Weekly Mentoring Call

Last night on the call, I told Diane that I wanted to learn more about the actual process. I told her I understood the need to do research on properties and I have committed to doing research on at least 20 properties a day. So.... we got further into the process....

We discussed seller financing options. For seller financing you need to find "motivated sellers". These are people that have gone through a lot at this point. They have gone through the entire grieving process and have finally ended up at desperation. Now, this may seem cold hearted and to some people this may seem like we a re taking advantage of these people. If this is how you look at it, then that is exactly what you would be doing. On the other hand, if you look at this situation, as a situation to help someone get out of a horrible situation, well then you are providing a valuable service.

Without you, these people will most definitely be foreclosed on or the bank will "short sale" the property. As I mentioned before, a "short sale" is when the bank shorts themselves out of their money to avoid losing more. In a case like this, if the home owner has allowed their property to head into foreclosure proceedings and have no way of getting out of this horrible situation, the bank will put up a short sale to avoid the property value dipping further and therefore taking a greater loss.

That's where we come in... We offer to take over the title in exchange for repaying the back payments owed on the property. We would also offer terms for overall payment on the property. We would accomplish this by getting the home owner to agree to terms and sign a contract. Then after the home owner vacates the property, we would place approved renters in the property, paying a monthly rent and creating a positive monthly cash flow on our investment.

Diane also gave me the contact information for a realtor who also does property management in Memphis. His name is Chris Peak and I plan on contacting him today to discuss future plans. I will post more information on what role he will play after I contact him.