All Forum Posts by: Dennis Treacy

As a contractor, landlord, and business owner I can spot a tire kicker a mile away. You understand time is money and in this current bubble everybody and their mother thinks RE investing is a quick way to make a buck.
I could spend 24 hours a day providing free estimates to those who have no intent of using my services, as you have no intend of using that fellows services. 

My advice, do the leg work yourself; Go and look at 100 houses in the market you want to own, or flip. Find someone who is doing what you want to learn about, work for them.
But if you want short cuts; In the Philadelphia's fix and flip market, a row house will cost $65k-$85k to get renovated correctly and with permits. Any less and your subcontractors will be hacks and your GC will probably walk off the job near the end when he or you run out of money.  Your chance of hiring a good GC in this present market in Philly is probably less than zero, unless you pay a premium or come up with money without any related issues. As a subcontractor any developer, GC, or homeowner who does not provide payment on time, in full and as agreed or takes too long on a project (unorganized) I will never work for again, or I will charge a premium. 

Yes, I can do this because we are probably one of the best hvac companies in Philadelphia. You will not find a single advertisement for our company because we have no need to advertise, and have not done so in 15 years, we are 100% referral.  All the best subcontractors are 100% referral, and the best GC's rarely divulge their subcontractors, a few of the GC's we work under do not allow the subs to post signs on their projects. We don't post signs and our vans are not lettered. We could work 24/7 and I do work 6 days a week because I love what I do. 

Sharon,

What was I thinking? I have two customers who have had enough of regulation, taxes and unions and other issues concerning their businesses in PA, both have moved to Texas somewhere.

I will assume they found the least taxed and regulated area to set up shop.

Why Texas chose to join the USA in first place is a mystery to me.

Brian,

Always thinking like a small investor, I know you have a different mindset altogether. I did not think the place you bought was so distressed there would be that much room for rent increases that would create a plan B. I guess large complexes in good areas can be mismanaged as well.

I have a friend just like you, who went from buying flips to moving up to 32 units at a time and then to a shopping center. Along the way I know he had a lot of angst and almost invoked plan B (bankruptcy). The last insane run up allowed him to sell to someone with deep pockets who funded his original plan A exit of selling all.

After resting as one of the top RE agents in my area, he just bought a college rental, I guess it just is in his blood.

Brian,

Congratulations! I know I will never own a 140 unit building.

The idea that you and your investors are facing a 5 year balloon is to me unapproachable. "What if" would and has keep me from such deals.

Just figuring all of the numbers and the cap rate are based on financing at low interest rates. I just don't see low interest rates in our future. I know value on large commercial buildings is based on income, but just the same the income will be effected by for example a 10% interest rate.

At this time I have one commercial loan in place, just about paid off. The interest rate is presently 7.75% which can float to 10% based on prime.

I am one of those extra cautious guys, just don't like uncertainty. This is the reason I will always be a small landlord.

Just curious from where I am in the the valley looking up at you on the mountain top, what would happen if one rates went up, and two what is your plan on refinancing in 5 years?

I am interested in how this works on a large commercial property.

If you really must become a guru, why not fix your credit, say get it up to over 800.

Package up what you learned about credit and take it to market.

Suggestion rent or buy a $1500 suit, a pair of $1000 shoes, and a Rolex watch, then find a Lamborghini to pose in front of for the Power Point presentation.

You have a great story, a lowly tree guy fixes his credit and now is a credit repair millionaire!

Sell the course for $997 to 1000 folks and walk off with a cool $997,000.

Now that is the way to make a million, gurus make the easiest money.

This legislation is one more effort to end the underground economy funded by cash transactions.

I would bet most handyman used by the REI industry are under the table I would bet 80% don't even file tax returns. This will put an end to all but green cash transactions. But then again I would bet these folks also do not have medical insurance.

Bryant,

Please do not tell us he is great before you make a buck with his system.
Go out use his system, make a buck and then post us back.

99% of guru's use testimonials from students at his free seminars, these are the hopeful recently brainwashed folks who have just sat through a NLP laden sales pitch, and just shelled out $1000's of dollars on their credit cards. Of course these folks are going to have a positive response.

During these seminars, part of the NLP is to explain that the reason 99% of the students fail is because they are scared, or lazy and did not follow through.

Fear and laziness is generated by individuals who do not have the proper knowledge of the particular subject.
Excuse me don't these guru's think you might need some basic information, instead they charge you $997 at a free seminar, then $397 a month for as long as they can keep you strung along.

There is nothing simpler then doing a short sale, for crying out loud the bank sends you a short sale packet with all the info you need.

I did my first short sale 8-9 years ago, the lend just about held my hand.

What DC is teaching is you doing virtual short sales that is everybody does all the work for you so you do not have to learn how to do anything, just collect the check.

Sorry that is never going to happen, and if by some chance it does, you will have learned absolutely nothing about how to do a short sale.

Notice that DC started doing short sales in Florida, well Florida was just about the most inflated housing market in the history of the world. Nothing is selling in Florida unless it is a short sale. Even then it is hard to get the property resold as fear has gripped the market, who knows where the bottom is?

When a $2 million dollar house sells short for $650k then that is the real price of the house. Maybe it will actually close if the place is a primary residence.

DC is selling his courses just like nothing has changed in short sales, but everything has changed.

I challenge the guru industry to open their books, how much do they make doing their secret niche as compared to selling courses.

There is a guy still teaching fix and flips, Than Merril.
The fix and flip market is just about dead in most areas, but they are making huge amounts of money in the information sales industry.
What the heck, get rich quick that is the old strategy form the inception of mankind, and yet it is a rare occurrence.

So here we have it 99% of folks buying these course do not make a cent, they lose money from buying the course.

All of this info is available here for free, or at your local library, but neither here or at the library will you be told no work on your part equals get rich quick millions.

REI is just another job, as you actually do it, you learn and it becomes easy, and after time you will become wealthy if you ply your new learned trade.

This is unfortunately how the world works for 99.9% of folks. The others are born into wealth or hit the lottery.

Great idea for the pool house, keeps the water in the pool from turning yellow.

Many years ago my father had such and issue, he painted the window to look like a curtains were drawn and then insulated and sheet rocked over the window, and installed the new tub and surround.

The property is still in the family, and the curtains are still closed on that window.