All Forum Posts by: Corey King

Chris,

I am a newbie here.  I am working on my 7th flip this year, so...others with more experience will probably have different advice.  

My process is similar: 

• Offer is accepted
• Earnest money is sent
• Inspection is lined up (I get this done 1-2 days after the offer is accepted).  My inspector gives me a report within the same day (next day max).  I had an inspection done on a home today that my offer was accepted, but...no earnest money crossed hands, yet (this is a unique situation).  Make good friends with an inspector and let them know you will be using them for repeat business (if they are good).
• Go through the "rough" numbers of the reno.  I am lucky in the fact that my business partner is very good with this.  We sit down and go through the inspection, line by line, to determine rough cost.  We already have a good idea of what the reno will cost us as we do the walk through...before we put in the bid.  You may want to take pictures/video as you do your walk through and consult some contractors to get a rough bid on what it may cost to fix (not sure if contractor will be willing to give you a bid off of pics/video).  I use the inspection to make sure nothing "crazy" is there that I don't know of before the bid is submitted.  I backed out of a project 2 weeks ago after getting the inspection.  Lost money on the inspection, but that saved me from losing LOTS of money down the road.
• I don't get utilities turned on until the house is in my LLCs name. 

I would think you would want your financing arranged before you submit your bid.  I just bought a vacation house and I had a pre-approval letter to go with my offer (there were several offers and my offer was picked...and, I think the pre-approval letter may have helped with that one).  We buy our flip houses cash (we do use private lenders for this), so financing isn't an issue.  

I have heard it said not to get contractors into the house until after its yours.  Not sure where I read that, or why.  That's a good question for an experienced flipper.  It would be great to get the contractors in there after the inspection, for you to help estimate your repairs.

Once you can get good at estimating the repairs when you do the walk through, the biggest issue you will have is scheduling the inspection.  

I hope that helps somewhat, if any.  I am learning as well :)

Corey

Thanks, Mike.  I PMed ya a couple of things. 

Any other ideas of how to creatively use my lenders money to purchase the cabins.  I only need to use the money for the down payment. 

Thank you!

Hi..and thank you in advance for reading.

I am new to real estate investing. So far this year, my partner and I have flipped 6 homes and just started reno on our 7th. We are also wanting to start acquiring some vacation rental cabins in the mountains. I have a good friend that has a couple properties in the area I am looking and they bring in some decent passive income (managed by a property management company). I have several 100K of investor’s money that I use with our flip homes, but am trying to figure out a way to wisely use investor’s money to acquire these rental cabins. However, since I am new at this, I don't have any idea of how to creatively use the money for projects like this.

Let me clarify the rentals. They run about 250K, with 20% for the purchase. Most of them are grossing around 50K a year (property management company takes 30% of that), mortgage is about 1400K/mo, with yearly expenses being around 4-5K. After doing the numbers on my friend’s properties, she is taking home, roughly, 14K, in passive income.

Right now, I give my investors 10% of their investment in 120-150 days on our flips. This has been working really well, but now want the money that is sitting around waiting on the next flip project to go to use for these vacation rental cabins.

Any ideas would be greatly appreciated.

Thank you!

Corey

Thank you all very much!!!  Greatly appreciated!

Hi everyone...I am looking for a good real estate attorney in the Charleston, SC area.   I need a lot of questions answered and was told to find a good one.  So...here I am looking!

Thank you in advance!

Corey

Thank you to everyone for the warm wishes.  I am excited to be here. @Jo-Ann Lapin  My clinic is in Tustin, off of 1st St/Newport!  Small world :)

Let's get together and chat soon.  I am flying out until next week, but would love to meet you!

Hi!  My name is Corey and I am a newbie real estate investor.  I am currently on my 3rd flip (began flipping this year).  I live in Orange County, CA, where I am the primary doctor in an Integrative medical clinic.  I have been practicing for 10 years, but have always been fascinated with real estate.  I have had many friends and patients over the years that have done very well by investing in real estate.  

So, this year I began flipping with a high school buddy of mine.  He lives in Charleston, SC and this is where we are flipping.  Our hang-up right now is that we are having a hard time finding consistent investments.  I began researching online about ways to consistently bring in the new projects and came across BiggerPockets.  I love it so far! 

In practice, we have a forum for like minded doctors very similar to what BP has here.  It has been an invaluable resource for myself.  I can see BP being the same way with my new real estate career.

I look forward to learning and contributing the best I can.

Thanks!

Corey