All Forum Posts by: John Frank

Looking for any and all services, investors, contractors, realtors, inspectors, etc.

Gentlemen:

I can't say that I am from the Pittsburgh Area but Pittsburgh is the closest to me in terms of large cities.  I am focusing my investing mostly in Washington/Westmorland Counties and I am reaching out to anyone that could provide any help outside of Pittsburgh and Allegheny County.  If anyone knows of anyone that provides services in those counties please let me know.

Thanks.

Excellent information!  Thanks!

What sheen of paint does everyone use for there house flipping properties?  I usually use eggshell on ceilings and walls and semi-gloss on trim and doors. 

My name is John Frank and I am a recently new investor. I did have two properties that I purchased back in 2006 in which I did the famous BRRRR method where I bought them, rehabbed the properties, rented them out and then refinanced them. however I forgot to do the last R and that is to repeat. I was in my mid twenties at the time with a job that kept me local allowing me the time to manage these properties. I later got a job working out of town which made it difficult to manage the properties at the time so I decided to sell them both.

Now that I am older, settled down with a wife, kids and a home of my own, I am ready to get started investing again.

I have recently purchased an REO property with the intention of flipping to gain some quick cash. I am half way complete and I am on budget and on time. Hopefully I can continue to make this a profitable first flip. I am also in the process of purchasing my first four-plex in our local college town to use as a college rental.

My long-term goal is to flip properties to earn quick cash so that I can invest into rental properties for the passive income and long term wealth.  At some point I plan to replace my income from my job, with passive income from real estate.

Just to give an update to my original post:

So I offered $120,000 on a 4 unit 11 bedroom property (Old colonial single family property that was converted to a rental unit) that the owner was asking $169,900.  The reason behind my low offer is that currently the property is operating at a 30% vacancy rate with $11,000/yr. maintenance cost.  It is in the need of some updates and repairs that the current owner is aware of but doesn't want to deal with anymore.  The counteroffer that I finally did receive from them was $199.900, higher than there original asking price.  At this point I put together another offer of $138,500 with further calculations and backup.  They have now come back to me with a counter of $155,000 and possibly willing to owner finance.

This is all great advice.  I appreciate all of the feedback.

Does anyone think that it would be worth me paying for a professional appraisal to prove the value of the property?

I offered them 70% of there asking price.  The property is in the need of some updating/repairs which they are aware of and have acknowledge. I believe that there asking price would be reasonable after the repairs were made. 

From what I understand, the sellers are looking to just dump the property.  They have owned the property since 1984, they are now in there early 80's and live out of state.  My broker warned me prior to making an offer that they are very difficult people to deal with. 

I have been looking in my local college town for a college rental.  I found one that the numbers worked out giving me a good return.  I have currently put an offer in on the property providing calculations, property estimates, etc. explaining my offer.  We had given them 10 days to review and respond to the offer and today is the last day before that offer expires.  The realtor that I use for most of my transactions (and is a friend of the family) is the one selling the property for the current owners.  He has spoken to them a couple times but has not gotten any form of counter offer.  Not sure how to proceed from this point forward.  I am not really ready to give up on the property but I don't want to go back to them with a higher offer after not receiving any kind of counter.   

If the Real Estate Agent that I use for most of my deals is selling a rental property that I want to purchase, should I get a different agent to represent me in the purchase of this property?