All Forum Posts by: Daniel Guerra

@Blake Ramsey Just do it my man. Now is the time to start. I wish I started a long time ago. Gain knowledge, ask questions, then take SMART action. Read books everyday but take action. 

I was extremely fearful starting on my first deal. I ended up with 50K in profit afterwards. One of my smoothest flips ever. 

Be obsessed, don't give up, and take action.

@Bruce Hanson Welcome to Real Estate. I'm a flipper in the Northwest Indiana and Greater Chicago Illinois Area. Happy to help with any questions you may have. I love Real Estate.

@Mike B. I like your strategy. Fastest way to make a profit on a property with less risk. Almost like wholesaling, but the difference is that it hits the MLS (many more buyers). Downfall is that the profit is not as great as compared to either wholetail or fully rehab for top dollar but more risk involved.

@Boris Le LLC would be fine. Team up with a CPA (Certified Professional Accountant) that specializes in Real Estate taxes. They will be able to guide you on setting up a LLC and setting up future tax advantages.

@Owen Dashner I agree with you a ton. Retail flipping has added risks. What type of work do you usually do in a wholetail deal? Pretty much just paint, flooring, and anything major just to get the traditional loan approved?

When you fix the major material defect in a home, do you still sell the home to a traditional buyer?

Thanks in advance.

@Crystal Smith I guess gutting out a home and selling to a CASH buyer is a form of Wholetailing. I would call this Wholetailing to an Investor. Your basically Wholesaling to an Investor on market. I personally would not even touch anything with the home if I attempted to sell on the market to a CASH buyer. Doesn't make sense to waste money doing anything to it to get rid of the property.

You did mention that putting lipstick on a pig is a no go at an unreasonable price. I agree with you. I think putting lipstick on a pig at a reasonable price is the Goal. You add paint, flooring, etc., and fix the necessary items that will fail inspection. The Goal is to sell to a retail buyer at a discounted price. I noticed there's a ton of buyers out there looking for a home but can't afford the high cost of a fixed up home. Instead, Wholetailing to a retail buyer seems to be a great option. Of course, you need to find a great deal off market, do the small rehab, then sell at a discounted price to a retail buyer that's getting a typical loan (FHA, conventional, etc.).

Hey BP Nation, 

Hope all of you are doing well.

I have been looking for a reliable General Contractor in the Chicago area for some time with no luck. It makes sense that the good ones are just too busy in this market. GCs are starting to charge money just to walk through a property.

I'm considering just Wholetailing my flips (paint, flooring, necessary fixes required by conventional loans, etc.). Faster, less costly, and the profit would be good enough.

What do you think about Wholetailing in this market? What are some of the Pros and Cons? Is it just as simple as putting a lipstick on a pig?

I just can't think of many drawbacks with Wholetailing. I think Wholetailing doesn't make sense for older homes (Plaster with no vents, knob and tube, etc.). Also, homes that are just a total disasters (combinations of a bad roof, bad HVAC, bad siding, extreme mold, etc.).  

Anybody want to make a book about Wholetailing? I think there's a demand for it.

Please share your thoughts. Thanks!

@Jason Deangelis You will need to connect with people through bigger pockets or other similar investing sites. You can go to investing meetups and meet like minded people. You can also find what your looking for by googling and connecting with various companies throughout the Greater Chicago Illinois area. I personally reach out to home sellers off market and flip/wholesale the property. I use a combination of direct mail, cold calling, organic website leads (SEO), and paid internet leads (Google/Facebook).

Best of luck on your Investing career!

@Zack Park @John Warren @Jennifer Hyman @Mark Ainley @Ty Kirkpatrick

Hello fellow BP members. Hope all is well. Currently looking for a GC for a project on the South Side of Chicago (Morgan Park Neighborhood). Please reach out with any referrals. Thanks in advance and feel free to reach out to me for any help. Thanks!

@Jonathan C. I'd appreciate if you can share the marketer's information. I'm having issues getting in touch with the BBB for accreditation. Thanks!