All Forum Posts by: Dustin Avadar

@Cliff Mccue I've talked to quite abit of investors I know down in chicago, and alot of people aren't pulling permits, obviously I'm basically a virgin when it comes to the bylaws in Chicago, but I know in Canada, if you do work without a permit, depending on your area you might as well just drive by a casino and throw  $30,000 out the window.   The city will force you to tear it down, or they'll put a lien on the property.  I just had a job were the client did all the work in his basement with no permits, right now were going through a pretty big recession especially in Alberta as we have such a huge energy sector.  So alot of people are getting out of there houses expecting a crash, anyways, he had a couple people lined up, they did the inspection, the inspector saw the unpermitted work, called the city, they made him tear it down, cost him 40000.  The are like the tax agency, they will take you to collections, ruin your credit, things get nasty, so I'm confused how people are doing work unpermitted.  

It's a complete gut.  The existing structure is being used no changes to load bearing walls. All new electrical and plumbing.  That's kind of what i was thinking John.   I mean the project is about 60k rehab and a lot of the work I'll be doing myself spending 10% on my budget for a drawing isn't realistic 

Issue I have is that I can pay $5 for graph paper and a $2 for a ruler and make drawings myself, nothing structural is being changed in the house, I know here in Calgary, I got a guy who will do drawings for $500  Kind of what I'm looking for

Currently doing my first rehab project in the states, and overseeing as Project managers/GC. I have a ton of experience on the construction side in Canada, but the exit strategy on this property is a fix/flip, and with the high end being 190k ARV, the client base I'm targeting will be looking for permits. As I'm not an owner occupied, I need to go through an architect to get drawings done, being in Chicago, was wondering if anyone has any contacts on some architects, and also good drywaller/mudders.

I made some calls around but everyone was wanting 5-6k for drawings which is absolutely ridiculous, was wondering if anyone has some decent guys, that work in the south, as most people like the north side.

ty

dustin

If I'm not working definitely will try and make it just, currently working on my first project in southside chicago!

That's what I thought.   She told me that because it would be  brand new renovation that it would be worth 280k while the comps are saying 220k.  Since the comps are older units, and this would be brand new

Working on getting my first property under contract, I do have a licensed realtor, who pulled comps, the issue was she had to go back a year, and the highest comp she pulled was 220k, building is currently on a short sale for mid 60k.  I'm in a great location right around hyde park.   I still haven't gotten my team into it, but just going off my background in construction I think I'm going to have to put about 100k into it.   So after holding costs, closing costs, etc, I'm having issues with the property if the numbers work!   My realtor did tell me though, that my property would be much higher in value, since the properties that were pulled comps are older properties, and not newly rehabbed?  

Just wanted some opinions mainly on ARV what banks look at when you go to refinance after 6-9 months. Do they specifically look at the comps and base it off that, or take into the account comps and amount of rehab you have put into the property?

ty

Dustin

His program is great, at the end of the day it really comes down to how bad do you want it.  You can have the blueprint for success, but with no action, you might as well be holding a stapler!

Best of luck,

Dustin

Question about EMD's. So if I buy a property for 100k. The seller wants lets say a 10% EMD on the deal, with a 2 week contingency to back out. If I go ahead with the purchase, do I get that cash back, or does that just come off the purchase price? Ie

10k cash, purchase price is now 90k, which will be financed.   

My main concern is I want to limit my amount of skin in the game to at least 15%, as I want to mainly be using opm.   I want to finance that 100k, and use that 10k as a deposit towards my financing, is that possible?

ty,

Dustin

I'm currently looking for a seasoned investor in the Chicago area willing to help me out with my first 5-10 deals.  I currently in the process of getting a 4 unit, 8 bed, 4 bathroom place right by the university.  I'm a go getter and hungry, I willing to put in the time and learn.  I'm currently in the oilfield, and have been very successful in this avenue of my life.   I'm looking to put my stamp in Chicago.  

I'm looking for someone who has a solid team in place as far as brokers, contractors, attorneys.  I've done lots of research, and read books, but I know that nothing can replace experience which I'm lacking in.   In replace for your time, I can offer you this.  Your time will be returned to you 10 times, as my success, will exponentially increase your success.  I currently have about 100 plus contacts of guys who make 200k a year, and are looking for other streams of income (go look at oil prices).

I need help with proper research, establishing property values.   

Learning acquisition/ exit strategies

Drafting contracts, calculating Proper ARV's

Proper rehab strategies and exit plans

I currently use Skype and have been doing all my research over the phone, if you are interested please PM and I look forward to establishing a healthy long lasting friendship and buisness partner!

Also I'm willing to fly down, and spend some time in the Chicago area

thanks,

Dustin