All Forum Posts by: Ed Hoffmann

Mychael, congrats on the easy equity while waiting for it to be built.  Talk to your wife and see if she is on board to sell it. Another option is stay there for a bit and refinance it and take out your capital. Inflation is higher than your interest, then maybe look for a smaller home as an investment rental. If you have cash reserves and will not be losing sleep at night go for it. Just make sure after all expenses are figured out the rental is positive cash flow. 

Don't let him dictate "His ideas" to your project. I am a contractor and a good contractor listens to the clients needs and wishes. Sure he could recommend a good idea of moving a pony wall to give the house a more open feel, but that adds to your rehab budget .He makes money and you spend money.  Also keep in mind don't over build a regular home. Make it nice but don't buy $200 faucets because they look cool. I also would not use family related services. I work on my daughters house for free. I work on her friends house as a Contractor not a dad. It sounds to me that you already have a hesitation to him working with you just by posting this. He might get butt hurt if you use someone else, but in the end it might be a better decision for the entire family. 

@Khandbari Rai

https://brokerpowers.valuedage...

@Mark Frattini

Yes we did in 1998. 2800 square feet at $180k. Should have bought a few more  in 2009-2010 

I live here . It is a nice place to live. 40 min to beach, about 1 hr to San Diego and about 1 1/2 hours to Palm Springs. We moved here when it was still rural. 32k people. Now over 100k in each city. 2006-2009 this place was an investors dream. The homes were cheaper than build costs. The last few years the prices have gone ballistic.  My home has gone up over 400% 

In today's hot market both CF and appreciation have worked well for investors. For new investors betting on appreciation now is a gamble. Better off searching for CF investments. The C19 moratorium will end and non paying owners or tenants will have to move. The banks holding repo homes will start selling . Rates going up should slow the FOMO going on now. Nothing goes up forever, there will be a correction.

Has anyone used HappyInvestor? Is it legit or just hype? Thanks

Really depends on what is needed. Cosmetic fix is pretty easy to estimate. Bad plumbing, rotten facia , leaking roof, crack on the foundation are much harder to estimate. I suggest contact at least 3-5  G.C and compare the estimates. Also it would be in your best interest to find contractors that specialize in certain fields. A G.C. has a painter, electrician, etc and he charges you 20% on top of their bid to him. As the homeowner you can pull permits yourself. 

Right now the ARV is going up, look for comps in the area of the same style home you are looking at. You will do well if the rehab is in line with the other homes. Adding more to it is a waste of time and money. Let the new owners add their touches. Under built will lower the price.