All Forum Posts by: Jack Phillips

have you asked any of the cash buyers why they aren't interested in the property? That might be a good start... Maybe you offered too much to the homeowner. Its quite possible. If you did, you have to renegotiate with the homeowner

they never contacted me back ( I texted all )

Work those phones! Call!!! Don't text. Don't wait for a reply go and get a reply.

3 Votes

Hi all, Im a new wholesaler. I really need help because Im struggling to solve this problem on my own.

Ill give you a hypothetical scenario:

Lets say the ARV of a house is $350,000,

$ needed for repairs is $35,000,

and my wholesale fee is $10,000.

The formula I use in NJ is going to be ARV*80%-Repairs-Wholesale Fee = Max Allowable Offer (MAO). (IF YOU LIVE IN NJ AND USE A DIFFERENT PERCENTAGE IN THE FORMULA, I.E. 75% OF ARV INSTEAD OF 80% OF ARV, PLEASE LET ME KNOW THANKS)

so: $350,000*80%-$35,000-$10,000 = Offer Price of $235,000

If the homeowner has any liens or owes money for the mortgage still do I subtract the amount they owe by the offer price and only offer that much? Or do I offer $235,000 still and the title company will figure it out? Thanks a lot

0 Votes

Hi all! I'm new to Real Estate. I have some knowledge on how to give a rough estimate of repairs but I was wondering if any fix and flippers could tell me how they estimate repairs for a single family home virtually?

*Some context* I cannot hire a contractor because I am a wholesaler and do not have enough time to send someone to look at the property or even ask for pictures. I will have a brief description of the condition of the property from the seller. I will have pictures after the homeowners signs the purchase agreement to send to the cash buyer.

1 Vote

Quote from @Janice R.:

The legal description is in the property deed and the property taxes roll. Check the county (or city) assessor website and search by address.

Thank you Janice!

0 Votes

Quote from @Bryant Brislin:

Not everyone is going to know what is required in NJ. For deals in Texas, the standard form requires a legal description. Legal descriptions as far as what they look like, can vary on so many things and vary from state to state, but in general, for regular houses legals look something like "Lot X, Block X, X Subdivision, etc", i.e. Lot 2, Block 10, Johnson Subdivision.

Thank you for the help!

0 Votes

does anyone know?

0 Votes

would this be a legal description for a property?

The lot is 0.23 AC. has property class of Residential, and is located in Zone R-3The building was constructed in 1956, with building description of F1S1G, and a building class of 18. The parcel is located on block 3506 with a lot number of 14. The Assessor Parcel Number (APN) is 0248_3506_14

0 Votes

How do I find a properties legal description? Is a legal description required in a purchase and sales agreement contract? Someone in their video said I could find information on njpropertyrecords.com but I'm not sure where the legal description is. Anything is helpful, thanks!

0 Votes

Quote from @David Ramirez:

Quote from @Jack Phillips:

Quote from @David Ramirez:

Hey @Rose Miller,

When you have a buyer in place, you would have to sign an assignment agreement, which transfers your rights to purchase the property to the buyer for a fee. You will receive the fee when the transaction closes. Keep control of the transaction by maintaining communication with both the seller and buyer to make sure everything is set for a smooth closing.

Feel free to reach out with any questions.

hey David, so I'm a bit confused about inspecting the property. my questions are:

do we need to get the property inspected? Is that the wholesalers job or the Cash Buyers? At what part in the process do you do this? After you find a cash buyer?

There's no need to do a formal inspection of the property. Some wholesalers like to see it before putting it under contract, but for us, it's not worth sending someone to view the property unless there's a signed contract. We get them under contract based on conditions described by the owner, and then we hire a local photographer to get a video walkthrough and pictures.

We used to fix and flip properties before moving into wholesaling, so by just talking over the phone with a seller, we know how much it would need for repairs and we always prepare for the worst. If we get pics and video back, there would have to be something drastically unexpected for us to renegotiate the price due to an unforeseen bump in the rehab budget.

When you have a few vetted buyers interested, you could schedule a showing for them to verify the condition. Any inspections beyond the first showing would have to be after signing the assignment agreement, with non-refundable earnest money deposited. That's how we work.

Thank you so much!!! I'm still learning everything. I made a guide on every step in the process and right now I'm specifically focusing on: my script, how to comp, how to find ARV, how to calculate/estimate repairs, and also filling out the contracts.

Do you have any recommended videos or something I can use to learn how to find ARV, estimate repairs, and how to comp? I know you said you used to flip houses so you had a rough idea going into this of what the repairs were gonna be. This is the toughest part about wholesaling from what I've read up on so far. So any help would be greatly appreciated! Thanks again!

0 Votes

All Forum Posts by: Jack Phillips

Jack Phillips has started 9 posts and replied 33 times.

Post: I got a property under a contract a couple of days ago and I am having hard time sell

Post: How do I include mortgage, liens, etc into offer price?

Post: I got a property under a contract a couple of days ago and I am having hard time sell

Post: Calculating Repair Costs Virtually

Post: Legal Descriptions - Wholesaling Advice

Post: Legal Descriptions - Wholesaling Advice

Post: Legal Descriptions - Wholesaling Advice

Post: Legal Descriptions - Wholesaling Advice

Post: Legal Descriptions - Wholesaling Advice

Post: Need more Knowledge