All Forum Posts by: David Wolf

Sorry for the spammy headling, but I needed to get your attention. I run a we buy houses operation in the Florida area. The majority of our deals come from online advertising. In the past year we have purchased and resold approx 35 properties and wholesaled as many. These properties ranged from $20,000 purchases to $400,000. With great margin. For a retail ready home we would never pay more than 80% of what we know we can sell it for with nothing but cleaning out garbage. If work needs to be done easily find 70% minus cost of repair projects on a regular basis. Why am I saying this? Cause I am looking for partners that generate deals from leads we produce in other markets the same way we get them here. If you can answer the following questions, we may be a great fit. 

You already have experience with closing extremely motivated sellers and understand the lead nurture process to generate revenue from the slow movers. 

You are purchasing or wholesaling 1 or more property every month currently in your market

You are comfortable with marketing cost fo $2,500/home purchased with a min. profit of $20,000 after all costs are consider and $1,000 per $5-$15,000 in revenue from wholesaling. 

You are great at generating sales using another medium like yellow letters or postcards, but just can't figure out the online thing. 

If this sounds like you we may be a good fit. You see, we have spent $100,000+ in 2017 alone  generating motivated seller leads online. We simply don't have enough capital or knowledgeable staff in all the U.S. markets to buy all the homes we could if we simple used our marketing in more markets. 

So we decided to see if we can find partners to work with in other areas too leverage the marketing system we have put together. We aren't looking to sell leads, we are looking for regional partners that are great at what they do so we can be great at what we do. If this sounds like something you would be interested in please PM me. 

We are looking for investors with taste for picking up delinquent notes at risk of going into default. The ideal investor has experience with delinquent notes and prefers to acquire properties through foreclosure at the note rate. Typical opportunities are as follows:

12% Interest note paying 10% to the investor on a 75% of loan to purchase/65% or lower loan to value 1 year note on N/O/O single family residential properties in FL, GA, and NC. Foreclosure assistance can be provided or you can handle it yourself. 

This is a great way to get quality Fix & Flips and rentals at a significantly reduced price. Private message me with interest. All notes are non-owner occupied, and have been originated via 3rd party title companies with title insurance. Interest transferred via assignment of note or servicing release. 

great find for me. We have a 2 acre property in palmetto,FL (Tampa area) that has a house on the corner. We split the parcel and can get 6 lots out of the remaining 1.6acres. we would need to run a new road and culture de sac to get the necessary frontage. I was quoted 100-125k in build cost for the road and utilities running construction as a preliminary estimate. Which would be $22,000/lot when including expenses to my guy doing the work. This is my first Dev like this and that expenses caught me off guard. We are going forward as of right now because we have a $0 lot cost due getting a great deal on the house and being able.to resell it with less land for more than we bought it for. Anyone know east coast of fl? Does this Dev cost seem reasonable?

Hello,

We have two lots under contract in Governors Towne Club in Akworth, GA. The area standard is $1+ homes and we are looking for a luxury new construction home builder looking for a good project in the area. Ideally, we would contribute the lots at cost (Significantly below current market price), and get paid out upon sale of the spec home. This would be a JV option. We are also open to wholesaling the lots if you want to keep more profit to yourself. About $100k+ in equity in the lots at current lowest lot price available. Reach out via PM with interest.

Hello BP, 

Got a question outside of my realm of expertise. We have two lots under contract in a high end suburb of Atlanta. We would be purchasing at $200,000 for both when comparable lot comps being sold by the developer are would be $310,000 combined. The neighborhood is filled with 1-1.5 million dollar homes. We buy houses to resell all the time, but I haven't done it yet with land, and definitely not in an luxury (slower moving) area. Thought this would be the right forum to ask. I am thinking of marketing these to an NE atlanta spec home builder with a wholesale fee attached to the back end of the build instead of the front. What are the forums thoughts on the viability of this model. Also, for those that have done lot purchases below value in luxury neighborhoods that still have developer inventory, how long did it take you to exit? were you offering below market or at market? 

getting in this one late. I do rehabs, wholesaling, and hard money across the state. I watched a partner in Tampa just make $60,000 off a deal I wholesaled and made $15,000. It wasn't my market and I don't have crews in Tampa. it was also massive 3 month rehab so he deserves every dollar. If you want to avoid most of the garbage wholesalers just don't read anything they send but the property address and pictures. Do your own comps, come up with your workable price and offer it to them. Even if it's $10,000 below what they are asking. We had a property in Tampa that we wholesaled through the MLS. technically we bought it and out it up to resell instead of wholesale, but one big rehabber in Sarasota said he wouldn't touch it with a ten foot poll at our ask price. 48hrs later a small one house at a time investor paid full ask $30k over the other rehabber that looked at it. it was a $175k as is property. Even wholesale properties have competition. You either need to be quick, your need to be able offer competitively. Otherwise you need to learn how to find your own deals.

Roland H Acosta in winter park,FL. they do remote closing all over the state, but if you need some local I got nothing

real estate financing is such a diverse topic. I get to see it from both sides of the coin as a lender and user of hard money. I just had this very conversation with a friend of mine that uses the 50/50 equity deal structure Ryan proposed. while he has less cash in the game, he also makes considerably less per deal than a flipper without a 50/50 equity partner because he used hard money or real private money in a 1st position mortgage with a lower interest rate. most people don't realize they are doing it but the following scenario happens a lot.... A beginner or intermediate flipper puts together some friends and family money at 8% and uses it as the equity side of a hard money loan. the unknowing family is now essentially in a 2nd mortgage position making a return with the risk of am equity position (not cool). If you can convince a nice investor to do this it will make your life easier but they are not making a good investment. This is the guideline I give everyone. Get as much private equity as you can, while giving up as little equity as you can if you believe your project and experience is solid. (if it's your 1st flip having an experienced equity partner is actually a great thing). If you have the bandwidth and good project flow you will soon find most smaller private money lenders will run out of money if you are buying things cash. If you don't have more profitable projects you could do then do them with 100% private money. If on the other hand you only have a few hundred thousand in equity money, using hard 💰 will multiply the number of projects you can do at our next time. For our current velocity of properties (personal flips and not our hard money lender business) I need approx. 6 million in cash flow so I don't have to stop acquiring projects before cash from the deal a few months ago freed up. That's a lot of cash. with hard money I only need 1.5mil in cash or equivalent equity investment and can round out the other 4.5 with hard money. Technically I could my cash and then multiply my cash with the 85% private money for lower financing costs on projects, but net cash on cash return and net income per month is significantly higher with reliable hard money in the mix. Point is, if you have no projects, reduce your finance cost as much as possible. if you have more deals you could be doing that are profitable, hoard your cash for the 15-25% equity skin in the game required by hard and private money so you can maximize the amount of real estate you can control. This includes giving a frisky private money lender 2-3x his normal returns if he will be equity portion in. a hard money loan deal. Also, you should choose a hard money lender that doesn't run out of money to lend which happens with smaller lenders. Otherwise you wont be able to count on financing. Hopefully this spelling error laden post has provided some guidance for when hard money is right. the most important thing is to get the deal done anyway you can. One other thing before I go. someone mentioned a big issue with other hard money lenders related to pre loan underwriting and fees, and appraisals and credit scores. at Boyd Hard Money Loans (only FL & GA) it's appraisal, and sales contract and your done. no Credit checks or other stuff. We also don't have underwriting fees. This was after listening to how frustrated people are with other lenders charging fees to tell them no

2014 Built Townhome in Windermere for $9000 under identical lowest comp and $18,000 under most recent identical comp. Property is approved for a 75% of purchase hard money loan at 12% interest with no prepayment penalty for one year. We are paying the origination costs of that loan!  PM me with interest. This home is rental or move in ready. Great area with rising rental rates. 

Hello, 

Our company buys homes from motivated sellers, and we currently have deals that don't fit the criteria of our small buyers list. Unlike many wholesalers we often buy properties we have under contract to turn around and sell on the MLS or to new buyers. We end up with many deals that are a great buy and hold investment, but don't make sense to buy to flip. If you are comfortable with purchasing excellent rental properties at a 6% discount to market sale price and not just appraisal, please PM me.

Currently available property:

Townhouse build in 2014 with rentometer monthly rent at $1650/month. 

Asking price $250,000. We can provide hard money financing up to 75% of purchase with ZERO points origination and 12% interest only for one year. That's right, we will pay your origination points. No prepayment penalty. Cheapest identical to sell in this complex in the last 180 days is $258,000 & $268,000 with identical finishes.