All Forum Posts by: Benjamin Barredo

@P.J. Bremner I think the buyer is most likely right. The House sits on the dead end. The neighborhood is great but these houses (4 of them) sit right in this nook where the gate to the industrial yard is. So when you walk out the front door and look right you see industry like 30 feet away. So I don't think he's wrong. I just used the seller's numbers instead of my own - which was a mistake looking back on it. I should've negotiated more with the seller. I'm just a soft newbie. I'm so ashamed. I hang my head in shame as I write this....not really. I am smiling.

I am going to look at my comps again and also rerun my analysis at the buyer's comp price and see how much room there is to work.

The seller is not super motivated. I think they are giving me an opportunity more because they just don't feel like dealing with the property but they are flippers themselves and retired brokers who would rather sell the property but don't have to. I think they felt a tug in their heart strings for me and decided to give me a chance. I looked like an mumbling idiot when I met them because I had no idea what I was doing, my contract was all jacked up, and I had more questions then answers. So I'm afraid I come to them with this price and they tell me to shove off. I know we have a contract so either way the property is still mine until after 12/9 but still....I just want to close!!!!!! I know that's bad but it's true. I just want to close so I can say I did. This is the closest I've come to it. lol.

But...I'm going to take the above advice and hold back. I'll see how the seller reacts to the offer but if they say no, well, they say no. I'll keep pushing the property and hope a buyer lands in my lap. Maybe I'll find one at the meet-up I'm going to tonight.

I have until Dec 9 before contact runs out but so far this is the only buyer that has made an offer. I sent this out to about 6 people. Only 2 have moved on the inspection. The other four are kicking tires. I've been advertising on Craigslist which is actually where the two serious buyers came from. 

What if I pretended another buyer bid higher? Lol. Think they'd see through it? 

@P.J. Bremner @Darin M. @Charles Jones @Robert Smith @Brian Gibbons

So I have an interested buyer in a flip property I'm wholesaling. I'm asking for $34,000 and it covers a $5,000 fee for me. I quoted the work at $10,000 with an ARV of $75,000. The property is located on a dead end street and on the end of the street is an industrial yard that belongs to a rail road company. It's a gate but it's never used but still not a pretty sight.

The buyer argues that he comps it with an ARV of only $60,000. He wants it for $27,000 but says he's not saying no but wants me to talk to the sellers about lowering the price. I'm pretty confident that the seller is stuck at her $29,000. I am willing to take a smaller fee just so I can close a deal and get it under my belt but I don't know if I can get it down low enough to make money myself. Even if I just walked with a couple thousand I'd have to talk the seller down $4,000 which doesn't seem like a lot now that I write that.

Any advice on how to approach this? I did tell the guy that I estimated the work at $10,000 even though my original analysis said $7,500. I guess he didn't hear me say that or chose to just go with the analysis price.

I really need to close this deal. I need the money to justify what I've been doing for the last month and to pay for some more marketing.

I got you. I see. Thanks. 

Well, if this is the case I get an opportunity to try to lease option it......... 

Explain what you meant by the last part of this to me, please, JD? 

She does still owe money but I honestly forgot to ask how much. I'll find out Saturday. She did say that she is paying on the mortgage but only has one mortgage and it is current. That doesn't tell me much though accept that she pays her rent on time, now....

Okay BP Buddies,

The last few weeks have been a period of results and I am so stoked. No, nothing big happened yet, like closing deals or anything BUT the phone has been ringing steadily and I finally have 3 houses with one under contract and being marketed now. 

If interested, it's a 2/1 for $34,000 and already halfway done - at least demolition is done and a window has been installed in the kitchen. If interested, message me. ARV is $75k. 

So, anyway, I have a house I'm going to look at on Saturday. My own amateur comps tell me the house is going to have an ARV of somewhere around $75-$90k unless a bedroom is added, then we're talking roughly $115-$125k. The owner is a senior, can no longer afford to care for the home, bought a condo and wants to unload this because she is still making the monthly mortgage payment. She wants $70k for it.

I think I can drop her a bit but I don't know where I should start my offer? I know that I should feel very uncomfortable when I make it or else I'm not offering low enough but I also don't want to piss her off and shut her down. I was thinking of offering $30 on it? 

Here's my plan: 

Walk the property with a checklist, talk, joke, ask about F.O.R.M. (family, occupation (retirement), relatives, and her motivation) but also just scribble down things that need to be fixed. From there explain that I'll have to do all these things to get this marketable and I need to buy it at...............

Is $30k way too low? I think it might be. What do you think? 

@Charles Jones @Account Closed @Robert Smith @P.J. Bremner @Pratik P. @Marcus Maloney @Tom Krol

Interestingly enough, KnoxREIA spoke on this at last month's meeting - October's. 

I live in the Appalachian, which is coal country and I think Trump means coal is back in business. 

For East Tennessee and the other surrounding areas, for us it means job growth, pay hikes, economic growth and more. 

For investors that means, house buyers, rent prices climb to meet wage, and more people in need of rentals when they move back for the coal jobs or to service those coal workers (waiters, bartenders, bankers, teachers, daycares, etc.)

Yes, I despise the man (but didn't like Clinton much more either) and I hate the bigotry and racist fire he ignited but being honest with myself, his presidency will be good for my area as a whole. But Tennessee is a red state so  I won't see the negative sides much because I already live them. 

Help a brother close his first deal.

Great starter home in trendy Happy Holler Neighborhood in City of Knoxville. Area attracts young professionals, graduates, and college student renters. House is already demoed and just needs to be finished. Not an area for top of the line touch so can be done within a month for less than $10,000.

Wholesaling this home for $34,000.00 and it comps at $75k with potential to do more if you want to wait for the right buyer. I've seen similar 2/1s go for over $100k around the corner. Homes are moving fast and investors are buying up this neighborhood for easy flips or long term rentals because the area is sought after for both it's trendy shops and lifestyle but also for convenience to downtown and both major interstates.

Please contact me if you are interested by emailing me at [email protected] or reach me at 8656961815, or just message me on here.

Here is my analysis before I actually walked through the property. I still think my rehab cost is already a bit conservative but I rounded up to be conservative on top of conservative. There's still plenty of meat on the bones. Impossible to not make money  unless you pull a "Brandon's First Flip". LOL.

Link to Analysis:

https://drive.google.com/file/d/0B9W1aJDovOGFT1FjZ3N5eWtQSm8/view?usp=sharing

Link to Comps:

https://drive.google.com/file/d/0B9W1aJDovOGFeTJQd0NwcVpKdGs/view?usp=sharing

The address not fear. It's on the backside of Lawnsdale (I think that is Lawnsdale, other side of 275 of old north Knox historic district near Woodlawn) but close to campus. Looked into financing but because of the barber shop it's a commercial property. 

Sounds Good.