From: "Bubba" 
Newsgroups: alt.invest.real-estate
Subject: Re: If a real estate agent can find profitable properties for you, why can't he/she just buy them and make profit for him/herself?
Date: Fri, 18 Jul 2003 22:04:43 GMT


"Baird Spalding"  wrote in message
news:VzNRa.17901$oa4.12188@fe02.atl2.webusenet.com...
>
> On 18-Jul-2003, "Bubba"  wrote:
>
> >  I'm
> > negotiating on one right now trying to put it under contract for $65K.
> > This
> > seller want's a January closing so that gives me plenty of time to sell
> > the
> > contract.  If I sell only the contract, the price will be $100K.  If I
> > flip
> > it or have to take possession, it will be $165K - $175K.  It's not my
> > fault
> > that the seller's agent is too dumb to recognize the value or to
properly
> > market the property.
>
> Does the seller know how much you're trying to sell it for?
>

The seller has no idea that I am planning to resell it immediately.  If they
did know, they would figure that they were asking too little.  Why would I
give them that information anymore that I would tell them how much I am
ultimately willing to pay for their property?  It is none of their business.
The fact of the matter is that the property is in a very unique
neighborhood.  There have only been 5 other similar sales there so far this
year.  I asked the listing agent how they came up with the asking price and
showed him the comps.  He shrugged his shoulders and said, "You know it's a
seller's market.  All I can do is make suggestions.  In this market, sellers
can ask whatever they want.  All I can do is try to get them their price.
If I don't go along with them, I won't get the listing."  Then he admitted
to me that he had suggested an asking price around $45K to the seller.  So,
I immediately reduced my offer.  Based upon those recent sales I shouldn't
even pay $40K for the property.  However, I'm feeling generous and I still
might be willing to pay $60K- $65K for the property being there is so much
profit potential.