All Forum Posts by: Jennifer Roof

Quote from @Mike Klarman:

You can open an LLC at a place like Legal Zoom or Harvard Business Solutions. Might take you 20 minutes or so.

I think it's fabulous what you intend to do about our veterans.  They are a much forgotten group and that's kind of a disgrace.

I also have great deals cross my desk all the time in PA and S.Jersey, be happy to share if you ever wanted to take a look.

Thank you for the encouragement. I grew up in Pittsburgh so doing some in PA in the future may be of interest in the future. For now looking close to home in NC

Quote from @Nathan Gesner:

Quote from @Jennifer Roof:

That's a noble thing to do. My goal is to earn $300,000 annually so I can give $100,000 or more to charitable endeavors.

Why do you need an LLC for hard money loans?

 That is awesome! I hope you reach your goal of $300000 a year. Have you been able to meet this goal previously or are you in your first year.

Quote from @River Sava:

Hi Jennifer, welcome to BP!

I am in Charlotte and Fayettville is a great spot if you are looking to flip and/or BRRRR. If you are looking to open an LLC in NC then you need to go through the NC Secratary of State. Good luck and I would love to connect!

That is what I have been seeing when I look for property. Fayetteville seems to be a good area for us. Thank you for letting me know where to go for LLC. I am grateful for your offer to connect. I would love to talk.

Quote from @River Sava:

Hi Jennifer, welcome to BP!

I am in Charlotte and Fayettville is a great spot if you are looking to flip and/or BRRRR. If you are looking to open an LLC in NC then you need to go through the NC Secratary of State. Good luck and I would love to connect!

Hello everyone! I am excited to become part of the bigger pockets community. My husband and I have remodeled homes we live in while working full time. We have been very successful at increasing value for resell, but are ready to flip homes that we do not live in. Our ultimate goal is to flip enough homes to gift a home to a disabled veteran once a year, while also padding our retirement fund. Can anyone point me in the direction of where to go to open a LLC? I am looking to fix and flip and understand I will need one for hard money.

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $295,000
Cash invested: $22,000

Before moving into this house we had to add piers under the hours as the previous were not grounded with cement. We also had some exposed wires under the house that required some minor electric upgrades to bring to code. We are remodeling the home one room at a time. We are on the kitchen at this point. Will add pics when it is done. We have decided not to flip this as this is our forever home. However, we do plan to pull out the equity in the near future.

What made you interested in investing in this type of deal?

Property was built in 1970's and had not been updated since then. There were a few foundation and electrical issues, but most of the updates were cosmetic. This was a great home for us to live and work on while both of us work full time.

How did you find this deal and how did you negotiate it?

Real Estate Agent

How did you finance this deal?

VA loan

How did you add value to the deal?

Added piers in foundation, repaired electrical issues. Hard wood floor replaced all carpet in the house. Add walk in closet & larger master bath. We added a full bathroom in another bathroom to create 2 master suites. Added a half bath for guest. Removed wall to make floorplan more open. Currently in the process of remodeling the kitchen

What was the outcome?

so far so good

Lessons learned? Challenges?

Everything costs more than you think it will. Budget extra for overages

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $95,000
Cash invested: $30,000
Sale price: $173,000

Purchase price – 95,000
Closing costs at purchase & sale - $6800
Total renovation costs $21,935
Sold for - $173,000
Total profit – $49,265
https://www.zillow.com/homes/11311-marbern-dr-hagerstown-md_rb/37683475_zpid/
https://www.realtor.com/realestateandhomes-detail/M5889931134
https://www.redfin.com/MD/Hagerstown/11311-Marbern-Rd-21740/home/15360019

What made you interested in investing in this type of deal?

I was looking for a home we could live in while remodeling.

How did you find this deal and how did you negotiate it?

Used a real estate agent

How did you finance this deal?

VA loan

How did you add value to the deal?

Remodeled every room in the house. Added new windows. Updated everything.

What was the outcome?

$49,000 profit

Lessons learned? Challenges?

Hiring a contractor would have made the remodel much faster.

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $95,000
Cash invested: $30,000
Sale price: $173,000

Before moving in we had to remediate some mold in the basement. Soon after moving in we found that we had some plumbing issues. Those two items added $6850 that included labor costs to our renovation costs. The first floor bathroom and 2 bedrooms were given a fresh coat of paint and a good cleaning. Nothing more needed to be done in those rooms. Because we lived in the house while renovating we had no added carrying costs. We lived in this home for 2 years prior to selling. Below are our total profits and information from online listing companies to verify the numbers. Please see below for pictures and details. We did have 242 hours of labor that were completed ourselves so this incurred no additional cost to the budget.
Purchase price – 95,000
Closing costs at purchase & sale - $6800
Total renovation costs $21,935
Sold for - $173,000
Total profit – $49,265

You can verify these numbers on Zillow.com, Realtor.com or Redfin.com for property address 11311 Marbern Rd. Hagerstown, MD 21740 or follow these links
https://www.zillow.com/homes/11311-marbern-dr-hagerstown-md_rb/37683475_zpid/
https://www.realtor.com/realestateandhomes-detail/M5889931134
https://www.redfin.com/MD/Hagerstown/11311-Marbern-Rd-21740/home/15360019

What made you interested in investing in this type of deal?

I was looking for a home we could live in while remodeling.

How did you find this deal and how did you negotiate it?

Used a real estate agent

How did you finance this deal?

VA loan

How did you add value to the deal?

Remodeled every room in the house. Added new windows. Updated everything.

What was the outcome?

$49,000 profit

Lessons learned? Challenges?

Hiring a contractor would have made the remodel much faster.

Quote from @January Johnson:

STR is a strategy and an investment (furnishings, learning to self-manage, hiring cleaners, etc.)--not a backup plan. Also, if you're near a golf course and don't rent it out on weekends, you might not have enough renters to make it worth your spend.

Realtors don't just show houses on weekends, either, so I don't think this is a sound strategy.  Either go all in on the flip and sell or all in on the STR, but don't try to mix them.  You will only frustrate yourself. Plus, you'll have to do something with all the furnishings after the sale as well.

Thank you for the advise. I am glad I asked before buying the first house 

Quote from @Kevin Sobilo:

@Jennifer Roof, do you think this is a flip that is in danger of failing? Is that why you're thinking about this.

Most times, when someone is thinking about a flip their goal and expectation is for a relatively quick sale. The cost and work to furnish, decorate, and outfit a unit with the necessities to be used as an STR would only make sense if you think this flip is in serious trouble and likely won't sell for quite a long time.

Also, doing STR is a specialty. To do it well you want to develop your own processes for dealing with every aspect of that business. Not something you're likely to do well unless you already have experience doing it on other properties.

Thank you the reply. I don't expect it to fail and I am planning for a fast sale. However as this is my flip.  For my own piece of mind I am thinking of this as a back up plan if it takes longer than 30 days to sell.