All Forum Posts by: Bill S.

@Jacob A.

got it, thanks!

Yes, It figured them into my analysis but didn't include them here. Worst case scenario I budgeted for 45K. Taking into account staging costs, closing credtis, inspection credits, interest only payments, etc. I saw in you post you are figuring 5% for agent fees when selling. 6% is the norm here. Did you negotiate that or is that your norm?

Thanks,

Bill

I agree and adopt a similar strategy. I am wondering if finding homes in a medicore school district that has signs indicating it may become a great school district down the road is a viable strategy. If so, what would those indicators be?

I am talking about a philosophy along the same lines as investors following the high end coffee chains and free riding off of their research to buy in neighborhoods before becoming gentrified. This high end coffee chain has quantitative indicators that push them towards certain locations. Its speculative, but if you can focus marketing in that exact area and land a couple of deals today and sell when the schools become great you'll get a better ROI. Just wondering if anybody has spent time testing a strategy like this.

@Ned Carey

It would be a basic basement finish with no bathroom and carpet for flooring. It would be 3 totals rooms. Laundry room with mechanicals. Below grade bedroom/office. One giant open room. Should land in the neighborhood of 7K-8.5K. It is hard to say how much value the basement adds because the comps are either fully rehabbed with a finished basement or in need of a total rehab. There isn't anything that is fully rehabbed on the main level without a finished basement.....I guess that should tell me something.

@Larry Roberts

In this case it would add slightly less than 50% of livable space

@Chris

Will do. Thanks!

@Ryan Steele

Cubs and it has been rough...haha. I am in the western suburbs of where you have the WCRT meetings. I'll have to come check it out soon.

Property is in a great location in a great neighborhood. I am debating on how far to take the renovation at this point. Mainly debating if I should finish the basement (not framed yet). If I do finish the basement my numbers are.....

Contract Price - 228

Renovation Budget - 50

ARV - 350

Let me know what you think. Thanks!

Hey Everyone,

I am a newer investor with a couple of RE transactions completed. I converted a REO owner occupant condo into a cash flowing investment and a distressed single family home into a rehabbed owner occupant property. I am currently investing part time and working full time. Looking for distressed properties to flip in great neighborhoods or cash flowing properties to landlord in average neighborhoods. I am close to locking up my next deal and will share the details with the community here. Looking forward to learning the thought process of the pro's compared to mine during this analysis. Happy to help if I can.

Go bears!

Bill