All Forum Posts by: James A.

@Tim Youse  Congrats on getting started on looking.  I had looked for three months, not official number, but probably about 100 properties before I found a great deal.  I had people telling me left and right just take this deal just take that deal.  I am a numbers guy so I stick to the numbers and I landed a deal that will gross about 90K+ fix n flip, so keep grinding.  It can be frustrating so stick with it.  As for your situation with a rehab someone has already started.  Another idea is trying to contact the person who dumped it.  I know for them it might be a sore subject but you never know they might tell you alot of valuable information.  If you they don't want to talk well u really lost nothing.  Another solid idea that i heard in one the pod cast is when you are first starting it is worth getting an inspection done.  They will be able to tell you alot good information and if the numbers work that you think it is worth going after then at least that inspection give you some security if something really is messed up that you did not id.  I hope some of that info was helpful.  I am out of Baltimore as well so feel free to reach out and am always happy to help any way that I can.  

@Frank Inman Thank you for your service!!  Everyone is going to have a different option about this but my view is that money is still cheap so take advantage and leverage it.  Seems like you are into the buy and hold thing so if that is the way you still want to continue I would try to make your money stretch as far as you can and get into as many units.  Good luck and let me know if i can help in anyway.  I am out of Baltimore.

@Vern M. I actually recently had the same revelation!  I come from more of the business side but realized, why am i not doing this real estate thing for myself.  So wanted to congratulate you!  If you want to know about development there is a site called bisnow, might have heard of it, but you can subscribe and they have some great info about development and what is going.  Lots of great internet resources.  I am local in Baltimore and always happy to help with research and anything else I might be able to contribute.  I wish you best of luck and hope to see you around the investment community. 

@Maurice Brown  Welcome to BP!  Don't worry at all about being a beginner, everyone starts somewhere.  The most important part is that you have taken the step and made the decision to get started so pat yourself on the back!  I truly believe everyone has something that they exceed at; so you have to highlight it and then lean on others who might be better at things you might be weaker at.  Trust me i am can defiantly relate to the newbie jitters bc I am newer to being an active investor but have ramp up quickly bc I have been open to working with more experienced people and am constantly trying to learn as i go.  

So lets get to your situation, seems like we might need a little more info about the deal to really give you some specific advise.  If you are truly as new as you say you are it is really hard to evaluate a deal urself unless you have some kind of background from your job that qualifies you.  If you are really sure this is a deal and you have the means to buy it, I think @Anthony Dooley is right about getting a buyers agent.  They will hep protect you and should be helping you do all your due diligence.  If you want another set of eyes to look at the deal I am local and my background is commercial real estate research so I am very comfortable in evaluating deals.  Feel free to reach out to me directly or just post more details and you should be able to get a pretty quick response if this is a deal or not.  I am always available to help in anyway that I can and hope to see  you continue on your journey!

@Zack Clopper congrats on taking the plunge into RE investing!! Seems like you are already off to a great start. I am a huge fan of the Podcast, just listened to the most recent one and was a great show! Not sure where you live now, but Baltimore REIA is another great group. They have a diverse group; doing little bit of everything, great place to network. I also would recommend just subscribing to all the meetup groups that are involved in real estate bc then you get access to the email threads and I have made some amazing connections through that as well. Also if you are looking to get into rehabbing they have a group that holds their meetings onsite of someone who is rehabbing a place which is really cool to attend one of those and great for networking as well. I am also looking to get into a small tri or fourplex; i like the idea cash flow. Let me know if i can help in any way. Feel free to reach out anytime and hopefully I will see you around at one of the meetings.

@Mike Stahlman  Unfortunately I don't have a clear answer.  I do know a lawyer is the best person to consult and a licensed RMLO can neg the terms with your potential buyer.  I remember listening to a pod cast, not sure what number, but it was with Grant Kemp and he spoke about doing wraps and owner financing.  I am really interested to hear from an expert as I am considering doing this with my house when I move.  I wish you the best of luck.

@Matthew Rollo Oh sorry completely misunderstood that. I can speak about JV, I think that is what you are referring to. Your local investor clubs and meetups are gold minds for that. Let people there that are doing what you wanna do, know you are looking to JV. I actually just got into one with a woman who we connected at a meetup and let her know what I wanted to do and we have kept in touch and are taking on a project together. Good luck and hope you find a good partner.

@Damon Wong Great to hear you are looking in Baltimore! Wanted to let you know i am here locally and have spent the last three months looking and found a very solid one that I am actually JV with someone more experienced bc it is going to require us to blow out the back and add sqft. I would not take on a project like this myself bc i am newer so it make sense to partner with someone who is more experienced. Yeah you have to share the profit but the knowledge you gain way out trumps the $$$. I actually went to an Auction week ago and 20 other investors were there. The property Arv was 140 and got bid up to 75k plus the auction fee and needed 30K. Am sure you can do the math, don't think they were fixing and flipping but my point is that auctions get competitive so make sure you know your numbers going in and stick to them. Just wanna let you know that I am a resource here and def feel free to reach out. If you aren't that experienced don't let that discourage you, make sure you are being smarter and more diligent. Don't know how familiar you are with Baltimore but might not hurt to take a day drive up and look at some neighborhoods. Hope to see you posting about your new flip soon!

@Matthew Rollo i didn't see your last post but I am assuming you are using the 70% rule for a fix and flip.  You just gotta remember it is a rule of thumb.  It depends on your hardmoney if you are using it, your realtor if you are using one, not sure what closing cost are like in Orlando remember you are closing on the purchase and closing on the sale,  Also your repair cost can eat into that alot if you get those wrong.  Also make sure your agent or someone who has access to good comps or is knowledgeable gives you a second option.  I actually just looked at a place where i thought the value was 15k higher than what my agent said they really were and was using the 70% rule on the higher number.  So just remember to due your due diligence and use the expects around you to double check.

@Kami S.  Congrats!  thank you for sharing and the reno looks great!  Just wanted to ask about your formula or how you came to deciding this was a good deal?  Looks like based on your number your gross was 52K was wondering what your net turned out to be?  Glad to hear you stuck it out and held out for a great deal.