All Forum Posts by: Jessica Jordan

It's a large developer, they are primarily limited to SLC, but they have about 6 developments in the Utah area. That's a good idea to ask for their costs, thanks for the tip. 

Bruce, I totally understand why a builder would want to cover their costs. It makes sense. In this particular situation, we don’t own the land, the developer does. Unfortunately, comparable properties in the neighborhood have appreciated over 150k in the last year. Which prices us out of the market. It’s just a bummer because we definitely would have purchased a built home at a reasonable price last fall if we had known what was in store. 

*Cross-post because I may have posted in the wrong forum*

We need some advice. My husband and I have been looking forward to moving to Draper, UT for the past year. We locked in a house at $559k in Nov 2020, and were told it would be finished late spring to early summer. We sold our house in Texas Dec. 2020, anticipating we would rent from our in-laws for a couple of months (considerably cheaper than our mortgage) before moving into our new house. Well, with Covid there has been delays, and they started excavating our lot last week. This morning we received an email saying they are planning on increasing the cost of the home by $109,182 (about 20%). We have a call scheduled to "discuss" this, but they basically said if we aren't able to come up with the money they will cancel our contract, refund us our earnest money, and give us $2k for the trouble. Our realtor said builders all over SLC have been doing this. In fact she explicitly went through our contract with the sales rep to discuss this possibility and was assured it wouldn't happen. The builder said if they were to relist our house they would list it at ~$720k, so we would still have equity in it if we paid the premium. The issue is the down payment would wipe out all the money we set aside to invest with.

Has anyone experienced this? Is there any recourse to this?

We need some advice. My husband and I have been looking forward to moving to Draper, UT for the past year. We locked in a house at $559k in Nov 2020, and were told it would be finished late spring to early summer. We sold our house in Texas Dec. 2020, anticipating we would rent from our in-laws for a couple of months (considerably cheaper than our mortgage) before moving into our new house. Well, with Covid there has been delays, and they started excavating our lot last week. This morning we received an email saying they are planning on increasing the cost of the home by $109,182 (about 20%). We have a call scheduled to "discuss" this, but they basically said if we aren't able to come up with the money they will cancel our contract, refund us our earnest money, and give us $2k for the trouble. Our realtor said builders all over SLC have been doing this. In fact she explicitly went through our contract with the sales rep to discuss this possibility and was assured it wouldn't happen. The builder said if they were to relist our house they would list it at ~$720k, so we would still have equity in it if we paid the premium. The issue is the down payment would wipe out all the money we set aside to invest with.

Has anyone experienced this? Is there any recourse to this? 

Thanks for the tip, I thought it might be a bit unrealistic, but it’s good to hear a locals take on it. Mesa seems like a more reasonable market. An article came out yesterday saying Facebook is planning it’s new data center there. 

Hello new investor here, my husband and I are interested in purchasing a smallish multi-family property (5-7 units) in the Phoenix area. Our goal is to BRRRR our first property and recover most if not all the capital invested (swinging for the fences, I know). The problem I'm running into is I haven't seen anything on MLS that would come close to what we would need to offer in order to pull out our initial investment. I've seen a couple off market deals that are slightly more favorable. The going price seems to sit around 200-250k/unit (regardless of NOI), which given the limits of the rental market I am struggling to make the numbers work. Has anyone had success BRRRRing in this market? How did you locate deals, are there submarkets that behave more favorably to this strategy? Is it even worth contacting an owner if you're offering 75% of asking?

Thank you all, I’ll definitely look into these resources. This was my first post, and I really didn’t expect to get a response, let alone so much great information. Thank you! 

Hello, my husband and I are new to real estate investment and we are interested in purchasing large multi-family homes, or commercial real estate. We've been researching SFH, but we don't think the scalability is there for our goals. Does anyone have any resources (books, websites, etc.) they would recommend that would help us educate ourselves on how to get into these assets?