All Forum Posts by: Marcus Auerbach

Looks like Nick is part of a larger team, I would reach out to the team owner and ask for clarification on what happened to the EMD. https://www.ezsalesteam.com/meet-the-ez-sales-team/

The time to cancel a deal is during inspection. Backing out late in the game (Nov-Jan?) is always problematic (and it also really screws the seller), but for the trust fund to release EMD buyer's and seller's signature are required. If they don't agree they can sue for specific performance. Agents can't control what parties sign and thats also not flipping the script. Once you are outside of the contract, your agent is prohibited from giving you legal advice. At that point you need an attorney.

Buying OOS is a lot harder than people think. And cheap properties amplify the issues. The purchase is really just the beginning; there is a lot more to deal with during rehab and then when it comes to renting a place out. Always best to invest in your backyard.

The biggest issue for flippers (and builders) is controlling their cost. It is too easy. If you pay your drywaller $12,000 instead of $10,000 it does not seem like a big deal, but if you have 25 trades to pay, that is $50,000. 

On top of that a few "oops" extra items that where not in the budget you loose money quickly. Flipping is hard. To get good you need to flip a lot, like 10 houses per year. Thats when you can start really controlling your cost. But at this point this is also a full time job and you are running a full fledged business. Might as well open a car dealership. Nothing passiv about that.

Frankly, before I would flip houses I would rather run a contractor business and charge 100k for a kitchen remodel. But guess what, that's not so easy either..

The judge actually commented on that. He was following the law, so he had no choice, but he pointed out that this was not the intend of the law. 

We are working  on legislation - if you are in Milwaukee, Green Bay, Madison - or anywhere in Wisconsin, please join the RPA and support our efforts.

Love the intention, but let me shoot some holes into this. I am on the board of the RPAWI in Milwaukee (a non-profit landlord organization) and have enough exposure to landlord-tenant law and the cases of our members (and a few of my own) to say evictions are very complex, the circumstances vary so much, the devil is in the details and it even varies by county. 

As long as it's a simple non-payment of rent and the tenant does not contest at the hearing you might be fine as a DIY. But our tenants get now free attorneys that will find a stupid clerical error in your paperwork and delay the inevedibale another month or two, costing you more money. If you make a mistake with the security deposit you could be on the hook for double damages. If your lease contains any of the 10 deadly sins, you may have to refund all of the rent that tenant has ever paid (Koble vs Marquart) and if you have more tenants in the building they may try to do the same thing! Personally, I'd rather hire an attorney!

You buy forclosures on MLS with an agent, but there are almost zero foreclosures, because everyone has to much equity. We are about 1% forclosure rate compared to almost 50% back in 2010. Everyone seems to think that foreclosure means great deals, which means the bank gets top dollars.

Possibly, if you can build for under 500k, but that is a fairly complext project for a noobie. 600sqft is tiny for an apartment; your rents will be limited by the size. From what I know LA is hard to work with and expensive to get permits. Quite frankly, I would start with something that involves paint and new carpet :-)

Probably probate and your chances of success are small, but give it a shot, it's good practice getting comfortable. If you do this long enough, you'll get to the point where this feels as easy as like asking someone for directions: hi, sorry, I have a question..

First step is to establish trust. Be authentic, tell them you have never done this, but you are interested in buying the property. Don't give them a number, because you don't know. In their mind all they want to hear is a number, you have to change that to "we know a guy who will buy it and make the process easy" -- the number comes later.

Ask if you can see the house. Ask if they know about probate and what they are looking for. Exchange information, give them a chance to talk, swing by again next week. 

You don't need to impersonate an "investor" who has all the answers, just be you and show an interest in the house, everything else you can figure out.

You don't know if the tile contains asbestos until you have it tested. Most of the time they pop up easy without breaking. Regular carpet with with pad is a horrible idea for a basement, the pad is a sponge - you are inviting a mold problem. With LVP any water that makes it through the concrete will be trapped and create a squishy noise. Bare concrete is the best, use indoor/outdoor carpet which is made to get wet and does not have a rubber back.

Social media makes everything look so easy.. and people are so naive. Account closed tells you everything you need to know. Nature weeds out!

Use the agent finder on BP! Ask every agent how many flips or rehabs they have personally done. You want someone who knows from first hand experience what things cost, so they can help you avoid buying a money pit