All Forum Posts by: Dax Gurr

@Jeff Rappaport has a what appears to be a great deal in Pocatello idaho  https://www.biggerpockets.com/forums/517/topics/345128-idaho-multi-family-income-property-owner-will-finance?page=1#p2207010.  

You want really be careful because investment properties which are manufactured homes are really hard to get financing for.  I would check with you lender and make sure you can get earnest money back if you cant get financing.  Even if you are paying cash, make sure you are getting a significant discount because when you go to sell it you will have a harder time.  Even OC buyers will have to pay a higher interest rate. 

I have a couple of flips and a couple of rentals that have the typical barren & unmaintained landscaping in Ogden Utah.  I would love to be able to update the landscaping to increase the value in the neighborhood but am having a hard time justifying the expense of a $3000 new yard.  I know a lot of / Most larger flippers dont do landscaping or AC on lower end homes.  But is there anyone in Utah that is finding they are getting a return on investment for landscaping?  I am also curious about ACs.  We have thought about doing the front yard and leaving the back.  

I am looking for someone who regularly wholesales for a couple of coaching phone calls.  I sorta of get the marketing aspect of the process and am getting some calls on my marketing.  The questions I am looking for specifically are 1- when to walk away and when to push the home owner to try to get a lower price.  2- what do you say to weed out serious sellers from someone looking for an at market sales price.  ( everyone says they want retail sales price at first, when do you decide to thank them and move on) 3- The big one, how do you "sell them" on selling their property for a 30% + discount.  4- I learn by doing, so I am hoping to do a couple of role playing scenarios.

I am not looking to take a ton of your time.  I am have thought about pretending to be a desperate seller and reaching out to some whole sellers but don't think that is to ethical.  Please PM me with your hourly rate and I will get back to you.  Thanks!  

@Mike Ross... It is nothing special, I dont fill out a form or anything. I just send a PDF print out of the tax data, MLS listings ect. I usually charge from $50 to $100. Sometimes I will do the first one for free. You can have the appraiser do a what is called a desk top appraisal, these are kind of a pain and I usually charge $250 or so. Something you may consider is putting your own package / form together to present to the investor.

I think a 203(k) loan is a great way to go, if you have a good broker that knows what they are doing. I very rarely see these type of loans, I know of only one guy that does them in Ogden / Salt Lake. Make sure your broker knows what they are doing and HAVE DONE A COUPLE RECENTLY. The other issue you will have is they are much more of a pain to deal with for the seller then cash as they are more time consuming. If the seller is willing to do a 203 I would go with that way before I would do a hard money loan at 2% & 12%. The other advantage is you have a 1 time close as apposed to a hard money close then a long term finance close. For a 203 (k) you need a full scope of work with a cost break down from a general contractor or of the trade you are getting the repair on. They wont let you touch the money. I would consider talking to a general who will allow you to do "sweat equity". The 203 (k) is also a pain for the general .... come to think of it anytime you work with Uncle Sam it is a pain. I dont think I would have an appraiser come look at it if you are sure of the ARV because the bank will require their own appraiser anyway and you will end up paying for 2 appraisals .... that is only fun for me!

 It is hard to say, but based on your comments "they quoted us" you are getting bids from multiple contractors, your biggest issue is going to be the swing in your repair costs, $12,000 for "some switches" is crazy high unless you have to replace the electrical system. This leads me to think the house is super dated and may have major issues. The Foundation with a small crack is not bad but if it is worse you could be out a ton. I would speak with general contractor and get a FULL scope of work before you commit. Based on MLS, 1355859, 1310789 it looks like $400 is reasonable. If you want me to look comps for you PM me the address.

Thanks for the advise, @Claire Trammell what is the best way you have found to track responses?

@Stephen Hundley... I just did question about this very topic.  I would love to hear what you come up with!  @Mike Ross Good luck with your new adventure. My suggestion would be have a good idea of the neighborhood values. In my market, the MLS keeps a really tight lid on their information, but something I offer for clients is a "Data Package" which I send the investor. This would include the tax data, previous listing history, and comps. It takes around 10 minutes or so, You may have to educate the appraiser as a lot of people don't think out of the box.

While I am driving for my job I see about 5 to 10 houses per week that are vacant, I would like to start mailing to home owners of these houses.  My question is what is the best way people have found to systematize mailings. I have no or very little time, but have some money,  Is there a service, pay someone locally? Writing one letter a days sounds like a waist of time and paying someone a dollar or so a per letter would be pretty low volume and difficult to find someone to write these letters.  Last part of the question, If I run into 5 or so vacant houses per week, is there another group ( mailing list) that could be added to the letters?