All Forum Posts by: Jeremy Pakalka

That's a great one!

@Brian Pleshek When you say you buy at 59% ARV, does that include the rehab and purchase price or just the purchase price? I ask because if you are looking only at a purchase price of 59%, you could be missing out on some deals where only a very light rehab is needed. The purchase price will be higher but you could see more profits.

@Simon Stahl When someone says they buy for cash, it means they have liquid funds available so they can close quickly. That being said, a lot of people use it incorrectly. That is why experienced people always ask lots of questions about where the money is coming from. If they use lending, the lender will have requirements before close that could stop the deal if they aren't met. The lender's process also takes awhile so closing can't be quick. Hence, cash is king!

@Doug Price It will be hard to find a realtor to be able to help you. They will all say yes and can't wait to work with you because they haven't thought the process through and only see dollar signs. The legal snag you are having is due to the percentage of deals people walk away from at the closing table. The best way you will have success is to do a double close but there will be more costs and you will have to have the funds to close on your end. The best thing you can do now is find exactly the type of house your buyers are looking for and find that house for them. If you are able to network with other wholesalers, you can build that network up much faster.

@Luke Jacobsma I recommend you don't buy site unseen unless you are getting a GREAT deal. The only way I would buy site unseen is if I have someone I really trust looking at it for me. In the end, you are on the hook so make sure you protect yourself. 

@Account Closed Never feel bad about an offer no matter the number. If you have never been laughed at for a low offer, you haven't offered low enough. An offer in hand is worth 6 verbals. You might be the only written offer. It will at least establish a line of communication to move forward with. Have a number in your head and never go above it. This is business so no emotions.

@Yasha Brown @Sam Bhullar @Jason Meneley @Valli Smith @Anthony Ellison @Kimberly Daughtrey I am a wholesaler here in Houston with NetWorth Realty. My office moves between 25 and 30 properties a month to investors. I love helping out all rookies so please feel free to message me with any questions! I can't guarantee I can answer all your questions but I can always find someone who can. 

@Brian Pleshek It will be a rare occurrence from what I have seen for a turnkey to have meat left on the bone. There are more and more companies selling turnkey properties to investors. The newest trend I am seeing is that people want to own real estate but don't want to do the work and they are willing to pay for it. They are utilizing tax incentives to invest in turnkey properties. These companies are buying distressed properties, fixing them and then putting a renter in before they sell it.  

@David Sohn The only quick and accurate way is for you to check the MLS for recently sold comps. The main areas of concern are square footage, year built, and the number of bedrooms and bathrooms. I then look at the sold comps only (not pending or asking price) because that is the only true way to have real data. You also need to do the same search going back 3, 6, 12 and 24 months to get a feel for any trends (up, down or none). You also need to make sure all the comps you use are sold conventional (FHA or VA) and not cash or owner finance. Of course, the comps have to be in the same neighborhood (same schools and not crossing any major roads). That is the basic way appraisers do their first steps in the process. It should only take about 5 to 10 minutes per house. Also remember to not get emotionally attached to a house. Look at the numbers only when finding an ARV.

@Lorenzo W. Sounds like you need a new PM!