All Forum Posts by: Jerry Ellis

What's the estimated cost to repair and do you have those covered or are you going to need money for that too? Maybe you can house hack in Naperville? I'm thinking about the holding costs and time needed to get the work done in Champaign will factor in. For example, we had a storm come through here a while back and the roofers are covered up doing all that insurance work. I'm having trouble just getting any of them out to do an estimate.

Hi Ash,

Will you be living in Champaign or just investing here? House hacking comes to mind but maybe that won't work for you. 

I'm betting that they are reselling the loan which I believe is where the 6 mo number comes from. https://themortgagereports.com...

For my bank, it's 6 mo of ownership from day of closing. I've had the best conversations with smaller banks in terms of financing help. i.e. not Chase, etc. 

@Kelvin Jung - I too am in Champaign and would happy to meet with you for shop talk. Just let me know.

I'm interested in a chat. @Scott Dixon - you and I should get together at a minimum.

Hello Brent! I'm in Champaign as well and love talking to folks about real estate. As a matter of fact, I just closed on my first house! If you'd like to get together for coffee sometime let me know. Jerry

I would consider trying to learn about her situation and her motivation(s) for selling before talking about price. That is, seeing what is important to her and crafting your pitch around that. For example, she may not want to mess with painting and sprucing up the place that might be needed if it were to be listed with a realtor. Or, she may be in a hurry to sell. You mention some of these things so I think you're on track. 

In any negotiation, if I don't think I have the upper hand I make an extra effort to sell myself even if I'm the buyer. I try to find something to be complimentary about. For example, "You've done a great job at taking care of the place. It really shows!", or "I think you picked the best condo here. The location is great!". For you this is a business but for her it's probably emotional and if she likes you I feel that she'll be more likely to open up and negotiate. 

And lastly, "no" only means "no right now". She might need time to think and verify some of what you're telling her. Give her a few days then call back to check in. 

Good luck!

I've been talking to a lot of bankers lately getting ready for deal making which includes commercial. One common question I get is if I have experience as a landlord. I've also been asked several times regarding who's going to do the maintenance. What I've done is purchased a composition book and write down a list of questions to ask. It shows them that I'm organized and have thought things out. I've had better results with in person meetings than phone or email outside of setting up the meeting. I kind of look at this as a job interview. I need to convince them that I'm a good risk just like a potential employee would try to convince an employer that they would be a good employee. Having prepared responses to the experience and maintenance questions has helped. Near the end, I ask them, "Is there anything you can think of that I didn't ask about?" I'm looking for partners, and people I can work with. These relationships are important to me so I interview them as well. Good luck!

Yeah, I've not run across any agents that I really care to work with. Maybe my expectations are too high.

I'm looking for a investor friendly realtor so when I see something I want to look at I call the listing agent. Prior to a meeting at a property Saturday, I had given the agent a list of houses I was interested in. She came totally unprepared on all but the one listing we met at which happened to be hers and we only looked at the one. She told me she'd email me more information Saturday evening which hasn't happened.

During our visit Saturday, she mentioned an off-market six-plex and while she couldn't tell me the address I got enough information from her that I was able to find it. The six-plex is for sale by owner but I feel like I have an obligation to involve her since she told me about it. But what if she doesn't get back to me with the promised information on it? At what point do I write her off and contact the owner directly?