All Forum Posts by: David Gillette

Cool cool, Casa Grande makes sense. Wish you the best of luck. That makes sense to learn on the job. You don't always make as much money but learning on the job is valuable. 

I think I found the house, I won't list it in case you want to keep it private. Disregard all of this if I maybe have the wrong house but it matches what you said. Comps are all over the place, active 210 to your east that isn't a bad house, much newer house cancelled at 270k to the west. 240k sold to the south but it's on a massive lot. 

Also, the sellers on this house are wholesalers. They move quite a lot of houses. Don't buy what they are saying about not wanting to flip it cuz they're too busy or it doesn't make enough money. Or that they didn't buy it for 60k. They use realtors to sell their properties so that they're less likely to get in trouble for violating the code of ethics. Their realtor is telling you what she believes to be the truth. 40 days on market matches the week that they bought it. Not to say it's a bad flip but I'd bet money they got it for 60k. There's no intermediary party on the sale records. 

Anyways, you'll probably be ok on this house. A lot of my subcontractors try and do flips on the side and get burned by wholesalers. So forgive my skepticism. We've flipped about 80 houses and wholesalers lie like it's going out of style. Doesn't mean that you can't make money on it, but don't trust anything that they say. Make sure to check everything multiple times. 60k seems about right for this remodel too. Did you get a sewer scope? Check the Roof? AC unit? 

Cool cool, Casa Grande makes sense. Wish you the best of luck. That makes sense to learn on the job. You don't always make as much money but learning on the job is valuable. 

I think I found the house, I won't list it in case you want to keep it private. Disregard all of this if I maybe have the wrong house but it matches what you said. Comps are all over the place, active 210 to your east that isn't a bad house, much newer house cancelled at 270k to the west. 240k sold to the south but it's on a massive lot. 

Also, the sellers on this house are wholesalers. They move quite a lot of houses. Don't buy what they are saying about not wanting to flip it cuz they're too busy or it doesn't make enough money. Or that they didn't buy it for 60k. They use realtors to sell their properties so that they're less likely to get in trouble for violating the code of ethics. Their realtor is telling you what she believes to be the truth. 40 days on market matches the week that they bought it. Not to say it's a bad flip but I'd bet money they got it for 60k. There's no intermediary party on the sale records. 

Anyways, you'll probably be ok on this house. A lot of my subcontractors try and do flips on the side and get burned by wholesalers. So forgive my skepticism. We've flipped about 80 houses and wholesalers lie like it's going out of style. Doesn't mean that you can't make money on it, but don't trust anything that they say. Make sure to check everything multiple times. 60k seems about right for this remodel too. Did you get a sewer scope? Check the Roof? AC unit? 

Cool cool, Casa Grande makes sense. Wish you the best of luck. That makes sense to learn on the job. You don't always make as much money but learning on the job is valuable. 

I think I found the house, I won't list it in case you want to keep it private. Disregard all of this if I maybe have the wrong house but it matches what you said. Comps are all over the place, active 210 to your east that isn't a bad house, much newer house cancelled at 270k to the west. 240k sold to the south but it's on a massive lot. 

Also, the sellers on this house are wholesalers. They move quite a lot of houses. Don't buy what they are saying about not wanting to flip it cuz they're too busy or it doesn't make enough money. Or that they didn't buy it for 60k. They use realtors to sell their properties so that they're less likely to get in trouble for violating the code of ethics. Their realtor is telling you what she believes to be the truth. 40 days on market matches the week that they bought it. Not to say it's a bad flip but I'd bet money they got it for 60k. There's no intermediary party on the sale records. 

Anyways, you'll probably be ok on this house. A lot of my subcontractors try and do flips on the side and get burned by wholesalers. So forgive my skepticism. We've flipped about 80 houses and wholesalers lie like it's going out of style. Doesn't mean that you can't make money on it, but don't trust anything that they say. Make sure to check everything multiple times. 60k seems about right for this remodel too. Did you get a sewer scope? Check the Roof? AC unit? 

Bid deeper.

Discount their lack of clarity, and assume something you're missing. Don't be forgiving, that is just reckless. 

Cool cool, Casa Grande makes sense. Wish you the best of luck. That makes sense to learn on the job. You don't always make as much money but learning on the job is valuable. 

I think I found the house, I won't list it in case you want to keep it private. Disregard all of this if I maybe have the wrong house but it matches what you said. Comps are all over the place, active 210 to your east that isn't a bad house, much newer house cancelled at 270k to the west. 240k sold to the south but it's on a massive lot. 

Also, the sellers on this house are wholesalers. They move quite a lot of houses. Don't buy what they are saying about not wanting to flip it cuz they're too busy or it doesn't make enough money. Or that they didn't buy it for 60k. They use realtors to sell their properties so that they're less likely to get in trouble for violating the code of ethics. Their realtor is telling you what she believes to be the truth. 40 days on market matches the week that they bought it. Not to say it's a bad flip but I'd bet money they got it for 60k. There's no intermediary party on the sale records. 

Anyways, you'll probably be ok on this house. A lot of my subcontractors try and do flips on the side and get burned by wholesalers. So forgive my skepticism. We've flipped about 80 houses and wholesalers lie like it's going out of style. Doesn't mean that you can't make money on it, but don't trust anything that they say. Make sure to check everything multiple times. 60k seems about right for this remodel too. Did you get a sewer scope? Check the Roof? AC unit? 

That's what a due diligence period is all about!

Also.... Assuming you're getting this in the PHX metro and arv around 240k... Sounds like you're getting a manufactured home or a condo. If that's the case, you need to look into whether this home can be financed after repairs. 

A comp isn't a comp if one can be financed and the other cannot. 

Also.... Assuming you're getting this in the PHX metro and arv around 240k... Sounds like you're getting a manufactured home or a condo. If that's the case, you need to look into whether this home can be financed after repairs. 

A comp isn't a comp if one can be financed and the other cannot. 

Nobody passes on a good flip that they already own. That's like mining gold in Alaska, bringing it to San Francisco and saying, "I can't do the rest, take it off my hands at a discount." All the hard work is already done. 

They either know something that you don't or you know something that they don't(the only correct answer is if you know it's worth more than they think it is) 

Otherwise you're likely buying fools gold. Given that I hear this story once per week with people doing their first flip... I'd steer clear

That's awesome that your wife is a Realtor (better spread for you). I would definitely have her call the Listing Agent with your laundry list of questions and just try to sniff it out.

Let me know how it goes. I'm invested now.