All Forum Posts by: Axel Norvell

@Neil Narayan thanks for the insight!

Is it commonly in the sales contract because of the wholesaler, or the seller requesting it? 

Are mineral rights a typical negotiating point for sale contracts?

I'm reading an Addendum to the Purchase and Sale Agreement for a wholesale deal and I came across this item in the contract:

1. When you guys purchase properties, do you typically waive the Mineral Rights in your contracts? Is this a typical clause that wholesalers will include in their Addendums?

2. Do you guys typically hire a real estate attorney before purchasing a deal either through a wholesaler, or through any other means?

@Tim Herman Thanks for your insight.

I actually have a lender that can do an 80% LTV which would be $240,000 of the $300,000 ARV.

What vacancy percentages do you typically do for multi-family/duplexes in the Houston area?

@Ryan Thomas - I sent you a connection request here on BiggerPockets.

View report

*This link comes directly from our calculators, based on information input by the member who posted.

Hi guys! This would be my first deal and I'm trying to get comfortable pulling the trigger on it.

The property is a great area in Houston. I walked the property and it needs quite a bit of work, but nothing really major. At a glance, the structure looks good, it looks like a new roof and most the problems are cosmetic (AND it really smells bad, like cat pee).

I've personally estimated about $20,000 in repairs assuming I do majority of the work. I'm budgeting for $50,000 in repairs as a buffer in case things go sideways.

Here's the overall numbers (please reference the calculator above for more details):

Purchase Price: $200,000
Repairs: $50,000
Expected ARV: $300,000 (based on comps selling in the area).
Expected Rent: $2,700 (I can convert the property into two units, bringing in around $2,700 / mo total)

Initiate Purchase
Down Payment: $50,000
Loan Amount: $200,000
Loan Fees/Points: $1,901.00
Amortized Over: 30 yrs fixed
Closing Costs: $5,468
Loan Interest Rate: 4.975%
Total Cash Needed at Purchase: $57,369

Refinance after 7+ months
Loan Amount: $240,000.00
Loan Fees $4,850.00
Amortized Over: 30 yrs Fixed
Loan Interest Rate: 5.000%
Monthly P&I: $1,288.37
Total Cash Invested: $20,476.46 (I'll get around $30k out in cash).

Would this be an investment you would make?

[Please Delete]

@Ryan Johnson Thanks for the tip. I added to Houston forum to my followed list 👍

@Tony Castronovo @Brian Watts Nice to meet you guys!

Can I ask what method you're finding most of your deals? The MLS doesn't seem to have much. I've talked with a few investors and it seems like the best option is to either get a deal through a wholeseller, or even better trying to generate my own deals directly with sellers.

Have you guys had any success with working directly with pre-forclosure sellers?

@Mark Sewell can you recommend any good REI meetups in the Houston area?

I've already been referred to "The Event" in Katy and the Jet Lending event at the Republic Country Club.

@Brian Salinas I'd be interested to hear how this deal went. Did you get it? Can you share before/after pics? What's the cashflow etc look like?