All Forum Posts by: Christian Baker

Hello All,

I am pretty new to investing and therefore, have limited money to make deals happen. Okay so my boss has been wanting to invest in me for a while. He has about 15k and I need every investment I can get. I was thinking I could use his investment to leverage a loan to flip another house. Ill need about 75k so hopefully that 15k from him will be enough. We are not sure exactly how we want to structure the loan, but I want it to be a good deal for both of us. I was thinking doing 15% interest and 3 points since its a smaller loan. What are your thoughts? I've never taken a personal investment.

Cheers,

Christian Baker

@Thomas S.

I have read through NC laws on being a landlord. It seems pretty cut and dry. I also consulted my realtor who does property management. I am in compliance with all of the state renting laws. I just need to inform my insurance company. This all happened over about a week time frame so I am doing my best here. That's why I am on this forum, to learn what I don't know.

I appreciate the advice. If you have any more I am all ears.

Cheers,

Christian Baker

@Shawn Devoid The woman has no kids and says she is happy to have the third room rented out. She even said she would post an ad for me and help screen the tenants. It is still early and she seems to be an "ideal tenant" so far. To be honest, I am not sure of my local or state regulations. I am new and learning everything in a trial by fire. I am in NC, have any suggestions for resources?

@Natalie Schanne That is really good feedback about dealing with damages. I hadn't thought of that before. As of now, I am not too concerned with the loss of economies of scale since my scale is still small and I typically roll up my sleeves and do as much as I can by myself.

I appreciate the positive comments, I'm very passionate about not starving to death and that ends up being quite the motivator.

Good Morning everyone,

I have a question about my situation that I'd love to get some feedback on from some more experienced investors.

Some backstory: I am adjusting to a recent move to a one person salary. I wasn't getting the income that I needed and I have two spare bedrooms in my house that I never use. My mortgage is $900 and I rented one room out for $550 then the other at $500. I noticed piecing out my house brought significantly more income. I had flipped another house but it just will not sell. The payments are about $675 on this 3bedroom/2bathhroom house. I rented 2 rooms to a lady for $750 and have the opportunity to rent the other for $500. This brings in much more cash flow then renting as a whole. Obviously there is more management on my part and more wear and tear, but is this a smart move? or a disaster?

to wrap things up.

My house:

mortgage $900

rental income: $1050 plus I live in the master suite for free

Property 2:

mortgage $700

rental income: potentially $1250. ($900 if I do not piece it out)

Hi Nirmal

@Nirmal Khanderia

The link provided does not work. It looks like their are a few characters left off the end.

Your numbers definitely look correct. However, my list of investors is slim and this deal may not even go through. I have not heard back from the investor on whether or not he will purchase the home. I am really trying to find motivated investors to wholesale to.

What about closing costs, fees, etc? Who normally pays?

@Chris Eaker

Thanks a lot Chris! (Who has a strangely similar name).

I'm trying to raise capital between flips. I appreciate the help!

I am trying to complete my first wholesale deal. I am offering 15k for a 1600sqft property and want to wholesale it for 20k. The ARV is about 80k minimum, 90k on a good day. Needs about 20-25k in work. I may already have a buyer, but I am very unsure on how the process works. From what I understand, I sign a contract with the seller that allows me to assign the contract to someone else. Do I then hand over the contract to the flipper or do I create a new contract. How exactly do I get paid that assignment fee? Is there a step by step guide for this? I haven't found anything too clear.

Why would you advise against it?

Hello Michael,

Do you loan in the Eastern NC region?