All Forum Posts by: Scott Graves

@Todd Whiddon Congrats on putting it under contract.  How do the numbers look compared to your estimates in terms of the sales price? 

I was looking at a place last week that was a pop top candidate.  I don't think that one will work, but I am actively looking for other.  Thanks again for sharing.

@Wendell De Guzman 

Wendell. I was using HML more as a generic term meaning that you are lending against a hard asset. You are not a conventional lender. I understand the difference between what most people refer to as a private lender and a hard money lender. The question was related to what type of infrastructure (licensing, biz entity, etc.) do you feel like you need to have in order to do the type of lending you are pursuing.

@Wendell De Guzman I appreciate your posts. I have been considering raising some capital to do some lending on fix and flip projects in Wisconsin. From the limited research I have done, based on lending to non owner occupants, it appears that there is little licensing requirements. I certainly need to research more and talk with some legal professionals, but was wondering what types of licensing requirements, or otherwise, you need for HML in Illinois.

@Todd Whiddon completely agree about broadening one's horizons.  By the way, I see from one of your recent photos that you have a QR code on your sign in front of the house.  Based on what I can see from the sign, I assume that links to your website with a message about you buying houses.  Do you also have a phone number on that sign?  If so, what percentage of people click through to your website versus call the phone number?  Have the QR codes been effective for you?  I like it.

@Chris Clothier Awesome.  Great to see this type of post and it helps to create excitement for others to see your success.  Please keep sharing and keep growing.  Interested to hear what new markets you are considering and pursuing.

This is a great post.  I have been looking for properties to do this very tactic for a couple years.  I think it is great for you to show that even very experienced rehab guys can have what seem like "stupid" mistakes, but the reality is that there is a lot going on with a major rehab and having an older copy of plans on site is not at all uncommon.  That last photo of yours that shows the beams ending about a foot short of your exterior wall is priceless.  It is great that you are able to show that these things just happen and you pick yourself up and figure out the best way to resolve and you move on.  And then ideally you put in place a system or procedure that prevents it on future projects.  Love the post and your candid display of how this stuff really works.

Great place to learn and share. Welcome.

@Grant P. What does it cost you to build that 2000ft house?

Exterior looks great. Seems to me you would want to have some of the hard wood down prior to showing people, but I understand the desire to get some people in there. Kitchen and balance of the finished work may be enough to generate offers now. Good luck.

Arnie Guida One of the advantages for J Scott is they have been using their own funding for most of their projects. In any case, most of the projects that he has completed, did not have any financing costs. For those that use private money, or even more so with hard money, the financing costs can be a significant amount. Especially if you are looking at a $250K price point in terms of purchase price and rehab expenses.

For instance, one of their newer deals is a house in wauwatosa that I had viewed. I would have had to buy it much lower than they did in order to make it a good project. That is partially due to financing costs and partially because I thought the margins were too thin on that deal.

J Scott I am interested to hear more about your ideal real estate town.