All Forum Posts by: Gerald Renoe

I attended the webinar yesterday and have read the CI CEO's response to other threads here on BP. It looks to me like what CI has done with PiN is to aggregate many sources of REI leads. While that is a highly valuable service it does not seem to warrant the very high price.

Also, they are shooting themselves in the foot by making huge claims and grandiose predictions. The webinar felt more like a late-night infomercial rather than a solid presentation for a legitimate product. 

Having said that, I may try it. At a minimum it would help me quickly vet all those lead sources versus trying to figure them out 1 by 1. 

Looking forward to seeing everyone there!

Hi, @Robert Freeborn

I suppose that it might be more accurate to call this a live-in-flip. I have seen the term "house-hack" used for two different things: 1) Live in a house while rehabbing, and 2) Live in a house and rent part of it out. So this was a #1 version house hack or a live-in-flip. (I suppose you could combine #1 and #2 above, that would be a real hack!). 

I owned the house just over 2 years. That was always the plan. Buy it right, improve it, and sell as soon as I was clear of the capital gains tax at 2 years. 

We did make a profit. After all costs we cleared $50k NET. We could have easily achieved a higher margin but probably did a little too much. It was a blend of a home and an investment. If it was a pure quick-flip I would not have put so much into the landscaping and would have cut back a few of the internal pieces as well. 

Gardening and landscaping are by far my biggest passion. I'd be happy to help with your next project! ;) 

Gerald S. Renoe
Miami, FL Metro Area

Active Investor.

Looking for Sub-Syndication Opportunities!

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $315,000
Cash invested: $30,000
Sale price: $419,000

House Hack. I did all of the landscaping myself.
https://www.redfin.com/WA/Tacoma/8716-46th-St-W-98466/home/2801957

What made you interested in investing in this type of deal?

I love to transform houses into something special. Houses should be investments not liabilities. I love landscaping.

How did you find this deal and how did you negotiate it?

MLS - Agent. The owner was motivated. Did not have to negotiate, the price was right for the market.

How did you finance this deal?

Traditional 30 fixed.

How did you add value to the deal?

Did all the landscaping myself. Staged it myself. Painted inside myself.

What was the outcome?

We sold in 48 hours in a market where everything around us was sitting 90 days or more.

Lessons learned? Challenges?

House hacking works!

As an investor moving from a few SFH rentals into more aggressive strategies I echo the sentiments of those that welcome the slow down. Deals are not hanging from the trees, hard to "buy low" without massive effort of time and or money. I do not want to see people loose jobs but corrections are reality. Feels like we are already, in many markets, in a housing slow down. I just sold a house hack in Tacoma WA and it sold in 48 hours, but everything else around me was sitting for 60-90 days, and just in the summer everything was going in days with multiple offers. I am in Miami now and its going to be very interesting to learn this market and what will work and what wont.

Gerald S. Renoe
Miami, FL Metro Area

Active Investor, Rehab, BRRR.
Looking for Sub-Syndication Opportunities. 

Hello BP!! I am starting out my BRRR efforts and as I calculate my MAO I also want to account for the ReFi loan costs (using 4.5%).

So, with Excel trying to give me "circular reference" warnings I have needed to do two separate calculations:

1) MAO - into which I manually insert my ATV: (ATV*.70)-Rehab

2) I then take the my total investment + the ReFi costs to arrive at an actual ATV needed to cover it all since I want to come out break even or as close as possible.

Is this solid math or am I off? 

I know there are online calculators but I want to and believe I need to work through the numbers on my own to build confidence and accuracy for my individual goals and deals. 

Thanks for input!! I have only ever done traditional buy and holds so BRRR is new to me.

--Jerry

@Andrew Postell thank you for the note! Probably need to post in the Marketplace also? 

@George Despotopoulos About 11 years ago. A very rough estimate - $205k. I'm not sure I can get enough out to justify the refi. Need to do more due diligence on this one. 

Thanks, Mitch! I'll hit you up directly!

Great thread! I am ramping up and I think a balance is the key. Of course, do not just do a deal to do a deal...that makes no sense. However, stay active and don't wait for a "perfect" deal, or as the BP team likes to say the "unicorn" deal. 

I personally am following this path: 1) Focus on my numbers and picking an initial market 2) Identify my sources of deal leads 3) Network like crazy and build a team before I do my first deal … then... go for it! 

I hope to do my firs deal no later than early January. 

Right now I would love to make South Florida work but its an inflated market.