All Forum Posts by: Joseph Hummel

Hi Kim,

Not sure if it would fit your risk profile- Instead of institutional investments why not consider becoming the bank and offer to be the private lender on a quick flip for someone you know and a deal you look closely at? Just a thought. Hope you find what you need.

@Shane Ryan

I’ve seen some guys do side businesses just flipping vacant lots. Mostly basic grading selling it “buildable lot”. Some even bring in power pole and or tie in to sewer or septic/ well water etc. sort of what I wanna get into doing also. If it doesn’t sell- I think I’d just build specs on them.

Best wishes man

@Yoscar Escobar

Whatever you set your mind to you can achieve. Thousands have already proved what you are thinking of doing can work. Your biggest hurdle will be no experience and your age. Get out there and get some or you will get taken advantage of. You might be better off learning a trade and going and flipping your first project or offering to provide labor for a split of someone else’s flip. Work for free if you have to- think of it as school. Get a side job working for someone who does something related to real estate to learn (financing, investing terms, real estate terms, property and building terms, appraising, leases and running numbers). I’m meantime build your credit. These all take time and unfortunately there are no shortcuts.

Go get it!

@Ilhan Hersi

Sounds like a perfect diy project.

Go get a Wix website- they are fully optimized and have highest seo ranking for any visual editor website. And does everything you asked for.

Alternatively you could just ask who you hire to make you a 1 page website with a contact form- it takes a couple hours.

Happy to help

@Logan Zanki

Let you’re accountant do their job. Counties vary with how they assess taxes some have land value some do not. Depreciation is federal- your accountant knows this and can use purchase price as depreciation- that’s what we’ve done. From my understanding Land value can get deducted - so having 0 doesn’t affect you and is a good thing for depreciation. It’s the house that depreciates.

Thanks

@David Thoeny

Congrats on your project.

Smart to hire a GC. Investors that don’t are risking a lot. (I’m biased, as a GC, but it’s also the law here). If it’s the law where your project is- follow it.

My suggestions:

Interview each- but keep in mind GCs are interviewing you. Real Work is hard and they charge and return phone calls according to what they perceive the pain will be to them and their crews. Good GCs have more than enough work so being a good client is huge. If you trust them let them do their work- get them what they need to keep project moving (appliances, paint colors, if you are supplying those etc etc ).

Ask them everything- how do they bill? What about deposits? Do they charge dump fees separate? What about portable toilets? What is included and how do change orders work? Do they carry general liability enough to cover your project? do they have past clients you can talk to? How do they handle forecast scheduling subs and materials? What is the timeline and can they meet it? What parts of the project do they foresee being the most difficult? What will the longest delays be? Do they pull all permits? Will they warranty the work? If so- how long? Etc etc

For you Is the project work a bid, t&m or cost plus? I would recommend bid and cost plus and leave t&m for small projects only.

Best wishes

@Christopher Lynch

The reason you want to consider selling seems mainly that your uncertain if the town will continue to support the rent amount?

I’ve heard quite a few investors capitalize on smaller towns because other investors are afraid. Maybe refi if you need cash out of, keep it fixed up nice to keep getting high end rent and tenants, rent both sides, once it’s paid down it’s going to be more valuable.

@Bleys Wright

Regulated yes - friendly is matter of perspective. I prefer areas with regulation, it protects the investment for me.

@Nicholas Libertin

I remember calling vacasa and some other str management companies since they see a lot of nationwide numbers. If I remember right Wyoming was their top spot. I live in a mountain vacation area—- nobody rents year round. Try Hawaii?

@Shane Ryan

We are contractors out in Nevada. We work with dirt guys to prep our lots, trench, grade you know. If they had your spirit I would want to bring them in on deals too and there is good money to be made here just developing. Are you dead set on staying in Tennessee or would you take your skills elsewhere? Just a thought.