All Forum Posts by: Dee Guzman

@Dee Guzman - Yes, I usually try to identify all of the fixes in the initial walkthrough and build in the start up costs / make ready costs into the purchase price and make the inspection "informational only" meaning we have no intent of retrading. This works really well with multis since investors really don't like to be cheap grinded during the inspection phase.

Also, for FHA or VA loans, they have very strict appraisals that can be denyed for minor things like pealing paint or lack of hand railings. Most agents cringe when they see an VA or FHA offer hence I like to build in terms that negate the downsides. For instance, I will build in a term advising that the buyer will cover up to $5K of items identified that restrict financing approval.

The key to offering a competitive offer on the MLS is to view the offer from the seller side. Determine the weaknesses or downsides from their perspective and build in terms that negate the downside. I've gotten a ton of offers accepted by using this strategy, it is an effective one. Not only with offers but in life. When you make a deal, view the deal from the other side and build in items that reduce their concerns about the proposal.

I'm also a newbie and learning while looking to get my first deal. I've watched a few hundred hours of online learning and read a few dozen books and 8% COC for newbies like us would be solid in my opinion. There are some experienced investors who are also ok with 8% COC returns. Now if you're a rock star like the bigger pockets hosts and savvy investors with years in the game, they may be looking for something like 12% COC... However, baby steps until we get there.