All Forum Posts by: David J.

Independent School District.

They are just trying to tell you waht school district the cities/neighborhoods are in.

"Spring Independent School District" = Spring ISD

Kien ISD, Conroe ISD, Cypress ISD.  Thats what they call them down here in the oil patch.

On my first purchase form a yellow letter i sent the out of state owners a line-by-line rehab estimate with a price for every little thing.  I believe I got it from @Jerry Puckett on his file place on this site.  It was an excel spreadsheet that showed very clearly the cost to rehab the property.  I also sent them 50 pictures showing the condition of the property.

They accepted my offer.

From wikipedia -

Houston (/?hju?st?n/ ) is the most populous city in Texas and the fourth most populous city in the United States. According to the 2012 U.S. Census estimates, the city had a population of 2.16 million people within a land area of 599.6 square miles (1,553 km2).  Houston is the seat of Harris County, and its metropolitan area is the fifth-most populated in the U.S., with over 6 million people.

Not trying to be cute, but there are like 30 suburbs (cities) surrounding Houston and within each suburb, there are like 25 neighborhoods.  I drive 6 miles to work and pass 2 cities and about 20 neighborhoods.  I bet you could be a little more specific on what you are looking for.

All I need is the address and the condition and i can make an offer.  99% of the time I spend talking to sellers is about anything other than the house.  If you get the address there is enough info out there to ascertain a value.

That said, if you don't know what you would pay you might as well stop sending them letters.  If you know what you would pay, but need to confirm the condition, just tell them what you would pay and tell them you need to confirm the condition.  I give sellers a range and tell them depending on the condition I will be somewhere in the range.  If they can get to my range i will go to the house.  I have only been to one house in the last year I have not bought.... and I am still following up with them and have my fingers crossed.

I have had no problem with conventional buyers. FHA is where you got tripped up.

I would just say take it or leave it.  And let him call you back. 

@Justin Brophy 

Disclosure:  I have never purchased a property from this company.  They manage a portion of my portfolio and I have been happy with the service they provide me.

Being an out of state investor from Southern California; do you suggest going directly through the company to purchase a SFR and also having the company act as PM? 

I think the only way to buy one of their turnkey properties is to buy it from them. I am sure the prices are negotiable, but the purpose of the turnkey is to buy a rent ready house and have mangement in place immediately. You pay a premium for this service. You have to weigh the cost/benefit of this service. My personal opinion, is that if a turnkey company sells crap houses, or manages the homes poorly, they would go out of business. If you are considering a turnkey property, I would never suggest buying a house form a turnkey operator that will not also manage the property. This would be no different than just buying any rent ready / retail house on the MLS. The fact that they manage the houses shows that they can to some level stand behind the rehab and renters. Because they grow and survive from referrals, if they were not providing a good quality product and service they would not have repeat buyers - which is the golden goose of a turnkey provider.

I'm just a bit confused on how the purchase would work of a SFR from the company itself? 

You would contact the turnkey provider and negotiate a price.  They would send you a contract like you would get from any other seller and close at a title company like you would with any other seller.  They own the house.  Once you buy it, you own the house.  It is no different from any other purchase.  You will also sign a managment agreement with the turnkey management company to manage the house.  This is no different from hiring any management company.  The tunrnkey provider is the seller of the house and the management company.  You sign a bunch of agreements and close on the house.

If you buy any house off the MLS, or from a whilesaler, or from anywhere, you would go through the exact process. You would get the house under contract, close on the house, and then hire a property manager to handle the repairs/tenants, etc.

Do they charge a fee if I purchase one of the properties listed?

They are the owners of the house (usually) before you buy it so there should be no fee to buy the house from the turnkey provider with the exception of customary closing costs you would have to close any purchase (e.g., title, escrow, lender fees, etc.)

Keep in mind that there are folks that troll this sight for out of state buyers to hook them up with turnkey operators for a fee.  There are also turnkey operators on this sight.  Pretty much tons of resources, so no matter what you decide, do you own diligence and make sure the numbers work for you and you know exactly what you are getting into. 

Good luck.

Closing 20 in a year would be pretty easy.  After you do a couple and have title, insurance and lending in place you just have to put a house under contract and send one email to all three.  They will do the rest and you just have to show up to closing with some $$.  If you are all cash you can take the lender out of the picture and it is even easier.

After you close it is easy if you are handing them off to a property manager.  If you are managing you will just have to do/coordinate what needs to be done to each to lease them out and do the standard management loop on each.

The purpose of a double close is just that... to hide the purchase price on the first transaction.  Should be good to go.  Nothing illegal about it.

A to B = you buy the property

B to C = you sell the property

The only hang up folks get into is whether you can use C's money to buy the property in the A to B transaction, but if you have the funds to buy the property without C's money you are golden.  Complete translucency.

A "quit claim" is a type of deed that gives you the grantor's interest in the property.  Nothing more, nothing less.  These are very risky and provide the buyer with 0% warranty of clear title.  There is a reason soemone want to quit claim the property to you and you need to know exactly what the reason is before you accept it.  Close at a title company and buy title insurance to proptect yourself.