All Forum Posts by: Monique Correia

An update for anyone who visits this thread randomly:  

Our GC, who has worked with the city numerous times, was able to submit questions regarding permits to a city official via email.  The official replied with details on which permits would be required, based on the details that our GC shared.  

We took this response from the city and used that as our form.  The lender accepted it, thankfully.  A massive headache avoided thanks to email.  If you find yourself in a similar situation, you may be able to rely on a similar approach.

Cheers.

Great writeup, @Kevin Wood! Thanks for sharing this info. What's your cap rate now with 1 of the 2 manager units filled?

Is it normal for the area to see a small apartment with only efficiency apartments?

I love when you can take advantage of errors in a listing!  Hiding in plain sight.

You mentioned "Rents were pro-forma based on "market" being a reoccurring issue you ran into.  Do the owners withhold rent rolls, or are they avoiding the actual #s because the properties need significant rehab?

Any other markets in TX you've invested in?  Is the Houston market a target for you and your partner for the foreseeable future?

Thanks @Doug McLeod and @Upen Patel for the feedback.

I'm going to attempt to get confirmation of permits needed in an email from the city.  Our GC can help us here, and the lender did say this would suffice.  Hoping it all goes through.

The form the lender wants you to use is not city friendly, and scares off too many. 

i received a 'Rehabilitation Loan Permit Certification' document required from our Lender to close our 203k streamline loan.  We're only doing cosmetic work, but that includes replacing the windows which requires a permit according to our GC.

This document must be signed by someone who is either a City,Town, or County Building Inspector/Code Enforcement Officer, or a 203k Consultant.  They must confirm that you do/don't need any permits, and authorize this with a signature.  So I headed down to the Building Department at City Hall in Arlington.  The local building inspector refused to sign, and said that no one that works for the city would sign something like this.  She said they review plans and give out permits, but they do not sign "one-off" letters for individual work.

My other option according to the document is a 203k Consultant.  Because the loan is a streamline, I have only been working with my GC on inspections and estimate.  I'm not certain if the 203k consultant would require payment, or to have been involved from the beginning, like they would on a traditional 203k loan.

Does anyone have any advice on where and from whom i need to get sign off on this document?  Anyone else in the city I should try? Would a 203k consultant work with me on just 1 document?

So great!  Would you mind sharing some of your takeaways from this flip that you would approach/do differently on your next? Also, I'm curious as to how you financed the house/rehab - Cash, Loan, etc.?

Congrats, @Ross Bernard!  

@Andrew Davis summed it up well - way to take action!  

@Gil Estupinan  In-N-Out never goes out of style!  Where in CA are you?  I lived in a variety of neighborhoods in LA, most recently Century City.

I'm interested in the Austin market as well, and if you got in 8 years ago, I assume you've been on a bit of a rollercoaster ride?  Prices there have grown quite a bit thanks to the influx of tech growth.   

Nice move on the Dallas investment!  Excited to connect with another DFW investor!

Let me know if I can help your growth out in any way!

Best,

Alex

@Dmitri L. Thanks for the welcome!  

My primary focus is on rehab flips, but wholesaling is a channel I want to keep open if the deal makes sense/cents.  I have a background in product marketing, and have some methods I feel are not fully leveraged in RE that will convert well.  But you're right - overall, it's saturated and highly competitive (as is any tier of an industry that is targeted to the "beginner")

I see you're doing work in DFW and Tokyo.  Not your average commute!  Are you a dual citizen?   Any background on the Tokyo market choice?

thanks again!

Alex

@Joe Villeneuve

 Can you talk about any negatives or drawbacks to this approach? 

@Lauren Lockett - Another fellow DFW investor - awesome!    Thank you for the info on getting up and running.  I've actually been digesting the Beginner's guide with great interest, and have a good first draft of my business plan and approach.  I've seen the last 2 webinar's by @Brandon Turner  as well  - invaluable!

That is great info on the meetup.com - I will definitely look into it.  So much going on right now before we move to Arlington, but once we get settled, we'll hit the ground running.

I acquired my half duplex via a local agent and MLS. Right time, right place type of thing, although I would prefer owning the entire duplex.

Our longer term goals are to grow our passive income stream via buy and hold of more SFH and larger apartment complexes. In the short term, I am looking to flip (and wholesale) to build that capital. I love to get my hands dirty and get involved in the transformation of a house, so I'm excited about flipping.

Thanks again for all the great info.  Please reach out if I can help you in any way.  

Best,

Alex