All Forum Posts by: Michael Galloway

“Every morning in Africa, a Gazelle wakes up. It knows it must run faster than the fastest lion or it will be killed. Every morning a Lion wakes up. It knows it must outrun the slowest Gazelle or it will starve to death. It doesn't matter whether you are a Lion or a Gazelle... when the sun comes up, you'd better be running.”

Most lenders will usually do one or the other. I find it very typical that the lenders that charge in the end, tack interest onto the interest. (or interest on the non paid interest)

Either way is fine with me. The better your track, the better the relationship, and better the terms.

I like not paying any interest till the end. Better cash on cash return.

Karna Nelson, welcome. You will get so much knowledge here on BP. By the time you go to Chicago, you will hit the ground running. Keep us posted if you have any questions.

Brandon, even though i have my eye on the horizon, i take one day at a time. I have been preparing for the past 1 year and 1/2 for the decline of inventory. This is why i shut down my fund back then. I could see then, what everyone is feeling now. No Inventory.

The one good thing that will come out of this is the shake out of all the big money. (wall street will go home) The deal flow is not enough to save even the smaller funds 10m+, and the deal flow will get better on a local level for local investors. I think this can happen as soon as 4th quarter 2013. So, stay tuned.

4th quarter is always my favorite time to buy. Christmas Shopping ;)

Thanks Peggy L. I will keep you in the loop.

Sandy B. Welcome! BP is a great place to be. Glad you are taking Action on your retirement. Looking forward to hearing about your questions, trials and Success.

Byron K., i look to do a max of 10 flips per year. All the little ones in between i buy and hold. the numbers are large on my flips, but so is the work.

I used to do a large amount of volume, but decided to change strategies a year and a half ago.

I am able to manage these projects a lot better with less stress and spend more time with my friends and family.

When you do the flips with little margin (paint and carpet) there is a lot of players, littler paychecks, and more stress that you might have been off on a comp.

I completely agree with this statement. Too often i see sellers who's agents end up making the only money left in a property.

With Real Estate they say "location,location,location"

with Contracts i say "disclosure, disclosure, disclosure" this is one of your main insulators for this type of transaction.

Erin, if you're ever not sure... disclosure

Brandon Turner, not sure if you are still working on this, but thought i would chime in.

2 things are working very well for me RIGHT NOW.

1) Relationships for finding deals: My past 3 purchases have come from referrals. Without this tight network there is no way i would have got such good deals on the open market.

2) The values in California are moving, and moving fast. I have estimate a 20% move since December and we are fast approaching another 20% from here to April.

As long as inventory, and interest rates stay where they are we will continue to climb.

David Manin, it looks like a decent flip. There are some areas in Livermore that don't get the same value as South Side. Springtown and Old North side, the values for the same sqft are about $450. However, with inventories this low you can always push value a little bit. Is this a short sale? you mentioned seller accepted offer?