All Forum Posts by: Jedd Braunwarth

I am actually going through this right now @Garrett Diegel. Normally I would agree with the others and never rent to someone who has an eviction but I am actually considering it! The applicant is still young but has turned a few things around in her life, has a job, going to college, their aunt and father both are willing to co-sign, I did background and credit on both co-signers and they are excellent with VERY good income. The applicant admitted they have since reconnected with their family, which is why they are willing to help her get back on her feet. And small world but I know her brother who is a very good guy! I just may take a chance on this one... The past is a red flag but everything new and in the future is great.

sorry for all of my errors! Didn't proofread before posting!

@Justin Daniel of nobody had helped you with lawn care shoot me a message. I use a guy that is very reasonably priced, does great work and is just in general a good guy. Started using him at the beginning of this year but since then have a him a couple more of my properties and my biz partner gave him more of his own as well.

What would you like to know about waukee and west Des Moines? Definitely growing and great areas. I have nothing to back it up but my gut feeling for my own investing is to stay away from going west as that is where the most apartment buildings are being built (because there is a need) but eventually it will be over built and I don't want that competition. Again, I have no data on that but I don't invest there for those feelings. I'd definitely have a personal residence there though!

David Dachtera I don't need to get off topic here but I have no first hand experience with you either but had to step in as I've read many of your posts over the last few months and to me (and I hope newbies) that you come across as snake oil salesman not a real estate guru. Smooth with the word but that's about where the knowledge stops. I may be wrong (and I hope I am and you are a good guy) but I wouldn't buy anything from you nor would I do anything for free with you. In fact I'd be hesitate to sell anything to you because of your posts. Now, I've read many of Jay Hinrichs posts. I have no experience with him either but would jump on an opportunity to do a deal with him. He seems far from cynical but rather honest and up front. Maybe this is why you take so much offense as the truth hurts...?

@Thomas Lonergan I agree with @Dave Weis. You have to let people know the deal and numbers if you are hoping anyone will bite and go into a deal with you or lend money to you.

@Kevin Manz yes most plumbing companies can do the camera work. Just call and ask.

Most camera reels have anywhere from 100 to 200 feet on the reel so there shouldn't be many sewers that are longer than that. Mine yesterday, length to the city main, was 65 feet.

Just adding keywords as many of my Des Moines, Iowa (IA) and Minnesota (MN) friends may appreciate hearing all of this!

Just curious on how many of you do sewer line televising while in your 10 day inspection period when buying a new property? If you do not I just wanted to share my experience with you to encourage you to do so. 

To start, right out of college I actually worked two years for a municipality and did some sewer televising myself. Doing this taught me about all different types of pipe, ages, ways of failure, etc. Being from the midwest, with water and sewer laying below the frost line, sometimes 6-12 feet deep it can get very costly to replace by excavation. Another option is pipe lining, which doesn't involve excavation, and can be quite a bit cheaper but some municipalities do not allow it. 

Because of my past learning about televising I pay a sewer company to come televise all of my potential purchases. Cost is around $200 to have done but it is well worth it. How has it been well worth it? Well, my last two purchases it has saved me roughly $20k+! The first one we found it had collapsing Orangeburg pipe. I backed away from my offer and the seller came back and ended up replacing the sewer for me before closing as long as we stayed at the original sale price. In the end, I got a great cash flowing duplex with a brand new sewer at no extra cost to me (minus the $200 I spent to get it televised).

Second and latest story that is happening now! I am in contract on a SFH right now and got the sewer televised ($210), it is an old house with clay tile sewer pipe which generally has a lot of root issues (very common) but not a deal breaker to me. Well the camera couldn't get through all of the roots. Since the seller wouldn't budge on getting the roots removed for me, I payed up on my own to have the sewer line jetted to get rid of the roots ($425) and then have them re-camera (I had to know the condition of the pipe before moving forward). I Didn't want to spend this money on a house I didn't own, especially if I didn't buy because now I just cleaned the sewer for someone else! Glad I did, because the sewer has a large hole in it, right under the biggest tree on the property. It also has an illegal storm water downspout connection which will be required to get fixed. I am in negotiation now with that seller and may walk away from the deal losing my $635 I spent on sewer cleaning and televising but saving me $10k of replacing a sewer as a surprise. But they are considering fixing it themselves or even dropping the sale price to me by $15k. All a win for me and money well spent.

The reason these findings are significant is now if I walk away the seller now has to provide this information as known on the seller disclosure. Everyone after me will now be aware the sewer is bad and obviously demand a different sale price.

@Dio Donnie what is the sale price, expected repair cost and ARV? Your question has no answer without more info. Do you know how the foundation can be fixed or of it even can be fixed. What due diligence have you done in order to help a potential investor purchase this property?

Carrie Angyal I think you are answering your own question in your last post. If the seller "pays" the $4000 then they get the write off and you get nothing. You only get a write off if you pay for something. If the sale price is higher to account for this, and you agree to the sale price, you are still not writing the check for the repair. Only one party gets the write off, the paying party. Now if you split the repair then you can both claim 50% ($2000).