If it does (many do) not only will you receive at least FULL MARKET VALUE, we will also pay all the fees. In 2008, with a great credit score (and being self employed) I tried unsuccessfully to buy a house traditionally and found out just how hard that became after the 2007 crash. There is an enormous buyer pool of quality buyers and it is growing all the time. Most of them need a helping hand and
that’s what we provide. How do we make money if we pay so much for houses? Basically, we raise the price to our buyers. There is more to it than that and to learn even more about how we make money click here (link to an explanation of the ways we get paid.) Do we really pay more than anyone else for houses? Although we are investors we aren’t the typical investor only looking to buy your house for pennies on the dollar. If the ways we buy work for you- Nobody Pays More. Who do we buy houses from? Most of the houses our 100+ member group buys (now approaching 700 houses with nearly $200M in assets under control) were originally listed For Sale By Owner. Because when Nobody Pays More buys your house you get ALL the benefits of selling your house FSBO (For Sale by Owner) without ANY of the down side PROBLEMS (link to the issues related to selling a house FSBO) or COSTS (link to cost comparison.) Why do we do this? Here’s much more information about our why (link to our why page) and what’s in it for you when we buy your house. Does this really work for sellers, buyers and Nobody Pays More? It absolutely does.Here’s more about our secret sauce that holds deals together but essentially our screening, vetting and planning of our relationships is what holds our deals and business together. The truth is there’s much more in it for you as a seller than just making more on the sale of the house. When we buy houses from sellers-
We pay the closing costs (Here is a full list of the costs we pay.) We buy the home warranty at our expense. We take all the phone calls. We are responsible for all maintenance and repairs. If ANY updates are done we pay for them. We often have sellers use their equity similar to an annuity and receive payments over time to you or someone else. Why is being self-employed such a big problem for home buyers? Many self-employed buyers are small business owners or sub-contract employees for companies. One of the biggest reasons people decide to become self employed is to take advantage of the tax benefits of being self employed meaning they write off as many expenses as possible against their income. The upside, obviously, is less taxes to pay BUT the hidden downside is they don’t always report enough income to qualify for a conventional mortgage. This is where we come in. A large portion (and growing) portion of our buyers are self employed. Often times these buyers also have good or great credit. What these buyers often need is called “income seasoning”. That simply means they need a couple tax cycles where they prove they are making enough money to afford the house payment. How do we make money? Although our origin is very altruistic we still must make money or we can’t continue to do this so here’s an explanation of how we make money. First, we will raise the price of the house to our “tenant buyer.” When we first list a house we’ve bought from a seller we will get overrun with potential clients. We have houses that get 100 inquiries a day. Second, whenever possible we will try to increase the monthly rent paid by the tenant buyer. Third, if there’s a mortgage on the house (most have them) we will start capturing the paydown on the mortgage since we (or our client) is paying the mortgage. Finally, at the end we also capture any escrow overages that may have accrued. We have a few different income streams that make this profitable enough for us to get involved and that allows us to help buyers who are currently locked out of the housing market. For Sale By Owner listings- As mentioned above most of our sellers (at one point or another) had their house listed “For Sale By Owner”. Traditional market fail- We also buy houses that failed on the traditional agent market for whatever reason. Often these houses needed things done to be fully market ready. Some things might have even gotten done but often sellers choose not to spend any more the time or money than absolutely necessary hoping the market won’t reject a “less than perfect” house. What does less than perfect mean? In our experience, that can mean anything. Tired or Liquidating Landlords- We often also buy houses from home owners who either tried landlording as an investment or chose to be a landlord because it was the best option at the time. Most non-professional landlords find out it’s not quite as easy as it seems. It can work but it typically just delays the inevitable and increases the costs and expenses related to selling the house.
