This as been a stressful week for Eileen and me. As we last left off, we had a signed contract for our cute property on Challen for $10k higher than our asking price (minus $5k in closing costs). This was a good thing. Our only concern was how the FHA appraiser would value our property.
As luck would have it, we had some appraiser from another town (an hour's drive away) appraise our cute little property a full $22,000 below what our buyer (and other buyers) said the property is worth. Yes, you read it right, a full twenty-two THOUSAND BELOW the contract price.
We thought we could be at risk for maybe $5 or $10 thousand, but $22,000. OUCH - that is a major hit to our profits! Here were our choices:- Reduce our sales price and take the hit on our profits.
- Get the buyer to allow a second mortgage and pay us over time (not allowed according to FHA).
- Let the deal fall through, rent the property out for 6 months and try again.
- Sell it "owner finance".
- Contest the appraisal.
After a sleepless night, a lot of research, reading all of the fine print on the appraisal, and reaching out to mentors, I decided to ask the bank to reconsider the loan amount.
I wrote a very respectful and compelling letter to the loan officer with several undisputable data items that supported my case. After a seemingly LONG 48 hours (which is a lot when a weekend falls in those 48 hours), the bank approved a $10,000 increase to the appraisal amount - yahoo!
But that's not all, they allowed changes to the loan so the closing costs were only $1,000 (down from $5,000). Overall, our $22k hit got raised $14k. OK, the FHA world made us reduce our sales price by $8,000 but that's a lot better than just going along with the FHA rules.
The moral of this story? If you don't ask, you won't get.
This as been a stressful week for Eileen and me. As we last left off, we had a signed contract for our cute property on Challen for $10k higher than our asking price (minus $5k in closing costs). This was a good thing. Our only concern was how the FHA appraiser would value our property.
As luck would have it, we had some appraiser from another town (an hour's drive away) appraise our cute little property a full $22,000 below what our buyer (and other buyers) said the property is worth. Yes, you read it right, a full twenty-two THOUSAND BELOW the contract price.
We thought we could be at risk for maybe $5 or $10 thousand, but $22,000. OUCH - that is a major hit to our profits! Here were our choices:- Reduce our sales price and take the hit on our profits.
- Get the buyer to allow a second mortgage and pay us over time (not allowed according to FHA).
- Let the deal fall through, rent the property out for 6 months and try again.
- Sell it "owner finance".
- Contest the appraisal.
After a sleepless night, a lot of research, reading all of the fine print on the appraisal, and reaching out to mentors, I decided to ask the bank to reconsider the loan amount.
I wrote a very respectful and compelling letter to the loan officer with several undisputable data items that supported my case. After a seemingly LONG 48 hours (which is a lot when a weekend falls in those 48 hours), the bank approved a $10,000 increase to the appraisal amount - yahoo!
But that's not all, they allowed changes to the loan so the closing costs were only $1,000 (down from $5,000). Overall, our $22k hit got raised $14k. OK, the FHA world made us reduce our sales price by $8,000 but that's a lot better than just going along with the FHA rules.
The moral of this story? If you don't ask, you won't get.
This as been a stressful week for Eileen and me. As we last left off, we had a signed contract for our cute property on Challen for $10k higher than our asking price (minus $5k in closing costs). This was a good thing. Our only concern was how the FHA appraiser would value our property.
As luck would have it, we had some appraiser from another town (an hour's drive away) appraise our cute little property a full $22,000 below what our buyer (and other buyers) said the property is worth. Yes, you read it right, a full twenty-two THOUSAND BELOW the contract price.
We thought we could be at risk for maybe $5 or $10 thousand, but $22,000. OUCH - that is a major hit to our profits! Here were our choices:- Reduce our sales price and take the hit on our profits.
- Get the buyer to allow a second mortgage and pay us over time (not allowed according to FHA).
- Let the deal fall through, rent the property out for 6 months and try again.
- Sell it "owner finance".
- Contest the appraisal.
After a sleepless night, a lot of research, reading all of the fine print on the appraisal, and reaching out to mentors, I decided to ask the bank to reconsider the loan amount.
I wrote a very respectful and compelling letter to the loan officer with several undisputable data items that supported my case. After a seemingly LONG 48 hours (which is a lot when a weekend falls in those 48 hours), the bank approved a $10,000 increase to the appraisal amount - yahoo!
But that's not all, they allowed changes to the loan so the closing costs were only $1,000 (down from $5,000). Overall, our $22k hit got raised $14k. OK, the FHA world made us reduce our sales price by $8,000 but that's a lot better than just going along with the FHA rules.
The moral of this story? If you don't ask, you won't get.
After watching the e-course, Cash Flow 2700 by Armando Montelongo, I am struck by the simplicity of the strategies he outlines, yet I understand why some people just don't "get it".
When in the midst of a financial crisis, it's hard to "see the forest through the trees". He pulls you out of that crisis mode and provides you with undisputable financial savings by teaching solid strategies.
The Good:
Armando tells you straight up how to prioritize your bill paying. He also gives you solid strategies on how to negotiate with your landlord, your mortgage company and your credit card companies so you WILL save money on your monthly expenses. It doesn't matter if you're in a cheap apartment or in a mansion, the techniques outlined in Cash Flow 2700 will work for (almost) everyone.
Armando has a very effective way of reaching out to every level - the poor and the not-so-poor - and reduces complicated issues into simple step by step strategies.
I personally used one of Armando's techniques outlined in the course to negotiate my existing mortgage to a lower interest rate. To my surprise it was extremely easy. Now I will save over $300 per month on my mortgage and it didn't cost me a dime.
That one technique gave me immediate payback on the information packed $47 e-course.
What to Expect:
Armando tells it like it is. He shares these great strategies with you because they work. But if you are meek, shy, or a person of inaction, then Cash Flow 2700 will be a waste of your money. The bottom line is, if you won't take advantage of his strategies, then don't buy the e-course.
The Bonus:
Armando also takes you one step further and gives you some hints on how to make some money fairly quickly without having to take that second job. He charts a course of action where you can put 2 people together to solve 2 real estate problems, and YOU get paid at least $3,000 for those efforts.
Conclusion:
There's a lot packed in this 30 minute e-course, so keep it around to watch again. The human brain can only take in so much in one sitting. The good thing about these strategies is that it is part of your lifetime learning - use these strategies for the rest of your life to trim your bills, or to help another when they are in a crisis. Cash Flow 2700is a "must-have" for any budget conscience person.
After watching the e-course, Cash Flow 2700 by Armando Montelongo, I am struck by the simplicity of the strategies he outlines, yet I understand why some people just don't "get it".
When in the midst of a financial crisis, it's hard to "see the forest through the trees". He pulls you out of that crisis mode and provides you with undisputable financial savings by teaching solid strategies.
The Good:
Armando tells you straight up how to prioritize your bill paying. He also gives you solid strategies on how to negotiate with your landlord, your mortgage company and your credit card companies so you WILL save money on your monthly expenses. It doesn't matter if you're in a cheap apartment or in a mansion, the techniques outlined in Cash Flow 2700 will work for (almost) everyone.
Armando has a very effective way of reaching out to every level - the poor and the not-so-poor - and reduces complicated issues into simple step by step strategies.
I personally used one of Armando's techniques outlined in the course to negotiate my existing mortgage to a lower interest rate. To my surprise it was extremely easy. Now I will save over $300 per month on my mortgage and it didn't cost me a dime.
That one technique gave me immediate payback on the information packed $47 e-course.
What to Expect:
Armando tells it like it is. He shares these great strategies with you because they work. But if you are meek, shy, or a person of inaction, then Cash Flow 2700 will be a waste of your money. The bottom line is, if you won't take advantage of his strategies, then don't buy the e-course.
The Bonus:
Armando also takes you one step further and gives you some hints on how to make some money fairly quickly without having to take that second job. He charts a course of action where you can put 2 people together to solve 2 real estate problems, and YOU get paid at least $3,000 for those efforts.
Conclusion:
There's a lot packed in this 30 minute e-course, so keep it around to watch again. The human brain can only take in so much in one sitting. The good thing about these strategies is that it is part of your lifetime learning - use these strategies for the rest of your life to trim your bills, or to help another when they are in a crisis. Cash Flow 2700is a "must-have" for any budget conscience person.
After watching the e-course, Cash Flow 2700 by Armando Montelongo, I am struck by the simplicity of the strategies he outlines, yet I understand why some people just don't "get it".
When in the midst of a financial crisis, it's hard to "see the forest through the trees". He pulls you out of that crisis mode and provides you with undisputable financial savings by teaching solid strategies.
The Good:
Armando tells you straight up how to prioritize your bill paying. He also gives you solid strategies on how to negotiate with your landlord, your mortgage company and your credit card companies so you WILL save money on your monthly expenses. It doesn't matter if you're in a cheap apartment or in a mansion, the techniques outlined in Cash Flow 2700 will work for (almost) everyone.
Armando has a very effective way of reaching out to every level - the poor and the not-so-poor - and reduces complicated issues into simple step by step strategies.
I personally used one of Armando's techniques outlined in the course to negotiate my existing mortgage to a lower interest rate. To my surprise it was extremely easy. Now I will save over $300 per month on my mortgage and it didn't cost me a dime.
That one technique gave me immediate payback on the information packed $47 e-course.
What to Expect:
Armando tells it like it is. He shares these great strategies with you because they work. But if you are meek, shy, or a person of inaction, then Cash Flow 2700 will be a waste of your money. The bottom line is, if you won't take advantage of his strategies, then don't buy the e-course.
The Bonus:
Armando also takes you one step further and gives you some hints on how to make some money fairly quickly without having to take that second job. He charts a course of action where you can put 2 people together to solve 2 real estate problems, and YOU get paid at least $3,000 for those efforts.
Conclusion:
There's a lot packed in this 30 minute e-course, so keep it around to watch again. The human brain can only take in so much in one sitting. The good thing about these strategies is that it is part of your lifetime learning - use these strategies for the rest of your life to trim your bills, or to help another when they are in a crisis. Cash Flow 2700is a "must-have" for any budget conscience person.
I am pleased to say that Eileen and I have caught the attention of yet another all-cash investor!
I had a rather depressing phone conversation with another Armando student that hadn't had any luck finding the funds to do the program. She admitted that her husband took the "Sea Urchin" personality to an extreme, which was part of the problem. But then she said rather frankly, that what she was taught just isn't true. That you do need money to flip houses. I understand why she thinks that way, but I will soon prove her wrong.
The very next day I attended an annual alumni seminar (I have a very expensive Master's degree in Technology Commercialization - and no job). At lunch I mentioned my frustration of being unemployed and made the bold statement that I was now in real estate flipping houses.
This caught the attention of a fellow alum, a Chinese national that brokers technologies for use in China. He said "ME TOO! I flip houses too".
We had a nice discussion about house flipping and he said he wants me to flip houses for him - that money is not a problem, that he doesn't have time. He said "You no more look for job. I pay, you fix, we share the profits." His only concern is that he wants the properties to be in our state. That sounds good to me since all these investors are raising the prices in California.
I'm starting to make offers this week in Texas. I'll keep you posted!
I am pleased to say that Eileen and I have caught the attention of yet another all-cash investor!
I had a rather depressing phone conversation with another Armando student that hadn't had any luck finding the funds to do the program. She admitted that her husband took the "Sea Urchin" personality to an extreme, which was part of the problem. But then she said rather frankly, that what she was taught just isn't true. That you do need money to flip houses. I understand why she thinks that way, but I will soon prove her wrong.
The very next day I attended an annual alumni seminar (I have a very expensive Master's degree in Technology Commercialization - and no job). At lunch I mentioned my frustration of being unemployed and made the bold statement that I was now in real estate flipping houses.
This caught the attention of a fellow alum, a Chinese national that brokers technologies for use in China. He said "ME TOO! I flip houses too".
We had a nice discussion about house flipping and he said he wants me to flip houses for him - that money is not a problem, that he doesn't have time. He said "You no more look for job. I pay, you fix, we share the profits." His only concern is that he wants the properties to be in our state. That sounds good to me since all these investors are raising the prices in California.
I'm starting to make offers this week in Texas. I'll keep you posted!
I am pleased to say that Eileen and I have caught the attention of yet another all-cash investor!
I had a rather depressing phone conversation with another Armando student that hadn't had any luck finding the funds to do the program. She admitted that her husband took the "Sea Urchin" personality to an extreme, which was part of the problem. But then she said rather frankly, that what she was taught just isn't true. That you do need money to flip houses. I understand why she thinks that way, but I will soon prove her wrong.
The very next day I attended an annual alumni seminar (I have a very expensive Master's degree in Technology Commercialization - and no job). At lunch I mentioned my frustration of being unemployed and made the bold statement that I was now in real estate flipping houses.
This caught the attention of a fellow alum, a Chinese national that brokers technologies for use in China. He said "ME TOO! I flip houses too".
We had a nice discussion about house flipping and he said he wants me to flip houses for him - that money is not a problem, that he doesn't have time. He said "You no more look for job. I pay, you fix, we share the profits." His only concern is that he wants the properties to be in our state. That sounds good to me since all these investors are raising the prices in California.
I'm starting to make offers this week in Texas. I'll keep you posted!
I've been making offers left and right and contually get outbid! There's something awry in California.
I've seen prices of these same foreclosed properties appreciate 30-50% in just 3 months! I'm talking about boarded up, skanky properties with the toilets half way off the floor and rotting wood creating an aroma that's as torturous as water-boarding.
I spoke with a representative from The Norris Group about this activity and this is what I got out of the conversation:- There seems to be a sense of "hysteria going on in the market right now".
- Many investors believe that prices always go up in California
- If you're holding for 5 years, your probably OK
- The real question is "what will happen in the next 3 months?"
Being the conservative "sea urchin" that I am, I think it's time to just sit and watch what happens in California. If you remember, the first thing we heard when going into this program was Warren Buffet's words: "Be fearful when others are greedy and be greedy only when others are fearful". I'm not seeing a lot of fear in California right now as investors are sweeping up properties right and left.
I've been making offers left and right and contually get outbid! There's something awry in California.
I've seen prices of these same foreclosed properties appreciate 30-50% in just 3 months! I'm talking about boarded up, skanky properties with the toilets half way off the floor and rotting wood creating an aroma that's as torturous as water-boarding.
I spoke with a representative from The Norris Group about this activity and this is what I got out of the conversation:- There seems to be a sense of "hysteria going on in the market right now".
- Many investors believe that prices always go up in California
- If you're holding for 5 years, your probably OK
- The real question is "what will happen in the next 3 months?"
Being the conservative "sea urchin" that I am, I think it's time to just sit and watch what happens in California. If you remember, the first thing we heard when going into this program was Warren Buffet's words: "Be fearful when others are greedy and be greedy only when others are fearful". I'm not seeing a lot of fear in California right now as investors are sweeping up properties right and left.
I've been making offers left and right and contually get outbid! There's something awry in California.
I've seen prices of these same foreclosed properties appreciate 30-50% in just 3 months! I'm talking about boarded up, skanky properties with the toilets half way off the floor and rotting wood creating an aroma that's as torturous as water-boarding.
I spoke with a representative from The Norris Group about this activity and this is what I got out of the conversation:- There seems to be a sense of "hysteria going on in the market right now".
- Many investors believe that prices always go up in California
- If you're holding for 5 years, your probably OK
- The real question is "what will happen in the next 3 months?"
Being the conservative "sea urchin" that I am, I think it's time to just sit and watch what happens in California. If you remember, the first thing we heard when going into this program was Warren Buffet's words: "Be fearful when others are greedy and be greedy only when others are fearful". I'm not seeing a lot of fear in California right now as investors are sweeping up properties right and left.
Good News #1 - The Bus Trip
Eileen and I were fortunate enough to attend our 3rd bus trip! This was the most successful bus trip we've been on. Having multiple offers on our house helped, as the new students could see and hear of our experiences step by step, plus we connected with some really great people!
Here's the REAL GOOD NEWS - Armando realized that having people like you follow our story is of great benefit for his Platinum members (you are a platinum member if you were on a bus tour). So we are creating this type of blog/newsletter to a newly created, password protected, exclusive blog site called ArmandoPlatinum.com. You should receive an invitation soon if you haven't already ( check your junk folder).
There are a lot of surprises in store for the Platinum group - tele-classes, how-tos, and I've even heard there may be a "Flip this House" never shown on the air that may be privy to Platinums only!
Good News #2 - We accepted an FHA offer!
It was hard to decide which offer to take amongst all of the offers, but being FHA offers, we chose the one that promised to close the quickest. The property is in escrow right now and it is being inspected, appraised, and all we can do now is wait.
Good News #1 - The Bus Trip
Eileen and I were fortunate enough to attend our 3rd bus trip! This was the most successful bus trip we've been on. Having multiple offers on our house helped, as the new students could see and hear of our experiences step by step, plus we connected with some really great people!
Here's the REAL GOOD NEWS - Armando realized that having people like you follow our story is of great benefit for his Platinum members (you are a platinum member if you were on a bus tour). So we are creating this type of blog/newsletter to a newly created, password protected, exclusive blog site called ArmandoPlatinum.com. You should receive an invitation soon if you haven't already ( check your junk folder).
There are a lot of surprises in store for the Platinum group - tele-classes, how-tos, and I've even heard there may be a "Flip this House" never shown on the air that may be privy to Platinums only!
Good News #2 - We accepted an FHA offer!
It was hard to decide which offer to take amongst all of the offers, but being FHA offers, we chose the one that promised to close the quickest. The property is in escrow right now and it is being inspected, appraised, and all we can do now is wait.
Good News #1 - The Bus Trip
Eileen and I were fortunate enough to attend our 3rd bus trip! This was the most successful bus trip we've been on. Having multiple offers on our house helped, as the new students could see and hear of our experiences step by step, plus we connected with some really great people!
Here's the REAL GOOD NEWS - Armando realized that having people like you follow our story is of great benefit for his Platinum members (you are a platinum member if you were on a bus tour). So we are creating this type of blog/newsletter to a newly created, password protected, exclusive blog site called ArmandoPlatinum.com. You should receive an invitation soon if you haven't already ( check your junk folder).
There are a lot of surprises in store for the Platinum group - tele-classes, how-tos, and I've even heard there may be a "Flip this House" never shown on the air that may be privy to Platinums only!
Good News #2 - We accepted an FHA offer!
It was hard to decide which offer to take amongst all of the offers, but being FHA offers, we chose the one that promised to close the quickest. The property is in escrow right now and it is being inspected, appraised, and all we can do now is wait.
by Robert T. Kiyosaki and totally enjoyed hearing real estate investors discuss their experiences and their expertise. I highly recommend adding this to your collection.