All Forum Posts by: Brian Sorensen

We're thinking about sanding and refinishing the floors. They're fir planks that have been painted white in some rooms. Is there a way to get the white paint out from between the planks without crawling around for days/weeks?

Thanks for all the feedback!

Where could I locate people who like old houses?

It's not a registered historic house. I consider it a historic house because of it's age and condition but that's really just my opinion.

Both sets of agents are high volume investor friendly agents. They did have a spat about 6 mos ago though. My agent claims the other agents maybe trying to scare my partner out of the deal.

My partner's agents say $119 per sf x 1,618sf = $192.5k
My agent says $142 per sf x 1,618sf = $230k

A $40k difference. How can that be?

I have an bank accepted contract on an REO house for $140k. It's a beautiful old craftsman 4 bdrm from 1910 but it has wood single pane windows, no insulation, and only one bath on the main floor. My agent estimates ARV at $240k but doesn't have any good comparables so she's using her gut to tell her the value of the house.

I brought another local investor over as a potential partner. He looked things over and thought that it would be best to replace all the windows and insulate all the exterior walls and adding a 2nd bath upstairs. I would like to do all that, but the rehab was already at 30k with a new kitchen, new roof, new floors etc, which had maxed the rehab budget. My thinking is that someone who buys an older house like this would be willing to deal with a lack of insulation to keep the authenticity of the house.

He also checked with his own RE agents from another agency who said we'd be lucky to get $200k for it. So he's suggesting to rescinding the offer and submit a new lower offer. I talked to my agent about that and he was reluctant and said the new offer should be in someone else's name.

Any thoughts?

Thanks for the feedback!

I've done deals that I can show. With a HML doing 100% the LTV hits 80% and they won't exceed 75% LTV. I'm planning on doing part of the rehab myself and managing it as well. I'd like to pull out reasonable wages for myself from the rehab budget but holding to the budget. I'm also willing if needed to sub the whole thing out but I'd rather do it myself. I just want to make sure this is reasonable. Thanks.

I have a house under contract for 138k. ARV is 240k. Rehab is 30k. I'm offering half of the net profit to an investor who can provide all the funding. Do you consider this to be a fair deal for both sides? I'm also a contractor, so I plan on doing the rehab myself.

Thanks!

A title company should be able to provide spreadsheets like this for you at about 10 cents a name.

What would you want as a minimum cap rate on a new apartment complex in order for it to pencil out as viable or at what point would you pull the plug on a potential project? Thanks!