Dear Homeowner, - Sell Your House Direct€¦ · Dear Homeowner, Have you recently been considering...

How to Sell Your House Fast & Hassle-Free 1

Dear Homeowner,

Have you recently been considering selling your home? Do you find yourself won-dering about the options available to you? Whether one option might suit your situation better than others? If one option is easier, faster, and stress-free?

REIG can help you make an informed decision about how to go about selling your home, TODAY. We are a passionate real estate investment company focused on elevating expectations and revitalizing our community. To do this, we have developed a business that concentrates on: 1) Providing homeowners with cre-ative solutions to selling their homes, 2) Breathing life back into distressed real estate, and 3) Promoting the well-being and growth of our community by revitalizing neighborhoods and helping families in need.

Today, we are giving you a “behind the scenes” tour and insider’s look at what you can expect from your three options to sell (including the dirty little details agents often leave out), and we wi l l highlight why selling to a company like REIG is so easy for the right candidate. In this book: How to Sell Your House Fast & Has-sle-Free you’ll learn about:

• Market Conditions: why they matter & what you NEED to know

• Addressing the elephant in the room: which path is right for you?

• The (not so) fun aspects of preparing your home to sell

• Signs a real estate agent is not right for you

• Why the FSBO Method is only for crazy people

• EVERYTHING you need to know about selling to an investor

• Why our process works, and why “they” tell you otherwise

• Your next steps in selling your home

There’s a lot more that we aren’t mentioning here. Flip to the next page so we can get this started!

Happy Selling,

Brian Daly, Co Owner, REIG

FEATURED ON:

How to Sell Your House Fast & Hassle-Free2

Table of ContentsChapter 1 The Story Behind REIG 3

Chapter 2 Market Conditions: Why They Matter 4

Chapter 3 It’s Time to Explore Your Options 9

Chapter 4 Options 1 & 2: Your “To-Do List” 11

Chapter 5 Agent Advisory 15

Chapter 6 Feeling Daring? Meet the FSBO 18

Chapter 7 Everything You NEED to Know about Selling to an Investor 21

Chapter 8 Why Our Process Works 26

Chapter 9 Full Disclosure 30

Chapter 10 Is this the Right Option for You? 32

ISBN-13: 978-151157185

ISBN-10: 1511571853


CHAPTER 1

The Story Behind REIG

Patrick Clark, Brian Daly, and Marcel Bonee (from left to right), are proven ex-perts in the real estate industry. Patrick and Brian founded REIG in 2011 after managing a real estate portfolio of thousands of properties for one of the “Big 4” banks in the U.S. Together, the team has successfully tackled more than 5,000 transactions in just the last six years. The team’s experience led them to develop lasting relationships with hundreds of agents across the country and provided them with an unmatched insight into the real estate industry, specifically the home selling process. The wealth of knowledge that they have acquired not only sets them apart in the real estate industry, but makes them PROVEN experts in the field.

Brian, Patrick, and Marcel even offer their expert advice weekly on their radio show, Real Talk San Diego on ESPN 1700AM. The combination of expertise and ambition is what gave birth to the company, REIG. That “go get em” attitude still rings very true throughout the current team and company culture, along with a strong commitment to integrity, working diligently to exceed expectations, and giving back to the community.

WHAT DOES REIG STAND FOR, ANYWAY?REIG stands for Revitalizing communities, Elevating expectations, Integrity first, and Gratitude always. Revitalizing communities is the WHY behind everything we do. Elevating expectations, Integrity first, and Gratitude always is HOW we go about it.

We create peace of mind for struggling homeowners while improving San Diego by creating jobs, beautifying neighborhoods, and providing support to the com-munity. We are a trustworthy, experienced, and fast acting source of assistance for homeowner’s in need.

Patrick Clark Brian Daly Marcel Bonee


CHAPTER 2

Market Conditions: Why They Matter & What You Need to Know

Let’s face it, real estate market stats are boring. For the normal homeowner, the percentages and numbers that are thrown out in the media can become a blur of confusion and stress. And have you noticed that the data is NEVER consistent? Depending on who is putting it together, and what their ulterior motive is, the numbers miraculously come out in their favor.

In truth, most of this information doesn’t serve you or your particular home situ-ation at all. Most of this data comes from national averages. Sure, this does help paint a picture of the state of our national economy (since real estate is such a huge driver of business and wealth), but it means practically nothing to you at the local level.

When it comes to selling a home, the data that really matters to you will be tar-geted to your specific neighborhood. Values and buyer activity can vary greatly by location. Even just a few blocks can make a huge difference, especially in more urban locations. Unless you do a lot of buying and selling of homes, don’t assume you know your market well. This is where a local real estate professional comes in very handy, but there are other methods to find the information on your own.

Sometimes this localized data can be difficult to track down, but it is possible. Here are a few readily available resources that usually break data down by zip code. Depending on your specific area you may need to dig deeper, but the zip code data is a great start.

- Zillow.com & Trulia.com - Zillow and Trulia have data on 110 million homes across the United States. They provide value estimates of homes, and offer several features including value changes of a home in a given time frame.

- Redfin.com - is a residential real estate company that provides an online real estate database and brokerage services. This is a great resource to locate Realtors in the area to reach out to for market information.

- Rentometer.com - specifically designed to show trends in rental rates in the area…helpful in determining how affordable the area is and if renting or own-ership is more popular


CAUTION: I don’t recommend paying ANY attention to the estimated values any of these services spit out. They do provide great local market trend data, but simply put, the algorithms they use to try to estimate a home value are absurd and often leave homeowners with a false impression of what their home is worth (high or low).

If you are willing to put in the work, you can often find better, more up to date information by pounding the pavement and making phone calls to get free (and more importantly, quality) information.

Local Title or Escrow companies:

Try calling a Title or Escrow Company located near your home and just start ask-ing questions. Tell them you are thinking of selling and they will drop everything for you to try to earn your business (regardless of how you sell, you will need a Title and Escrow company to help facilitate the transaction and protect you). They have access to all the market statistics, and they often do a good volume of business which helps them keep a good pulse on the market.

Your local Multiple Listing Service (MLS)

The MLS is what Real Estate Agents use to list and market their properties to other Real Estate Agents. This is where most of the market data comes from anyway, so a simple phone call or visit to the local MLS office could possibly point you in the right direction.

City or Local Newspaper

These publications generally have a Real Estate section which means someone has to fill the space with some relevant information. That person generally has a good pulse on the market – reach out to him or her.

Now that you have an idea of where to find the data that is relevant to you and your home, let’s talk about what data should you pay attention to, and why.


WHAT DATA SHOULD YOU PAY ATTENTION TO? Average Days on Market (ADOM):

This tells you how long the average home is taking to sell in your market. Most importantly, is the number trending up or down over the past 3-6 months? If it’s trending up, then homes are taking longer to sell, which generally puts a down-ward pressure on home values. If trending down, then you can expect a more favorable selling environment. Bonus fact – this number can also help you deter-mine if selling the traditional or FSBO way will work with your timeline. Whatever the ADOM is, add another 45 days for the escrow and buyer loan process. This doesn’t count any buyer fallouts that are very common.

Inventory of Active For Sale Homes:

This number is usually expressed in the form of months of inventory – IE: there are 3.5 months of active inventory. This means if no other new active listings were to come on the market and buying continued at the current pace, then it would take 3.5 months before all the active For Sale listings would be purchased. Historically, anywhere between 5-7 months is considered a “normal” market. Any-thing less than 5 would then be considered a seller’s market, and anything more than 7 would be a buyer’s market. I’ll go into these markets more in just a bit. NOTE - these benchmarks are more of a guide than a hard-fast rule. For instance, in San Diego at the time of me writing this (for a variety of different reasons), neu-tral market conditions have been between 3-4 months of active inventory. Again, this is why the local data is so important.

Home Values:

Pretty straight forward, but one important note. Don’t overreact to short-term shift in values over a month or two. Pay closer attention to the trend in values over the past 12 months. Compare that trend to the 12 months prior. Do values follow a similar pattern? Is there shift up or down? Ignore seasonal shifts and look at the overall trend line. Is the trend slowing or speeding up?

As I go over a bit later, there is no blanket “perfect time” to sell a home – timing is all relative to your specific situation. However, it’s still very important to know the conditions of the market in which you are choosing to sell because the conditions have a big impact on how buyers will perceive your home. And as we’ve heard time and time again, “perception is reality.” Knowing that perception will help you determine 1) what selling method is best for you, 2) what to expect from buyers, and 3) what you can do to better set yourself up to accomplish your home selling goals.


MARKET CONDITIONS BREAKDOWNMarket conditions can be summarized into the following three definable catego-ries:

1) Seller’s Market

2) Buyer’s Market

3) Neutral Market

Let’s review each, in brief: how to identify which market you are currently in, and how that can affect the sale of your home.

Seller’s Market:

In a Seller’s market, simply put, the demand for houses (buyers) exceeds the sup-ply of homes for sale, giving the upper hand in negotiating to the Seller side. This equates to rising values, but it doesn’t mean that buyers will be irrational either. The biggest mistakes Sellers make in any market is to overprice their home. This just happens to occur more often in a Seller’s market because people tend to fo-cus on the dollar signs and get a bit greedy. If you price your home fairly in a Sell-er’s market, you can expect multiple offers quickly which will turn into a bidding war between buyers, which is how you really drive your sales price up because Buyers will pay more than they originally thought if they think they may lose the property altogether. Once you accept an offer, you can expect Buyer’s to be on their best behavior with fewer demands, and escrow to close quickly. As a Seller, you can usually get away with doing less repairs or updates because Buyers are less picky. I would never consider For Sale By Owner (FSBO) “easy,” but a Seller’s market can alleviate some of the pain if you choose this route.


Buyer’s Market:

In contrast, a Buyer’s market means that the supply of homes for sale exceeds the Buyer demand, meaning Buyer’s now hold more power. Expect longer mar-keting times, offers below your list price, strong (sometimes even unreasonable) buyer requests for things like repairs and closing cost credits and longer escrow periods. Pricing your home too high will almost guarantee it’s ignored by Buyers. If you are selling in a Buyer’s market, you don’t want to be chasing the market downward, hence the pricing strategy will be very important. Price it at or below other homes in your neighborhood to stand out. Buyers can afford to be pick-ier during these times, so they tend to flock to homes with updates and steer clear of outdated or unmaintained homes. Unless you know your buyer person-ally, selling FSBO will be extremely difficult because there will be a sea of other homes available on the market that are being marketed much more aggressively than you could ever do by yourself.

Neutral Market:

A normal market is good for everyone, and for the health of the local economy as a whole, is a beautiful place to be. Buyers and Sellers are on even ground which results in true win/win negotiations. Values are generally steady and predictable. Sales are consistent.

In summary, there are many drivers that will ultimately change the course of the market on a national level. But, I can’t emphasize enough how important it is for you to focus on your local market and neighborhood when assessing the real estate market. As I mentioned earlier, I of all people understand that market facts can be dry, but Zillow.com, Trulia.com, Redfin.com, and Rentom-eter.com are great places to start when breaking down data by zip code. If you have time, you can find even more accurate information by calling local title or escrow companies and your local MLS.

What to ask? Rememeber that the most important data to take into account is the Average Days on Market, Inventory of Active For Sale Homes, and Home Values.

Market conditions will be the pivotal factor in determining how likely it is that your home will sell, and how much you will be able to get for it. You should be able to identify whether you’re in a Seller’s, Buyer’s, or Neutral Market.


CHAPTER 3It’s Time to Explore Your Options

Many people wait too long for the “perfect time” to sell their home. While waiting for the market to improve, you are also waiting for the price of your next home to increase. Think about your opportunity cost of staying in a home that you do not want for another five to ten years. Your home is worth what it is worth today, and that has nothing to do with the price that you paid for the home.

Unfortunately, many people think that equity in their home will save them if they get in a crunch. For the majority of us there are only two ways to access that eq-uity— selling, or refinancing using a conventional loan. However, if you are having financial hardship, who will trust you enough to give you a loan? Those conven-tional lenders will be the first to say no.

Selling is your best option when financial hardship exists. Even if you are under-water, selling your house as a short sale is much better than letting your home go into foreclosure. A short sale will affect your credit, but the repercussions are nowhere near as bad as a foreclosure. This doesn’t apply to you? Well, one of the circumstances mentioned below just might.

WHICH BOAT ARE YOU IN?There are many other reasons people decide to sell. If any of the reasons below apply to you, then you are not wasting your time. This book was developed spe-cifically to help homeowners who need to sell, and need to move fast. No fluff, no B.S., I am going to tell you about your options. Then, you make the decision for yourself.

• Changes in Employment

• Relationship Status Changes

• To Avoid Maintenance

• Home is Too Small

• Problem Tenants

• Retirement

• Financial Hardships

• “The Grass is Always Greener”


THE MILLION DOLLAR QUESTION:

WHICH PATH WILL YOU TAKE?

Each method of selling is effective for someone, but not everyone. There are many components that sellers are simply unaware of (and of course, there is a reason why).

When people need to sell a home, the most common choice is to sell through a real estate agent, which is why almost 90% of the population does it. This is the most traditional way of selling, and can be very beneficial for the right candidate. But, some sellers think that this is their only option for selling, and that is just not the case.

There are a few secrets and tips about selling through an agent, that no one else has told you.

The second method of selling to consider is “for sale by owner” or FSBO. This method is often chosen specifically to rule out the need to pay an agent’s com-mission fees. Many sellers who choose this method also seek control over the selling process, and feel that they can get the best price for their home (which often is not the case). The most underestimated aspect of this method is the amount of time required by the seller. If you think that this may be your best option, I will help prepare you for the long road ahead. And trust me, it is a LONG road ahead.

Both the FSBO and real estate agent methods of sale involve one step that is VERY important for sellers to understand. This step is referred to as getting your home “show ready,” or simply preparing your home to sell. But, it is not very sim-ple. Whether you sell your home on your own, or through an agent, it is important to understand the resources and time needed to fulfill this requirement.

Lastly, I will cover a method for selling that is unconventional, but that allows you to skip the “To-Do List,” among other traditional steps in the process. This option is what I refer to as the “Factory Direct” method of selling, or selling to an inves-tor. There are many reasons why this method could be your best option, but take a look at the process and make that decision for yourself.

FSBO

1REALTOR

2FACTORY DIRECT

*REIG

3


CHAPTER 4

OPTIONS 1 & 2: Your “To-Do List”As mentioned, I am going to really dig into what sellers should expect to do to get the most value out of their home if they decide to sell with an agent, or on their own. The list of recommendations for improving your home’s “showability” could be endless, so I will again try to make what is dry and boring, less boring (sorry, it’s still a little dry).

If you think that preparing your home to sell is an easy process, think again. And prepare yourself.

Potential buyers are fond of homes that are clean, quiet, neat, uncluttered, in good repair, light, and fragrant. With that being said, here are some of the steps you will have to take in order to get your home ready for buyers:

INSIDE YOUR HOME:FLOOR COVERINGS• Dirt or Stains?

• Excessive wear?

• Area rugs stain-free?

LIGHTING• All bulbs working?

• Exposed wiring?

• Broken switches?

WALLS & CEILINGS• Dirt, fingerprints, stains?

• Nail holes?

• Cracks, chips, water dam-age?

• Need for repainting?

DOORS• Nail holes? New paint?

• Latches and handles se-cure?

WINDOWS• Sparkling and chip-free?

• Screens clean?

• Storm windows?

WINDOW COVERINGS• Excessive wear or sun

damage?

• Hardware is working?

KITCHEN• Sparkling clean?

• Refrigerator spotless?

• Light bulbs working?

• Burner trays clean?

• Garbage disposal works?

• No plumbing issues?

LIVING, DINING, & BED-ROOMS• Excess furniture removed?

• Wood polished?

• Personal items removed?

• Fireplace clean?

BATHROOMS• Faucets work properly?

• Toilet working properly?

• Items removed?

GARAGE/STORAGE ROOMS• Well organized and clean?

• Signs of dampness?

• Excess “junk” removed?

Not to mention the checklist for the exterior of the home, or a termite inspection...or the appraisal needed to get your home ready. ALL OF WHICH WILL COST YOU BOTH TIME AND MONEY. This is no secret.


JOBS THAT EVERY HOMEOWNER SHOULD

CONSIDER TO ADD VALUE TO THEIR HOME:

Paint - Inside and out, fresh paint instantly makes the home feel newer and not “lived-in.” I would also encourage bright and light colors to open up the spaces in your home.

Curb appeal – Freshen up and trim landscaping: a little elbow grease and some flowers and mulch will make a huge difference in leaving a good first impression.

Flooring – If you have hardwood floors, that’s what buyers want, and it would pay to have carpeting removed and the floors refinished. If you have carpeting (no one wants to see dirty carpet), replace it with a light tan. Neutral carpeting is best for resale.

Wallpaper and Popcorn ceilings – Simply put: ditch em! You can add wood paneling to this list as well.

Bathrooms – The national average of recouped cost is more than 100% for bathrooms. New floors, fixtures and lights payoff. Master bathrooms, specifically, have been known to sell homes.

Kitchen – Like master bathrooms, kitchens sell houses. Cabinets, counter tops, and sinks and faucets will make the largest impact on buyers. Because cabinets and appliances are the most expensive items to replace in your kitchen, we encourage you to refurbish them. But, if they are dated and beat-up, not replacing them could mean your home won’t sell.

Some of the vendors that you should plan on reaching out to: painters, small contractors for light rehab work, stagers (and de-clutterers), and cleaning services. Cleaning is not something that you want to take lightly.


TIPS FOR HIRING A CONTRACTOR

To start, be sure to get recommendations. Start with friends and family, and also check with the National Association of the Remodeling Industry in your area, who know which contractors routinely meet code requirements. Next, set up some phone/in-person interviews. It’s important to dig into your prospects’ experience and credibility. Ask questions like “Are you willing to provide financial references from suppliers? Can you give me a list of previous clients? How many other projects do you have going on at the same time?” All of these things will help you in narrowing down your list.

When your list narrows to three or four prospects, it is time to start planning and asking for bids. But, at this time it is important that the contractors have physically seen the property/walked the project in order to receive an accurate bid. The bid from each prospect should include a break down with the cost of materials, labor, profit margins, and other expenses. Note: materials generally account for about 40% of the total cost. My tip to you: throw out the low-ball bid. It may be tempting, but take my word for it- price is not everything.

Next, set up a payment schedule. A typical payment schedule will usually start with just 10% at signing followed by three installments of 25%, and the last portion upon completion. Put everything in writing, and you will be insuring a successful renovation. LASTLY- remember that not every renovation goes “perfectly.” If problems are uncovered, you could be looking at more time, and money (you have been warned).


CHOOSING THE RIGHT PATHAccording to the National Association of Realtors, 88% of owners choose to sell their home with a Real Estate Agent. I say GO FOR IT! But, if and only if the cir-cumstances below apply to you.

If you are reading this and thinking “YES, I DO FALL UNDER THESE CATEGORIES,” then you may want to consider the traditional method of selling. Either way, let’s be sure that if you choose to sell with an agent, you know a) what to avoid, b) how to select the right agent to sell your home, and c) the timeline of events you can expect.

But, if you do choose to sell through an agent or on your own, be sure to reme-meber everything I have explained on your “To-do List” above. There is a long list of things you will need to do to get your home in show ready condition, including upgrades or renovations that will add value to the home. Be sure to reference our tips in hiring a contractor if the need arises.

On the contrary, if you are reading this and think “THAT DOESN’T EXACTLY EX-PLAIN MY SITUATION,” then you are still on the right track. Continue through this book to become educated and fully equipped to sell your home. Knowledge is power, and it is important to have the right resources at hand when you make (what will likely be) one of the most important decisions of your life.


CHAPTER 5

Agent AdvisoryUnfortunately, it is easy to come across an agent that will not meet your expec-tations. But, there are steps you can take in finding the agent best equipped to sell your home. Each agent is different...and some are better than others when it comes to marketing strategy and pricing your home to sell. This chapter will give you tips about what warning signs to look for, questions to ask, and what to ex-pect when selling your home with a Realtor. Here are some immediate red flags:


“DEAL-BREAKERS”There are many things that you can do to ensure that you find the RIGHT real estate agent, assuming this is the route you choose to take. If you have the time, energy, and money required for a traditional sale, be sure that you ask your agent the following questions:

If you choose a qualified real estate agent and your situation warrants selling with a real estate agent, the process can be both successful and beneficial. In the next section, we are going to cover some of the “cons” you can expect to endure during a traditional real estate transaction with an agent.

Asking for referrals is always a great idea as well. But, a word of CAU-TION: when you call a local real estate office directly for agent referrals, most offices will refer their newest agents because they need the busi-ness more than established agents. These offices also make more mon-ey off of newer agents, so don’t forget to verify recommendations!

Q: How many clients have you served in the last 12 months?A: Good agent typically have at least one client per month (or more), so look for 10-12 clients for the year at a mini-mum.

Q: How many days are your listings on the market?A: Compare this to the average in your local market. An agent should know the average number of days homes take to sell in your market. The average varies immensely depending on the market, but California has fluctuated between 40-60 days over the last 2 years. However, that number is currently increasing.

Q: Do you have experience in my particular neighborhood?A: This is a very important question to ask if you live in a unique neighborhood. If the answer is no, you are better off finding an agent who has experience selling in your area.

Q: Is real estate your only source of income?A: If the answer is “no,” you may second guess your choice. These agents may not be able to give you the time/atten-tion that you need.


PREPARING FOR THE LONG ROAD AHEADSelling through an agent involves a lot of preparation, and ultimately a ton of time (refer to pages 11-12). Agents will require you to fix up your home before putting it up for sale.

Find an agent, look at the calendar to predict the best time to list, and decide when you are going to move.

Make the necessary repairs to get your home in sell-ing condition, and deep clean (put excess furniture and belongings in storage).

Stage your home, remove clutter, and get profession-al listing photos taken.

List your home and prepare for an open house. Keep your home show ready while your home is on the market.

Monitor your listing, evaluate and negotiate offers, enter mutual acceptance, and close the deal. This process can take anywhere between 45 days to over

a year depending on your situation and house.

Lastly, and to many people: most importantly, hiring a real estate agent will cost you a pretty penny. The standard commission to an agent is usually 6% of the sales price of the home. In the Southern California housing market, that can eas-ily cost upwards of TENS OF THOUSANDS OF DOLLARS. People who want to avoid paying these fees typically embark on the adventure on their own, as ex-plained in the next chapter.

6 MONTHS OUT

3 MONTHS OUT

1 MONTH OUT

1 WEEK OUT

AFTER LISTING


CHAPTER 6Feeling Daring? Meet the FSBO

Paying a real estate agent’s fees (explained in the last chapter) is usually what leads sellers to take on the mission alone with an FSBO sale. Who doesn’t want to maximize their profit? I wouldn’t blame you. This method also allows sellers full control over the negotiation process of the sale. This includes the price of the home, and every aspect of closing (making requested repairs, etc.).

In addition, many homeowners like the idea of cutting out the middle man and leaving the interests of the buyer and seller, only. Because this process is often an emotional one, people take comfort in knowing that their interests are being represented 100% of the time.

But, the money that you think you are going to save comes with a bit of baggage. There is much debate on whether the pros of this method outweigh the cons, but we will let you be the judge of that.

CONFIDENT OR CRAZY? YOU DECIDEThe outcome is usually quite the opposite of what sellers expected: unexpected costs, unexpected time, and unexpected stress. Here are some of the things you would need to consider:

• Marketing Costs: Out of pocket expenses include having to list your home on the MLS, paying for professional photos, advertising, and the creation of signs, brochures, and other collateral.

• Pricing: Home sellers have an emotional connection with their home, and tend to think it is worth more than the market will bear. Overpricing will result in your home sitting on the market for longer (and either not selling at all, or selling for much less).

• Paperwork: YOU are responsible for the legal paperwork. Title searches must be made (and paid for by you), and you will have to make sure the buyer’s loan documents are in order.


• Fix-it-First: You will still need to fix up your home and make it marketable, as described on page 11 of “Options 1 & 2: Your To-Do List!”

• Exposure: Even if your home is on the MLS, you likely will not have the resources or connections to get your home to stand out amongst the sea of thousands.

• Stress: Most sellers become stressed and overwhelmed with all of the steps included in the selling process. Dealing directly with buyers who are likely stressed as well, makes things even more difficult and emotional. You have are faced directly with a person or family who wants to buy your home.

• Time: Statistics show that FSBO transactions sit on the market for much longer than Realtor sold properties.

Â FSBO sales not only sit on the market for a longer period of time, but 20% of them end up relisting on the MLS, which converts to 68 days longer than a Realtor listed home.

Here is a nice presentation of everything discussed above. All of the reasons homeowners fail in selling their homes on their own!


If you were bracing yourself, and still are not scared of this method– let me give you a few helpful hints. This method works best for people who have spare time on their hands, and live in neighborhoods with similar properties. The spare time is a non-negotiable. If you work full time, please flip to the next page.

Also, living in a neighborhood with comparable homes will give you an edge in de-termining your home’s selling price. You can rationalize this without the help of a Realtor, which is nice. But, if your home is unique and is said to have “character,” it might be a bit difficult to come up with a rational listing price.

In summary, there is a lot of preparation required before you can set out to sell a house on your own. The process is a lengthy and complicated one. Without a background or extensive knowledge in real estate, gliding through the process is IMPOSSIBLE. Be prepared to spend a significant amount of time and energy if you wish to do this without any help. Also, if your property is unique in some ways, you may want to reconsider trying to sell it on your own.

Selling a home, whether with a Realtor or on your own, will take a lot of time, en-ergy, and patience. In this next section, we are going to go over the final option, which requires little energy and even less time.

Continue down your path to a new life after selling your home by reading through the rest of this book! The next few pages of “How to Sell Your House Fast & Hassle-Free,” will discuss one of the biggest secrets in real estate! The Factory Direct method of selling, or selling to an investor, is often overlooked. I will walk you through every step of the process and provide you with an insid-er’s look at WHY this option is the best option for many homeowners.


CHAPTER 7

Everything You NEED to Know about Selling to an Investor

YES. There is another way to sell your home. This option does not include a costly real estate agent, nor you getting stressed by attempting to sell it on your own. The solution is what I call the “Factory Direct” Method. Instead of selling with either Option 1 or 2, this method allows you to sell directly to buyers who want your home, with less hassle.

A firm like ours can help you because WE ARE THE BUYERS! There is no middle man. We specialize in buying and selling homes on a daily basis, therefore, we are in need of homes that meet our criteria – and most do. You can receive an offer on your home within a day.

THIS METHOD IS NOT FOR YOU, IF:

If these statements don’t really apply to you, then keep reading to learn more about a third, and arguably better option for you! Before I really dive into the pro-cess of selling to an investor like REIG, there are some things that I would like to be honest and open with you about (remember: no secrets here!). There are other investors out there, and there are also many misconceptions about the role in which investors play in a transaction.

I am hoping to educate you on the process in which homeowners can sell to an investor, why it works, and how this process could potentially benefit you. Still not sure whether a Factory Direct method of selling your home will benefit you? Don’t worry, by the end of this section you will have 100% clarity and confidence in whichever choice it is you would like to make going forward.

• You have 6–12 months to wait for a sale

• Your home is in great shape, with little or no need for repairs

• You are financially stable and are not at risk of going under

• You have no issues with being a landlord (if your home is being used for rental income)

• You do not have a need to relocate (due to relationship changes, employment relocation, or deployment)


HE SAID, SHE SAIDThere is a risk of fraud in any transaction, and unfortunately there are scam art-ists that pose as investors. But, to avoid running into any of these unreliable char-acters, follow the steps discussed below. If you encounter a company that does not want to provide you with the information mentioned, then you should run. No paper trail or testimonials = a big RED FLAG.

From the moment that you speak to one of REIG’s Acquisitions Managers, it will be obvious that we are not your average investor. You may have a sour taste in your mouth about an investor buyer from the cheesy infomercials you see on TV, or bandit signs on the side of the road that read: “We buy houses for cash.” I get it. But, al-low me to address these notions.

Money hungry ...Scams...Untrust-worthy… I have heard it ALL. And unfortunately, there are some companies out their that do live up to some of those names. As with any industry, that is the sad truth. But, there are also investors out there who only want to serve your best interest...like REIG. That is also the truth.

HERE ARE SOME REAL STATEMENTS, FROM REAL HOMEOWNERS:

SECRET TIPTips on How to Choose an Investor:

• Verify resources and track record

• Ask for proof of funds or proof of financing

• Find proof of past performances

• Have them show you the homes that they’ve purchased. Real estate sales are all public

“ E v e r y t h i n g worked quite smoothly with the sale of my

condo to REIG. I was pleased when they agreed to cover all closing costs. They were also quite helpful in working with my tenant who needed to move out after being in the unit many years. They agreed to give him extra time, and arranged to meet with him to get the keys and check the unit before he left. Since I don’t live in the area, this was quite helpful to me.”

“We needed to sell our parents home, they were not mobile and

we were not local. Your com-pany was so easy to work with, they did all the legwork involved in the sale which was invaluable and even cov-ered all the closing costs. The fact you handled any prob-lems in the sale cleared us from many headaches. This was by far the easiest real estate transaction I have ever been involved with.”

“REIG has been one of the most p r o f e s s i o n a l and easiest to

work with. When I first got the orders, I was looking to do a traditional sale and with that, it became a longer and drawn out process...

Marcel was probably the most courteous and profes-sional person I’ve dealt with in the process and the offer that he gave me on my home was the best one that was presented to me.”

Irene Frieze, San Diego Corey Oswalt, El Cajon Peter McDougall, Spring Valley


“THERE HAS TO BE A CATCH!”

As investors, we are aware of the advantages behind a cash offer and are also aware that we are taking a risk by purchasing homes “as is.” It is unlikely to re-ceive a full cash offer for the market value of a home in it’s peak condition. When purchasing homes that are not in their peak condition it is important to factor in expenses for maintenance and other costs into the offer price. This is why an offer from an investor may come in a bit lower than that of a traditional buyer.

But, with that being said, many folks fail to factor in all of the other expenses as-sociated with a traditional sale. In the next section, I am going to explain how you are really getting more for your home by selling to an investor.

LET’S TALK THROUGH IT: ANGIE’S STORYMany people automatically assume that if they sell to an investor, that they will be receiving a lot less for their home. But, that is a common misconception. Let’s walk through the facts and figure out exactly what the difference is between selling to an investor and selling through a Realtor. Here is a typical scenario to help explain the real difference:

Angie is in a bind. She has owned a home for 10 years, and has it rented out for 5 years. The tenants have been good to her, but as expected her home just isn’t cared for like it would be if she had lived there. It also hasn’t been updated in over 10 years, so it shows a little outdated. Unfortunately Angie is relocating out of state and wants to buy another home in her new town. She found a home she loves, but needs the equity out of this home to afford it. She can’t pull cash-out with a loan because it is a rental property, and those loans are hard to come by these days. She decides to sell…


This leaves Angie with $283,800 from selling her home with a Realtor and endur-ing the preparation and 4-month selling process.

Does this leave her enough time to get the money and lock up her new dream home before it sells to someone else? Maybe...maybe NOT. What other option does Angie have?

Turn the page to learn about Scenario #2 where Angie sells to an investment company like REIG, or “Factory Direct.”

Consider this: The current market value for Angie’s home considering it’s current condition and “showability” is $330,000. Say she were to sell the home (at current market value) with a Realtor who’s commission fee is 6% (average), deducting about $20,000 from the sale. Angie is now receiving $310,000 for her home.But, what about time, holding costs, and additional closing fees involved? Trying to sell with tenants usually takes a long time because it is difficult to coordinate showings. Angie can expect at least 4 months selling time if she wants to go for full market value for the home. Holding costs for 4 months? Let’s assume a normal mortgage payment of about $1,800 per month. Add taxes, insurance, utilities, maintenance an additional $850/month. Angie needs to subtract another $10,600 from the market value of her home.The closing cost credit to buyer will run around $5,000 & another $4,000 for repairs requested by the buyer. This includes: electrical work, health & safety, termite inspections, and plumbing expenses. Additional closing costs (title, escrow, services, inspections, etc.) will run another roughly 2%, or $6,600.


With this information in mind, is it really worth it to pursue selling through a Real Estate Agent?

Despite what you may have heard, selling through an agent is not for everyone. Especially if you are someone like Angie who needs to unlock the equity on your home quickly so that you can move on to that next chapter in your life. Angie could have sold through a Realtor, but she would have had to wait the average four months while her home was on the market, and she may have missed out on her dream house in the new city.

Not one opportunity was missed, and Angie walked away with cash & a BIG smile! There are too many homeowners out there just like Angie who have their lives redirected entirely because they had to sell their home.

I know that there may be some skeptics out there who would like an expla-nation, so this next chapter is for you. There are reasons why selling to an investor takes a lot less time and hassle than a traditional or FSBO sale. And as you can see from Angie’s story, there are many cases in which selling to an investor does NOT mean that you will receive less for your home (contrary to popular belief). Continue reading to find out WHY this process is so effective for homeowners in any kind of market!

Consider this: The market value for Angie’s home is still $330,000. Through our analysis, we believe with proper handling of the tenants, $35,000 in repairs, and improved showability of the home (staging, professional photos, etc.), we could possibly sell the home for $400,000. Our company would then offer $290,000 CASH for Angie’s house, closing as fast as Angie needs to (as little as 7 days). We would assume the responsibility for the tenants, all the closing costs, repairs, and even taking care of all the junk left behind at the property.Because there are no additional fees or holding costs involved with this sale, Angie would walk away with $290,000 IN CASH within one week.


CHAPTER 8

Why Our Process Works

Our accessibility to continual cash-flow and connections with-in the industry ensure that every transaction is seamless. If you are someone who struggles from financial hardship and may be in danger of foreclosure, we have the financial backing and assets to develop a cre-ative “exit strategy” that will leave you in a good position from the sale of your home. We speak to your lenders, we handle all aspects of closing, and you don’t ever have to worry about a poten-tial “buyer financing nightmare.”

Not only do you not have to worry about searching for a buyer and market-ing your property, but as an Asset Management Company, REIG has built-in relationships already established with title, escrow, and real estate companies. Our in-house Operations Team will en-sure that you will never have the task of trying to decipher paperwork and negotiate terms of the sale. Our Operations Team guarantees that you don’t have to put up with the headache of a traditional real estate sale.

REIG will not buy a home UNLESS it benefits both us, and the seller. There are no “ifs, ands, or buts” about this. REIG also has an in-house construction company, REIG Con-struction. Our goal is to purchase properties in which we can renovate to exceptional standards. What does this mean for you? We WANT fixer up-pers! And thus there will be no demanding buyer requests & absolutely no repairs required. You no longer need to worry about how to “please po-tential buyers.”

CAPITAL EXPERIENCE MOTIVE

“REIG WILL

NOT BUY A

HOME UNLESS

IT BENEFITS

BOTH US, AND

THE SELLER.”

While our MOTIVE from a business stand-point is to capture added value for the company through remodels, we feel most strongly about our mission to redevelop neighborhoods and give back to the com-munity via charitable contributions.

In 2014, REIG created REIG: Operation Renovation. THIS is our way of giving back to the community. REIG Operation Renovation’s Mission Objective: Our purpose is to honor, celebrate, and change the lives of local military heroes through a passionate and purposed home renovation.We have already completely renovated one San Diego mili-tary family’s home in January of 2015, and plan to do three additional renovations THIS YEAR!


Here is a simple visual to represent the differences between selling “Factory Direct” and selling through an agent or on your own. Time, stress, opportunity cost, and a guarantee to sell are the things that homeowners worry about most when considering to sell.


Most importantly, with a “Factory Direct” sale, all of the details are taken care of for you. Investors take care of all of the paperwork, title research and all legal matters. We know, it does sound too good to be true! Too many people automat-ically assume that real estate transactions have to be stressful and time con-suming.

What’s the catch? Honestly, THERE IS NO CATCH.

And to prove it, REIG offers a guarantee to give clients peace of mind. Check it out on the following page!

SUBMIT YOUR INFORMATIONSubmit your information online or via phone, and a representa-tive will follow-up with you. In the conversation, your home will be discussed and you are told right away whether you can be helped. If we are able, you move into phase two.

YOU RECEIVE A CASH OFFERYou receive an offer for your home. Typically, the age and state of your home will have an affect on the offer price. The offer is usually an all-cash offer.

LIKE THE OFFER?A mutual agreement is made based on a fair price that meets everyone’s needs. The amount of your mortgage and your current home equity are looked at in this phase. This offer is designed to help get you out from under your mortgage once and for all.

YOUR HOME IS SOLD AND YOU WALK AWAY WITH CASHWhen the offer is agreed upon, the financing is structured. You are provided with several options so you can decide which best fits your situation. While most want to walk away with cash, a combination of cash and monthly payments are also available.

SELLING IN 4 SIMPLE STEPSAs you have seen, there are quite a few benefits in selling “Factory Direct.” Just to reiterate what I have stated in this book’s title: “How to Sell Your House Fast & Hassle-Free,” take a look at the only steps required to get your home sold.


Our commitment to homeowners, and all REIG clients is what sets our company apart in this tough industry. While many companies today focus solely on profit, REIG is built upon the very facets in our name. Our “WHY” is to elevate the expecations of all parties we work with and to revitalize the communities in which we live. I hope this chapter shed a bit of light on what it would be like to work with a company like REIG. Continue reading as I answer all questions you might have about selling to an investor.

THE REIG GUARANTEEWE STRIVE TO GIVE YOU THE BEST OFFER POSSIBLE. OF COURSE, YOU’RE UNDER NO OBLIGATION TO ACCEPT OUR OFFER. BUT WE’RE CONFIDENT YOU WILL. THAT’S WHY WE OFFER YOU OUR GUARANTEE.

OUR COMMITMENT TO YOU

1. No Cost to You. 2. No Hassles. 3. On Time Closings.

OUR GUARANTEE

If we enter escrow with you and we violate our commitment above, we’ll pay you $1,000!


Chapter 9

Full DisclosureYOUR TOP 10 QUESTIONS, ANSWEREDEven with a guarantee, some of you might still be skeptical about selling to an investor. Trust me when I say that we are here to answer ANY and ALL questions that you may have. For some of you, this concept may still seem foreign.

Let me break it down even further by answering some of the common questions I have been asked by homeowners. Here is a list of the Top 10 Questions we get asked by sellers just like you:

1) ARE YOU REAL ESTATE AGENTS?Yes and No. We are investors. However, Marcel and I are licensed to practice real estate in the state of California. But, we do not represent clients in any fashion. This is in fact to your benefit because as licensed real estate agents we are held to a higher code of ethics than any unlicensed investors. We do not “list” your property, we buy it. We do not charge you any fees or commissions.

2) I AM FACING FORECLOSURE. CAN YOU HELP?As professional real estate investors, we know how to contact your lender or mortgage company and discuss alternatives to having your house go into fore-closure (and ruin your credit for years).

3) WHAT IF I LOSE MY HOUSE IN FORECLOSURE?This record will stay on your credit report for at least 7 years, ruining your chanc-es of getting credit when you need it. Creditors believe if you could not pay for your house, why would you pay them?

4) HOW QUICKLY WILL MY HOME BE SOLD?Normally in as little as 7 days. It can be as little as 1 day in cases where the home is in risk of foreclosure. It can take longer, in cases where there are title (owner-ship) issues.

5) WHAT IF MY HOUSE IS IN REALLY BAD SHAPE?We can purchase your house in its present condition and handle all of the repairs ourselves. We have our own construction company, which means we actually can get the repairs done for much cheaper than other buyers in our position, and so we can pass that on to you in the form of a higher purchase price.


6) DO YOU HAVE AN ALL-IN-ONE BUYING SOLUTION?No, we deal with each situation on a case-by-case basis. We have no canned solution. We will analyze your situation and work with you for an easy, custom-ized solution for you.

7) IS THE PRICE NEGOTIABLE?Everything is negotiable. However, REIG, like any other cash buyer, is not going to pay more for the home than they can afford to resell it for with a reasonable profit to cover risk and expense.

8) I HAVE NO MONEY. WHAT ABOUT CLOSING COSTS?REIG pays for all of the closing costs, including yours. You will only have to cov-er utilities, taxes, insurance, and any mortgage payments your currently owe up through the day of closing.

9) WHAT WILL YOU CHARGE ME?We do not charge any fees or commissions. Period.

10) IS MY SITUATION RIGHT FOR SELLING TO AN INVESTOR?Sometimes yes, and other times no. There are many people who call REIG for more information, who could afford the time and effort for a traditional sale. If that is the case, we are the first ones to let you know this.

In many cases– if you are calling us, you likely have a unique selling requirement and are not ready to go through the hassle of a traditional sale. In that case, we would be prepared to take you through the process & submit an offer.

Rest assured, whatever your situation is– we can help you. If we speak and agree that this is not your best option for selling, we will direct you to the person/com-pany that is right for you.

As you might have noticed, many questions that homeowners have revolve around money and time. In today’s day & age...most things do! One thing I want to be clear is the fact that our process is transparent. There are multiple ways that REIG can go about purchasing a property, but one thing remains constant: the transparency of our process. There are NO hidden fees or secrets. As I mentioned before, if selling to an investor does not suit your situation, I will be the first to tell you so.

Flip the page to find out exactly how you can move forward in receiving an offer on your home within just 24 hours.


Chapter 10Is this the Right Option for You?

THE TIME IS NOW TO TAKE ACTION & MAKE THE CALLREIG is looking for homeowners whose homes are in a distressed state, or they can’t afford the time and stress of selling through a Real Estate Agent or on their own. But, we are also looking to help homeowners who are unsure about which path is right for them. It is common knowledge that most folks in the real estate industry work off of commission. This doesn’t go to say that most agents oper-ate under a code of ethics, but there is often a lot of information that is hidden from sellers.

We value open, honest communication and believe in a mutually beneficial out-come for all parties involved in a transaction. As a client of REIG, I want you to believe in our mission, and trust us as a credible source for your real estate undertakings. Imagine how exciting you will feel to sell your home, receive cash in just a week or less, and work with a company who truly cares about you! We will help you by buying your home, AND we will help you in figuring out your next move. As trusted experts in the real estate world, and hosts of a radio show called “Real Talk San Diego,” we have made many connections throughout the industry.

Whatever it is that you decide...we can help you.

We will only buy your house if the sale will benefit you. That is a guarantee. The real estate market is an unpredictable rollercoaster, and all too often do homeowners get trapped in a corner. Financial hardship and some of life’s other obstacles are also unpredictable. But, there will always be a solution.

Interested in finding out if REIG is your solution? Today is the day to take the next step!

With current conditions of the market, there is no better time to act than NOW.

REIG IS RIGHT FOR YOU IF:• You need to sell your home quickly.• Divorce, employment relocation, finan-

cial hardship etc.• Your home needs repairs that you ei-

ther can’t/won’t fix.• You are a landlord and don’t want to

deal with tenants.• You would like to avoid the stress of a

traditional sale.

REIG IS WRONG FOR YOU IF:• Your home is in great condition & does

not require any repairs.• Time is not an issue. You are not in

any kind of hurry to sell .• Keeping your home show ready will

not be difficult.• The benefits outweigh the expenses

and opportunity costs associated with a traditional sale


Brian Daly, Co Owner, REIG

If you’re still uncertain about the right option for you or even just have a few questions, I would like to ask that you just give us a call at (760) 566-7718.

Myself, or one of our real estate experts will be waiting to consult with you. There are no secrets or hidden agendas, only honest and open communication. In order to help you assess which steps you should take in selling your home, we will ask the following questions:

• Where is your home located? • What condition is the home in? • How much do you owe on the home? Having trouble financially? • How much are you looking to receive for your home? • When would you like to close?As you can see, there is absolutely no risk in calling us today at 760-566-7718. We’ll ask you a few questions to understand your situation a bit better, and we will then submit an offer for your home. No obligations or pressure. You’re just a phone call away from having cash in your pocket for your house, without any hassle, repairs, or agents.

If you don’t feel like talking, but would like to submit your property information for an offer you can simply go online to www.REIGHomeSolutions.com and click

“CLICK HERE FOR A CASH OFFER!” Again, no obligations. or pressure.

Because you have taken the time to read my book, I am also going to throw in a Special Bonus Offer that you won’t receive from anyone else. If we’re able to get you out from under your mortgage by purchasing your home, I will personally ensure that we also cover all of your moving expenses. Yes, if you are moving somewhere in San Diego County, I will cover your moving expenses! When I say that our process is “fast & hassle-free,” I mean it. This could save you upwards of $1,000...not to mention the headache and hassle.

To recap: if you call us today at 760-566-7718 or submit your information online at www.REIGHomeSolutions.com, you will receive the following:

• An offer for your home within 24 hours• Cash in your pocket within 7 days or less• FREE moving services (valued at $1,000!)Best of all, you won’t have to pay for anything at all. The REIG team understands real estate, and we also know how difficult it can be to pick up and move from a house that holds a special place in your heart. Leaving a home that carries years of memories is both physically and emotionally draining. I care, we care, and that is why I know that we are your best solution for selling your home.

Again, please call us today at 760-566-7718 if you would like an offer on your home. We look forward to serving you.

Dear Homeowner, - Sell Your House Direct€¦ · Dear Homeowner, Have you recently been considering...

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