Impact of Competition, What should investors do?
- Author Ryan Moeller
- Published August 31, 2010
- Word count 401
Have you been in a multiple offer situation? A dollar short or day late? Outbid by a small or drastic margin? Competition poses an interesting challenge to investors, if there was one piece of advice it would without a doubt be "Avoid It!" Here are a few tips to deal with competition.
-
No emotions – this is a business decision not an emotional one. Do not fall in love with a deal. Making decisions based on emotions can lead to enormous mistakes.
-
Stick to your criteria – This is a business and you base it on the numbers. Do not pay a penny over your LTV, cash flow and other thresholds.
-
Find 10 more similar deals – It often is a numbers game, find 10 more deals to offer on and cherry pick the best one.
-
Find distressed property not listed – Find sellers who do not have their property listed, this you are the only offer. There are many lists you can market too such as defaults, probates, absentee owners, expired listings, for sale by owners, ads for rent, divorce, bankruptcy, etc.
-
Pay your buyers agent out of escrow – Put your offer in with the listing agent so they get a double commission. You may increase your chance of getting an offer excepted and you can still award your buyers agent out of escrow. I have lost on highest and best situations many times to find out I was barely outbid by a buyer who was represented by the listing agent.
-
Rethink your strategy – If competition is too rough and all else fails, regroup and come up with a new strategy or tweek your current strategy.
The best deals are deals with no competition. Finding sellers that do not have their property listed means you are the only offer, have a ton of negotiating power and can deal directly with the seller. I have seen properties get 20 offers in 3 days, many over asking price. When the bank asked for highest and best guess what I did? I offered the same as my initial offer because that is all the property is worth to me. Then I searched for more prospects to offer on. Happy investing!
Real Return Real Estate™ for years has bought property at extreme discounts, sells and rents with tremendous cash flow. We also provide FREE tips, articles, guides and Educational Webinars. Visit our site http://www.realreturnrealestate.com for all the helpful resources.
http://www.realreturnrealestate.com
Phone
(866) 245-7726
Fax
(619) 243-0092
1552 La Playa Ave #3-311
San Diego, CA 92109
Article source: https://articlebiz.comRate article
Article comments
There are no posted comments.
Related articles
- SCOFI: Pioneering Venezuela’s Petroleum Industry for Over 65 Years
- To Understand Risk, Start By Asking What You Don’t Know
- How To Make Money On Binance: A Full Guide
- Airbnb Investment 101: Tips for New Hosts in Australia
- Indian Gold Demand Rebounds During Important May Festival
- The Investment Terrain in Crypto, Blockchain, and Web3
- Exploring Bitcoin: Corporate Giants Embrace the Cryptoverse
- The Significance of Static IP Address for Trading
- TYPES OF FOREX REGULATIONS
- Weekly Events: Avalanche & Chainlink Collaboration, CommEx Closure, And More
- Assani Elolo Ronaldo - How Bank Instruments Facilitate Gold Deals
- Crypto News: Mempool Solana Shuts Down, Police Integrate Cardano Into Their Work, WhiteBIT And FC Barcelona Launch New Course
- Is Crypto Entering 2021 Vibes?
- Bitcoin Updates All-Time High In Momentum Amid Its Scarcity
- Analyst Announces Bull Run Start, Cites Stock-to-Flow Strategy
- Weekly Crypto News: Telegram Pays Toncoins, WhiteBIT Is Now TradingView Broker And More
- undetectable banknotes
- Unlocking Financial Success: Why Successful Portfolios LLC is Your Best Advisor
- Are EVs a Threat to the Republic?
- A Deep Look Into Binance: Can It Really Be Trusted?
- Ledger Live - Most Trusted & Secure Wallet - Ledger
- Decoding the Future: Navigating the Crypto Landscape
- Don't Cry for Me General Motors
- Investing in exponential growth stocks: what can you choose
- Leveraging ChatGPT AI for Smarter Stock Market Analysis and Investments
- Shib, Doge, and Pepe Have a New Competitor: The Rise of $FUFU Token
- Unlocking Wealth: The Power of Apartment Syndication in Real Estate Investing
- 6 Reasons to Invest in Bitcoin
- Blockchain and AI Convergence: A New Era of Innovation
- Financial Planning for Small Business Owners: Tips for Success