All Forum Posts by: Alan Hon

I bought my first house on a Lease Option Purchase Agreement over 18 years ago.  

I replaced, the carpet, put some fresh paint on the walls and tried to hire a "professional" to help me with the heavy lifting.  Maybe it was a blessing that one bid was too high and another guy didn't show up because I had to learn things the hard way.

Seventeen years later I have re-designed and rebuilt more homes than I can count.  While I am able to do the work myself, I've learned the power of multiplication.  Yes I pay more to others to get the work done, but make way more money as I am able to profit off of more projects.  

I'm still grateful that I'm able to roll my sleeves up and do whatever it takes to create beautiful spaces but even more grateful that I am able to design great spaces and lean into good contractors to bring that vision into reality.

I've got the vision, ability and am willing to travel for the right opportunity.  

If you have the financial resources, and a desire to build or scale a real estate business, we should talk.

Have Van.....Will Travel 

That deal interests me but even bigger picture so does the possibility of us scaling together.  I've been in the trenches and have lead the troops.  We should talk. My cell number is 309-948-3443.  Shoot me a text and we can plan a time to chat.

Luckily while the slacker subs left me hanging I found a great plumber (Tyrone & Sons Plumbing) a great electrician and Mr. Kool Heating and Cooling stepped up and installed some mini splits for my next project.

The key is to surround yourself with excellence.  I am, however, grateful that I have had the experiences I have as I am able to roll my sleeves up and get things done if and when even the best of help doesn't show up.

I've been re-designing and rebuilding distressed homes for more than 17 years and am looking for distressed SFH in either Gainesville, Ocala or in or around Daytona Beach.

Does anyone have anything or know someone who might?

I'm looking for 2br and 3br SFH in Gainesville or Ocala. Do you have anything?

It's been more than 17 years since I was hired to finish a local builders homes.  Lucky for me, he had a list of subs but none of them had vision.  While he could invite several of them in to move this or do that, none of them were able to stand in his space and see what could be done in order to maximize the potential of his properties.

I was recently told that few people can do what I can do and I've been doing it successfully for more than 17 years now.  

My hope is to find someone that is looking to work together so we can all achieve more success than we could working alone.

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $160,000
Cash invested: $100,000

We purchased an REO, gutted it to the studs and rebuilt it. Current market value = $425,000 resulting in $165,000 increase in value PLUS it currently produces just over $2,000 per month as a STR. Win win.

What made you interested in investing in this type of deal?

I was provided four properties to choose from. Did my due diligence to see that this one had the most potential. Having maximized the potential of properties for more than 15 years, we knew we could do it again.

How did you find this deal and how did you negotiate it?

We saw the property advertised on the internet, contacted a local realtor, walked through it and made a cash offer. When they asked for highest and best we held strong as ours was for cash and we got it.

How did you finance this deal?

Cash

How did you add value to the deal?

We re-designed and rebuilt the property, including adding a 700 square foot deck w wet bar facing the lake, in order to make it appealing to both the home owner and the guests they were planning to welcome into it as a short term rental.

What was the outcome?

The most recent Market Assessment resulted in the valuation having increased by $165,000. The property also cash flows $2,000 as a short term rental.

Lessons learned? Challenges?

I learned the importance of hiring skilled labor. After months of waiting on the local guys to show up I rolled up my sleeves and finished it myself.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Yes but unfortunately he moved to Chicago.

I bought my first flip as an REO for $15,000. After a few months of work it was worth $75,000. While I was excited to leave my job as a Regional Sales Manager for a large Verizon retailer, I realized was that I had just bought myself another job. While I could do most of the work myself, doing so meant I could only do two, maybe three houses per year. Thankfully one of the lessons I had learned from my time helping them grow their company was how I could grow mine. At one point I had two full time crews and six houses going at one time. Having shut that business down and taken some time to work with a new home builder who built 150 houses per year, I'm ready to build something GREAT. Who's in???

 The post is intended for those who are

 Amen brother. By the time you fixed all of the issues with some houses and get them back on the market your margins are minimal.