All Forum Posts by: David Flanders

Hello all.  I'm looking for an app and desktop site (preferably the same) where I can input a checklist of actions items that need to take place in relation to a deal.  For example "Step 1: Fun financial analysis; Step 2; Visit property . . ."  I'd like to be able to check off each item as I proceed and perhaps use other features if they are available, such as input some finding or attach pictures on a step by step basis.  Does any one have any recommendations?  Thank you.

Good afternoon. Can someone suggest the best way to proceed under the following scenario? I'd like to make this deal happens if possible. I want to buy a house with an ARV of $240k. The property needs $32k in repairs, including foundation issues. Right now the property is unlisted and owner is represented by an agent (who is a friend of mine). The agent and owner are also friends. The owner needs to sell because she had a stroke and needs to move into assisted living (but still would like a 60+ day closing). The mortgage is all paid off. No debt on property. We made an offer using the 70% rule but I'm anticipating that will be rejected. Is there another strategy we can use to make this happen? I'm researching seller financing, but I'm unclear how that will be an improved deal for the owner (which is what we need to show if cash offer is rejected)? She isn't going to want 5+ years of payments, but I do know that she is open to creative ideas, as her place will be hard to sell on the retail market and since it's unlisted we don't have a lot of investor competition. Thank you for any ideas you may have.

@Daniel Dietz and @Rick Pozos thanks for the response.  So it seems that the only requirement, per @Brian Eastman is that the loan be non-recourse and obviously private lenders are more willing to do that as compared to banks, at least if you want a decent LTV. My larger interest, however, is that I want the SDIRA out of the picture when I go to finance the place after rehab. Per the BRRRR method, ideally the SDIRA gets paid back and I own the property (rather than the IRA owning the property). Sounds like this won't work.

@Brian Eastman Wish the answer was different but thanks very much for your reply.  I appreciate it.

Good afternoon. I may be interested in setting up a self directed IRA for rental property investing, but I have questions. In particular I'm looking for a way to use SD IRA money to buy and rehab properties and then finance them with any lender I want (rather than just a dedicated SD IRA lender, who seem to want to loan only 60 to 65% based on LTC rather than LTV) based on after repair value. The ideal result would be that the SD IRA account gets its money back and any equity in the property is NOT held by the SD IRA. Is this possible? Anyone who is interesting in talking with me further by phone, such as an SD IRA facilitator or custodian, is welcome to send me a message. Thank you.

Good afternoon. in Brandon Turner's book (Rental Property Investing) he talks about the BRRR method and trade-up method. Regarding trade-up, he uses an example where you buy at 80% of retail (presumably, less repairs) and ensure there is a 10% appreciation in value based on repairs. Regarding BRRR, he uses an example where you buy at 70% of ARV less repairs. In regards to the math specifically, is there a difference between these two strategies? Thank you.

@Russell Brazil Thanks very much for the answer.  Appreciate it.  Hope all is well in Rockville.

Quick question.  If I become an agent (which I'm already in the process of doing) and buy a property for myself (in the name of a company that I create) as an investment, am I entitled to the buyer's agent fee, of let's say, 3%?  I'm sure the answer to this question probably varies by locality, but a general answer or your own personal experience would be helpful.  Thank you.

Antonio Coleman Adrienne Henley thank you both very much for your responses.

Good evening. Can someone recommend some helpful but user-friendly software that will help me calculate the important financial metrics (e.g., leveraged IRR, unleveraged IRR, cash on cash, etc.) that I would need to know in buying small apartment properties (15 units at a time, for example). I've been using Excel for the past year and it's driving me crazy. Thank you!