In this instructional video, seasoned broker and mentor Joe Homs walks beginners through the entire process of making an offer on a real‑estate investment property. He begins by stressing the importance of setting a firm budget and staying within it to avoid overpaying. He then outlines a thorough property‑research routine: visiting the site at different times, observing the neighborhood vibe, and even talking to neighbors to uncover any red flags. Next, he explains how to craft a competitive offer using comparable sales (comps) to gauge a realistic price range, and advises viewers to decide early whether they will purchase with cash or financing, emphasizing the need to get pre‑qualified with a lender. Throughout, Joe highlights the value of working with an investor‑friendly real‑estate agent who can provide comps and help submit offers. He wraps up with encouragement, urging viewers to ask questions, subscribe, and consider one‑on‑one coaching for deeper support.
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You've decided to take your first steps into the world of real estate investing. Congratulations! You might be wondering, how do I make an offer on a property? It's an excellent question and one that I know many of you have. Making an offer can seem like a daunting task, especially if you're new to the game. I'm here to guide you through the process and provide you with the tools to make a successful offer and achieve your real estate investment goals. Hi, I'm Joe Homs, and I have over 40 years of experience as a broker, mentor, and investor, and I want you to subscribe so that you never miss a video. Number 1, determine your budget. Probably the most important thing when I help buyers looking for properties, I hear this all the time. Joe, I don't want to buy anything over $700,000 or $800,000. $800,000 is my max. We go out, we look at properties, I show them in that price range, They don't like what they see, they always end up buying more. But you as an investor have to make sure that you keep within that budget because if you go over that budget and overbid on something, at the end of the day you may end up losing money. Do you like these type of videos? Do me a favor and hit that like button. Number 2, research the property. Make sure that you know Everything about that property, the condition of the property, where it's at, has there been any death in the property in the last 3 years? I always like to tell my clients, go there numerous times during the day and evening to see what the neighborhood feels like. I also suggest that they go knock on neighbors' doors. Hey, I'm thinking about buying a house next door. How was the people that were living there? Either they're living there or not living there, but if they're, if they're not living there, you know, what happened? You know, anything going on in this neighborhood that I should be concerned about? Again, find out as much information about that property, and a good real estate agent can help you do that. Number 3, make a competitive offer. And this is where you have to take advice from the real estate agent that you're working with and do the comps. So comparables, comps, they're an average of what's been selling in the neighborhood. Have them, you know, show you, okay, this is the same type of unit that you're looking at or house, whatever. And this is, these are the last 3 sales in the neighborhood. And I looked at this one by the pictures or actually went over there and this one was pretty much standard. There is no upgrades, and that's why it sold for this price. And this one was highly upgraded— pools, you know, jacuzzi, whatever, you know, multiple things inside— and that's why this sold for this. So whatever you're looking at, compare it to the low and the high end and try to put a competitive offer in on that property. Determine if you're going to be buying with cash or financing. And that hopefully is done early on. If you have the means to put cash down, by all means put the cash down. If it's financing, then that should be done like the first thing. The first thing is to get with a lender, get the— get you qualified, find out how much money you are qualified for, how big of a house you can get, how much you have to put down. And please buy something that's affordable to you. I'm not suggesting you buy, you know, a multi-million dollar property and you have to work for the rest of your life just to make the monthly payments on the mortgage every month. You need to have enough to live life, go out to dinner, go to the movies, enjoy yourself. So buy something that's going to fit within your budget as well. Starting in real estate investing can seem overwhelming, but With the right mindset, guidance, and determination, you can achieve your goals. If you have any questions or comments, leave them in the comments section below. I'll be happy to answer them. If you want to learn about working with an investor-friendly agent who can put those offers in for you, click on this video right here or book some time with me one-on-one. As always, I'm always here to help.
