What to do if your house is not selling

In this video, we’re going to show you what to do if your house is not selling. See this deal analysis video and how we use Batchleads to do it.

What is going on everybody it is Nathan Payne and I got one of my members of the club the payneless wholesaling club on here Rita welcome Rita and what we’re doing today right is we’re going to show you how to use batch leads to determine if you have some good deals I know we’ve been talking a little bit about you said you have you’re working with the seller right now it’s motivated wants to sell so we’re going to look at this deal see if it makes sense and we’re gonna go from there also guys after we do that I’m going to show you how if you have a house right now that you flip that’s not selling how you can use batch leads to determine what extra strategy you should do. Guys, I have two flips right now that are not selling I’m not gonna I’m not gonna flex and be like, Yeah, I can sell everything and anything right now, Utah’s market unfortunately, prices were super high. Now people are buying because the price ranges are high and are still high, but the interest rates are like 678 percent so a lot of people aren’t buying as much so I’m going to show you how to break down what the heck you should do if you have a house that you’re making hard money payments on. How do you use batch to determine what the heck you should do? Alright

so let’s talk about this deal you got first of all, before I even talk about the property, like the condition everything I like to know the situation what’s going on with that? What the problem why is the seller selling

she just she’s tired of landlording and he wants to sell them and she asked for my help.

Awesome. Did you did you market to her? You know, are you friends with her? Like how did you find this? Yeah, yeah, we’re elementary school friends. All right, well, is it just one property? Is it to get to property or two duplexes in the pinnacle? Pena Pentacles. Cola, Cola, sorry, Pensacola, Florida area. Well,

let’s let’s dive right into you don’t mind sharing if you want to text or message me, or actually, you can just tell me the address and we’ll look at it and the first address is 1360 Langley Avenue.

So do you have batch reader,
I don’t have it. That’s fine.

I like to use batch just to get general information. And then for comping, it’s good, but I also like to check Zillow, I like to use both let’s search this one. Let’s see what we got. Alright, so here it is. And you’re saying it’s a duplex. Is that right? And it’s active right now. So that means she has it on the market. If you’re going to wholesale this or I’m assuming you’re trying to find a cash buyer for it. Is that right? Yes. Okay, so if you’re gonna wholesale this most cash buyers are going to look at this information and they’re going to say, Hey, this is active, why would I work with you if I can just go directly to the listing. So you would have to be able to present this offer to someone that’s a cash buyer at a lower rate than what it’s listed for. So tell me your friend must have told you Hey, like bottom line, I need to get this I haven’t listed for hire, did she tell you a price you’d be willing to accept she she wants to 350 So you’re gonna have a difficult time trying to sell this find a cash buyer for this deal just because she’s not giving you a discount to give it to someone for them to be motivated enough to take it because if I go to my cash buyers list in Pensacola and I say Hey guys, I want to sell you this house. It’s listed for 355 because you need to make some money right? Or 350 are going to say look, we’ve never worked together there’s really no value that you provide by bringing me this deal unless this is already really really discounted in such a good deal if it’s been listed on the market since October 6 And she still doesn’t have an offer I’m assuming that she’s just she hasn’t got an offer she likes Yeah, right. Yeah, so this this won’t work. I’m just letting you know so this one I would call her and say hey look, I’d love to help you sell this but I’m not going to get any traction on this I’m not going to be able to get this done for you unless you can give me you know maybe your bottom line bottom dollar of what I need to get this done for and then I can probably find somebody but it’s just won’t won’t really work. So I’m going to look up here on batch we’re going to see what duplexes have been selling so these are some properties that are selling in the area. This one is currently listed at 275 About the same square footage so look there’s another duplex for sale for 275 That’s about the same age same square footage as hers for 275 So no wonder no one’s making any offers on it. There’s another one on the market similar to her so that’s not a good comp for her. Yeah, so she’s got it listed for higher than anything else that’s sold within the last year. So yeah, your game plan is to just call her and say hey, what’s the bottom dollar you need? Because 350 is not I can’t get it done for you. All right. All right. Is there another one Yeah. Okay, what are you one is 101 Eleanor court

All right. All right. So this one is currently active as well for 250 She’s got it listed right now right? So we can see some of the pictures on here. Not bad not bad as this one is moving ready, as well. Yeah,

she wants to keep one unit empty for you know, potential buyers to be able to do it.

So let’s take a look at what’s going on around here. So she’s got it listed for 230 and there’s some ones have sold recently for 220. Yeah, so again, man, look at all the things that have sold and also what’s for sale. So there’s not a lot for sale, but you know the ones that have sold around hers. duplexes and multi families. I mean, she’s way high on it. Well, I hope that was
helpful. That was very helpful. I appreciate it.

I thank you Rita. Alright guys, so this is what we are going to talk about today. All right, what is going on with my flips? Okay, guys. So I will tell you right now that I have never been in a situation like this. I’ve been doing real estate for about five years and the market ever since I’ve gotten in here has either been consistent or has gone like four months ago, I bought two homes and they just got finished getting on flipped like maybe a month or two ago and they’re not selling and I’m not prideful enough to say like, oh, yeah, like I can sell everything anything like stuff happens. So what the heck do you do when stuff happens? I had to run math for the first time to find out what my exit strategies are on this house that’s not so I have a hard money loan on one property, and I borrowed about 366,000 ARV was 500,000 at the time, and we put in about 40 So we were looking at making about 50 To sit maybe 50 to 70k on a flip at the current market right now the house is not selling and we have lowered it to 459 So if we did sell it currently at 459 we would make a profit of like 20 30k but it’s not selling and if we keep dropping it’s might sell who knows the house is not selling because the markets crazy. What the heck do you do So option one sell and lower price. So this is option two, everybody rent it out. So what that means is don’t refinance out of it. Don’t do a rate and term refinance. Don’t do a cash out refinance, just rent it out currently. So right now let’s see if bash can help me find out how much this puppy can rent for Okay, so here is the proper team. Alright, let’s see what bash has got for us. So estimated rent, usually batch will tell you the estimated rent sometimes and it depends on what you search. So Zillow says the estimated payment is 4837. I don’t know if I believe that. So we’re going to find out and let’s see what rents are going for in this area by my property. So I’m kind of getting the vibe that mine is going to go anywhere between 2024 and 28. So now we’ve looked guys at what the rents are in that area, who can give me the next option, we’re gonna go over seller finance. So I buy this house, get out of the hard money loan, refinance out of it, and do a rate and term refinance, pay off the hard money lender, then I can sell it to someone on term. So let’s let’s look at what that would look like, let’s say 459, again, is what I need to like break even because there’s actually when you do a seller finance, when you do a refinance, you’d have to pay fees, so it’s gonna cost me like 10k, just to get the money out of the hard Mon. So for 59 They told me, the lender said, because this is not a personal residence, it’s going to be 8% interest rate. So we ran the math on what he’s willing to lend me it’s going to be about 2500 Just for the payment, that’s the mortgage payment, and it’s going to be about $300 on taxes and insurance. So we’re talking about 2800 If I refinance out of this and I just to refinance out of it my payments going to be this much then I can go and sell it to someone on terms and then I’m obviously going to have to charge them probably probably around the same interest rate that I’m getting, what’s the number for everybody what’s we’ve already gone on lowering the price renting it out seller finance, what’s the last option number four, it’s a lease option. Okay, so what is a lease option, you’re leasing someone you’re renting the house out getting giving them the opportunity or the option to purchase it in a year or two, they do not have ownership their tenants. So if I do a lease option, we already know that the rents are about 2500 a month and right now my payment if I refinance out of this is 1800 with taxes and insurance so I’m at a loss of $300 a month now guys, I got a bunch of good options. Now I got the lower price Bennett lowered the price I don’t really think lowering the price is is I don’t know I don’t think it’s the best idea. I’m still losing money if I rent it out. So it looks like a lease option or seller finance or my best extra strategies to refinance out of it get the payment of one 800 Whatever the payment is from my lender and then sell it to someone on terms or do a lease option where I get some money down and the payment is like 3k and I’m telling them that 500 of that 3000 is getting applied to the purchase the option the purchase price when they’re going to exercise their option to one year two years, whatever it is, so if you are in a bind right now you have a house that’s not selling to four options, lower the price take a loss now rent it out currently and have it cover the hard money loan payment or close to it and take a loss slowly do a seller finance deal refinance out of it, sell it to someone for a higher interest rate, then you have higher payment and get some money down for lease option and tell them you know, they can pay a little bit more and you’ll apply some of the money that extra money that they’re paying higher on the rent or does the purchase price let’s go have a great day. Join the club. I’d love to work with you love to show you how to use bachelors, bachelors for life.