All Forum Posts by: Damien Papillo

A friend contacted me about a house and told me the

Purchase price : 142k

ARV: 250k because he feel it would sell for that much based off a house selling for 245k in the same neighborhood

Needs about 50k in rehab

My friend said he needs to have the place sold ASAP. I looked on Zillow and none of the houses on that street are even touching 200k. But my friend had flipped plenty of houses and says I can definitely make 20-30k profit.

I just know that the purchase price and rehab do not amount to 70% ARV. I have not done a RE deal before accept when I initially bought my house. This would be my first deal and I have been struggling to find deals. Should I pass ??

@Vincent Garman no worries was there something posted some where I may have missed ?

I was really looking forward to this, I showed up 15 minutes early and the tavern was closed

How many different ways can you fund a BRRRR project??

@Collin Schwartz this is incredible story and very motivating. For almost a year I have been reading books and listening to podcast and watching YouTube videos. I started a seriesA LLC which will allow me to put multiple properties under one LLC that will protect each property individually and activated a (heloc) to be more prepared.

I made a planed to contribute my first year in self educating and clearing up bad debt. I feel I’m finally in a decent position to make my first investment. I’ve sent a Christmas card and also typed up a letter that I am about to mail as well. This area is on the rise so now is the time to get in on this deal.

I have found 3 unit multi family property with a an ARV 200k(generous ) the surrounding properties all are around 200k or over 200k. They have it listed at 179k after it was originally listed for 193k. My realtor told me we can get it for 135k. This property needs a good 40k to rehab therefore totaling 175k . Only problem is it's a cash only deal. I only have 21k plus a 30k (heloc) I talked to a hard money lender and they only do 65% LTV , and want to charge 30% down payment and 6 months interest because this is my first time working with them and first deal. Therefore this house would need to appraise at like 240 ish for that to be a thing. I have an appraiser coming out to the property sometime this week to get a better ARV understanding.

I have talked to a few friends about potentially trying to help raise private money. I have few interested. I have not sat down with an attorney yet to create an entity for legally receiving money yet. With all this being said what do you suggest I do from here?

ISO of any advice I can get, I want to create an LLC to legally raise money to help fund my first deal.

So I am currently looking at a 3 unit property. I say it like

That because is a duplex with a another unit built on the property.

This is going to be my first attempt at pursuing a rental property. It need work and is a rising area. My realtor is saying he is confident we can get the property for 135k and I'm confident this property can be reappraised for 200k ARV on the conservative side. Every other property around it is over 200k and looks to be well updated.

I have a little over 21k in cash and access to the 30k (heloc) that has been activated and never touched. I am attempting to use a hard money lender for the first time and they are asking for 30% down and potentially 6 months payments up front (tbd) after an appraiser looks at the property and takes in considering the rehab. Again im calling 200k ARV. Therefore 60k down and potentially 6 months payments. Therefore I am

Short on this down payment. Any suggestions on how I can help myself out?

Still have yet to get my first property and really want to BRRRR so accumulate a stack of rentals as fast as I can. Therefore I am seeking all advice anyone would have to offer, greatly appreciate it in advance thank you!

@Lumi Ispas

So I started off with one Relator and I seemed to be doing all the work finding the houses so I randomly tried another one off Zillow and he was cool

Because he met me at the house every time I asked him too but I was still finding the houses. I recently sat down and had dinner with another guy I’ve known for years and filled him in on everything but he seems to be really busy all the time.

I’m just frustrated because I am ready to go I have a good amount saved not really enough to buy something cash more then 30k. Then the houses that work for the brrr that I analyze are getting bought cash. So I feel like I’m just watching everything I want get bought out right. But I don’t want to rush and buy a property and not be able to brrr it so I can get a few properties in the next few years.

I am a strong buyer who has been prequalified also have money saved as well and I have been working with multiple relators at a time they all know my situation and that I'm ready to buy buy they do not seem interested in helping me purchase a property that needs work so I can successfully BRRR.

Am I overthinking this? Or am I doing something wrong? Any suggestions on how to get my first property?