For Agents: Working with Full Price Offers

Are you real estate agent or broker?  Curious about how Full Price Offers fits into the picture?  Read on to learn how we can create win-win deals together.

“What is Full Price Offers?”

Full Price Offers is a privately owned real estate investment company backed by a team with over a decade of experience in ownership, investment management.  Our background includes experience in consulting and investment management for clients ranging from the largest private equity firms, REITs, major banks, lenders and billion-dollar commercial real estate portfolios.

Through this experience, we learned the sophisticated ways that high-net-worth investors use in their transactions and asked “why can’t we do this for everyday property sellers”?  So we decided to form Full Price Offers to help owners keep more money in their pocket when they sell their properties.

“How does selling to Full Price Offers work?”

To put it simply, we buy primarily using seller financing (or sometimes with a master lease & option to purchase).  If you’re not familiar with either of these, that’s very common!  These ways of selling mean the seller becomes “the bank” and we work with the seller to design a payment plan that the property can afford and gets the seller more money than they’d get otherwise.  The easy way to think about this is when you’re shopping for furniture or a car — you are willing to pay more if you can get the monthly payment to a reasonable number.  We do the same thing for real estate purchases.

Our buying process means we don’t pay lump-sum of cash at closing like a traditional sale.  We typically pay a little up front followed by monthly payments for several years until the seller is fully cashed out.  This payment schedule is what allows us to pay higher prices than other investors.

A short-term deal with us is typically 3-4 years and can go as long as 30 to 40 years if sellers are interested in long term passive income for retirement or other purposes.

“Do you work with agents and brokers?”

Yes, of course.  While we target buyers directly, we are happy to work with agents on listed properties.  The seller and agent will typically need to give some flexibility on how they’re paid.  As you know, every property and seller have different circumstances so we recommend requesting offers from us so we can customize a deal.

“How are Commissions paid on listed properties?”

As you know very well, the seller is responsible for the commission — you will work with them to decide how your commission should be paid out.  Will the seller pay you out of pocket? or will you receive the equity payments (or a portion of them) until you’re repaid?  Or would you wait until they are fully paid off to get a deal done?  There are plenty of options and you should keep your own needs in mind when discussing this with your seller.  On really good deals we may be willing to pay the commission out of our own pocket.  Every deal is different.

“Do you do referrals?”

Yes! When we work with leads that are a better fit for on-market listings, we will refer the seller to our preferred agents.  We welcome your referrals when your prospective listings are a better fit for our “box” than yours.  We’re always happy to talk through opportunities you have.

“What type of seller is Full Price Offers a good fit for?”

Do you have sellers looking for unreasonably high prices that need to close fast? Or they want full market price for a fixer upper? Leads that balked at paying commission and plan to sell by owner instead? Seller want market price but needs to get out of the current mortgage payments?

We have the toolset and creativity to make a deal out of any situation, so bring us your best shot!

“What type of seller is Full Price Offers NOT a fit for?”

If your seller needs all of their equity in cash at closing after everything else is paid, we are likely not a great fit.  We can typically give sellers a bit of cash up front for moving costs, paying off some high interest debt and other issues.  We are not able to pay “normal” down payment amounts you may be used to seeing.  Those down payment numbers are driven by Fannie and Freddie conforming loans, which we do not use.

Our ability to pay full price and cover all the closing costs (and still making a little profit) is predicated on low up-front cash to sellers.  The higher the cash needed up front, the lower the price we will be able to pay.  The lower cash up front needed and the longer time we have to pay the seller, the higher the price we’ll be able to pay.  Our mission is to find the right balance to meet the specific needs of our sellers and our investment goals.

“How are my sellers protected if something goes wrong in the deal?”

This is a common and very reasonable question.  When sellers finance a property sale, they become “the bank” and are secured by a mortgage on the property as collateral.  We do rent the properties out but not to normal tenants — our tenants are future homeowners who plan to buy the home as they work through our mortgage readiness program.  Part of the criteria for this program is putting up cash as “skin in the game” which is part of our sale to them.  These tenant buyers are incentivized to keep the property in good condition instead of your typical tenant.  It’s very common for our sellers to worry that they will get a house back in poor shape — a reasonable concern that is mitigated by our in-depth tenant buyer screening process and the incentives set up in our buyer readiness program.

In addition to our high quality tenant selection process and incentive structure, if our company is suddenly abducted by aliens and we disappear forever, the sellers would first continue to get payments through our management company while our tenant buyers continue to pay monthly.  If we disappeared AND the tenant buyer stopped paying, you would get the title back quickly through the paperwork we provide.  No messy foreclosure process, just an easy recorded deed transfer and a few signatures.  Easy as that!

Get A Full Price Offer for Your Property