All Forum Posts by: Alex Babayev

@Alex Babayev GREAT JOB! Just one question. Who is your contractor because he’s totally underpaid. Roof, kitchen, bath, added a 3rd bedroom all for $40k? Unbelievable!!

@Alex Babayev

Nice work! Awesome that you used OPM to fund the entire deal and walked away with total control of a cash flowing asset with $7k.

Way to go!

@Alex Babayev the lender paid for the renovations as well?

@Alex Babayev Congrats! Btw, I would run the number again for the accurate monthly cash flow. Maintenance, capex, vacancy/tenant turnover, PM unless you manage yourself.

We have 40+ rentals self managed in my company internally- if you are new and don’t have cash reserves I agree need to put away reserves from Cashflow amount monthly but I personally don’t put away any reserves for caped, vacancy etc. 

we first fully renovate all of our rentals and I mean fully electrical plumbing roofing HVAC water heater etc. which causes very very minimal caped in first five years of our rentals.

Butt yeah if you have no money definitely need to put money away for reserves for me I can weather the storm and don’t need to put away for reserves.

@Alex Babayev That s awesome. I am new to real estate and learning daily. Listing to the pod cast, reading the forums and learning the lingo. I am hopeful that our first deal will be as successful.

Congrats! Where do you buy these houses that you can get it for 78k put in 40k and appraise at 185k. I live in NJ and this means you are in the ghettoest of the ghettos. Is this method possible in NJ or other metro areas?

Remember I forced the appreciation here, when I bought it it was a dinky distressed 2BR house 🏡- I stole space from living room and forced a 3rd bedroom because I knew I would need that boost on my appraisal 

you have to create the deal! You do not buy these deals you create them with creativity and a plan to action! 

@Alex Babayev have you paid the rehab with the credit cards initially and then paid them off when you refinanced ? Please explain

@Chandler Cartolano

Not to be a hater but this deal seems a little fluffed.
Refi before the 6 month seasoning period

 As long as you don't get Fannie & Freddie debt their is no seasoning period requirements. Look for banks that are portfolio lenders that means they lend out there own money. Secondary markets don't have seasoning periods and if they do they are usually on 90 days lendingone.com lendinghome.com etc EDUCATE YOURSELF

Hard money was 10% and didn’t charge interest until after project was complete? I have many high net worth individuals who lend me money from 6%-12% - people who have millions of dollars sitting in the bank for example chase get 1% if I can offer them 10% secured by real estate why wouldn't they take it!? build your relationships and you will see people have more money than they know what to do with. 

Overall congrats but this deal seems to good to be true. If it is, you better rinse and repeat cause that was a grand slam. Tough even finding deals in my market at the moment. You sound like someone who has given up and is deflated. I get tons of deals weekly literally have more deals than I know what to do with. We do $75K of direct mail marketing , cold calling, text balsts, voice mail drops, etc. FMLS has deals also you just need to learn how to look for them . There are NO good deals available for sale YOU HAVE TO CREATE the GOOD deal. 

Best of luck to you on your real estate investing journey! 

Congrats @Alex Babayev!

I'm relatively new to real estate - recently got my first buy-and-hold but want to pivot to the BRRRR method and am considering options between self-financing or finding a private lender. How did you find your private lender for this deal? It seems like you have plenty of experience in the space, so any recommendations for someone new like me on how to find / earn the trust of private investors?

From reading the forums, it sounds like research and networking are the two keys here...

Great Job Alex!  Did you do your own marketing to find the deal?