The Perfect Don’t Wanter!
By Mr Brixx, 1/8/09
This is a story about finding the perfect don’t wanter! I entered 2008 cautiously optimistic. In 2006 I had moved to Aubrey, Texas from Aloha, Oregon to take a job opportunity. I sold everything, broke all my ties to security and dragged my family half way across the country. I liquidated what little real-estate I had and bought a shiny new house in a planned community. Paid all my bills and put all my energy into my job.
I had had a mixed bag with real-estate and wanted to try Corporate America exclusively. I couldn't let go of the real-estate bug. During my down time I found my self trying to understand the Texas market, subconsciously networking with people about real-estate. Then, after a thousand e-mails and a follow up call, on the spur of the moment mid-2008 I joined the Robert Allen Protégé Program.
I contacted wholesalers and realtors left and right; I was ready to go! Then I took a look at my credit report and discovered that my corporate lunches and hob knobbing had put me right back in debt even further than I had been before leaving Oregon.
One of the wholesalers I contacted had shown me this run down house with significant work. I did the math and passed, it was too much work and not enough money. Not to mention it sat directly across from a railroad crossing that the rail companies exercise multiple times a day and night. I looked at a couple of other deals and passed, all my effort was really kind of half hearted.
A couple of months later, after learning how to use some free online services from my mentor, low and behold up popped this house again $10,000.00 cheaper. I contacted the owner and offered not to haggle on price if he would just carry the note for six months. Which he did, after a $2k deposit applied to principal and with $200.00 a month interest-only payments.
Then I sat on my hands for 3 months, overwhelmed and discouraged. Some sort of buyers’ remorse mixed with a weird depression-like state and laziness just took over. I mean, other than pay my note, I did nothing!!! What a loser right! The owner contacted me and said ‘Hey I noticed you’re not doing anything and we are getting a lot of offers on this thing, what’s up? I told him that the banking collapse was affecting my ability to get a loan (laugh). He said, ‘hey call this guy at this bank and see what he can do.’ A couple of weeks went by and I did, finally. We went through the normal loan app stuff and that was the last time I heard from him.
In November, out of the blue, I got a call at work from the local title company asking what day I wanted to close!?!?!?! I had written this thing off so bad that I had forgot somebody was out there trying to get me money! I told the lady today! I went down to the office and the banker had got the money for the purchase and an additional $14,000 to cover repairs and closing.
Ladies and gentlemen, if that is not an almost effortless deal then I don’t know what is! Oh, by the way, the lot is zoned multifamily for up to four units. Rehab is about 50% complete and we expect to cash flow about $300 a month after it’s done. That’s right! We’re are going to rent it out right there at the rail crossing because, when you look through eyes unclouded with doubt, guess what you see? In my case I see approximately eight duplexes and 100 plus homes all completely occupied by renters and home owners alike no less than fifty yards form the same rail crossing as my house.