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Charlie Burlbaw Gets It Going In Princeton
Monday, April 21, 2008 Day One
9:00 I arrived at Charlie’s home and we began to discuss what he had done over the weekend as far as homework. I outlined some of the things that I was looking to accomplish with him on the first day. These things included:
Realtor/Private Money Mail Merge
FLS Letters Mailed Out
Meeting with Lorena
Appt of Substitute Trustee Postings
MLS Short Sale/REO Postings
Appointments with Team
Private Money Email
Out of State Owners
We spent the rest of the morning going over the list. I had him post seven Craigslist ads that included Handyman Special, I Buy Notes, No Bank Qualifying, Send Me Your Problem Properties, Foreclosure Assistance, and Private Lender Available. I also spent some time discussing how he could re-pull the foreclosure list throughout the month (which he didn’t know) along with having him make some calls to set up team members.
11:00 I had sent Charlie a list of Texas Realtors in the Dallas/Fort Worth area that he could target for short sales and problem properties. He didn’t know how he could target that list, so I spent some time with him creating a email list that he could do a mail merge on and mass email the list through Constant Contact. This took a while, but we were able to get him one sent out. We then checked his email and found several responses to his Craigslist postings. We took some time to answer them back.
12:00 Charlie had printed and addressed 120 foreclosure letters the previous night, so we took some time to review the list of properties and then we headed out to the post office for him to get some stamps to mail them. Before leaving, I discussed how he could pull out of state owners off of the same list along with targeting the daily obituaries for probate properties. We then headed out to lunch.
2:00 We arrived back at Charlie’s house and he was excited to see several responses to his Craigslist postings. We took some time to answer them. We also set up an appointment with two realtors, Lorena Gerlach (Tuesday) and Cindy Grosser (Wednesday). While speaking with Lorena, we asked her to pull a list of short sales in Princeton along with the nearby town of McKinney. She sent us the MLS listings along with the info in a usable spreadsheet. Before we tackled this list though, we headed out to look at two FSBO’s/ugly houses that we had driven past on our way back from lunch.
3:30 We stopped by both homes which one was closed up, but the other was open and quite trashed. While we were inspecting the second home, Charlie came across a posting on the home that the city had acquired it to expand the road to five lanes running in front of the home. We left that home and I had Charlie call the phone number on the listing of another home along with the first one we visited it.
4:30 Once we arrived back home, Charlie checked his email and he had received a couple of responses from his realtor email. After he responded to them, I had him pull up the CountyAppraisers website so that I could show him how he could search the obituaries for properties that the deceased may have owned. He was able to pull up a complete list on the Dallas Morning News and was able to filter it to meet his list and areas that he wanted to focus on.
5:30 We were getting ready to wrap up the day when Charlie received a phone call back to the FSBO that was locked up when we had driven by it. The owner wanted us to swing by and view the property, so we headed out to meet the owner. The owner was in the process of cleaning out the property as it was her deceased mother’s home and it was obvious that the home needed a lot of work. We thanked her and I ran Charlie back to his home.
6:00 We wrapped up the day with Charlie completing the Daily Journal, along with me assigning him some homework (obituaries, FLS listings, and FSBO listings). I then headed out to my hotel.
Tuesday, April 22, 2008 Day Two
9:00 I arrived back at Charlie’s home. We spent some time discussing the homework that Charlie had worked on and that he had another 60 letters to mail out. We discussed the day ahead and our meeting with Lorena Gerlach at 10:30 and what we wanted to accomplish with her that day. Before she arrived, I had Charlie repost a few ads that had been flagged by Craigslist.
10:30 Lorena arrived at Charlie’s house and we began to work on pulling up some properties that were short sales in the nearby areas. After reviewing where these were at, we headed out to take a look.
11:30 We stopped and reviewed two short sale properties that were in pretty good condition. There was another showing going on at both of them so after looking at both we headed out to look at a couple of others. We arrived at the Villas of Monte Carlo in Princeton and after looking at one property, we uncovered multiple properties where the builder had walked away after completing 90% of the work and the finish out would just include flooring, cleaning, landscaping, and some light trim work. Lorena and I were both extremely excited and explained to Charlie how he could benefit from each of the properties.
We stopped by the Lennar office that was on site and inquired about the builders that had walked away from the properties that we had just looked at. The sales associate told us the builder (Five Star Homes) had walked away from not only their location, but four others around the DFW metro-plex. We thanked her for her time and headed out to lunch and on to Charlie’s home.
3:30 We arrived back at Charlie’s after lunch and starting researching Five Star Homes. Their website gave us a lot of information and also included property addresses that were still available/walked away from on all five of their locations. While researching the local properties, we found the names of the underlying banks that had foreclosed on them and were looking to sell them. Lorena had to take off and get back to her home, so we thanked her for her time and told her that we would be getting some properties to her to fill out the contracts on.
5:00 Charlie and I started pulling phone numbers for Indpendence, Prosperity, Jefferson Banks and two other companies (Southwest Securities and Princeton 380) that held the properties and lots as REO’s. We called them, but with it being after 5 pm, we decided that we would call back later the next day.
6:00 We wrapped up the day with Charlie completing the Daily Journal, along with me assigning him some homework (research builder closeout properties and the banks owning them along with him working on some obituary letters).
Wednesday, April 23, 2008 Day Three
9:00 I arrived at Charlie’s and found that he had completed the homework. He had also research the properties in McKinney and Princeton that were reflected on the FLSonline list and had written letters to them all. We then headed to the post office so that he could mail them and then we went to meet with another realtor, Cindy Grosser.
10:30 We arrived at Cindy Grosser’s office and visited with her for a while. Charlie asked me to talk with her regarding a home that she was trying to sell. I structured a owner financed wrap for her and discussed the options, time frame, etc. She was interested and I went into several ways for her to work with other realtors. We also discussed how she could help Charlie out and what lists that she needed to pull for him on a regular basis. She liked this relationship with Charlie and we requested her to recommend a mortgage broker or two along with a good title company. She recommended Land America Title (right across the street) and Mark Thaler, Mortgage Broker.
We were lucky enough to catch Mark Thaler in the office and had a great visit with him. It turned out that he had a couple warehouse lines and would be willing to send us anything that he had that he couldn’t get off of his lines. He had been in the business for over 15 years and did FHA, VA, and funded off of their own lines as well. We had a great conversation with him and then thanked Cindy for her time and headed out to lunch.
2:00 We arrived back at Charlie’s house and started to call the banks again on the foreclosed builder inventory. We were able to get a hold of someone who would be sending us the list of their REO inventory for us to review. I was excited to here this info and explained to Charlie ways that he could finance a lot of these. We then made some phone calls to some hard money lenders and discussed the financing options for all the deals we had looked at. They were all interested at funding at 65-70% of ARV.
3:30 I had Charlie focus some of his time on the list of short sales that Lorena had sent us. We did some researching of what the properties had been financed at by pulling the deeds from the County clerk’s website. We then came up with an offering price at 65% and sent the offers to Lorena to get the contracts filled out for Charlie. Lorena was headed down to Financial Mastery in Austin and promised to get Charlie the contracts signed to him by either Sunday or on Monday.
6:00 We wrapped up the day with Charlie completing the Daily Journal, along with me assigning him some homework. We also took the time to listen to the NAREI until 6:45 pm. and then we headed out to dinner with his wife.
8:00 I headed home to the hotel from dinner..
Thursday, April 24, 2008 Day Four
9:00 I arrived at Charlie’s house and was excited to hear that he had received two phone calls from people facing foreclosure. We discussed the information sheets. He also brought up two leads that he had received prior to my arriving. I had him call both leads and he was able to set up an appointment with them both. He also discussed with me that he had received a list of 4 builder closeouts that Southwest Securities had sent him that were framed out with roofs, but nothing else. Two were in town, so we immediately headed out to review them both.
10:00 We walked through both builder close outs and I made a few phone calls to my builder contacts to get an estimate of completion percentages. After reviewing them and finding a few identical properties that were listed for near $200K in the same subdivision, we decided to drive around a few other locations to look at homes. We came across another FSBO that had a car parked out in front with Arizona plates, so we dropped by and knocked on the door. We were extremely surprised to be greeted by two female budists (mother and daughter). It turns out that they had paid cash for the property a year ago and were trying to sell it at $136K. They were unhappy with their agent and were had just placed it as a FSBO and were spending a month in Princeton trying to sell it. They gave us a tour of the home and we thanked them for their time. I mentioned to Charlie that he should call them back in a week and offer $100K cash (67% LTV) and see if they would be more willing to negotiate after a week and then follow up every two weeks as well. He liked that idea and with that we headed to lunch.
2:00 We arrived back at Charlie’s and we started to discuss his course of actions on the deals that we had found. I took some time to go through the Four Goal Close with him and to also give him contact information on some of the people that we had contacted that week who had emailed me items. We also discussed time lines and the short sale time line along with the resources that were in the mentor manual.
4:00 I spent the last hour with Charlie discussing and planning his marketing plan down to daily, weekly, and monthly activities. We identified several ways throughout the week for him to identify properties and deals. I also made another phone call to a secondary marketing manager with Power Lending in Dallas who stated that he would send us any scratch and dent loans that he came across. We then prepped Charlie for the weekend ahead with hotel arrangements.
5:00 I wrapped up my stay and the 1:1 with Charlie filling out the Daily Journal and completing the Mentor Evaluation. I then headed out to Austin.