Dear Readers: This month I have been working with Larry and his team in his office buying and selling houses and in this article I am going to be talking about my experiences.

I started working there about a week after school finished. On my first day Larry showed me the manual about his new “Filthy Riches” program. We search for houses that are listed for $25,000 or less. We aim to buy the property at much lower than that and then sell it straight away, as is, with seller financing. This means that you hold the note and essentially become the bank. You can then either keep receiving the payments and earn a huge return on your investment or you can sell the note for cash at a discount for a huge immediate profit.

When you find a house you phone the broker and find out what work needs doing to the property. If a lot of work is required and a contractor is needed, this is not the house for you. You are looking for a property that you can fix up yourself, (that should only be paint, carpet, appliances, and maybe a broken window).

When I talk to the broker I tell them that I am an all cash buyer, I can put up a 100% deposit, I don’t need an inspection or appraisal and I can close in 10-15 days. If you like the house and you can do the work your self make a starting offer of about $4,500. Sometimes the broker is reluctant to submit this offer to the bank. It is up to you to persuade the broker that you are a serious buyer and that most banks will respond. You can always tell the broker that this is an opening bid and that you are willing to negotiate once the bank has responded. Once your offer is accepted you will get the contract from the broker. It is very important to include the following conditions which will allow you to withdraw your offer without penalty:

1.sellers agent to provide buyer + buyers approval of condition of property based on a minimum of 20 photos including each room, interior, any problem areas, mechanical systems, all sides of exterior and street view within 48 hours of acceptance.

2. Sellers agent to verify in writing that there are no existing code violations on the property.

3. Sellers agent to secure the house if needed + place sign in window and a combination lock on the door with key + provide buyer with pictures of the sign and lockbox at closing. (You will need to send the agent the sign and provide the agent with money to buy the lock box or send them a lockbox

The agent will do all of this for you free of charge.

Once you close on the property you don’t do any work on the property your buyers will be doing that. Just send the agent your “rent to own” sign and they will put it in the window for you. When someone phones you for info on the property, tell them how many bedrooms it has, how big the house is, how many bathrooms it has, and then let them know what work needs doing. If that puts them off, tell them that you are offering seller financing with just $1,000 down, that should get them interested again.

It didn’t take long before I got my first house under contract. That was a very exciting day! I got it under contract for about $5,500 in Jackson, TN. When I got the contract I put in my conditions and the agent then sent me the 20 pictures that I asked for, I looked at the interior pictures and saw that the walls in every room needed new dry wall. This is not a job that you can do by yourself, so I withdrew from that deal.

I then found a house in Kokomo IN that was listed for $24,900. My initial offer was $5,500, the bank countered at $16,000, I then countered back at $8,600 and they accepted. I received the contract and once again inserted the 3 conditions.

Now I am waiting for the photos to see if this deal goes through. I will let you know next month how it goes.

Be on the look out for Larry’s new course Filthy Riches which will teach exactly how we do this.

This has been the best summer vacation ever, working with Larry and the team has been a real education and I have loved every minute. Of course, by the time you read this I will be back in school again, just counting down to the next vacation. Happy investing.

If you have any questions please email me at  gregory@mglpropertysolutions.com

Till next month readers,

Gregory