We will no longer be posting new deals on this site.

Go to www.reigrandrapids.com

The REI Grand Rapids site is now the official site for Grand Rapids Wholesale Real Estate offered through our network of investors and wholesalers.  So head on over  to http://www.REIgrandrapids.com and check it out! Make sure you sign yourself up for regular updates whenever we receive new wholesale deals.

Thanks,

Mark Lancaster

And while you are here check out the new deal  we just snagged up… Two 2 unit properties on the NW, 917 and 818 Alpine Ave, in a package deal…

The clock is ticking on this deal.  Don’t even think about hesitating or procrastinating!  I can guarantee you that a Seriously Savvy Investor will be tracking me down to pick up this deal.  The time for you to make this happen is now!

Your 2009 partner in profits,

Mark Lancaster and
The Grand Rapids Real Estate Solution
616.635.6870

They can be paid hourly, salary and/or commission. You may find an Acquisition Manager that happens to also have a real estate license, but provided they are not offering services that require a license (check with your legal team to verify) they do not typically need a real estate license.

In most cases you will probably hire them as Employees, but you may be able to structure your hire so that you can justify it as an Independent Contractor arrangement.

Sample Acquisition Manager Checklists

You can see some samples of checklists you might use with your Acquisition Manager here:

• Acquisition Manager Daily Checklist

Watch this for a swift kick in the pants and a real jump start for your real estate career:

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Watch it here:  2009  is the year to make things happen!

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I’m going to make this short and sweet… This post is not about wholesaling, retailing or any aspect of the business. It’s not about making money or anything of the sort. It’s about YOU and GETTING THINGS DONE! It’s about implementation. It’s about execution. It’s about putting what you know into action. Than Merrill, star of A & E’s “Flip This House” has A VERY special outlook on this:

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Watch it here: 2009 is the year to make things happen!

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Tomorrow Jan 15th, 2009 at NOON EST, Mike Collins is launching the long awaited REIWired.com Internet television network. Than is just one of over twenty real estate superstars that headline that network. But his very short message to you is one of the most important and timely if you’re looking for a change. It’s about ACTION gang… We can provide information till it’s coming out your ears but if you don’t do anything…well you know the line…nothing gets done. Is it finally time for you to change YOUR life for the better? Watch and listen as Than describes what happened when he hesitated – just for second – in the NFL…. and how he became a real estate superstar from that lesson…

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Here it is:  2009 is the year to make things happen!

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Talk soon,

Mark

PS: This is THE most exciting time in real estate in our lifetime… Join Than, Larry Goins, Preston Ely, Cris Chico, Steve Cook, Mike Collins, and almost twenty other real estate superstars as history is made tomorrow at 12pm, NOON Eastern Standard Time.

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Here’s that video again:  2009 is my year!!

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PPS:  I’m not sure how many people Mike is letting
into the REI Wired community.  He tends to keep
things relatively intimate.  Don’t wait around or
anything.  Fortune favors the BOLD and the FAST.

Over five hundred thank -you’s from all over the country.

“Looking forward to receiving more info! Thank you.”
…..Dr. Mike D.

“Mike you are the MAN! A Happy Healthy and Most Prosperous -NEW YEAR-2009”
……..‘K.C .from Jersey City’

” Very interesting, I am a real estate agent, enjoyed the video.”… Liz

“I am shutting off the tv as we speak, looking forward to working
together and being successful.”………Susan M.

“Thank you Mike, I am looking forward to it. I have lost a lot in
this Government bail-out.” ……….Peggy E., Realtor

Click below for the second full content video.

real estate training video to help you start 2009 with a bang

I can see why people are excited. The last video was almost an
hour of content and the next one is almost that long too.
It appears the videos (including the TV Smashing one) are
being forward all over the Internet, which is really making
Mike happy, but it is also putting a strain on his bandwidth
bill:)

So if it’s time to really make 2009 work the way you wrote
on your goals list last week then get over and listen to this
short message from Mike. Then check out the new video…

real estate training video to help you start 2009 with a bang

If turning off the TV and substituting this content doesn’t
change your life in 2009 then I don’t know what will.

Sincerely,

Mark

Ps. Mike told me he’s got even MORE good stuff coming
our way, so keep on the lookout for it!

Here ‘s that link again:

real estate training video to help you start 2009 with a bang

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Check it out here–>Mike has lost his mind. You’ve got to see this!
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He didn’t make many friends, but I think he made his point.
Seriously, this is a fun video to help you
start your New Year. I hope you enjoy it as much as I did.

And…

He’s dead-right at the end of it.

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Watch it here–>Mike has lost his mind. You’ve got to see this!
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What about you? What have you decided to do differently
in 2009? Aim high and stay strong. This is your year.

I’ve known Mike for years and he’s always been a straight-shooter.
He told me that he’s sending out over 2 hours of hard-core training
videos to his group this week. He’s calling it his “Insider’s Guide to
Quick-Start 2009”.

If you like what Mike’s got to say, enter your email and he’ll send it to
you too. He’s been wholesaling houses for 24+ years, so he knows what he’s talking about. Heck, free tips from flat-out pro is always a great way to start a new year, right?

Anyway, Happy New Year and have a great weekend.

Sincerely,

Mark

Ps. Even if you’re not investing in real estate right now, you’ve
got to see this video. It’s hilarious!

Watch it here–> Mike has lost his mind. You’ve got to see this!

The idea of buying real estate deals based on equity is simple: you are buying houses for a lower price than they are worth. A very simple example would be if you had a $100,000 house, you might buy it for $70,000.

But how do you know what a good deal for an investor is? When you are wholesaling houses to other investors, you need to know, at least in basic terms, what makes a deal good. So, let’s look at one of the most common formulas for buying houses based on equity. Your market may differ slightly (either higher or lower) and you will need to learn the nuances of your local market, but you can use this as a good starting point.

The formula for buying a house based on equity (often called the Ugly House MAO or Ugly House Maximum Allowable Offer) is:

70% of the After Repairs Value (ARV) minus the cost of all the repairs.

Let’s look at a few examples so you can see how this works.

Example #1: $100,000 house with $8,000 in repairs needed

In this example, we have a house that is worth $100,000 after the completion of all repairs. This figure is based on what similar houses have sold for. It needs $8,000 in repairs.

So, let’s plug it into the Ugly MAO formula:

70% of the After Repairs Value (ARV) minus the cost of all the repairs
70% of $100,000 minus $8,000 = Ugly MAO
$70,000 – $8,000 = Ugly MAO
$62,000 = Ugly MAO

In this case, an investor looking to buy the property would, at most – that’s what MAXIMUM in MAO stands for – pay $62,000. So, to wholesale this property you would need to buy it for less than $62,000 and add your wholesale fee.

Example #2: $200,000 house with $12,000 in repairs needed

In this second example, we have a $200,000 house that would need approximately $12,000 in repairs.

If you enter these numbers into the Ugly MAO formula, you get something that looks like the following:

70% of the After Repairs Value (ARV) minus the cost of all the repairs
70% of $200,000 minus $12,000 = Ugly MAO
$140,000 – $12,000 = Ugly MAO
$128,000 = Ugly MAO

If you wanted to make $10,000 as a wholesaler wholesaling this deal and thought an investor would pay the maximum, then you’d need to put this house under contract for $118,000.

Example #3: $600,000 house with $15,000 in repairs needed

In our final example, which is for more expensive housing markets, we are considering a house that has recent comparable sales in the $600,000 range. It also needs about $15,000 in repairs to be truly comparable in condition to the recent sales.

Let’s see what happens when you use the Ugly MAO formula with this one:

70% of the After Repairs Value (ARV) minus the cost of all the repairs
70% of $600,000 minus $15,000 = Ugly MAO
$420,000 – $15,000 = Ugly MAO
$405,000 = Ugly MAO

As you can see, investors that buy equity need to get substantial discounts on properties to be able to fix them up and either rent them out or quickly resell them.

An important thing to note is that the investor will likely not make the entire discount as a profit. There are actual costs associated with buying, selling and holding the property. If you use a real estate agent or broker to sell a property and the buyer negotiates the price down 4%, you’ve used 10% of your profit just in selling costs and negotiation costs, not including holding costs, fix up costs and more. If you have 1% per month in holding costs (mortgage payment, taxes, insurance, and maintenance) and you need to hold the property for 6 months to sell it, there goes another 6% of your potential profit.

With just these costs factored in and looking at the $100,000 house example, instead of seeing $30,000 profit the investor is down to a $14,000 profit. I hope this helps you to understand why the discount in the Ugly MAO formula is what it is.

-James Orr

The hard cold reality is that the economy sucks.

People are losing their houses. Companies are laying off people. Banks are shutting their doors. A new President is coming which will bring in even more change and uncertaintity.

In short things are rough for most people.

But here’s where we have to draw the line in the sand and YOU need to decide which side of the line you’re gonig to be on. The dumb and broke side or the smart and getting richer side.

My question to you: Are you going to crawl up into the fetal position and cry like a baby and whine with everyone else over the economy?

Most people will and statistically that includes you. Sorry to be so blunt but it’s decision time and you’re either going to step up or get rolled over.

Me? I’ve decided I’m not going to participate in the bad economy! Sorry… it’s simply not for me.

So here’s 2 things I want you to do right now. (Take 15 WHOLE minutes to be by yourself).

1. Ask yourself… Am I satisfied with where I am going in my life? (if yes you are done)
2. Decide what you are going to do differently to get where you want to go in life.

I know… sounds simple but the sad truth is the dumb and broke people will do nothing and stay dumb and broke.
They don’t have to buy anything, go anywhere, or do anything another
than think and take fifiteen measely minutes of their time to
participate in something that could be life changing.

Pick your side of the line.

So my friend, there’s your short and direct message from me to you. I’m hoping your in the 5% that take action.

Now Go Buy A House!