All Forum Posts by: Jake Berwind

Certainly not enough. I enjoy reading the blogs and gaining as much knowledge as I can, but the contacts that you meet throughout the process is the greatest asset. Need to be on here everyday meeting new people. You never know who is going to have the next deal or who your next partner will be. 

If you want to drop out and get started in real estate, then drop out and get started in real estate. The connections you build in life are far more important than the classes you take in college! Have fun with the ride. 

If I could do it all over again, I'd skip college. The only portion of college that made it worth it was the fact that I was an athlete and enjoyed the experience of college football. Good for you for knowing what you want, knowing what you don't want and taking action. Network, make friends, gain knowledge that you can apply every day and fail forward.

I am wholesaler here in Jacksonville and I came across this deal on Zillow that I am looking to do a lease-option with. I sent the seller an offer, and she sent me back this reply......anyone ever have an offer like this come by. If so, let me know what you think!!

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Jake

I would write a Residential Lease with Purchase Option Agreement where you are the Tenant with ability to sub-let. The Agreement will auto renew each year until March 31, 2024 at which time payoff is due. I would include a payment agreement whereby you would pay a deposit of $1000 prior to beginning payments on April 1, 2019. Payments are based on a mortgage concept where I am the mortgage holder in first position, sales price of $45,000 against which your deposit is applied, 5% interest for an amortized term of 15 years and a 5 year balloon. This gives you a payment of $360. Per month. If you are late 21 days, the contract is terminated.

Assuming normal payments of $360.00 per month, the first year the payoff is 80% of the scheduled amount due, the second year the payoff goes up to 85%, third year 90%, fourth year 95% and 5th year 100%. For example at the 12th payment the scheduled principal payoff is $41,979, 80% of which is $35,682.15, which would be your payoff amount.

I would retain title until you pay off the loan, pay homeowners insurance thru 10/7/19, property taxes until you pay off. I will not be responsible for any repairs. 

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The property needs some repairs, but not much. Just some minor touch up stuff. I would rent it out for $760, leaving me with $400 a month that I would be cash flowing. I'd be looking to get 5-10k as a down payment from the tenant. 

Let me know what you guys think and if I should go ahead and do the deal.

If you're trying to work the deals as a wholesaler, the differences are basically in ownership and exit strategies. In both cases you will be placing a tenant in the home and receiving monthly cash flow and a large down payment. With lease-option, the seller keeps the house in their name and is liable for taxes. In owner finance, you are responsible for the taxes, but also have more power to do whatever you want with the property: flip, list on MLS, rent out, etc. Exit strategy on a lease option is dependant on the tenant. Either the tenant buys the property and you cash out the seller, or they don't purchase and you place another tenant in there, with another down payment.

Currently under contract:

1 SFH -- 1,800 sq ft. 3 Bed, 1 bath, 2 stories

1 commercial building that has been used as a restaurant in the past.

1 mother-in-law suite on top of commercial building (700 sq ft. 2 bed, 1 bath) 

All 3 of these are being sold as a package deal and are all on the same corner lot.

Message me directly if you are interested and I will share the address. Because I live in Jacksonville, I am looking for investors that either live in the Daytona area that would be able to go by the property to do the inspection. 

3225 Waller St. Jacksonville, FLA 32254 - This lot currently has a building on it, but the seller is willing to pay to tear it down.

3222 Lenox Ave. Jacksonville, FLA 32254 - Vacant lot

If you're interested message me directly.

I am currently looking for investors who are interested or open to funding just the down payment for a large multi-family deal, most likely in the $1-5mil range in the Jacksonville, Orlando or Daytona markets. I am wanting to purchase a minimum of 21 units. If you, or anyone you know in Jacksonville, Orlando or Daytona have some money that is sitting around or just not getting the returns in the stock market that you hoped for, let me know and we can get on a call or meet up and begin to discuss specifics as far as amount needed, payouts, etc. I'm not just looking for any deal, I am looking for the right deal and will continue to search until I find it!!

Feel free to reach out through direct message on here and we can connect more!!

Thanks!

Depending on how much you have, it might take too long to raise it before the deal is gone. I'd start asking around for the money. Friends, family, other investors, etc. Anyone can raise the money you just need to ask the right people.

Hey @Leigh Choate !

I hope you found what you're looking for! If not, @Ryan Robbins would be a great option for you. Lots of experience in flips and buy and holds!

Good luck!!