All Forum Posts by: Garrett Ellison

@Kevin Wood - I know some great contractors. Sorry if my point was unclear. I meant that, in the case of a big flooding event, there is a massive demand for contractors, and its harder to get quality work in those times. We experienced that in the BR flood of 2016. 1,000 year flood. 

If you mean for a flip, the effect is that it will pare down your interested audience. Some will be apprehensive about buying a home that has flooded recently. This may lead to a lower ARV and a longer sit on the market.

For a buy-and-hold, personally, I’d stay away. The longer you hold the property, the higher chance that you’ll experience a flooding event. You never know how long it could take to get your rental livable again, as in these cases, good contractors will be hard to come by. Not to mention the flood insurance dinging your bottom line.

I haven't done a BRRRR deal yet, but that's an awesome method I'd love to use. Still trying to build up some capital by doing some flips first.

Following for others' advice.

Congrats on the graduation, job, and new life direction!  It's always good to see new young investors in BR.  Hit me up if you ever want to chat, or discuss any potential deals.

I'm a flipper and future buy-and-hold investor.  Check out our projects on HostAndHall.com (Still new, more content coming!)

Welcome, David!  Awesome story.

Following... need a good CPA that knows the ins and outs of REI tax law.

I don't always trust crime maps, but it's a good indication if you're not familiar with the area.  A brief stroll on streetview also revealed that just about every home has bars on the windows, too.  Pretty neighborhood otherwise, though!

Personally, that's too far north for me.  Higher crime and heading in the wrong direction.

As far as those rental rates, that seems about right for a 3BR/2BA.

@Nathan McBride We haven't done too much on this project yet (just closed at the end of last month), but I'd definitely say flips are equal parts fun and stress, haha!  I can't wait to see how it turns out.  I'll definitely make a post about it.

@Nathan McBride

Nice!  Yes, that makes sense - I doubt that too.  On a conventional, I think the bank would only allow seller to cover closing costs and funds for minor repairs on the inspection.

5.5% isn't bad at all for a commercial loan!  That's usually the rate I figure in today's market anyway, when performing CF analysis.

It's a block off Government.  I love the area and where it's heading - right by BR High, French Truck coffee, Elsie's Plate & Pie, etc.  The area is ripe for turning homes around right now.  You already have the commercial investment in improving the area, and certain pockets have skyrocketing home values.  Yet, there are still many old homes with abundant character for great prices.  They all need TLC, but that's what flippers are for, haha.

I never thought I'd end up flipping, as I didn't consider it as a real "investment," per se, but I love the idea of reinvesting the funds into buy-and-hold.  Great way to get great investment capital!  I also think it's much easier to find a flip deal that makes sense to 50-50 split with a partner than a buy-and-hold deal.