All Forum Posts by: Allende Hernandez

Thank you @Exavier Hamilton, how was the experience with Prestige?

Hello folks,

This is a non-RE questions so I hope you are ok with it. I am planing in purchasing a small business with cash to have some leverage on the price. My ideal situation would be to place it on a loan as soon as I can to recoup my cash back and gain buying power again. I haven't find a lender that is able to refinance a business that is not under a commercial loan so I am thinking maybe a private investor would do.

Similar to RE I was thinking on either an Equity Partner or better off a Private Lender that just lends me the money at a certain interest rate for let's say 5 years, with no stake on the company, of course using the business as a collateral.

Does this sound like a crazy idea or is it something people do?

Thanks in advance!

@Russell Brazil the inspection period is important to me for two reasons. One is that, as mentioned, I make offers without seeing the property first since I am about 3 hours away. I need to confirm my estimates on site and that is my inspection period. Also not every house needs a full rehab and I am not an expert in the matter. I use a good inspection to validate my findings and reduce the risk of finding big surprises.

Hello guys,

I am sure this is one of the most frustrating point for us newbies. After my first deal, it has been impossible to get an offer accepted and I'd like to get your input on how I can increase the chances.

Basically I am trying to buy my next flip or brrr subject property in the Central Florida area. I am exclusively working on MLS properties because I live in Miami and a wholesale deal is not feasible.

The way I work it out is by looking at the property pictures and try to come up with an overall rehab cost, then making the offer as soon as possible for the "right" price. If it gets accepted, I still have my inspection period to confirm my estimates and go on or renegotiate based on the new numbers.

Not sure if the issue is that I'm been over cautious when coming up with my rehab estimates, therefore making very low offers, though I don't think so. I am trying to be as realistic as possible based on my first experience but I'm still a starter.

Can some of you share ideas on how to improve my chances here?

Thank you all in advance!

Thank you very much @Gabriel Amedee. That is exactly what I see, buying condos from a wholeseller seems like a real gamble. Too many unknowns that are usually hard to clarify for a quick decision.

I am sure that is to my uneducated eye, there must be very successful investors around here that have a way to make this a less risky move. It'll be great to get their input.

Hi @Jack V. Ospina for a listed deal, yes, that is a possible path but for a wholesale deal the story is completely different.  There is no inspection period for the most part or it is very limited. Also, these deals fly in less than half a day with no time for a detailed due diligence.

Hello folks,

I recently bumped into a good deal on a condo apartment from a wholeseller. I didn't even had the chance to place an offer  before it was gone. I had a few questions and by the time it took me to start looking for answers, it was too late.  I wanted to clear a few things in case It happens again.

In a deal like this, how do you guys deal with the HOA, meaning, do you investigate about active/potential special assessments? Age of the roof to predict whether you'll get welcomed with roof replacement notice? Lease regulations??

These things take time to find out, and  with good deals from a WS...time is not abundant. 

Thanks in advance!

Just one more piece on information. I just spoke with the engineer that sent the email and the estimate to grout the house is aprox $60K. This effectively kills the deal at the original price but may be an opportunity if I can negotiate the price substantially down.

I am still interested in getting opinions.

Thank you! 

Hello guys,

Just got awarded a contract for a house to later get a call from the listing agent saying that the house had sinkhole remediation work done to it a few years back. I am not concerned about my ability to walk out of the contract since I have all possible proof that the information was only made available to me after the contract was awarded.

My question is more on going forward. I have a report(sent by the agent) that there was an underpinning work done to the house and a certification from a third party company validating the work, all back from 2010. I also have a more recent email sent by another engineer to the seller saying that to his knowledge the house was underpinned but not grouted and that he considers the sinkhole not repaired.

The contract price for the house gives me some average spread as per ARV. Now that this shows up I have a few questions:

- I assume that the fact that the house had a sinkhole repair done will affect the ARV (whether correctly repaired or not), an I correct?

- For those of you who had dealt with this before, how hard would it be to complete what is required to get this sinkhole dealt with?...and how expensive. The house is from  2008 and 1500 sqft.

A caveat to the situation, the house is located at aprox 3hrs drive from where I live.

Thank you all in advance

I'd say go with what the neighborhood has. remember that you will not be living in the house so your taste will not necessarily match your buyer's.

Check the comps you used to come up with your ARV and see what they have and go with it.

Hope it helps and Happy Investing!