All Forum Posts by: Whitney Hutten

@Nicholas Blaylock To answer where to keep your money, a high interest bearing savings account might be best (check out Ally... ~2%).  You don't want the nest egg at risk of the markets and other volatility.  And 6-8 months really is really short.

To answer how to build up savings faster, once you have banked all of the savings you can possibly reap by lowering your expenses (especially in housing, transportation, food, healthcare, taxes) here are a few ideas:

• Sell stuff you don't need on Craigslist 
• Find a gig (Uber, Lyft, Task Rabbit, Rover, etc)
• Get a second job (not fun... but think about it... check out Virtual Vocations, Flexjobs, Werk)
• Freelance (got a skill you can market on the side? Check out Fiverr, Upwork)
• Crush it at work and negotiate a raise
• Go find a lateral move or promotion at another company and crush it with them (typical moves yield 8-10% in increases)

OR...partner up with someone and provide the hustle and time (they bring the money) and you get started investing tomorrow!

What part of the foreclosure is it in?  You could try and call the bank directly.  I've had limited success with this, and you may get someone to give you more specifics on timelines.  But you will probably just have to wait...

@John Smithe I would invest in the types of homes and areas much like @Ryan Mullin mentioned and be sure you have multiple exits (rent, refi,   However!!!  I wouldn't buy retail.  I would buy low, rehab, rent, refi, repeat.  This makes your capital go further and protects you in a market decline or the need to flip a property.  
OR buy a MF unit (second option), partner up with others for a larger deal (third option).

@Daniel Martinez There are special lenders out there that specifically lend on homes that need to be rehabbed.  So the condition shouldn't matter as long as the numbers work to complete the project.  This could keep your capital freed up for future projects.  Feel free to PM me and I can share a few of my lenders I've used.  

I echo, Steve's advice AND 50/50 is not a horrible split either. I'm currently partnered on a flip where one party is doing the "legwork" and I'm bringing capital and personally guaranteeing the loan. We've split all out of pocket costs 50/50 so we are both aligned to A get it done and B get it sold. As you negotiate the split, also talk about who is bringing any construction overages, timelines, and contingency plans should the property not sell as expected (ie. how / when will you exit). AND get a good JV document in place. Can't stress that enough ;)

I like hiring out a crew (option #3).  Keep all of the auditing issue on someone else and keep overhead low.  I'm sure there is a breakpoint on costs.    Do you have enough deal flow all year around to keep personal crews busy?  I hear that being one of the biggest objections to hiring your own crew.

@Tanner Gish   I agree!  But I'd add 1 more step.  1. Get a locksmith over there NOW and change the lock.  Lockout that contractor ASAP.  2. Hire WeGoLook (like $40) or someone local to get on site and give an assessment ASAP.  That way if there is an issue you can start wrapping your head around that.  3.  Get on a plane ASAP and get eyes on what is going on.  You are losing money every second this property is not listed, and you have no idea what is truly going on.  

Lastly, once you have all of that under control, call and file a grievance against the contractor's license (if he even has one) and get legal support.  I hope I'm wrong, but this could be a true mess...

Thank you for clarifying @Bruno Nunes .  I'm not sure I would stick it out for a deal that I "might" break even on especially given we are close or at the top of the market.  There are so many other deals out there where you can make money now!  

Super helpful info.  People want to move into a "done" home.  You will have an advantage with a fence in place AND less likely impact of the neighbors spoiling the view.  If you can afford to do it, I'd build it.  

@Leland James Guess what!  You just networked ;)  Have you thought about becoming a Pro member and working the Deal Finder on BP?  You could post your deals.  Or working with out of state investors (hint... hint...)?  

40% under ARV.... wow! With a crew in place! You just need to find 2-4 BRRRR investors who fit your model and you will crush it! Happy to talk more as I've worked this model in two other markets :)