 to 3 percent of the purchase price. It's important to understand the terms before you sign the contract.

Financial Residency
Mortgage Minute: What is earnest money and how does it affect my mortgage?

Financial Residency

Play Episode Listen Later Apr 25, 2023 4:43


Doug talks about putting down earnest money. Can you get that money back at closing? Can you apply it to fees associated with your loan, such as paying for taxes, insurance or an appraisal? What if I have gift money from family or a credit from the seller? Be sure to listen to today's episode to find out! For a free copy of Doug's book on buying a home, go to www.DougCrouse.com. 

Creating Wealth through Passive Apartment Investing
EP#332 Rapid liquidity for investors with earnest money ft. Zalman Zahavi

Creating Wealth through Passive Apartment Investing

Play Episode Listen Later Apr 25, 2023 20:17


Zalman is the Founder of Earnestly, a fintech company that aims to change the way earnest money deposits are received and perceived in commerce.Key Highlights- Earnest money option- Birth of Earnestly- Sourcing funds for deals- Risks associated with and mitigating them- Due diligence of the sponsors- It's time to get real with evaluationsFollow Rama on socials!LinkedIn | Meta | Twitter | InstagramConnect to Rama KrishnaE-mail: info@ushacapital.comWebsite: www.ushacapital.com Register for this year's Multifamily AP360 virtual conference - multifamilyap360.com

R.E.A.L. with Matt and Katie
What is Earnest Money and what Happens to it at Closing?

R.E.A.L. with Matt and Katie

Play Episode Listen Later Mar 21, 2023 2:07


What is earnest money? How much is it and what happens to it at closing? Do you need to have any more money available upon accepted contract? Dana and Ryan talk through this very important piece of the Arizona Real Estate Purchase Contract. Connect with Dana: https://danawilson.exprealty.com/holp/app Connect with Ryan: https://www.waterstonemortgage.com/originators/ryan-gilliam Follow us on You Tube for 2-4 Minute Tip Tuesday, The Neighborhood News, Housing Market Updates, Tips for Buyers and Sellers and More! https://www.youtube.com/channel/UCIUKDII6v8bYuU23Tay9q3A Here are some free "goodies"

Dawn Moore's Tip of the Week
Refresher on earnest money, option fee and the importance of delivering funds

Dawn Moore's Tip of the Week

Play Episode Listen Later Mar 2, 2023 4:19


Today, Blair discussed the difference between earnest money and option fee, the time periods to deliver funds and the consequences for not delivering funds in both a primary and back up contract.

Flipping Mastery Podcast
How to NOT Pay Earnest Money When Making Offers on Deals

Flipping Mastery Podcast

Play Episode Listen Later Jan 30, 2023 3:43


In this podcast, you'll learn how to NOT pay earnest money when making offers on deals.Get paid $10,000 to find deals:https://flippingmastery.com/10kpodThis podcast was originally released on YouTube. Check out Jerry Norton's YouTube channel, with over 1000 videos on all things wholesaling and flipping! https://www.youtube.com/c/FlippingMasteryTVAbout Jerry Norton Jerry Norton went from digging holes for minimum wage in his mid 20's to becoming a millionaire by the age of 30. Today he's the nation's leading expert on flipping houses and has taught thousands of people how to live their dream lifestyle through real estate.   **NOTE: To Download any of Jerry's FREE training, tools, or resources… Click on the link provided and enter your email. The download is automatically emailed to you. If you don't see it, check your junk/spam folder, in case your email provider put it there. If you still don't see it, contact our support at: support@flippingmastery.com or (888) 958-3028.  Wholesaling & House Flipping Software: https://flippingmastery.com/flipsterpodMake $10,000 Finding Deals:  https://flippingmastery.com/10kpodGet 100% funding for your deals!https://flippingmastery.com/fspodMentoring Program:https://flippingmastery.com/ftpodFREE 8 Week Training Program https://flippingmastery.com/8wpodGet Paid $8700 To Find Vacant Lots For Jerry:https://flippingmastery.com/lfpodFREE 30 Day Quickstart Kithttps://flippingmastery.com/qkpodFREE Virtual Wholesaling Kit:https://flippingmastery.com/vfpodFREE On-Market Deal Finder Tool:https://flippingmastery.com/dcpodFREE Wholesaler Contracts:https://flippingmastery.com/wcpodFREE Comp Tool:https://flippingmastery.com/compodFREE Funding Kit: https://flippingmastery.com/fkpodFREE Agent Offer Sheet & Scripts: https://flippingmastery.com/aspodFREE Cash Buyer Scripts:https://flippingmastery.com/cbspodFREE Best Selling Wholesaling Ebook:https://flippingmastery.com/ebookpodFREE Best Selling Fix and Flip Ebook:https://flippingmastery.com/ebpod FREE Rehab Checklist:https://flippingmastery.com/rehabpod LET'S CONNECT! FACEBOOK http://www.Facebook.com/flippingmastery INSTAGRAM http://www.instagram.com/flippingmastery 

Get Rich Education
433: Beginner's Guide to Real Estate Investing

Get Rich Education

Play Episode Listen Later Jan 23, 2023 65:35


Learn the beginner's mistakes to avoid. Is setting up a real estate LLC even worth it? Learn how to build the right credit score for a mortgage loan, including why you actually don't want a score over 800. If a cash flowing property is so great, why would anyone sell it to you? I outline a myriad of reasons. Should you make a lowball offer to a real estate seller? Learn negotiation techniques. Earnest money procedures are covered. The real estate buying process is slow. From the time that you make the offer, it can often take over 30 days to close the deal. Once your offer is accepted, I recommend a professional third party inspection. It can cost you $300 to $500 for a single-family income property up to $1,000 for a fourplex inspection. I cover property appraisals and how they verify the quality of the bank's collateral. Learn how to get a good feel for your property manager and what their duties are.  I discuss the Management Agreement between you and your manager. Be sure to tell your insurance provider that this is a rental property, not your primary residence. A mobile notary meets you at your home, workplace, airport, or even a restaurant in order to complete the paper-and-ink closing process. This wraps up the deal. Get started with income property at: GREmarketplace.com. For free coaching to help get you started, contact our free Investment Coach, Naresh, at: GREmarketplace.com/Coach Resources mentioned: Show Notes: www.GetRichEducation.com/433 Get mortgage loans for investment property: RidgeLendingGroup.com or call 855-74-RIDGE  or e-mail: info@RidgeLendingGroup.com Analyze your RE portfolio at (use code “GRE” for 10% off): MyPropertyStats.com  Memphis property that cash flows from Day 1: www.MidSouthHomeBuyers.com I'd be grateful if you search “how to leave an Apple Podcasts review” and do this for the show. Top Properties & Providers: GREmarketplace.com Best Financial Education: GetRichEducation.com Get our wealth-building newsletter free—text ‘GRE' to 66866 Our YouTube Channel: www.youtube.com/c/GetRichEducation Follow us on Instagram: @getricheducation Keith's personal Instagram: @keithweinhold   Welcome to GRE! I'm your host Keith Weinhold, here to help BEGINNING Real Estate Investors Today.    The biggest beginner mistakes to avoid, when you make an offer - can you lowball a turnkey provider, and all those buyer steps like LLCs, mortgage pre-approval, inspection, appraisal, and closing. Today, on Get Rich Education. _____________________   Welcome to GRE. From Athens, Greece to Athens, Georgia and across 188 nations worldwide. The voice of REI since 2014.    This is Get Rich Education Podcast episode 433 - and this is your Beginner's Real Estate Investing Audio Guide. Hi, I'm your host Keith Weinhold.   We're talking about how to get into long-term buy & hold RE investing - and that's because it's the most generationally-proven way to build wealth.   First, let's talk about a couple of the biggest mistakes that real estate investors make - it's being invested in only one geographic market. Often, that's the market that they just happen to live in.    There is more risk with being in only one market than most realize, because you're now tied to the fortunes or misfortunes of just one area's economy.   Another substantial, common real estate investor mistake is that they continue to hold onto one - I'll call it - special - property in their portfolio that they usually need to get rid of - but they have either sentimental ties to it - or they just hold onto it for convenience, and do you know what that property is?   I'm actually talking about a specific property here.   It's the home that YOU YOU USED TO LIVE IN yourself. Well, what's wrong with renting out the home that you used to live in yourself?    You might still have the preferable owner-occupied financing locked in on that one - and afterall, that's a better rate than you could get on a non-owner-occupied rental.   The problem is that the property probably doesn't perform BEST as a rental.   But you might be clearing, say $600 per month by using your former primary residence as a rental today.    Look, for you, it's often about the cash flow - and yes, it is about the cash flow.    But there's something even more important than cash flow - that's because nearly any property will cash flow if the loan were paid off.   That's why it's really more specifically about the rent-to-price ratio of a property.   If you're renting out the home that you used to live in, and it wasn't strategically bought as a rental, if your rent-to-price ratio is 0.4%, meaning that for every $100K in value it has, you're only getting $400 of monthly rent income, then you're losing cash flow dollars every year - and every month.   Look, let's give a real life example of the .4% RV ratio. Say that you can get $2,000 rent out of that $500K property that you used to live in.    But instead, three $150K homes bought strategically as rentals can have a combined rent income of $3,000.    So it's either one $500K property at $2,000 of rent income. Or three $150K properties at $3,000 of rent income.    So you're losing $1,000 dollars of cash flow every month - by not buying and owning strategically in markets in the Midwest and South where the properties make sense as a RENTAL on the day that you buy it.   Your primary residence only made sense as a primary residence on the day that you bought it.    Now you can see that the only reason that you still own it, is because you defaulted and “fell” into it. Don't fall into things. Often, you want to be intentional.    You are a better investor when you're intentional rather than emotional.   It's even better for you now. Beyond your $1,000 of additional cash flow with some repositioning, now, with three properties instead of one - now you've also taken care of the first real estate investor mistake that I mentioned.   WITH three rentals rather than one, now you can be diversified across multiple markets.   Two birds are killed with one stone. Now with some re-positioning, you've increased your cash flow by $1,000, AND you're in multiple markets. One property isn't divisible.   And this $1,000 of monthly cash flow example is small. Of course, the differences can be greater than this.   We're talking about real estate investing for beginners today, so let me clearly guide you through step-by-step on just how you go about buying your first property - writing an offer, getting an independent third-party property inspection and vetting your Property Manager which is known as due diligence, then the appraisal, and onto closing and receiving cash flow from the tenant.   As you'll see, much of today's show pertains to any investment property at all.   But we're talking mostly about how to buy what are known as turnkey homes, especially homes outside your home market - as most of the best deals are not found where you live.   Turnkey means three basic things. #1- You buy a property that's either brand new construction or fully renovated. #2- A tenant is placed for you - and you get to approve them. And #3- the property is held under management for you from Day 1 - if you so choose.   Like they say, the best investors live where they want to live, invest where the numbers make sense.   Today's content is primarily geared toward United States real estate investors - but those that live outside the United States will benefit here too. You might want to buy a property in the US.   Here's a question that you might have - “How do I go about setting up an LLC - a Limited Liability Company - to hold my investment property in?”   I'll tell you - I don't think “How do I set up an LLC?” is the best question to ask.   The best question to ask is, “Should I set up an LLC?”    The three main reasons people set up an LLC are for either anonymity, tax purposes, or asset protection.   Now, if you know that you WANT to set up an LLC - I've done four episodes on that topic with Rich Dad Legal Advisor Garrett Sutton.   You can go to GetRichEducation.com, type “Garrett Sutton” in the search bar, and those four episode numbers will appear so that you can listen. He was just on the show with us 9 weeks ago on Episode 424.   But the reason that the question is, “Should I even SET up an LLC?” is because:   Setup of LLCs complicates your life. Maintaining a registered agent, Articles Of Incorporation, having separate accounts, tracking expenses with separate credit cards, paying annual fees for everything - depending on how many LLCs you have and how you structure your life - it can wear you out.   The second reason you should ask yourself, “Should I even set up an LLC?” is because you might not have many assets for a litigant to go after. Retirement accounts have certain protections already. Equity in a property could be low-hanging fruit for a plaintiff attorney if someone gets a judgment against you. But since the Return From Equity is always zero, what would you have much equity in a property anyway?   The third reason you should ask yourself, “Why should I even set up an LLC?” is that frivolous or slip-and-fall type of lawsuits are rare. Not only have I never been a party to one, I've never even heard of any investor friend or associate having one - and I talk to a lot of people. You probably haven't heard of one either.   Now, note that I'm not saying you can't get an LLC or shouldn't get one. I'm saying, prioritize those questions to yourself.   First, it's “Should I get one?”. If that's a definitive “yes”, only THEN ask: “How do I set one up?”   Why do you think you have to? Did some attorney use fear tactics to get you to?   If the result of the LLC's administrative overburden provides a greater reward in the form of asset protection, anonymity, or tax benefit - which is typically a flow-through taxation type anyway, you might then … get an LLC.   So, as a beginning real estate investor, understand that real estate is a credit-based asset - meaning it's usually bought with a loan.   So let's talk about getting your finances in order before you contact a lender or select an income property.   That begins with you having enough cash liquidated for a 20% down payment on the property - add about 4% for closing costs, depending on the state that you're buying your property in - and on the lowest-priced property that's still in a decent area of a low-cost city - which might be a $100,000 property …   24% of that then is about $24,000 that you'll need. You should have some extra on top of that as reserves.    Now, let's look at another part of your finances - your DTI - your debt-to-income ratio. It cannot exceed 43% to 45% - maybe up to 50% in some circumstances.    So if your monthly minimum debt payments - everywhere in your life - housing payment, minimum credit card payments, minimum car payment - if that sum is $5,000 and your gross monthly income is $10,000 - that's a 50% DTI. You can't exceed that.   Of course, before a bank is willing to loan you money, they want to have a reasonable assurance that you aren't weighed down with debt elsewhere because their fear factor goes up that they won't get paid back.   Next, let's talk about your credit score. We dedicated an entire episode to this back in Episode 54. If you can remember back that far, Philip Tirone was here with us and you learned more about credit scores that you probably ever thought you would …   … and he even went on to call the credit scoring system a total scam. He was quite opinionated - it was interesting and eye-opening, but ...   Playing within the scam here - as it might be.    There are many different credit scoring models, but the FICO Score - F-I-C-O - is a respected one that you're probably going to see your mortgage lender use.   It stands for Fair Isaac Company.   Their credit scoring range is 300 - the worst, up to 850. 850 is essentially a perfect score.   Importantly, 740 is the highest score that helps you here.    If you have a 782 or an 836, it doesn't help you qualify for the loan or get you a lower mortgage interest rate or anything else.    740 is where you're optimized.   Now, just a quick overview of FICO credit scoring ...   There are five primary ingredients that make up your credit score. In order of importance, they are your payment history, amounts owed, length of your credit history, new credit, and finally credit mix.  That first one, Payment History, is the most heavily weighted one. It's 35% of your score. As you might expect, the repayment of past debt is a major factor in the calculation of credit scores. It helps determine your future long-term payment behavior. Both revolving credit (i.e. credit cards) and installment loans (i.e. mortgage) are included in payment history calculations.  Although installment loans like mortgages take a bit more precedence over revolving credit - like credit cards.  This is why one of the best ways to improve or maintain a good score is to make consistent, on-time payments. The next way, your Amounts Owed – 30% This category is basically credit utilization or the percentage of available credit being used - or borrowed against. Credit score formulas “see” borrowers who constantly reach or exceed their credit limit as a potential risk. That is why it's a good idea to keep low credit card balances and not overextend your credit utilization ratio. So if you've got just a $1,000 balance on a credit card with a $10,000 credit limit, that's seen as a good ratio. You're staying well within your limits then.  The third FICO credit score ingredient is the Length of your Credit History – 15% This factor is based on the length of time all credit accounts have been open. It also includes the timeframe since an account's most recent transaction.  Newer credit users could have a more difficult time achieving a high score than those who have a long credit history. That's because if you have a longer credit history, FICO has more data on which to base their payment history. The fourth of five FICO ingredients is your “Credit Mix” – Now we're down to an ingredient only comprising 10% of your score. Credit mix just means that it helps your score if you have a combination of credit cards, retail accounts, installment loans, finance company accounts and mortgage loans.  Finally, “New Credit” makes up the last 10% of your FICO score. Don't open too many new credit accounts in a short period of time. That signifies a greater risk to lenders – and that's especially true for you if you're a borrower with a short credit history.  And you sure don't want to open up any new lines of credit, down the road when you're in the qualification process for buying a new property unless you check with your Mortgage Loan officer first. Now, those five factors have been weighted the same for quite a few years.  Knowing what factors make up your FICO® Credit Score can help you qualify for more loans and get better mortgage interest rates. That's the bottom line. This helps you get pre-qualifed or pre-approved with your Mortgage Lender. To get prequalified, you just need to provide some financial information to your mortgage lender, such as your income and the amount of savings and investments you have. Your lender will review this information and tell you how much they can lend you.    After pre-qualification, you can seek the higher-level status and that is getting pre-APPROVAL for credit. Pre-approval is better than pre-qualification.   If you think about it, it makes sense. Qualifying for anything in life is not as good as getting approved for something - I suppose.   Pre-approval involves providing your more detailed financial documents - like W-2 statements, paycheck stubs, bank account statements, and your previous two years tax returns. This way, your lender can VERIFY your financial status and credit.   Now that you're pre-approved with a lender, you can focus on the market and property that you're interested in.   RidgeLendingGroup.com is the mortgage lender that we recommend most often because they SPECIALIZE in income property. They don't have any seasoning requirements.   Seasoning means that the person selling YOU the property needs to have held onto it for a certain length of time - or the lender won't finance the property for you.   While you're in the pre-approval process, you can be learning about a cash-flowing investment market.    You want to pick a geographic metro market that typically has low-cost properties, and high rent incomes in proportion to those low costs.    In fact, the market is more important than the property. Because your income comes from your tenant, and your tenant's income comes from a job.   So you typically don't want to own much property in a town with 12,000 people that's in an outlying area - not part of a greater metro - where 1/3rd of the employment is tied to one tungsten factory or even one semiconductor manufacturer.   Because now, too much of your income stream is tied to just one industry.   If the tungsten industry goes down, so goes your tenant base.   You also don't want to buy slummy property. Those tenants often don't pay the rent. You also don't want to buy much above an area's median-priced home, because the numbers don't work out.   So you want that working class housing that's just below the median price point for the area.   If you're not already confident about that and familiar with the right provider ...    We have information on the right market, with the right provider, with properties - and they're typically in the MidWest and South - at GREmarketplace.com   So read a market report there. That's good, pointed information.   Most investors are interested in a property for the production of cash flow. That's the margin by which your monthly rent income exceeds all monthly expenses.   Rent income minus expenses should be a positive number.   So that's your monthly rent minus VIMTUM. V-I-M-T-U-M.    Vacancy, Insurance, Maintenance, Taxes, Utilities, and Management.   I like easy ways to remember things and VIMTUM is an easy way to remember.   So, you're listening to the Beginner's Real Estate Investing Audio Guide here as a regular episode of the GRE Podcast.   If you're not a beginner & you're still listening, it's either a good review and you might even be learning some new things along the way yourself.    Including, should you ever lowball a turnkey provider and a negotiation approach that I have for that - in a few minutes.    But first, one reasonable beginner question is ...     “Now why would someone would want to sell me a cash-flowing property in the first place?    Why would someone - like a turnkey provider - why would they sell me a good thing that pays them every month that they could continue to hold onto for cash flow?   If a property pays someone every month while they hold onto it - why in the heck would they sell it to me?   OK, some seller out there has a golden goose that lays a golden egg every month, so why in the world would they give me an opportunity to buy the goose?   Well, there are just so many reasons for selling cash-flowing property - yes, a ton of reasons for selling even a young, healthy goose that lays golden eggs every month & is expected to so for years.   Well, a turnkey provider runs out of money too. They can't buy all the properties themselves.    They'd prefer a lump sum payout when they sell this property, because their business model is to go pay all cash for another distressed property that they can fix up.   And if you think that they snatched up the good ones themselves a while ago - yeah, they probably did do some of that.   In fact - I WANT them to have snatched up some good properties from their own market earlier. It shows me that they believe in what they sell. If they didn't buy what they were selling themselves, I'd actually be MORE concerned.   Now, other reasons that the - I guess general public seller might want to sell you a property is ...   One reason is moving. Say that a family in City A owns a few mom-and-pop rental homes that they self-manage and they're moving to City B in another state, they'll often sell their income properties.   Some people want to self-manage their property (often because they never explored their best-and-highest use, but anyway) & if they have to move to City B, they'll sell the property rather than try to find a Property Manager in City A.    Another reason people sell cash-flowing property is that - even if someone is not moving, that person might be tired of the self-management hassle - but yet they don't try professional management - because that person has the DIYer mentality - that soooo common do-it-yourself mindset.   OK, most people just don't take a strategic approach to real estate investing like you are by listening to this.   Other reasons for people selling cash-flowing property are death, marriage, divorce, and all kinds of either joyous or tragic life milestones.   If a husband-and-wife own rental properties but running & managing them was kind of the husband's thing & the husband dies … the wife doesn't know how to run the properties & she's likely to sell rather than hire a Property Manager.   People may sell their cash-flowing property in case of all kinds of emergencies - medical and otherwise - because they may need a quick lump of cash - instead of the steady stream of cash flow over time that just won't work for them in their new situation.   OK, most of those situations involve some sort of external life change for property sellers - a lot of them tragic.   Well - here's a personal one for you...    A few years ago, I sold two cash-flowing apartment buildings at the same time - well, those sales actually closed on consecutive days - so nearly the same time.   Both of those cash-flowing apartment buildings that I sold were 100% occupied with tenants, I had competent management in place, and there were no deferred maintenance issues with the buildings.   You want to know my reason for selling two nice golden apartment gooses that were seasoned and steadily laying some nice golden eggs?   OK...can you guess why?   Alright, fortunately I didn't have any distress or emergency in my life.   ...oh, and also, I wanted to sell them fast too, I couldn't let these two cash-flowing apartment buildings linger on the market for a while. I really wanted to get rid of them.   I had no distress like those situations I mentioned earlier.   So can you guess why I wanted to sell these long-producing golden gooses in a good job growth market that produced nice cash flow, nice golden eggs?   I'll tell you why.   That's because I knew I could 1031 Exchange those two gooses for two even larger gooses. Now I won't get into the 1031 here on a beginner episode.    But I replaced the two smaller apartment buildings with two larger apartment buildings that would produce even larger eggs if I did it with a quick timeline - and I could defer any tax on my profitable gain.    I found - I guess - two very fertile egg producers that were going to produce even more cash flow over time.   So...I think you get the message here. To the buyers of my smaller apartment buildings, I appeared as a very motivated seller of cash-flowing property, even though I had no external stress in my life.    It was due to internal reasons that I wanted to sell...and it's the internal drive to expand my income.    No shrinking thinking here at Get Rich Education. We are growing our means.   Now, when you've found a cash-flowing property that you want to buy, should you make a lowball offer to a turnkey provider? My definition of lowball here, is, a 10% discount.    We'll say, that a provider is offering a property for $120,000 - then you'd make the offer for 10% less, which is $108,000. That's a lowball.   My answer is ...    No. That's not going to work. In almost every instance, that's too much of a discount and it's going to eat their margin too much.    Depending on how it's presented, a seller might even be less motivated to work with you if they get a lowball offer.    This company has a business to run and with a turnkey property, you're typically paying for the convenience. You leveraged their systems of them delivering this product to you that's already renovated, rehabilitated, tenanted, and under management.    Now, can you can knock off $1K-$2K? And say, offer the seller then - $118K or $119K for the $120,000 property. Yeah, that might work.    It sure wouldn't be deemed some unreasonable request. But it's good to at least provide a reason - some rationale - in asking for the discount.   Let me give you some perspective on this negotiation too.    For every $1,000 less in a mortgage loan that you take out, how much do you think that saves you in a monthly payment? Did you ever figure out how much that saves you?   Well, at a 5% interest rate on a 30-year loan, reducing your mortgage loan amount by $1,000 saves you … $5. Five bucks in a reduced payment.   For more perspective, keep in mind too, that once the seller accepts your offer - it's only the first part of the negotiation.   Later, it's a negotiation with the inspection. We'll discuss how to navigate THAT shortly.   I'm Keith Weinhold. You're listening to the Audio Beginner's Guide to Real Estate Investing, here on Get Rich Education. ________________ ***AD RESOURCES***    ________________ Welcome back to GRE Podcast 433. This is your Audio Beginner's Guide to Real Estate Investing. I'm your host, Keith Weinhold and we're talking about buying an income-producing property, especially…   …a TURNKEY property - which just means that it's already renovated, tenanted, and under management with a tenant on the day that you buy it.    Now, once your offer is accepted by the seller, I want to give you - really just a brief outline of what to expect next.    This isn't intended to give you every step in exhaustive detail, but this is generally what comes next for United States real estate purchases, and custom varies somewhat from state-to-state.   So with that in mind, once the turnkey provider or seller accepts your purchase offer...   You need to send in your earnest money. Earnest money is not the down payment. It's a smaller amount that shows good faith that you're serious about your offer.    It's often an amount of $5,000 or less and it shows the seller that you're serious enough about buying the property that the seller has the confidence to take their property OFF the market and not show it to anyone else.   The seller should give you instructions on how to place your Earnest Money.    Now remember, your earnest money deposit is not going directly TO the seller, it is going to a third-party escrow account, and it is refundable to you in accordance with the terms of the contract that you signed.   Your contract should have an estimated closing date in there. I want to emphasize that the key word there is “estimated”.    While it is important that all parties work towards closing by this date, between you and me - let's just be realistic - the reality is that many transactions get delayed beyond the closing date in the contract for a variety of reasons on the seller side, sometimes having to do with construction or renovation delays.    If this happens, it is nothing to be worried about, just remain in touch with the seller and you can simply sign a contract extension if needed when the time comes.   As you are financing your property, be sure to keep getting your lender anything that they ask you for up so that they can keep processing your loan.    As your closing gets near, they will probably ask you for some updated information and have some final stipulations from the underwriter, so just remain in close touch with your lender and try to provide them what they need as swiftly as you can.   During most of this time where you're under contract & even before you're in-contract to buy the property, most of your relationship with your lender and seller is just sitting around, waiting for the next stage.    Some days, frankly you're thinking, “When will they reply to my e-mail?” OK, sometimes, RE moves slower than glaciers.   Once construction/renovation is completed on your property, I suggest that you order a professional third-party home inspection before closing.    As the buyer, this is at your expense, but the home inspection is cheap insurance for you and it is an important part of your due diligence. It might cost you about $300-$500 for a single-family turnkey income property.   A four-plex inspection might cost up toward $800 or $1,000.   When seeking an inspector - seek ASHI certification - that is American Society of Home Inspectors.   You're looking for an inspector with a good reputation, licensed and bonded. It is good to look for a level of experience as well. The choice is really yours as the Buyer.   Your inspector points out deficiencies in what I'll break into a few categories.    #1 is Major concerns – these are significantly defective, safety issues that require immediate repair. Often times, those things absolutely MUST be done in order for your lender to even finance the property so the seller is going to do those things for you. That might be something like adding a railing to a porch.   The second category are recommended repairs – So they're recommended but not required. That might be adding some extra insulation in the attic.    The third category is “well, it would be NICE if it were done” - like a kitchen cabinet door that's a little loose and doesn't close snugly.   When you get your home inspection report back because the inspector has compiled their findings, the key to remember is that the inspector will ALWAYS return a (usually long) list of items that they recommend be corrected prior to closing.    Now, this even happens on new construction, so expect some findings.   I swear, even on a perfect, unblemished home it seems like the inspector would say that the bushes have to be trimmed or something. Ha!   And remember, you are not closing on the property in the condition it was inspected. Rather, the inspection is just part of the process on the path to getting the property up to its final condition.    Then you and the seller agree on what will be fixed (at the SELLER'S expense (not your expense), and verified to your satisfaction), prior to closing.    The seller is anticipating that they will need to make some final repairs (at their own expense) after they get the inspection repair request from you - that your inspector just compiled for you. This is all part of the normal process.   Of course, you can get in a car or hop on a plane and visit the turnkey property yourself and walk the property with your inspector, but I'd say fewer than 10% of turnkey buyers do this. I have never done this on an out-of-state property.   But going to see the property in person is never a BAD idea.   Today, it's easier than ever for an inspector or provider to e-mail you a property video. The report that you get from your Home Inspector after he visited the home will have lots of photos and details.   Typically, purchase offers are contingent on a home inspection of the property to check for signs of structural damage or things that may need fixing.  This contingency protects you by giving you a chance to renegotiate your offer or withdraw it without penalty if the inspection reveals significant material damage. You are protected. Once the seller makes any needed repairs that the third-party inspector found, I suggest having a re-inspection done by that same inspector. This gives you the chance to confirm that any agreed-upon repairs have indeed been made. You might spend another $100+ on this re-inspection. Now, if the original inspection showed that a leaky faucet needed to be replaced, and the seller said they'd do it, and the re-inspection finds that that work wasn't done as promised, then any FURTHER re-inspection costs are often a cost borne by the seller. Which seems pretty fair - they said they'd do work - and the re-inspection that you paid for confirmed that it hadn't been done in this case. Now, back to the negotiation. If you asked for a reduced Purchase Price, that could lean away from you asking for too much in the inspection.   How do I like to play it? Often times, I make a full price offer for the property - and I might even let the seller know at that time that I'd like to give you your price - it's a full $120,000 in this case - and since you got your price, I'd like my terms.   My terms are - that I'm more bold in what I request the seller to do from the inspection findings.  Maybe I will ask them to add that extra insulation in the attic as one of those “Recommended buy not Required For Financing” items - or replace a window pane that had condensation inside it.   Then, what's my justification for asking the seller for that. It's that I'm paying your full price. Again, financing an extra $1,000 only costs me $5 per month.   Now, let's talk about the property appraisal.    The appraisal is a tool that the bank uses to verify the quality of their collateral.    Because in your loan paperwork, at closing, the bank will basically tell you that if you don't make your monthly payments, you'll be foreclosed upon and the bank will take back the property - that's their collateral.   So they want to make sure that the property seems to be worth as much or more than you're in contract for - this $120,000 in our example.   Your lender is the one that orders the property appraisal, not you. In about 90% of U.S. states, you as the buyer pay for the appraisal. It costs about $500.    The appraiser is a member of a third-party company and is not directly associated with the lender. It wasn't always that way.    In fact, one factor that led to the housing downturn of 2007 in the Great Recession is that some lenders & appraisers were “in cahoots”. Haha! That can't happen anymore.    BTW, the appraisal and some of these other steps are all part of your closing costs. All part of that … about 4% of the property purchase price.   The appraisal is typically done by a certified appraiser physically visiting the home - and these people always seemingly have a tape measure with them.   The appraiser checks out the premises and their job is to use market comparables to make sure that the lender has adequate collateral in case you, the borrower, default.   OK, the bank doesn't want to lend out more than the property is worth or else they could find themselves underwater if the borrower defaults. The appraisal protects against this.   And don't confuse this appraisal with an assessment. An assessment is something that a county or municipality uses the measure the amount of property taxes that are paid. It's really unrelated to this appraisal.   One interesting thing that's related to the appraisal and the bank giving you the loan for 80% of the property is that the lender NEVER requires that you see the property in person.   Think about what that means. The bank never requires you to see the property in-person, yet they're willing to loan you up to 80% of the value.   Even the bank knows that it's not important for you to personally see the property - something that they're willing to put their money behind.   Now, when it comes to finding properties and markets and teams, our listeners & followers encouraged us to set up a marketplace for them for finding the properties.   We've done that for you at GREmarketplace.com. And knowing that Property Management is the glue that makes your property stick together, we - and it's Aundrea here at GRE that does it - where you find your properties at GRE Marketplace, Aundrea also interviews the property manage in each market for you so that you can get a good feel and vibe about them.   Most any provider is happy to do a PM Zoom chat or phone call with you too.   Now, just because a property is branded “turnkey” by a company, doesn't mean that you can dismiss doing your due diligence. Turnkey can be a great system, but there's nothing magical about that word alone.   Don't overlook developing a good feeling about your Property Manager, because this is the one long-term relationship that you expect to have. I just can't emphasize that enough. Your Manager is one of your key team members.   They'll tell you the character of the current tenant that's currently in the home. Find out how the manager is going to pay you. Feel them out, know what your communication flow is going to be like.    If they're part of the same turnkey company, a good manager should also connect you with whoever renovated your turnkey property in case you have some questions for them.   Now, notice that I haven't mentioned a real estate agent. Most turnkey providers work in a direct model so that you don't have to go through agents. That's one way that GRE Marketplace providers keep the price down for you.   You must sign a written Management Agreement with your Property Manager.    What the MA does is that it gives the manager the authority to manage your property for you, manage tenant relations for you, the MA will state their fees, and you'll have your contact information in that agreement.   There are typically two fees - a leasing fee and a management fee.   A leasing fee is where you'll spend ½ month's rent to one month's rent amount when the Manager screens a new tenant. So hopefully that only happens every 1 or 2 or even 5 years if you're lucky.    Yes, you can typically approve or reject their selected prospective tenant. You are going to be the owner of the property afterall.   A management fee is often 8-10% of one month's rent income - and that's what you pay monthly - ongoing.   You can sign a Management Agreement with the property provider if they have management integrated in-house. If not, you can lean on your provider for some management recommendations.   Now, there's one blank to fill in on your Management Agreement - it's a dollar amount up to which the manager can pay for expenses that come up - against your account - without contacting you.    For example, if the number $500 is written in there, that means that if a maintenance or repair expense on your property exceeds $500, they must contact you prior to incurring that expense.   You get to choose that dollar limit. As a beginning real estate investor, go with a lower figure.    Then as you get comfortable or you don't want to be bothered about the property as much, you can increase that dollar limit in which they need to contract you about approving maintenance or repairs.   Basically, if there's something that has to do with the property & you don't want to deal with it, then make sure it's written in the Management Agreement that the manager will perform it.   Typically, it's going to say that the manager will collect rent, handle tenant relations, respond to repair requests, send you the rent, keep your ledger of income & expenses on the property, post legal notices if a tenant is paying the rent late, and sooo many other associated duties that I personally don't want to deal with.    Hey, I just want to live my life & keep this investment nearly passive.   Get that Management Agreement done - fully executed - signed by both you & the Manager BEFORE you close on the property.    Before you close, you can buy property insurance from any provider you choose.    Your turnkey provider is often happy to recommend some providers that their other clients have used in this market, or you can just Google and find your own.    Be sure to let the insurance provider know that this is a rental property (not a primary residence where you live and not a second home).    Most turnkey buyers purchase both hazard and liability insurance as part of their policy. Like any other insurance policy, you will have choices about deductibles & monthly payments, and coverage amounts.    If you are financing your property, your lender will most likely be able to combine your property taxes and insurance into your monthly payment, so you have one monthly payment for principal, interest, taxes and insurance (PITI) … much like you would on your primary residence.   The financing process typically takes about 30 days from the time you submit your EM.    Remember that YOU are a factor in how fast your property closes. If that lender needs another document, give it to them pretty promptly.   When you've finalized your due diligence, and verified that the seller has made all the agreed upon repairs from the home inspection report, you will be ready to close.    You likely live in a different state than the property and will close remotely. The title company (or its a closing attorney in some states) will prepare your closing documents - including your loan docs...    ...and can arrange for a mobile notary to meet you with the docs wherever you choose (your home, your office, your local coffee shop, etc.) so you can sign the docs in front of a notary who will then overnight the docs back to the Title Company so the transaction can fund.   Yep, you can do the ink-and-paper thing with a mobile notary at your local Starbucks.   Your lender will arrange for a title company to handle all of the paperwork and make sure that the seller is the rightful owner of the house that you are buying. That's part of what they do for you.   It may seem like the closing process is a lot of work, but you'll really spend most of the time waiting. Most of the time, you'll just be sitting on your hands, waiting for someone else involved in the transaction to come through.    So find something enjoyable to occupy your time and distract you while you wait, and feel secure in the knowledge that you've done your research and know how to make your closing process go smoothly.   When you complete that closing with the mobile notary - I've done these closings at my home's dining room table, or even in my employer's conference room back when I used to have a day job - then, hey!    You need to congratulate yourself on adding another income property to your portfolio.   You know, the good news is that of all of these stages we've discussed - the longest stage of them all is your ownership of the property. You Own & Collect the cash flow.   And hey, this isn't reason enough alone - but it's kinda cool that you own property in TN and FL and IN.  You own part of each one of those states. You're like a property collector!   And with each new turnkey property you buy, you might have just increased your mostly passive cash flow by $211 per month or $118 per month or whatever it is.   If you can swing it, it can be more efficient timewise for you to buy more than one property at a time.   As you buy more income properties, it not only gets easier because you know the process, but you often get quantity discounts.   For example, a management company might charge you a 9% management fee on your first three properties, but once you own four or more, they might charge you 8% on all four rather than 9%.   Insurance companies often have similar discounts for you….so you may very well get a little more profitable as you buy more property.   I've been actively investing in real estate since 2002 and just within the steps of ACQUIRING a property, like I carefully discussed today, some incremental half-step will come up in the process that I haven't mentioned here - like signing a Lead Paint Disclosure Form.   So, you don't need to commit all of this stuff to memory.   Now, something that novice real estate investors say sometimes is something like: “I would only buy an income property that I would live in myself.”    I contend that that is an awful criterion upon which to found strategic fundamentals on purchasing an income property.   Once one filters property that way, they have let their emotions trump facts.    If the fact that a clean, safe, affordable, and functional property has a good occupancy rate in a sound employment market, decent ENOUGH neighborhood, and the numbers make sense - that's more important.   OK, you aren't living there yourself so it's not a sound criterion.   Shoot, if I moved into any income property that I own, my lifestyle would take a substantial hit. Yet I'm not a slumlord - I provide housing that's clean, safe, affordable and functional.   But they're not replete with fantastic amenities, it does not have Corinthian architecture with alabaster columns - OK - but I know there's a demographic for my rental property type that demands this responsible-but-no-frills housing over time.   It's about asking yourself a better question, like, “Will this property secure an income stream?”    Alright, would you rather have your property look “cute as a button” - or secure an income stream? I went deep on that topic just three weeks ago here on the show.   OK, we're investors here.   Some think that in today's electronic age, you should be able to complete a property purchase from the time you write an offer until you close on a property in the same-day.    Well, that's certainly not true. As you witnessed, physical things need to take place because you're buying a real, physical asset.   We've been talking today about how you buy an income property - just simply that - especially as it pertains to buying an out-of-state turnkey income property - from the time that you get a property under contract and submit the earnest money to escrow all the way to closing.   ...because that's how to generate passive income, which in turn, creates a rich life for you.   Again, this isn't an all-encompassing guide today with EVERY little detail. But we've hit the major milestones in the process & more.   You've got a good general guide on the income property-buying structure.    You might have learned something about prioritization - perhaps LLCs matter less than you thought and a communicative Property Manager matters more than you thought.   Today's show has the type of content that will be about as relevant 5 years from now as it does today.    Now, today is also evidence that real estate does not have the liquidity that some other investments do. It takes longer to get in & get out.   However, that low liquidity actually contributes to relative price stability in real estate. OK, there's no panic selling in real estate.   Maybe the most important thing for you to keep in mind is that...   You cannot make any money from the property that you don't own.   Your future depends on what you do today.   To “know” something and not “do” something is to really not know something.   The most important thing you can do is act...because you cannot make any money from the property that you don't own.   But if you're new to real estate investing & know that you need to “Start small but think big”, otherwise, all this knowledge really won't move the meter in helping you live an amazing life like RE can, in the past 1-2 years, we hired an in-house coach, who is completely free for you to use.   If you're still a little unsure or want some guidance, lean on our trusted source, Naresh at GREmarketplace.com/Coach   He is an expert at helping you along - totally free to you - again at GetRichEducation.com/Coach   It's almost hard to express how much value this gives you & makes it easy. I wish something like this existed when I started out.   There would be nothing worse than for me to share today's knowledge with you - then not let you know where to go to act upon that knowledge.     So if you're ready to get started - connect directly with market & properties at our Marketplace - at GREmarketplace.com   For a little more help, personal and one-on-one with our experienced in-house coach, start at GREmarketplace.com/Coach    Both resources are free   It's been my pleasure to bring you your Beginner's Real Estate Investing Audio Guide today.   Next week, I we'll discuss one particular geographic market that we never have before - and you probably never thought we would.   For properties, start at GREmarketplace.com For coaching, GREmarketplace.com/Coach   Until next week, I'm your host, Keith Weinhold. Don't Quit Your Daydream! 

Real Estate Revealed

“What is Earnest Money?” an on the show to educate us is the premier Real Estate Attorney, IL and IN and both Residential and Commercial, yes, Vince Aurichhio! The importance of brining in all of your paperwork when getting a property” on the show is the premier Broker/Owners of Corona Realty, yes, Alex Corona and […]

Toe-2-Toe Podcast
WWYD: How Agents Can Get In Trouble When Managing Earnest Money.- EP 95

Toe-2-Toe Podcast

Play Episode Listen Later Dec 7, 2022 8:28


WWYD (What Would You Do?) is a special series of The Realtor Fight Club Podcast where we talk about situations that are potential ethics and professional standards violations. What Would You Do in these situations? All cases mentioned and the code of ethics can be found at www.JenniferMurtland.com/Vault  Resources:  Jenn Murtland LinkedIn | Facebook | (513) 400-1691 | Website https://jennifermurtland.com/Vault/ https://www.instagram.com/jennifermurtland/ Monica Weakley Website , LinkedIn, Facebook https://www.facebook.com/realestatefightclub https://www.youtube.com/c/JenniferMurtlandRealEstateFightClub https://www.instagram.com/realestatefightclub/ Jimcamarata@kw.com / Jim Camarata  612-562-7461 / https://www.camaratanumrich.com   Thank You To Our Incredible Sponsor Partners (Get Great Discounts with these links) Coach John Kitchens - What type of Agent are You? What is your RIGHT Career Path Take this quick quiz and find out - https://www.realestatecareeraccelerator.com/ Ghostpostr - https://www.ghostpostr.com/ (Get Ghostpostr For FREE!)   Cyberbacker - https://cyberbacker.com/ (Get a FREE gift simply by saying you heard it on Real Estate Fight Club)   Pipeline Pro Tools - https://pipelineprotools.com/fightclub/   RedX - https://www.theredx.com/fight-club/    

Flipping Houses & Real Estate with The Flip Man
How Much Earnest Money Should A Cash Buyer Give You

Flipping Houses & Real Estate with The Flip Man

Play Episode Listen Later Nov 18, 2022 66:49


How Much Earnest Money Should A Cash Buyer Give You

Cleve Gaddis Real Estate Radio Show
Metro Atlanta Real Estate Update, Pumpkin Festival; Getting your Earnest Money Back

Cleve Gaddis Real Estate Radio Show

Play Episode Listen Later Oct 31, 2022 12:00


GoGaddis Real Estate Radio - helping listeners go from real estate novice to expert - so home selling and buying can be done with total confidence and without all the worry typical with life's biggest investments. This week's episode we give you the real estate market update for the Metro Atlanta area for the last month. Cleve also discusses how to get your earnest money back after terminating a contract as a homebuyer. Finally we talk about Stone Mountain Park's Pumpkin Festival.

Dawn Moore's Tip of the Week
Difference between notice of termination and release of earnest money

Dawn Moore's Tip of the Week

Play Episode Listen Later Oct 6, 2022 5:18


Today, Dawn explains when a notice of termination is necessary and when a release of earnest money is required. 

No Limits Real Estate Investing Podcast
How Much Earnest Money Should You Put Down?

No Limits Real Estate Investing Podcast

Play Episode Listen Later Jul 12, 2022 12:45


Sellers really only care about two things on your purchase agreement: Price Closing date I've closed well over 1,000 real estate transactions in my career and one of the least scrutinized items from sellers is the EMD amount, so there's absolutely no need to put down too much. Checkout today's NLREI podcast episode to find... Read More

Dawn Moore's Tip of the Week
Release of Earnest Money

Dawn Moore's Tip of the Week

Play Episode Listen Later Jun 16, 2022 4:02


Today, Blair clarifies when the title company will release earnest money.

The Weston Kirk Real Estate Podcast
Dallas Realtor #4: How to protect your earnest money when a deal is falling apart

The Weston Kirk Real Estate Podcast

Play Episode Listen Later Jun 8, 2022 16:14


I think this will be extremely beneficial for anyone looking to get involved with real estate transactions. Let me know if you have any questions! Instagram: @westonkirkre Snapchat: westonscottkirk --- This episode is sponsored by · Anchor: The easiest way to make a podcast. https://anchor.fm/app

A-Ha! Real Estate Exam Prep Podcast
Episode 037 - Earnest Money and Contingencies

A-Ha! Real Estate Exam Prep Podcast

Play Episode Listen Later Jun 2, 2022 12:32


Episode 037 - Earnest Money and Contingencies What happens to earnest money when a deal goes bad? What if there is a contingency? Be sure to know how this works.   A-Ha LINKS   Email info@ahareep.com   Web www.ahareep.com   Facebook https://www.facebook.com/AHA.REEP   YouTube https://www.youtube.com/channel/UCrxAjI5Li4Ll3Epwcyc0i6A

The Utah Real Estate Show
Down Payment vs Closing Costs (Episode75) S5:E15

The Utah Real Estate Show

Play Episode Listen Later May 31, 2022 15:28


You can watch this episode on YouTube.com: https://youtu.be/dNLxv2PB4cU What is the difference between down payment and closing costs? Who gets what? 0:00 - Introduction 0:42 - Not the same. 1:20 - Questions. How much money do you have? (Spoiler: Most likely it's not putting the "down payment" you've saved 100% toward the loan. It costs money to get a loan...and there are other incidentals.) 4:00 - Buying Discount Points. Spendy. 6:00 - Talk to your Lender. Cash to close, closing costs, prepaid costs are all different things that overlap. 8:40 - Earnest Money. Putting down a lot of earnest money doesn't go to the lender, to the agent, or to the seller. It goes to your house. Maybe it pays closing costs, maybe it's down payment. Talk to your lender. 11:31 - New Construction. You qualified for your loan several months ago...and now rates have gone up. STAY IN CONTACT WITH YOUR LENDER. 12:38 - What'd we learn today? 14:20 - Out Takes * No down payments were harmed in the making of this video. Please contact us to tell us you love us, you want to hire us! Call or text: Realtors with Hive Collective at Presidio Real Estate: Tyler Cazier: 801-210-0230 Aric Wiszt: 801-228-7687‬ Lender with Elite Team at Security Home Mortgage:  NMLS: 178787 Jason Christiansen: 801-669-7271 NMLS: 240472 A Production with Security Home Mortgage's Jason Christiansen, and Hive Collective at Presidio's Tyler Cazier and "Mr. Suit" Aric Wiszt.

Income Hacker with Ryan G. Wright
How to Place Lots of Offers and NEVER Lose Your Earnest Money

Income Hacker with Ryan G. Wright

Play Episode Listen Later May 4, 2022 23:37


Real Estate Revealed

The need for “2nd to die insurance” if you have a reverse mortgage and the need for permanent life insurance instead or term life! In studio is financial advisor Kimberly Thomas! What is Earnest Money? In studio is the premier Real Estate Attorney, both residential and commercial, Vincent Auricchio!   You’re going FHA to buy […]

Just Start Real Estate with Mike Simmons
Live Q&A - Breaking Into Multifamily and Finding a Partner, Off-Market Seller-Financed Deals, Earnest Money Requirements, and Hiring for Values

Just Start Real Estate with Mike Simmons

Play Episode Listen Later Jan 27, 2022 31:33


Welcome to this version of the Just Start Real Estate Podcast! I am excited to bring you another replay of my Facebook Live Question and Answer sessions. I just started doing these live forums in April and they are going so well and I am getting such great feedback and questions, I thought I would share them here on the podcast. Especially for those people that are unable to join us live, this will provide an opportunity to hear the awesome questions I am fielding about business, taking risks, real estate, and so much more! Some of the questions have been very real estate specific, but others have been general business questions, like asking about overcoming fear in order to get started and how to successfully scale. I have also received more personal questions like how I decided real estate investing was right for me and the steps I took to get my business off the ground. This presentation is the live Q&A that I did the week of January 12th and each Thursday we will offer you another chance to take advantage of listening to the answers to our guests' fabulous and compelling questions! Don't miss this new episode of the Just Start Real Estate Podcast! Notable Quotes: “It is a short-sighted statement to say you need a partner to have credibility. You only need to do one or two deals to have credibility.” “Partnerships can be very tricky.” “Instead of bringing on a partner, invest in coaching or mentorship.” “We don't typically give earnest money deposits to the seller when we are doing wholesale deals.” “Find someone to fund your EMD if it is a smoking deal.” “You need to do a good job of listening to the sellers and truly empathizing with what they are going through.” “You have to find out from them why selling their house to you is a better solution than putting it on the MLS.” “When hiring, many times companies will trade a good culture fit for a particular skill set.” “I almost had a full-out mutiny in my company when I hired purely for skills and not a good company culture fit.” Links: 7 Figure Investor Multifamily Live Flip Hacking Live 7 Figure Flipping Return on Investments Just Start Real Estate JSRE on Facebook Mike on Facebook Mike on Instagram Mike on LinkedIn Mike on Twitter Level Jumping: How I Grew My Business to Over $1 Million in Profits in 12 Months

The AHG Way
Earnest Money, System for Organization, and Good Leaders

The AHG Way

Play Episode Listen Later Dec 11, 2021 45:03


Welcome back to The AHG Way! In this episode, we answer questions about earnest money, systems that keep us organized, and what we think makes a good leader!0:25 – Update on Shelley development5:30 – What is earnest money?16:15 – Do you have a system by which you keep yourself organized?33:58 – What do you think makes a good leader?

I Hate Real Estate
Episode #10 | Earnest Money

I Hate Real Estate

Play Episode Listen Later Oct 4, 2021 22:13


Earnestly- we just don't like it around here. I Hate Real Estate also despises earnest money and it's tendency to cause problems. Tune in to find out why!

Get Into Real Estate
Money, Money, Money: Funds You Need to Buy A Home

Get Into Real Estate

Play Episode Listen Later Jun 30, 2021 50:34


On today's episode of, " Get Into Real Estate," Host India covers what Earnest Money is. She shares a Listner's Letter and answers the question that's looming in the minds of many looking to move. She also covers the funds needed to purchase a property. SURPRISE! You need more than just the Down Payment. For more information visit facebook.com/getintorealestate

The Double Comma Club
Earnest Money Guarantee is Your Secret Weapon Against All Cash Offers

The Double Comma Club

Play Episode Listen Later May 19, 2021 5:09


Being competitive isn't strategic, it's a must. Competitive offer tactics can include: appraisal gap insurance short closing timelines waiving inspection items strong loan approval Here are some loan approval options to make your offer stand out. Prequalification is the very first and most common step with online and box lenders. This is the bare minimum. Pre-approval submitting the loan documentation to the lender. A pre-approval letter gives the listing agent and seller confidence that what you say you make is what you make, and what you say you have is true. 10 Day Close Earnest money guarantee loan approval through the Rueth Team. You can keep shopping, but once approved and no changes to your status, the Rueth Team will guarantee your earnest money. Sellers want the best experience selling so they can turn around and buy their next home.  Tune in to this short and helpful episode. Learn more about this offer Nicole covers here >

Arizona Real Estate Podcast
When Does A Buyer In AZ Get Their Earnest Money Back?

Arizona Real Estate Podcast

Play Episode Listen Later Jan 18, 2021 11:56


When can you lose your Earnest Money in a Real Estate transaction in Arizona and when, Sellers, do you get to keep this as compensation? Tune in.... For more info/questions on Earnest Money: https://heathermcclaren.longrealty.com/contact/heathermcclaren Heather L McClaren, REALTOR® Education, Advocacy, Empowerment in Real Estate Tucson Association of Realtors, Housing Opportunities Committee HeatherMcClaren.LongRealty.com Direct - 520-236-0951 Opening & Closing Musical Clip Attributes to: Music Logo For Logo Opener & Storytelling by Free Music | https://soundcloud.com/fm_freemusic Music promoted by https://www.free-stock-music.com Creative Commons Attribution 3.0 Unported License https://creativecommons.org/licenses/by/3.0/deed.en_US --- Send in a voice message: https://anchor.fm/heather-mcclaren/message

REI Society
89. Earnest Money: How Much Should You Put Up As An Investor

REI Society

Play Episode Listen Later Jan 14, 2021 9:19


Episode 89: Everyone wanders about how much earnest money they should offer when first starting out as an investor. In this episode you'll learn how much earnest money to put up when working direct to seller. You'll also learn how you can make your contract completely profitable even if you can't sell it... These earnest money hacks and more can save your deal... Listen

The Utah Real Estate Show
Earnest Money & Backing Out Of The Contract (Episode 4)

The Utah Real Estate Show

Play Episode Listen Later Jan 12, 2021 3:39


Watch on YouTube: https://youtu.be/7xLY4W-8qNo What happens if I back out of a real estate purchase contract? Well, there's a penalty if the buyer or the seller back out — and that's earnest money.  It matters when and why you back out as to whether or not you'll get to keep your earnest money. In a nutshell, real estate contract are serious business. If you aren't serious, you're going to pay a penalty! *No earnest money was harmed in the filming of this real estate discussion. Please contact us to tell us you love us, you want to hire us! Call or text:  Realtors with Hive Collective at Presidio Real Estate: Tyler Cazier: 801-210-0230 Aric Wiszt: 801-228-7687‬ Lender with Elite Team at Security Home Mortgage:  NMLS: 178787 Jason Christiansen: 801-669-7271 NMLS: 240472 A Production with Security Home Mortgage's Jason Christiansen, and Hive Collective at Presidio's Tyler Cazier and "Mr. Suit" Aric Wiszt.

Arizona Real Estate Podcast
Earnest Money - Why do We Give It, History & Origins.

Arizona Real Estate Podcast

Play Episode Listen Later Jan 4, 2021 11:56


A little bit of the History of why/where/what for - in regards to Earnest Money. If you are interested in any of the links to the scholarly articles I referenced in this Podcast or have any questions about Earnest Money, you can contact me by just clicking here on my Website. --- Send in a voice message: https://anchor.fm/heather-mcclaren/message

Colorado Real Estate Podcast
Colorado Springs South End & Earnest Money

Colorado Real Estate Podcast

Play Episode Listen Later Aug 12, 2020 14:06


The New South End in Colorado Springs is quickly growing with the addition of two downtown Colorado Springs hotels, the Colorado Springs Switchbacks Outdoor Stadium, the Edward J Robson Arena, Streetcar 520, The Coffee Exchange, Atomic Cowboy and more. The diversity of downtown Colorado Springs' industry speaks to future downtown Colorado Springs growth. Additionally, we'll discuss earnest money: when earnest money is due, when you can get your earnest money back, and when you can lose your earnest money.  For more information visit https://erinandjamesrealestate.com/

Home/Style
002 - A Form for That - Earnest Money Edition

Home/Style

Play Episode Listen Later Jun 15, 2020 10:43


In this episode, we REact forms use in the solar-powered problem and discuss earnest money differences in Georgia and South Carolina real estate law. Want to share a REaction email us info@BHHSBeazleyRealtors.com and put REact in the subject line. Meet Kyria Jefferies and Logan Eason by visiting their bios. Interested in learning more about our team? Click Here. --- Send in a voice message: https://anchor.fm/bhhsbeazleyrealtors/message

The Real | Wausau Real Estate Show | Austin Solomon

Hey everybody! It's Austin Solomon! Welcome to this week's episode of The Real. It's going to be a quick episode today, we're just talking about earnest money. What is it? What is it all about? ... read the full audio manuscript on our website at - https://austinsolomon.com/the-real-wausau-real-estate-show/Subscribe to our podcast on Spotify, Apple Podcast or Google Play. Search: "The Real Wausau Real Estate Show"Austin Solomon | The Solomon Group - Coldwell Banker Action - (715) 212-4693.

The Potter Podcast
Earnest Money

The Potter Podcast

Play Episode Listen Later Feb 13, 2020 9:04


In this episode, Ryan describes the importance of the earnest deposit and describes the reasoning behind it and how much one should write when making an offer. 

Wholesale Hotline
Wholesaling In 60 Seconds (Daily Wholesaling Lessons) -- Price, Earnest Money, Speed and Inspection Period | Wholesaling Inc Breakout

Wholesale Hotline

Play Episode Listen Later Oct 13, 2019 2:33


Wholesale Hotline Podcast (Wholesaling Inc Edition), present's Wholesaling in 60 Seconds. We are breaking down Brent Daniel's beginner's series into bite size chunks. This will be a 60 day challenge where we release one small wholesaling tidbit everyday. At the end, you should have everything you need to close your first deal. Show notes -- in this episode we'll cover: Use technology to comp houses. Please give us a rating and let us know how we are doing! ➖➖➖➖➖➖➖➖➖➖➖➖➖➖➖ ☎️ Welcome to Wholesale Hotline & TTP Breakout

Talking Real
Ep 53: OREC Contract Updates & Best of 2018 Smart Home Devices

Talking Real

Play Episode Listen Later Jan 22, 2019 39:13


The first LIVE episode for 2019! We cover the recent contract form updates from the Oklahoma Real Estate Commission (some important information about Earnest Money in there) and then go over the best and most desired smart home devices from 2018.

Global Real Estate School Podcast
What types of Earnest Money are Allowed? Find out on Episode 044

Global Real Estate School Podcast

Play Episode Listen Later Mar 19, 2018 3:34


Ever wanted to know what types of earnest (escrow) money are allowed with a real estate transaction?  Find out on today's Podcast. Are you currently enrolled in a pre-license real estate school in the U.S.?  If so, and you need help, subscribe to my podcast for timely tips to help you pass the real estate exam on the first attempt!   You can also download valuable study aids from my website, http://www.GlobalRealEstateSchool.com Like us on Facebook, https://www.facebook.com/GlobalRealEstateSchool/  Subscribe to our YouTube Channel  As always, "thank you" for listening to the podcast!