Welcome to BRAG Radio leading the world to be rich and generous.

Ready To Take Your Real Estate Investing To The Next Level? Click Here to Apply To Work Personally With Larry and His Team!

Best sell real estate investing author Larry Goins & Co-Host Kandas, will show you the many ways real estate creates the I.D.E.A.L. investment. Whether you want to Flip houses or become a passive investor making double-digit returns while others do all the work. You will learn how here on BRAG Radio.

  • Or Listen To Our Podcast:

Ready To Take Your Real Estate Investing To The Next Level? Click Here to Apply To Work Personally With Larry and His Team!

Renegotiating A Deal After Contract!

SHOW SUMMARY:

In this quick episode, Larry and Kandas talked about renegotiating. They also discussed some of the reasons why you need to renegotiate a deal and some tips on how to renegotiate. Also, Larry shared a deal they have done for this week.

SHOW HIGHLIGHTS:

  • Updates from the hosts
  • Deal of the week
  • What renegotiating is all about
  • Some reasons why you need to renegotiate
  • Asking twice of what you need
  • On making some money
  • Everything is not going to fit in your model
  • On being honest and clear
  • Renegotiating is just a part of the business

RESOURCES AND LINKS FROM THIS SHOW:

SHOW TRANSCRIPT:

Kandas: Hey, guys.

Larry: Hello, hello, hello. How is everyone doing? It’s Larry Goins and...


Kandas: Kandas.

Larry: The Kandas. So, how are you? Thanks a lot for viewing. Thanks a lot for watching. I appreciate you being on every week at 2 o’clock Eastern. Right here on Facebook Live, we do the BRAG show.


Kandas: Yes.

Larry: Be Rich and Generous.


Kandas: Usually, it’s both of us. I know you guys have missed me for a few weeks. I think we’re doing pre-document in this last week.

Larry: Well, I was on.


Kandas: No, you were here. But they missed me though. Manny even said so. Manny said, he missed me.

Larry: Look! Dave’s in the house. Edward’s in the house. Excellent.


Kandas: That’s awesome. That’s great, guys. Today is going to be short and sweet. If you need Investor’s Kit, give Z a call, 877-LARRYGO, 877-LARRYGO. She can get you set up with the Investor’s Kit.

Larry: Tell them what’s in it.


Kandas: Okay. we have the Real Estate Day Trading, digital version of Real Estate Day Trading book. We have digital version of HUD Homes Half Off. We have different trainings and things. See, Kenny even said.

Larry: Kenny missed you.


Kandas: Same here.

Larry: What’s up, Kenny. How are you doing, buddy?


Kandas: You’re not as funny without me. You’re not as funny without somebody in here like bantering back and forth, is he? He’s really not.

Larry: Yes. I was straining to the point last week.


Kandas: Yes. You don’t have fun without me and that’s what happens. So, there are some other trainings that come in the Investor’s Kit, gives you a little bit of deeper insight into our Filthy Riches Model, the Day Trading Model, different things like that, some asset protection stuff, all that good stuff. Give her a call, 877-LARRYGO and she can get you set up with the Investor’s Kit.

Larry: Exactly.


Kandas: Share, share, share.

Larry: Kandas wants to run a gun, have a friend who runs a tactical training course in St. Louis. Awesome, awesome.


Kandas: In St. Louis. We were just in St. Louis too.

Larry: We were. We were just there.


Kandas: Last week.

Larry: Yes, it was last week. Monday, Tuesday, and Wednesday or something like that.


Kandas: Monday, Tuesday. Yes.

Larry: That’s awesome.


Kandas: You all know I like to run a gun. That is very true. Thank you, Dave.

Larry: That is true. She went to the range on Sunday.


Kandas: We did. The girls and I went on that for Father’s Day. He thought that was pretty cool that the girls were shooting and stuff, so it was good.

Larry: That’s awesome. Guess what I got for Father’s Day. My wife and son got me KISS tickets, the Final Tour. Can you believe it? KISS tickets. I’m going to see KISS and it’s in August. I am so excited. It’s going to be great, right?


Kandas: It is going to be great.

Larry: It’s going to be great. I love it.


Kandas: This surprise for him was so hard for me to keep a secret because I was in on it. Pamela had come to me about a month ago and we structured this whole thing. It was her idea. She had thought really hard about it. He’s been into concerts this year so she knew she had the best idea possible. We made it happen, and he got them on Father’s Day.

Larry: It was a great idea. It really was. I love it. I am so excited. Anne, Pam, and Ella are going with me, right?


Kandas: Yes. Pam is going to a KISS concert.

Larry: Pam is going to a KISS concert.


Kandas: She will probably sit down the whole time, but she’ll be there.

Larry: But that’s okay. She will be there. Ben, what’s up. Buddy, I got your email. I’m going to respond to it here in a little bit. We’re getting ready to head to the airport in a few minutes. I want you to know that I am going to respond to your email in just a little bit, right? So, look! Christina Helen’s in the house, right?


Kandas: They do love him. They do.

Larry: They do love him.


Kandas: Ms. Catsy the mom. Ms. Catsy even gave him a card for Father’s day?

Larry: I’m not a cat person. I hate cats. I think they taste like chicken.


Kandas: You better not let no one see this video.

Larry: I hope my wife doesn’t see this one.


Kandas: Or Noah.

Larry: Because they love cats.


Kandas: Or Morgan, my daughter.

Larry: Our cats love me. Well, one of them does anyway. I am the cat’s favorite, right?


Kandas: They gave him a pawtique card for Father’s day.

Larry: Yes. So that was cool. But I’m excited about going to the concert. It’s going to be awesome.


Kandas: Really good.

Larry: It’s their final tour. It’s called The Final Tour, right? So I love it. That’s great. So what else do we need to share? Oh, share the video.


Kandas: We need to share.

Larry: What else do we need to share? Share this video and why?


Kandas: And why?

Larry: Because you could win a Real Estate Day Trading Jumpstart. If you shared last week’s video, send us a screenshot of it on your timeline, right? On your page, and we’ll mail you one of these. We will even pay shipping, right? Real Estate Day Trading and Jumpstart.


Kandas: Until they’re gone.

Larry: Until they’re gone.


Kandas: Customerservice@LarryGoins.com. We’ll take care of that for you.

Larry: That’s right.


Kandas: That’s right. That’s right, Kandas.

Larry: That’s supposed to say that. It’s supposed to say that. I think it does.


Kandas: Anyway.

Larry: Then email customerservice@LarryGoins.com. Would you just look at that. Would you just look at that. Make sure and follow us. Maybe you saw this from somebody who shared it, make sure you follow us so you get updates on every week when we end up doing this. We also do some other training through the week and things like that.


I want to bring up the deal of the week. This has been a really good week.


Kandas: It has been a crazy week.

Larry: We’ve had a lot of closings and in the last couple of weeks, we’ve had about seven or eight closings or nice or ten in the last couple of weeks.


Kandas: Oh, well, it’s been four to five per week. This week is the same. Next week, set up for the same. They’re just flowing.

Larry: I’ve got two offers accepted today. Just today, I got two offers accepted.


Kandas: He’s upset. He wants to get one more before we get on the plane.

Larry: That’s what I said. We were out there in the big room and our training room having lunch. Kandas and her mom and I, I said, I got to get on the phone. I’ve got to get one more deal before we go to the airport, right? I bought one house today for 10,000 dollars. I bought another house for 12,000 dollars today.


Kandas: No, 12 or 12,500?

Larry: 12.


Kandas: Good.

Larry: We send out the offer via RightSignature. It’s like DocuSign, so it’s really cool, right? So, there you have it. Which deal should be the deal of the week? What deal should be the deal of the week?


Kandas: I mean, we have a sweet deal in Far City, but we’re still waiting on the owner to move out.

Larry: That is true. That is true.


Kandas: That is an awesome deal. And, while I was out there, I got two more, while I was looking at that one. That what you have chosen right now.

Larry: Yes. Good, good, good. We got one house that we were buying for 7,000 but we’re renegotiating this deal down to about three or four, or something like that. I don’t know if they’re going to take it because they owe more than three or four on it. So, they may come to the closing with money. I don’t know. We’re still trying to work on that.


Kandas: That house is livable right now.

Larry: It is. It’s a brick house. What could be a good deal of the week deal? What about the one in Spindale. Is that a good deal of the week?


Kandas: I don’t know anything about that one.

Larry: Is that a good deal of the week, deal?


Kandas: Which one’s in Spindale?

Larry: We have a house in Far City. It’s a good deal of the week deal that we’re buying it. It’s got an ARV of, I don’t know, 175 or maybe 200 or something like that.


Kandas: That’s going.

Larry: But it’s full of stuff. I mean, it is full of stuff. I even went by there and it needs a lot of work. We’re picking it up for 65,000, but it is full, and I mean, full of stuff.


Kandas: I think ultimately. I mean, this deal is going to be super good for our buyer, right? I mean, it’s going to be a great deal for our buyer. To me, it’s not one of my favorite deals because of what we’ve got to do to clean it out. It’s not like, I mean, we’re going to make almost the same spread on this house that we’ve got to actually clean out that we do on the one that we just closed last week and didn’t touch it and sign it out.

Larry: The saving grace is, you know, we got whatever that’s in the house, like my wife wants to go there and clean it all out herself, right? Because there are a lot of, there are some antiques. There’s a lot of tools. There are two garages full of stuff. I don’t know if any of it can be sold. Maybe, maybe not. You just never know what you’re going to find. I always find something in the house, right?


Kandas: It will be a family project.

Larry: Power tools. We’re thinking about getting our kids to go out there.


Kandas: That’s Pam’s plan, is having the kids to do it so they have something to do. It’s like a summer job.

Larry: Yes, that would be cool that would be cool and they can post stuff on Facebook and sell it while we’re there right from the house, which would be cool.


Kandas: So, we mentioned a few. I think that’s good. We’ve got to. We’ve got to get on the plane, so we got to speed this up a little bit.

Larry: We do. Okay, let’s talk about renegotiating. Let’s talk about renegotiating a deal. Guys, renegotiating is a common thing, okay? Especially when you’re buying over the phone. It doesn’t mean that you’re trying to take advantage of the seller. It doesn’t mean that you’re just trying to make more money on the deal. You know? You do need to renegotiate deals sometimes, right? You don’t want to get into the habit of renegotiating every deal just for the heck of it, right? Although you could renegotiate a lot of them just because you wanted to, but that’s not what it’s about. It’s about having to renegotiate when you find out either the house needs more work, the value is not there, maybe the neighborhood is more of a rental neighborhood and you thought it was an owner-occupant neighborhood, right? So it’s very important to understand that you’ve got to renegotiate the deal. When you go to renegotiate a deal, it’s always a good idea to let them know. I mean, worst case scenario. If you renegotiate it here, you need to be here. You have to start out a little bit lower, right? And then work your way up to it.


Kandas: What is it you say? Ask for twice of what you want and meet somewhere in the middle.

Larry: Ask for twice of what you want, right? Well, I don’t always do that, but you know, that is a good point right there, to ask for more than what you want. Look who’s in the house.


Kandas: Corn.

Larry: What’s up?


Kandas: Hello.

Larry: What’s up, Corn, how are you doing, buddy? Let’s see. Look, Blanca. Ready to start working with us. What can I do?


Kandas: You need to be a little bit more specific.

Larry: Go to LarryGoins.com/apply.


Kandas: That’s to work with us to be one of our partners.

Larry: Partners and work with us. We’ll coach you and mentor you and help you close deals. So, renegotiating deals. You renegotiate. Sometimes, you have to renegotiate for extra stuff, right? Sometimes, you have to renegotiate to get them out of the house soon, get the tenants out of the house, renegotiate to leave the stuff, or renegotiate to get them to take all the stuff out, right?


Kandas: Right.

Larry: It can cause like this house in Far City, it might cost us 3,000 or 4,000 dollars if we hired it out to have the work done. My wife wants to do it and have our kids do it, my son and Kanda’s daughters to do it.


Kandas: But we’ll still have dumpster calls, all calls and different stuff like that even if we burned stuff. I mean, you know, we’re still going to have stuff and we’ll still have calls.

Larry: Absolutely, absolutely. I was just there over the weekend and I found these in the house, right? The little things that you roll in your hand like that.


Kandas: And he’s been annoying ever since with these.

Larry: I am, but anyway. So, yes. You want to renegotiate the deal and ask for twice of what you need and then work your way back up to it. It doesn’t hurt to slow play it as well. You know, we’ll, I really thought I was going to be able to help you out. I want to help you out. I mean, we really do want to help everybody out, right?


Kandas: Yes.

Larry: The bottomline is, you’ve got to make a little bit of money. You’ve got to make money. You’re not trying to make a homerun or own every single deal, right? But you do have to make some money. That’s very, very important. Right? You’ve got to make some money and it doesn’t hurt to tell the people, look, we got to make a profit. We got to make a profit.


Kandas: As many as it takes, Manny, to get on the same page.

Larry: How many counter offers can you make on home negotiation? Yes, when we got back and forth and back and forth...


Kandas: Until you get to a no or a yes, right? I mean, pretty much, you’ve got to get to a definitive answer. If they keep countering, why would you not keep countering back? But if you know your numbers, then you stick with your number.

Larry: Like, I had a guy a few minutes ago. He had a house. It was appraised for 45. He wanted 40. He will only come down to 38, right? So, I told him I needed to be in the mid 20s because it needed no work, right? I just told him, I said, look, I’m not your buyer for this house, right?


Kandas: Sometimes you’re not. Honestly. Be honest with yourself and with them. You can’t buy everything. Everything is not going to fit your model.

Larry: That’s exactly right. Don’t be afraid to tell them, look, here’s the best thing you can do. I’m not your buyer but I’m going to give you some advice. The best thing you can do is call a realtor, interview three of them, list it with them for a year, and get the house in tiptop shape and clean it up, get it ready to go, and then wait on the right buyer to come along, and then hope the house appraises, hope they qualify for a loan, and hope the house passes inspection, right? Look, reverend Ron.


Kandas: Hey, Ron.

Larry: Ron Divine. Make sure and follow him at RonDivine.com.


Kandas: Hey, Ron. If you’ll see a few messages below, Blanca is ready to start working with us. Can you give her a call, please, sir?

Larry: Yes, look her up in the database and give her a call.


Kandas: Let her know what she can do. We already gave her the forward slash, apply link.

Larry: There you go. Alright, cool. So, yes, there you have it. You got to go back and forth, but you can’t get them all, but what I tell them, I can’t help them, I like to drag it out and say, you know, call the realtor. It might take you a year. You got to get in tiptop shape, wait on the right buyer, and then hope it appraises, or if they qualify for a loan, and it passes inspection, right?


Kandas: Which is the truth. I mean, that’s what is going to happen especially if it’s over 50,000 dollars because most people don’t have that kind of cash just walking around for the type of houses that we’re looking at anyway.

Larry: That’s right. That’s right.


Kandas: So, if they qualify.

Larry: So guys, renegotiating is just a part of the business. Don’t be afraid of it. Don’t be afraid to do it. If you’ve got to do it, it’s going to happen. One of the things I’ve learned about it is if you have to renegotiate, it helps to get a little closer to the closing date before you renegotiate the deal, right? If closing is coming up in the next week or two, it makes it a little bit easier on everyone to be able to renegotiate the deal. Right?


Kandas: Right.

Larry: Everybody is anticipating the closing.


Kandas: It’s already set up. Everything is underway.

Larry: Exactly, exactly. So don’t be afraid to do it. If you’re not making much money on it, if you’re making 5,000 to 7,000 dollars on a deal, Ben, like if you’re making five on one coming up and seven on the other, don’t be afraid to renegotiate it down a little bit, right?


Kandas: At least try. I mean, what’s the worst case? You’re going to fall back into the original contract of what you originally offered, right?

Larry: Exactly.


Kandas: So, if you’ve done your frontend work the right way, then you’re still in a good spot. If you can’t negotiate it, the number still were where you originally were.

Larry: Right, right. Exactly. So, anything else?


Kandas: That’s it. No.

Larry: That’s it. Alright, guys. Please share the video. We have got to get to the airport.


Kandas: I got a watch and it’s saying yes.

Larry: I left mine at home. Alright, guys. Thanks a lot for watching. We really, really appreciate it, Ben. I’ll shoot you that email soon and thanks a lot, guys.