All Forum Posts by: James A.

@Anthony Pace Neil Junker http://www.oconnellandassociates.com/ he is doing another one for me in upper fells.

@Scott Lepore great to hear you are coming to baltimore.  I know Baltimore has one of the higher gross profit spreads, I don't  think it is too much of a stretch to net 40k+ deals.  Like most the country, profit margins have shrunk and it is harder to pick up something for 100K that you are going to sell for 300K.  I also have noticed contractor bids have gone up.  I just finished a project picked up for 96K and we have on market for 400K but I think I will sell for closer to 380K, it was a value add where be bumped out the back.  I know one deal they picked up for 120K and sold for 610K, that one was impressive.  But the key to the big margin spreads is to source your own deals. If you have time when you get in town, would be great to meet up and compare notes.  Good luck, let me know if I can help in anyway.

@Tre Craw as an investor in Baltimore.  I agree with @Ned Carey, wholesaler are a dime a dozen but i do believe they do serve a purpose.  If you are putting  your customer first, investor, I think you will have more business than you can handle.  Seems like alot of wholesalers are just throwing things out to the market seeing what sucker might take it and bc the market is so tight things are getting bought up that are not good deals.  I just encourage newer investors to always due extra due diligence and bounce the deal off multi other people when dealing with wholesalers!  Good luck, I hope you will be one of the good ones.

@Rob S. I think in this type of market, opportunities come with a little more digging and creativity.  I wouldn't say numerous if you are looking on the mls.  But i think you absolutely have the right idea by thinking out of the box, bc row houses in Baltimore do have walk out basements and you can use that as an extra bedroom or make it look nice and air bnb it. As matter of fact I had mentioned in another post, i completed a chap renovation that has a walk out basement, I put in a full bath in the basement and it could easily be rented.  I like Hampden alot because younger families who still want the city amenities but don't want to be in the city are moving there.  But you do have to be careful not to overpay if you are looking to move out in the future and have it cash flow well.  I know the person who bought the house next to my rehab in Upper fells purchased it for $148K and supposedly upper fells gets strong rents, it was a 3 bed 2 bath and they refi it for $273k.  Hope you gave you some helpful info.

@Sarah Parkin Welcome to BP.  I just got done with a chap renovation in upper fells.  I used a contractor who my partner had worked with before and it still was a challenge.  I am in the process of buying another one in the same area and plan on doing a very similar renovation and I have got recommendations by asking around and being part of different investment groups.  

But i have been learning that every relationship with contractor is going to have challenges.  My best advice is ask around, if you are focusing on an area and notice realtors who are listing alot of investor flips they probably know the contractor who is doing the renovations.  As mentioned before getting out in the community and talking with others who are doing the same thing as you want to accomplish.  

All that being said even people who come recommended might not be a good fit for you.  One thing that will save you alot of headache is to have the conversation up front with every contractor and make sure that they are willing to sign a contract.  Communication and setting expectations ahead of time is a must.  I have also learned you can tell how much someone knows just by them explaining things to you.  I had a contractor who has 20 yrs experience; he was explaining R value of insulation and what the city requires for additions.  Verses a paper contractor who might be newer and not as seasoned and be knowledgeable about what needs done but put the flooring down at the begin of the finishing and the floors get all marked up and end up replacing alot of flooring that gets ruined.   If you are hiring a general contractor make sure they are holding their subs accountable.  Hope some of the information helped!  Hopefully will see you posting your new rehab soon :)  1815 Gough St upper fells is my project let me know what you think

@Account Closed I think you absolutely have the right idea!  I know also if you are able to work it out where you can find a fixer upper, you can do a 203K loan'; where you can get the reno wrapped up into your loan.  I think you would be best off buying something in Fed, Fells, Canton, Upper Fells, and Patterson, or Hampden where you have a good demographic that would suit your strategy. 

If you are a first time home buyer take advantage of the free money that Maryland will give you toward closing costs or some programs give you toward down payment.  You have soo many advantages getting into something owner user without having to come up with alot of your own money.  I was looking a property about 3 months ago Fell/upper fells and the one next door was just purchased, 2 bed and the guy said he just found someone to rent his other bedroom.   I am bullish on Baltimore and think you are getting in at a great time!  

@Giles Ferrell I am not sure if you want to target underprivileged areas for personal reasons or what areas you were looking at, but sounds like you are looking to get into fixing n flipping and I would agree with @Matthew Paul. 

If you want to rehab for retail, you want to be where buyers are buying.  I would recommend getting with a local agent who knows Baltimore or another investor and figuring out what areas are solid.  If you are flipping to sell retail, focus on owner occupied neighborhoods, usually you say good schools if you are in the county, if your in the city they are less of concern.  City areas amenities is the focus  Canton, Fells, Fed, Patterson Park, Hampden .  Take some time to do your research, visit the city or different areas multi times.  

As for the capital, if you don't have your own, either borrow from family or some other source or you have to find someone who will partner and you convince them that you have some skill that they will benefit from partnering with you.  If you are talking about doing an entire redevelopment of an area, then you are talking a whole different level, but I would say walk before you run.  There are local banks that will give loans for rehabbing but like @Ned Carey gotta have your ducks in a row.  Happy to help any way I can.  Good Luck

Hey Dequan.  You are in an area where there are a ton of different meet up and investment groups!  Start attending the different groups and you meet plenty of people who wholesale and social media, like youtube.  There are plenty of people these days talking about what they do for seller leads.  Good Luck

@Lauren Van Slyke welcome!  Think ur background in facilities gives a good start.  I think a lot of the organization skills and dealing with contractors are the same things u are doing in project management.  

@Samantha Hyatt welcome!  Great to hear you will be taking the plunge and think you  and your husband have the right idea with house hacking!  I think it gives you alot of flexibility to do different things with the property down the road.  I think buying a small multi using a fha you can get into something in Baltimore for min. down and get experience with self managing the property.  Seems like you are no to far from Baltimore so i would suggest spending some time researching and visiting the areas you want to live/invest in.  Lots of investment groups in the DMV make sure you start checking some out and talking to other investors.  Also Maryland has one the highest foreclosure rates in the nation and have some programs where they give preference to homeowners over investors so you could find a great deal