All Forum Posts by: Patrick T.

@Account Closed Thanks for your insights.

Both good points. I really like "just give escrow the price and terms" K. Marie ( that's what I was looking for), and your sage advice Bill. Thanks again!

Thank you @Zach Schwarzmiller

@Zach Schwarzmiller Thanks!. Where do you get your forms? Do you know if there is any software for non-agents similar to what agents have access to?

@Bill Gulley Thanks. I should have worded my question differently. I'm not interested in getting creative with contracts, just bypassing the brokers and making my own offers (Obviously not on every deal, but when possible) and then establishing a relationship with a closer/attorney to finish my deals.

As far as contracts go, I'm curious about any automated systems (along the lines of FSBO support) that any investors might like.

I have a favorite closer/attorney from my RE years, just never worked with her this way. So before re-starting the relationship as an investor (vs as a realtor), I'm just trying to anticipate the key issues and nuances to address.

BTW: I'm still a Realtor, just not active. And your'e right they can play a valuable role. But if I can play it when possible, I improve my position and make my company more attractive to potential collaborators by being able to keep commission $$ in the profit column.

Thanks again!

Hi all,

I was a licensed realtor (Washington State) for a number of years, so I have the RE experience from that angle. My question is how many of you write your own Purchase and Sale Agreements? Where do you get the wording, addenda, etc.? How do you choose a closing agent? Any other advice? I've considered re-activating my license, but I just can't see giving a brokerage that much of my deals.

Thanks for your thoughts!

Hey Marcin,

In our area the water company will turn it on long enough to do an inspection, you need to coordinate well with whoever is inspecting. And run it long enough to be sure drains aren't blocked - a loooong time with all faucets on.

Mark's idea of a pressure test actually could tell you more than having the water on, i.e. broken pipes that are hidden or under ground.

Electricians always have tricks to get around no power.

Just be sure to have plenty of light(a powerful spotlight type) so you can really have a good look. And also, if it's really cold, dress warmly. When you're cold you don't keep your focus and want to get out of there quickly. That inspection is important, take your time.

Edward,

J is right, look at the numbers. You're not getting into REI to make your Aunt happy, but to make money. If your goal is to make her happy, then perhaps you should let her get the best price she can, and put your time and money into something that works on just the numbers.

You might have a realtor who understands investment do a Comparative Market Analysis, that's free.

Hi Josiah,

John is correct. Most building departments have a website and good brochures that explain the process. And a lot of times there is someone tasked with fielding questions and explaining things.

The reality is that a lot of times owners and even licensed conctracotrs don't pull permits. Before making that decision you should talk to those who will be calling on you if something really goes bad (after the first responders have left). So after you ask the building department when a permit is necessary, then ask your insurance agent. They will give you honest answers, based on experience.

A lot of general contractors are able to handle individual trades and smaller projects as well as oversee big jobs (get referrals and interview a few). Various jurisdictions have different limits on what trades a GC can handle. In my area you're supposed to be a licensed electrician and pull a permit even for changing out plugs and switches. I heard of an inspector dropping in un-invited when he saw a dishwasher being delivered.

So your decision to, or not to, use licenses and pull permits should be an educated one.

If you have a general contractor on a job you probably shouldn't be dealing directly with the subs (electric, plumbing, etc.) the GC is responsible for directing them and making sure they are properly licensed and insured. If you just have one trade on the job, i.e. electric only, and no GC then you deal with him.

I know a lot of people do it differently, but ask your insurance agent what licenses and insurance certificates you need from contractors and for your business. It can be very specific for you.

Historically owners have been able to act as their own GC and pull permits, with the limits mentioned above. But building departments are putting the breaks on that for investor/owners and requiring them to get a GC license if they work on more than one building.

Travis,

Everybody loves to be needed (even inspectors). If you have a plan and a "stand up" attitude for getting that building into compliance and providing housing (which is a key element of the building department's mission), then you become an ally of the building department. Those guys may seem tough, but it's all about connecting with their professionalism. Show up as the person who is going to eliminate these issues, and I'll bet they give you more support than you expected. Don't work from a position of fear or dread...or pre-conceived notions about inspectors. Build it...they always come.

Travis, eventually you need to hook up with an experienced contractor who you trust. In the mean time, in our area we just ask the building department for a "safety check". There are no fees, and the inspectors are very reasonable. It is not in their interest to be authoritarian, they understand your position. But if there is a real hazard or violation they'll tell you. It shouldn't worry you. If there is that big a problem you need to know anyway. If you go the route of un-licensed contractors and short-cuts, and do a lot of rehab, then the inspectors will find out about you in a bad way. That is what you should worry about. Do it right and be transparent.