All Forum Posts by: David Avery

closing cost is generally 2  percent of the deal.

Some sellers ask to have all of it paid for and some buyers ask for the seller to pay for it.

Generally in a normal market , it is split in the middle which is 1 percent.

It can get real touching if someone in the partnership feels that they should make more than the other person for what ever reasons.  I have found that it is good to sit down and work that out.  The longer it goes the more likely it will fall apart if there is not some type of structure in hours worked or amount each is worth.

Times are great in the Real Estate market,  Interest rates at all time low.  Houses being built in Phoenix are everywhere and the houses are being sold with above multiple offers like in 3 hours!

Hopefully we will have the same smart business going for 4 1/2 years.  Couldn't have a smarter business mind in charge!!!

Rents are high, which pushes tenants to buy.  Jobs will come back, economy will be strong.  The stock market and Lowe's and Home Depot are doing great.  People are fixing their homes and are choosing to spend their monies on same.

It won't turn bad for 4 1/2 years.  Tr won't let it!!!!

It is very unorthodox but it works, Turn off the water at the meter!

The tenant will most likely google what to do and "so sad for the tenant" for them thye call the Board of Health.

The Board of Health puts a 48 hour notice that makes the tenant leave!!

Problem solved!

I would go with your "gut felling"  and if your have time for the 4 hour plus round trip.  I would probably go if you could also do something in that area for the day, then the trip is not completely lost.

Nothing is better then teaching your teenagers about real life.  raised 3 of my 4 kids and taught all three about what Dad does to be able to take them on cruises , take them to Jackson Hole for a week every summer, etc, etc,.

Wife will understand,  If Dad can do what your doing successfully then as parents your kids need to have all the exposure as possible.

The school system doesn't teach our kids these skills!

Any partnership needs to develop a cost per hour such as $30.00 per hour that all three of you agree on.

Keep track of your honest hours and hopefully your partnership will continue to work.

I would ask several real estate agents what the house is worth as is?

I would ask the same what the house would be worth fixed up.

If your in the position to have it fixed up for sale or for a rental.?

Some times just a simple face lift ( paint, up dated floor coverings, new light fixtures etc ) may cost you minimum for your return in either more rent or higher sales price.

I then would decide to either use it as a rental or sale it.

Ask your tax accountant which would help you the most.

If the house is in a good market and you don't need the money,  You could use it as a rental, get a tax break each year and have a pretty good positive cash flow.  It may go up 10 percent a year and also make you pretty good cash each month.

Then you get more equity and money each month.  if you need to have someone manage it they will most likely charge you 10 rent and repairs as needed.  Not a bad deal if they manage it proper!

My suggestions

Dave

Andrew i have flipped as a contractor and some as an investor/contractor 2600 properties.

Ask away,  i have about 50,000 hours of experience 

Hey Brian, Because I have done several flips ( over 200 )

Please re phaze your questions