All Forum Posts by: Guillermo Kennedy

Hi Ray - thanks for the advice.  I think this is the route that we're going to take.

Wayne - appreciate the feedback you provided but think we're going to try our hand at this a few more times.  Where there's a will (and an awesome BP Community!) there's a way!

Hi Wayne,

Wow - thanks for the speedy reply!

Hello BP Community - need your advice/help!

My business partner and I are looking to rehab and flip REO properties and were able to secure funding to do so (awesome, right?) The issue that we have is getting into a property that we can rehab and flip in what is considered a relatively hot market. We have seen quite a few REO properties where we enter bids only to lose. I am taking the advice of "sticking to the numbers" and not "getting caught up in emotions" during these bidding wars so that we don't overbid and end up losing our shirts, if you will (BP rehab and flip calculator has been invaluable when it comes to creating safeguards around our offer numbers....). Some of the listing agents in this market also seem to either be overwhelmed (rude attitude) or a bit whimsical (do not return phone calls) as it appears that retail and cash buyers are jumping into their laps like a bear waiting for salmon swimming upstream! We are still pushing forward but would love some advice as to how we should navigate this market. If there are any wholesalers, investor friendly realtors, investors, or others who are familiar with Essex County, NJ (particularly Newark, the Oranges, and Irvington) would be more than happy to hear any advice you are willing to offer.

Also, we are currently waiting to hear back from a bank via the listing agent to see if we won the latest bid on a property. In the interim, there are other properties that seem like very good deals. Should we continue to send out offer letters on these other REO properties or wait to hear from the bank (it's going on a week and don't want to miss out on other potential deals while waiting to hear back from this agent). If we send out multiple offer letters and a few of the buyers approve, can we select the best deal and turn down the others without creating an issue or attaching bad will to our name?

Willing to do the work but at the same time feel a bit stuck as we have yet to secure a property to rehab. 

Thanks BP Community!

Hi BP community!

Seeking contractors for property walkthroughs and can provide estimates on potential rehab and flip projects in Newark, NJ.  Referrals and recommendations are more than welcome.  Should be licensed, insured, and bonded.  Feel free to forward contact information.

Thanks!

Decided to register the LLC in NJ as it is where we are going to start out (and it's much cheaper than registering in NYC!).

Hi Vinh - were you able to finish the deal?  What were the results.

Hi Jessica ,thanks for responding with such useful information!

My business partner is situated in NY so we decided to register the LLC there. I was also curious about setting up the LLC in another state such as Delaware or Nevada as these states tend to be more business friendly then NY or NJ. Trying to minimize costs as much as possible while giving ourselves the appropriate business structure (and the legal protections/tax benefits they afford!) for our REI endeavors. Any additional information is more than welcome as I am hungry to learn! Thanks again!

Hello BP Community,

I am looking to set up an LLC in NYC and heard quotes of up to $1150. This seems a bit high to me (but then again we are talking about NYC...). Does anyone have an idea of what it would or should cost to create an LLC in NYC and what websites may offer free of fairly priced LLC documents for filing?

Thanks!

Hi Vinh,

Thanks for taking the time to reply and add to my learning experience.  Much appreciated! 

Hi - here to learn.  

Vinh, are you purchasing this property all cash, a conventional mortgage, or some other means?  Reason being is that I didn't see a cost for mortgage payment in your Expenses (yearly) breakdown.  I imagine that this will affect determination as to whether this is a good deal or not.  Also, is this a ready to rent property?

Thanks!