How I Plan to Seal a Deal with Just $100 of My Own Money
By HFS wholesaling expert John Fossetti
Yesterday I received a bandit sign lead on a property which I believe has amazing potential to earn me a lot of money in the long term. The house is a single family, 3 bedroom ranch that is, quite honestly, very run down. Despite the poor physical condition of the house, the owners still have the property on the market for top dollar.
The owners are currently going through a divorce. The wife resides in the home but the husband does not. The wife hired a contractor to fix up the house, but he took her money and did not do anything he promised to do. So not only is this a distressed property, the entire deal itself is a distressed situation.
Things are messy and only deteriorating for the owners and their property. They want out of this house, and want to start moving on with their lives. As an investor, I believe I can help the owners do this while creating a profitable situation for myself - all by putting down just $100 of my own money.
Before I dive into the details of my $100 down strategy, I want to highlight exactly why I believe this specific property is so valuable.
The Hidden Gem
The most intriguing aspect of this property is that there is an open lot next to the house. If this open lot is build-able, the lot could contain an incredible earning opportunity for me.
I still have some research left to do, but as of right now things are looking pretty good.
The challenge for me as the investor is structuring this deal efficiently and effectively. I need to present something to these owners that will pique their interest. They are motivated sellers, but I still need to present them with an appealing deal.
My idea is to build a new home on the open lot that is next to this house. This home would overlook a tranquil pond and have amazing sunset views. Once completed I believe this future home would be in high demand.
So the big question is, how can I make this happen? My $100 strategy is what I will be divulging in our most recent House Flipping School members videos, which we just released today.
In our latest Roundtable Discussion videos, I sit down with Ryan (our web designer and novice real estate investor) and explain my overall strategy going into this deal. Topics I hit on include:
- How I plan on structuring an offer these owners will love to accept
- My strategy for building a house on the open lot, essentially for free
- A killer deal creation tool that every investor should have
In this week's Whiteboard video I dive into the nitty-gritty of this specific deal, and exactly how I plan on making money. Specifically we talk about:
- How to I plan on securing this deal with just $100 of my own money
- Why and how I plan on building a house on the open lot worth $300,000
- 3 exit strategies to help protect me from potential loss
If you have any questions after watching these videos, please feel free to reach out to me personally in the House Flipping School Members' Forum. I am really enjoying connecting and helping our new members, and I look forward to helping many more investors this week and throughout this month.
Take care and talk soon,