All Forum Posts by: Chris Svendsen

South East DC may still have some up and coming area you could get into if don't mind a questionable area.  Lots of areas been improving in SE DC for the last few years. Been at least 2 years since someone has threatened to shoot me so that is a good sign.  Also, look outside of DC in the Falls Chruch, Arlington, Alexandria areas.  If looking for something to fix up may find something in those areas but going to be tight with that budget.

 If you know this little in the construction of a building I would not get into this large of a project.  You are going to have to hire someone who knows what they are doing and hope you not just throwing money out window.  Buildings this bad can get real expensive fast if you get in over your head.  There are plenty of houses in Baltimore that are in better shape that you could fix and rent.  I would look towards those and stay away from something this serious.

Numbers to optimistic when comes to the refi.  Doubt you be getting a 3% rate on an investment property.  Be more like 4%.  Did you figure in closing cost for the refi?  Those will be around $6k.  Is the $2k closing cost accurate?  Sorry, not trying to be rude but numbers just no good to me.  Also, how did you come up with the amount for renovation work needed?  If not done this before your numbers could be way to low.  Usually whatever I figure a rehab is going to cost, I then add an additional 10% on top of that.  Usually I am within a few thousand dollars on rehabs doing it that way.  There are always unexpected items.  

So in the end you are basically making $60.04 a door.  To me that is no deal. I have one single family rental that the rent collected from the house covers all fees for that house and the mortgage for 2 other properties which total $816 in cost.  So to me, even the total for the entire units is no deal.  Profits to slim for me.  I like a larger buffer. 

Lynchburg a great town.  Welcome.to community.  Lots of great people here to help.  Go grab a cheesy western and a bowl of chili and enjoy the town. If don't know that reference go to the texas inn and find out what it all about. The old one, not the new one.

Sounds like a good way to earn a bad reputation real fast.  Personally I just find this to be dishonest to remove items then try to go back on word.  Not how I would ever want to do business or be known as someone who does not honor contract we entered into.  To me, everyone should be happy at end of deal to be a successful transaction in my eyes.

I can't give specifics on that area but I am going to be 80k into a rehab that structurally was good, but needed all new electric, plumbing, roof, windows, moved walls, added 3 bathrooms, new kitchen, all new floors etc.  I would guess you be at least 100k per house to rehab.  More likely 120k per unit and that assuming you running project.  Honestly, if you cant get a ballpark yourself, might need to pay a gc to get you some numbers.  

Just checking in to see how deal going for you at this time?  Love to hear update to this point.

Google will be your friend.  Puchased a place few months ago no realtor on either side and was cash deal. Did have my agent in back pocket just to check documents before sent off but not to bad.  Did promise to use her if and when I sell it though since she did put me in touch with seller to make purchase happen.  Can find most things you need online very easily.  If in doubt hire a lawyer to help with transaction.

Agree with above, where did the 30K number come from.  I would break down expenses to get a better idea of what things will run and get better input. Example, my current rehab I had a break down of cost:  Example-Roof $10k, Electric $7500, Plumber $7500, Kitchen Cabinets $5000, Etc.  So far dead on with roof, about 3k under on electric as doing the grunt work myself, and got plumber down to $6500 to replumb entire house.  Which is great as I have about 6k of unexpected cost-such as 2 floor joist completely cut in half by plumber from 1940 need repaired, the discovery of mold in walls, the tree that fell down 5 days after taking possession that cost $2k total to have removed, and a host of other small things.  Be real to yourself with your numbers before jumping all in.  If have no idea how to estimate then get a GC to get you a bid to do the project and give you a better idea of cost.