All Forum Posts by: Don Harmon

Hi @MattSpeer would you be able to DM myself with the info as well?  I am trying to get my first few rentals and could use this good advise as well :-)

Thanks
Don Harmon

Welcome... I am from Franklin and live in Greenwood.  Just put my offer in on my first property as well and it is in Franklin.  A Franklin/Greenwood meetup would be great... I think the guys that run Ram investing (http://ramsinvesting.com/) might have something but have not been able to nail it down.  

Congrats... I hope to be in your shoes in the next week or two, Good luck!

Also forgot to include HVAC :-)

I have just submitted an offer on a short-sale, hopefully this will be by first property. It needs a lot of rehab which I am planning to do some myself, however I was hoping to find a few good contractors for the below tasks. Anyone have recommendations? The project will be about 20 miles south of Indianapolis in Franklin IN.

Contractors needed

- Plumber

- Roofer

- Drywall

Thanks

Don

Is there any reason to not include a spouse on a loan for rentals?  No credit issues for either and will be fine on debt to net with only one of us on the loan.

Will this matter when getting 2nd or 3rd rental?

Thanks Don

Just Get Started!

Hello everyone,  

I am fairly new to BP but am enjoying all the forum posts, blogs and podcasts. I have started reading many of the recommended books on the site. For several years I have wanted to get into REI (Buy/Hold and Flip) but only attempted once and it fell through. I am ready to give it another try and have a potential deal that I have some questions about if you are open to helping.

Below are some of the details of the deal.  I have not looked at the property yet but will prior to committing to any deal.  Assuming everything I have been told is accurate as the property is for sale by a local property group.  What else do I need to consider?

1940 SFR (1100 Sq Ft) with recent rehab, property group believes only carpet and paint is needed. Rent in the area ranges between $700-$850 in the area. They are asking $30,000 and local tax records show assessed value of $55,000. Local comps look to be around the $60-$75K range. Properties around look to be well kept (googles maps but will get my eyes on it before any decision).

I am good with the initial financing and then would plan to refinance after having renters to get my capital back out hopefully for another deal later, following the BRRRR method.

So a few specific questions but am looking for anything that will trip up this deal now or later?  

1- Do I need to create an LLC for this deal before or after purchase?

2- As I am new to this should I have a good accountant lined up before or am I good to find someone before I complete my taxes next year?

3- I plan to look at property management for the property... what do you see as a normal rate for such a property?

4- If the property is ARV is $50K+ and only paint and carpet is needed why would they sell for such a discount? Is this normal for property groups so they don't have to manage renters?

Thanks in advance for any help on this and I look forward to being a part of such a great group!