All Forum Posts by: Justin Fernandez

Well, it only makes sense if you're taking a loan to the property and then leveraging that property to get another.

Using a HELOC for the Down payment of another property.

It just doesn't sound worth pursuing, unless you plan on living there?

I understand for some that having 0 living expense frees up a lot of money to pay off other things! (I am that some :) )

Just looking at your footnotes, it sounds like you're barely scratching there.  Are you ok to take on that kind of risk for a Turn Key? And if that's pro forma too, then are you sure you want to pursue it?

Usually, it's better to value add so you can squeeze more out of it, but it looks like you'll have some equity I guess.  

You're going to want a mentor. Start there. Wether it's bird dogging for a Rehabber or another wholesaler. You're going to need contacts that you can leverage during the process. 

Don't know what the ARV is, develop a relationship with someone who has MLS access and so forth for other things.

Can you estimate repairs?

Has a lawyer vetted your contract?

Do you have an EMD?

Do you have an end user lined up?

Not sure what all this is, take your lead and get a bird dog fee on it. 

Cashflow is king for small multi's.  

DSCR = Is for loan underwriters

Cap Rate can be used for small, but is generally for Large Multi's. (I could be corrected on this)

Are you buying turnkey or fixer upper?

You also may want to setup an easy CRM that tracks progress of each said lead so you don't have to ask each other about every detail. But using a CRM takes some serious dedication.

Food for thought 

I agree with @Brent Coombs. Do you have your partnership lined up?

I would love auto leads /jealous. 

Let me know how it goes. 

Welcome on board bud. 

How much do you know about real estate?

How to determine ARV?

Estimate repairs?

State RE laws?

Appropriate contracts lined up?

If you know those things then read on. 

Look for a buyer, a serious one. Someone who can handle the volume you want to bring. 1-3 a month, 10 a month, etc. 

Find their buying criteria

Look up sales records for those type of properties and look for a dense area where they are.  Think GIS, tax records. 

Now drive for dollars in those neighborhoods. 

When you find one, knock on the door, write a letter, get in touch and ask to buy the house. Your money is the spread between your purchase and their buying criteria. 

Too much money and afraid your buyer is gonna be upset, double close/simultaneous close. 

Just about average or less assign it. 

Tips: 

1) Don't get greedy

2) don't lie

3) RE is a people business, selling products is second. 

4) don't mess with people's lives. 

5) you only know as much as you don't know. 

Don't know what to do when you hit a block, search on the forums. Sometimes it works out sometimes it doesn't. Sometimes you'll need to google and add bigger pockets on the End of the search. 

Can't find it? Then ask. 

Hope this helps. 

Land trusts. Ask your lawyer how to properly do it. 

But why are you avoiding those ways?

Try the we houses Oregon Google search.