All Forum Posts by: Hunter Reed

BP community I have recently ran into a roadblock with my FHA requirement. This morning I viewed an investment property to house-hack. The listing agent told me that the house would not pass the appraisal/inspection. This house needs improvements.. I would not possibly be able to finish any fixes that could be flagged during the appraisal/inspection. My lender did not mention any information regarding the stability of the property. Is this true?

Elbert,  referrals are key in order to find the contractor that fits your interest. Talk to PMs and Agents in the area you are investing in. Once you have a list of referrals, follow up with a phone call for each contractor referral. Make sure that the contractor agrees to being paid after each section of the project is completed. Example: once the flooring is completed they will be paid, once the drywall and sheetrock is completed they will be paid, once the plumbing and electrical is done they will be paid etc.. This will ensure that they are not overcharging you. Not every contractor will agree to this clause. The entire project should be done in a specific amount of time. Outline a clause in an agreement that states if the project is not completed by xyz there will be a payment penalty in effect. The clause should also state that if the project is completed before xyz then there will be an incentive. These clauses that are created in the agreement will ensure safety in the court of law if the worse comes to worse. Hope this helps.

Good morning from Emporia, Kansas. I have recently received information from a close relative on what it seems to be an incredible off market deal. 

Jenks Deal: (3bd 2bt, 1,948 sqft, yr built 1974) The couple that owns the house in Jenks OK are retiring in Arkansas and have already closed on the Arkansas property. The Jenks property is paid off and they NEED to sell the house by the end of April. The Jenks property has undergone renovations and should be getting close to finish. The owners of the Jenks property want $250,000... The comps in the area show $225,000 fair market value.. I believe that a cash offer of $125,000 - $150,000 is far more attractive. I have a cash buyer ready to pull the trigger. There is $90,000 on the table to be made. The property may sit for a year before interest rates come down in order for the property to be sold for FMV. Do I follow up on this lead and get my cash buyer involved or is there important details that I'm over looking? What should I do?

 Thank you Macro for the wise insight. I will continue to educate myself around these different financing mechanisms. Have a great day. Looking forward to chatting in the future.

Hello BP, my name is Hunter Reed I am a rookie Investor. I am currently reading "Investing in real estate with no and low money down" by Brandon Turner. I have discovered seller financing and the creativity behind the concept to fund an investment property. I'm looking to get skin in the game asap while I wait on getting pre-approved. My question to the BP community is what are some Pros and Cons of utilizing seller finance? Maybe some of you have used this method in the past. Did the concept pay off or was it a failure? I am also aware of the due-on-sale-clause as well as potential higher interest rates. Any feedback would be greatly appreciated. Thank You.

Sincerely,

Hunter Reed

Thank you Jeff! You are defiantly right about finding realtors in my area to broaden my perspective on many different deals available. Although Im still in the process of building capital, my mentor explained to me I need to analyze as many deals so that when the time comes ill be ready. With that being said how should I approach a realtor for deals without having any capital to invest? 

cordially,

Hunter Reed

Hello everybody, my name is Hunter Reed. Im 21 years old and currently gaining as much knowledge as possible about real estate. My QUESTION is which MLS site is the most efficient??? I don't want to waste money on a scam. Trying to start analyzing as much deals as possible.

Sincerely,

Hunter Reed