All Forum Posts by: Brad Noe

I love it. Rolls off the tongue, easy to remember. Where are you buying in Kentucky?

I second what @Michael Krupp said. We see it as a cost of doing business, and "if it ain't broke don't fix it". My wife @Katie Noe has amassed a small collection of staging items and she picks and chooses which ones to use based on the size, price point, look and feel of the house. We only do what I would call a "light" staging - dining room table, a few pictures on the wall, maybe a couple of chairs and coffee table, flowers, and that's about it. No beds, couches or anything like that. And it has worked out very well for us. 

@Katie Noe and I will be there representing the Louisville, Kentucky market! Can't wait!!

@Daniel Graham things are still going good in New Albany and Jeffersonville, the two areas I have focused on, as far as I'm concerned! I've still had no problem placing tenants- typically within a week- and the appreciation has been slow and steady, as I expected for the Southern Indiana market.  

Jeffersonville still excites me the most, especially with all the development happening at the River Ridge commerce park. Here are some links:

850 new jobs: https://www.wave3.com/2019/06/17/louisville-based-health-care-company-expanding-southern-indiana/

"Momentum building at "hot spot" RIver Ridge: http://www.insideindianabusiness.com/story/4069565...

Cory Blair does a great job for us. DM me for contact info, BP won't let me post his e-mail.

@Rob Bergeron River Ridge and surrounding area is blowing up!

Investment Info:

Single-family residence fix & flip investment in Louisville.

Purchase price: $75,000

Cash invested: $20,000

Sale price: $146,000

Contributors:
Christopher Vincent, Katie Noe

This one was a wild ride. First time working with other people's money and we went $10,000 over budget due to some unforeseen issues that came up - talk about stressed! In the end though, it all worked out and we all made money.

How did you find this deal and how did you negotiate it?

This lead came through our website. Our Acquisitions Manager Chris took the lead and met with the client. Our main contact was the tenant living in the house, whose brother owned the property. The tenant brother was ready to move out of the house and travel the country in search of his next adventure. He had lived there for many years, and the owner brother had no interest in keeping the property once he moved out. It was in decent shape but in major need of updating.

How did you finance this deal?

This was the first time we had ever used OPM (other people's money) on a deal. With most of our cash tied up in other projects, we enlisted the help of a couple of friends with cash to spare to make a 10% down payment to a hard money lender (SurePoint Equity).

How did you add value to the deal?

New roof, new furnace+HVAC, opened up a wall between the sunroom and kitchen, installed new kitchen cabinets and granite countertops, new flooring, new paint, gutted the bathroom.

What was the outcome?

We did NOT expect to have to replace the roof or the HVAC. We also did not expect to find roach-infested walls or termite damage when we opened up the wall to the sunroom!! Due to all of these surprises, we ended up $10,000 over budget! LUCKILY, the place sold in less than 24 hours at $6,000 over asking price, and we still netted a healthy profit on the deal, as did our investors.

@Lauren Kendall enlist the help of a Realtor that also invests or has experience working with investors and turning successful flips. Selfishly I would say reach out to my wife @Katie Noe and/or her partner @Rob Bergeron. Katie and I do flips and BRRRR's ourselves, and her and Rob also work with a lot of investors. They can help you find and analyze deals, and help you with your design/construction choices. They also do light staging and photography on the sale, which really helps sell fast for top dollar.

You can check out some of the flips and BRRRR's that Katie and I have done on my BP profile.

Best of luck to you on your REI journey!!!

Investment Info:

Single-family residence fix & flip investment in Evansville.

Purchase price: $85,000
Cash invested: $35,000
Sale price: $141,000

Contributors:
Katie Noe

This was our second flip working with the Schlag Brothers out of Evansville, IN. My wife Katie and I are in Louisville, KY, an over two hour drive from Evansville, and we trust the Schlag's so much that we never even saw this property in person! The Schlag's found the deal, and we provided the funding source through SurePoint Equity, a local hard money lender. We paid out of pocket for the down payment (which was 10% of purchase price) and the Schlag's did the rest!

What made you interested in investing in this type of deal?

Hard to turn down a chance to earn a 25% return without having to lift a finger.

How did you find this deal and how did you negotiate it?

The Schlag Brothers, Aaron and Andrew, sourced this deal for us in their hometown of Evansville, IN. They are active full time investors in both the Evansville and Louisville markets, where we have worked with them on many occasions.

How did you finance this deal?

Through hard money lender SurePoint Equity out of Louisville, KY.

How did you add value to the deal?

My wife Katie, being a rock star real estate agent and house flipper, lent the Schlag's some of her expert design advice.

What was the outcome?

Due to a bad contractor, the project was derailed and took about two months longer than it probably should have. We still were able to net a healthy profit, however.

Lessons learned? Challenges?

Keep close tabs on your contractors, even the ones that you have worked with many times before. You never know what is going on in their lives that could cause them to take a drop in performance.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

As always, @Katie Noe of Commonwealth Homes Group - Keller Williams Louisville was excellent. She is an extremely competent Realtor that saves and/or earns her clients more money with an attention to detail on every deal from start to finish. She also is an experienced house flipper and home remodeler with a keen eye for design.

You're exactly right. It's not worth the hassle for investors to deal with Section 8's ridiculous anti-landlord policies and audits in Louisville. It's really sad, actually. The government that claims to be pro-tenant with their policies actually ends up hurting them in the end because they scare away all of the would-be housing providers.