Tony Peters and Creative Real Estate Tips

by Dave Peniuk

Julie and I recently had the opportunity to attend Tony and Jo-Ann Peters: Creative Real Estate Investing Power Workshop….yes, that’s a mouthful, but for good reason!  It was jam-packed with great strategies, advice, tips, resources, and a ton of great real examples! In this post, I am going to discuss just 2 of the many strategies one can use on the creative side of real estate investing.

2 of my favourite creative real estate tips: Long Closings and Free Stuff

Long Closings:

While I had heard of both of these creative strategies from other real estate teachers/educators before, I really liked how Tony and Jo-Ann emphasized the win-win approach to using these strategies. Long Closings, for example, is based on the premise that you tie up a property that’s for sale but the Seller’s, for whatever reason, do not (or cannot) close and move out of the property for 6, 7, 8+ months.

Image Credit: Jason Floyd

My personal favourite and one that we have encountered quite a few times already through calls we have received from our yellow letter campaign, is where the Seller is currently building a new house but residing in the house they want to sell. Rather than sell it and move into a rental for 6-12 months, you suggest they reside in their home until they are ready to move into the new one they are building.

So, why do this as a Buyer? First, it gives you time to find either a Tenant (as a rental) or Tenant-Buyer (on a lease to own), flip it to another investor or even sell it to a new Buyer. It also gives you time to line up joint venture partners and financing if that is the route you are going to.  And, the BIG bonus of a long closing is IF it’s in a warm (or even better – a HOT) market, the property may appreciate 5-10% or more during that time! Guess who gets the equity? You do! But, this generally works best in an appreciating market. If the market is flat or even worse, falling, then you could be stuck with a property that is now worth less than what you agreed to pay 9 months ago! So, make sure you do this ONLY in a market that is seeing appreciation!

Free Stuff!

Who doesn’t love free stuff? I tell you, if I could make a nickel every time I gave away free stuff (yes, then it wouldn’t be free would it? but you get the point!), I would be as rich as Donald Trump!

Basically this strategy is simply asking for something that you may want that is at the Seller’s house/property. For instance, perhaps the Sellers has a nice collector car, RV, motorcycle, or even lawn mower at their house. Why not ask for it as part of the purchase? If you can find out why the individual is selling (and where they are moving to – maybe they are downsizing into a condo?), then they likely may not need or want a lawn mower or even their nice collector car.

Sometimes there is even nice furniture that a Builder may have paid for to stage their showhome! Ask for it! We just did that very thing recently when negotiating with a Builder who needs to sell. We asked for the furniture and the Sales Agent said it likely will go. Remember, you won’t get if you don’t ask!

WHY would a Seller agree to a Long Closing or give you Free Stuff?

Again, it could be for any number of reasons. If they are building a house and the bank will only finance the construction if they sell (or have a firm Purchase and Sale Agreement in place) their current house – BINGO – this is an opportunity for the Seller to know their house will sell, the bank will finance the construction of their new house, AND they can continue to live in their current home (that they’re selling) without disrupting the family to move into a rental and then move again once the new house is built! See, win-win!

And including Free Stuff in the sale of their home can be a great win for the Seller too. For instance, as I mentioned if the Sellers are downsizing and don’t want to deal with doing a garage sale or fool around with placing ads to sell their car, motorcycle, shed, lawn mower, etc., then this is an easy alternative for them. There can, again, be any number of reasons why someone would give away Free Stuff, but they likely won’t UNLESS YOU ASK!!

So, a couple of great strategies that we “re-learned” while attending Tony and Jo-Ann Peters: Creative Real Estate Investing Power Workshop.

Remember, real estate investing can be fun and creative…not just buy, rent, sell, buy, rent, sell. If you have any other creative/interesting tips or strategies, please comment!

If you want to learn more about what Tony and Jo-Ann are teaching … check out the call we had with Tony Peters a few months ago. And if you’re interested in attending one of their upcoming workshops, give Brenda a call at their office at (780) 414-5282. Let her know that Dave from Rev N You sent you and she will probably let you bring a guest at no charge!!

Image Credit: © Dexns | Dreamstime.com

11 Comments

Filed under real estate, Tony Peters

11 responses to “Tony Peters and Creative Real Estate Tips

  1. Really you writing very well. Thanks for good informations.

  2. This is great stuff. I will be looking into Tony Peters soon

  3. Hi Dave!

    I like the idea of the long closing as well as the free stuff. Definitely 2 cool strategies.

    What are your thoughts on the ‘rolling close’? Have you or anyone you know used this?

    If I recall correctly, the rolling close is used with the ‘long close’. If the new home being constructed for the seller is delayed by the builder, you as the real estate investor can add on say for instance another month onto the closing (as agreed upon by the seller). If the seller’s new home is ready after this additional month, great! If not, then you can add on more time until their new home is built. Hence the name, ‘rolling close’.

    All the best,
    Neil.

  4. Bolanka, Greg, and Neil,

    Thanks for your comments. I do recommend you listen to what Tony has to say. He’s done a ton of creative real estate deals…something to which I aspire to!

    Neil, it’s funny you brought up the “rolling close”, while I have never heard of that term specifically, I definitely am aware of how it works. In fact, Julie and I are putting an offer on a house this weekend using just that strategy. It works for the Seller and it works for us. They get the closing date they need (and it can move) and we get to lock up a great property with some built in equity. AND, it gives us time to find partners and tenants too!

    Keep on keeping on!

    Dave

  5. Johnny Rocket

    Curious Dave … if you’re pushing to get the best price how do you go about delicately asking for the free stuff? Feels kind of slimy like you’re trying to take them for everything they’ve got no?

  6. Good tips Dave!! I enjoyed the call you guys had with Tony.

  7. Thanks for your comment Johnny Rocket. To answer your question, I do not push for the best price AND ask for Free Stuff. What I do, as I mentioned above, is ask why they’re selling. If, they are downsizing, then I start to understand what they may need or not need when they move. That’s where the Free stuff can come into play. It’s all about understanding the Seller and what is important to them before asking for Free stuff or even providing your best price.

    Rick, glad you liked the call with Tony. We did too!

    Cheers

  8. You’ve done it once again. Superb article!

  9. Thanks Robt! Glad you liked it.

    Be sure to head on over to our NEW blog website:
    http://lifeasrealestateinvestors.com
    We have the same articles as on this blogsite, but it’s NEW and IMPROVED and includes all of our future blog posts.

    Cheers

  10. It was fantastic!..It’s nice to know these list of tips. I like the “free stuff” tip, it is a great idea to attract your customer. I’m really excited to your next post..!!

  11. Is Tony Peters still doing Rent to Own seminars? I have not been able to locate him lately? Thanks.

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