All Forum Posts by: Brad Taylor

The cost is $15k, but you are getting a pretty impressive CRM with lots of automated tasks and deal management.  There are vetted RE people throughout the deal process to exit, so these folks already understand what you are trying to do, or what the system needs to do to work rather (if I understand what is being offered).  I mean, I see it as kind of like buying into a business...you are going to have to do some work, but you also can operatednearly anywhere and have some systems in place that would otherwise cost you time, tens of thousands of dollars to create, and expertise. Theoretically, this allows you to leapfrog all that and buy into a flipping business directly.

Would love to hear anyone's experience with Flip System. I'm considering... I don't mind the upfront fee, as you are literally buying into a business and CRM system with all the needed vendors/partners in place already. This takes a LOT of time and perhaps egregious and costly errors trying to do this remotely... acquisitions, inspectors, ALL the contractors, attorneys, property managers, etc.

Any other type of franchise/systematized business is going to cost you a lot more than $15k.

Hello,

You all are in a great position right now owning your home free and clear. No way would I sell that right now with declining home values. You'll just end up having to buy something at a higher interest rate environment! Use that equity via a HELOC to purchase and/or purchase & rehab good property candidates (BRRRR method), and learn about hard money and private money loans to buy distressed properties. You're right though...banks do not like those kinds of properties.

Two HUGE things you can do before doing anything like this though is just to read a LOT of books and do a lot of self-educating. Have a friend who got himself into big trouble because he didn't read anything and thought he had it all figured out already. Ended up being in the hole $40k and ran out of money to finish a Multi-family project. OUCH!

Go slowly when you're starting out. Buy something small first to get familiar. Then scale up as your confidence grows. Don't put yourself in a super risky position with your own home!

Thanks Nate, appreciate the tip!

Hi!

I'm looking for any investor focused and savvy RE agents who know Cincy metro area well.  Please contact me at your earliest convenience. Looking to build long-term investing relationship.

~Brad

Had good luck with Aven and certain things with that HELOC were very simple. They simply did a desk appraisal, whereas a couple other lenders either wouldn't do that or made me pay for a horrendously bad appraiser. Aven's rates were quite a bit higher, but I understand the risk tradeoff.

However, I'm annoyed by these companies that make it difficult to get someone on the phone and want to do all biz by email! Aven did NOT excel in that category. 

If you run a business, you need people to answer the GD phone.

What is typical downpayment?

Man, just had a very similar experience with PenFed. I was looking forward to working with them since they now have a 6-mo intro rate of .99% and 4.25% for the HELOC ongoing. My 3-flat did not qualify for a desk or drive-by appraisal, so they sent out someone (at cost of $705 to me) to do a walkthrough, and the appraisal came back about $13k lower than my recent refinance. Not the end of the world, but I was really surprised at some of the comps and evaluation standards that were quite different than the refinance appraiser submitted.

Long story short... I went back and forth with PenFed on what I considered factual errors, but the appraiser refused to budge and the PenFed appraisal desk ultimately supported him. 

I was hoping to access 90% LTV ...about $50k in equity but now will only be able to access about $40k.

I don't want to go through the whole process again with another lender though...bother my tenants, have a hard credit pull, and run the risk of potentially another appraisal wildcard.

I guess it's just part of the game, but sure wish there was a more standardized approach in the appraisal industry. 

Matt, I really like what Roofstock is doing and how much they are streamlining the process, but have not purchased anything through them yet. Would love to hear your about your experience after all is said and done.

Or if you got real cojones, you could buy Bitcoin, which has returned an average of 200% over the last 12 years.