All Forum Posts by: Chris Bounds

Jack,

Earnest money is completely negotiable.  I've bought several houses with zero EM.  Whatever amount you end up agreeing on be sure to deposit it with a title company / closing agent instead of giving it to the seller directly.

Regarding wholesaling, you should let the seller know that is your intention.  Using [your name/company name] "and/or assigns" is one way to write to write your name as the buyer.  In Texas, real estate contracts are assignable anyway so that is not necessary.  I'd assume that to be the same in MA, but you might want to check on that with a title company first.

Good luck!

If you find and market a great deal buyers will find you quickly. Other than that, attending local REI club meetings and social events is another good way.

My personal opinion is college is not required for success, but it helps. If nothing else it helps with credibility in the beginning of your career. You can always gear your degree towards real estate or entrepreneurship. A lot of colleges offer degree programs in those areas. That will likely serve you better long-term. PS: I felt the same way after I read Rich Dad Poor Dad my sophomore year. - Chris, Texas A&M University Class of 2005

@Micah Copeland  Surprisingly the very first call I got is now set to close next week.  I only received 1 other call, but they were unmotivated.  My second batch for this list and first batch for another list will go out over the next 2 weeks.

I used elance.com to find a web developer.  The guys that did mine did a good job, but I wouldn't use them again.  I found a better guy that I will use next time on my RE site.  I used him on my personal blogging website and he did a great job.  He is helping my friend with her business site too.  PM me for his info.

Oops. I accidentally Posted before finishing. I used www.realestateexpress.com. Before I decided to go for it I asked a very experienced local investor what he'd do differently starting out. "Getting licensed sooner" was his reply - for the better market insight and tools.

I recently took the RE course and test. It is a serious course but not that bad at all.

Brian P. What is your next step to find good mailing addresses on returns?

@Sam McPeek  - thanks!  I definitely could.  I've kept notes on the deal like I do all of my deals, but I've never gotten around writing a post that much in detail about this one.  However, someone asked so I did write a quick updated post here.

@Jordan T. I could write an extensive blog about this deal, but I haven't gotten around to it yet.  I did go into it a little in this post.  

Before I purchased the property my final repair estimates were $114k.  I secured 100% financing including repairs.  I had enough credit lines to help out until it stabilized.

Repairs ultimately came out to around $160k - way above what I estimated, kind of.  The leased units needed repair too.  The $114k didn't include those units.  That is mostly what the additional repair costs were. 

I wasn't able to refinance the property so I sold to another investor (who I met through another BP member).  The issue with my refi was mostly since I purchased it with 100% financing.  Most banks I spoke with would still only lend 80% of the PP.  

I estimated the proforma value between 8-9% cap rate.  It's closer to 9-10% which makes it around $950k - $1m.  

Overall it was a good deal, but it would have been a better deal for me if I brought in a experienced MF partner.  

@Jason McKennaThanks!  If you haven't already, be sure to read Sharon Vornholt's articles on probate and direct mail.  They are golden!  I was actually reading a few of them this morning.