All Forum Posts by: Chris Grenier

Just made a killing on this deal.

Finished the rehab yesterday (Thursday).

Listed this morning (Friday) at 8am. 

Offer $8,000 over asking price by 4pm. 

Boom. 

Purchase Price: $78,000 

Rehab: $8,000

Gross Profit: $21,000 (Est. NET approx $14,500) 

Part of the team is 3 guys that are dedicated to strictly acquisitions between new-to-market REOs, asset managers with the banks, sometimes direct mail but not really, word of mouth, property managers, etc 

You will never get an additional rental amount that will justify spending an additional $10K on a rehab when it is not needed to get it tenant ready. 

It would not be a bad idea to put a few extra bucks into finishes such as new fans, light fixtures, kitchen  hardware, etc, but going crazy on a rehab to make it look nice for someone who is simply going to be renting it...no way! 

If it is a quality list that is verified, depending on the size $2K might not be a huge expense. 

When purchasing a list always make sure you get a sample size large enough to determine whether or not there is any actual credibility behind it. At the end of the day, you will come across your cash buyers in 3 main ways: 

1) Bandit Signs

2) Craigslist/Public Portals

3) Looking at sale records and chasing the buyers who bought properties recently with cash. 

If you do not know or have any actual connection or contact with anyone who will be able provide you definitive information on where the property is in terms of foreclosure, probate or availability then it would be very irresponsible for you to take it to a client/investor and present it to them as if you have the ability to wholesale it or provide some form of opportunity for them with it. 

If you are going to present it to someone, I would use the route of showing them your hustle with trying to find them good deals and opportunities, if for any reason it were to get back to the wrong person that you are intentionally trying to solicit a property you have no legal or actual ability to do so, then you will in fact find yourself in a difficult position! 

The amount of money these people charge to teach people what they can learn from a book and some general common sense and ambition is astonishing. More power to them, it is a tremendous business model that I am looking to pursue in the near future. 

There are numerous 'rules' you will read about but the reality of it is in todays market (in Central Florida at least) all those rules are obsolete and if you make anywhere from a 13-15% ROI on a Flip then you are ahead of the game. Unfortunately it is very easy to filter out and distinguish between the newbies and seasoned investors when looking at their offers and their unobtainable profit desires & assumptions

It is always good to have your license as Espie mentioned for the benefit of resources but also to make commissions off of deals you acquire yourself with the proper disclosures 

Louis you do not need a RE license to flip houses necessarily 

 Thanks Greg, when I get a chance I'll work on a few more to post, have about 280 in total to get through!