All Forum Posts by: Account Closed

Hi guys, I was wondering if any of you have a rehab checkmark list that you guys go by in order every time you it a fixer upper ? It would be nice to see how you guys work your deals and have mastered and rehab your properties quicker by following your list of to do things if that's what it is called.

Anyone ? 

Hi Guys,

My team and I will start tapping into pre-foreclosures the upcoming month, so I wanted to ask you guys how do you guys put these deals together? What strategies do you use to lock them up ? I know some guys give the home owners money up front. But how is it exactly that you do and is a pretty successful way to do it ? 

Originally posted by @Jay Hinrichs:

@Ned Carey  that was the first time I acutally litigated to get an owner to sell.

But circumstances dictated that.. I was out 50,000 bucks... so I had to protect myself.

If I just sign a contract and have token amount of EM up.. I would just move on.

The timber example was a guy that was not nice and I wanted to try small claims..

 Ouch $50,000 ! Did you get it back ? 

Originally posted by @Jay Hinrichs:

@Account Closed  I am not advocating this... but when  I was doing timber deals in the NW...

I had gotten a timber contract and the seller of the timber wanted to back out... ( price's rose between the time we contracted and by the time weather permitted logging so he wanted out).

now this was a deal we would have made our normal 30 to 50k 50k on in  2 weeks  ... and we schedule crews fallers skidders loaders run the prop lines.. set up purchase orders with the mills etc etc.

Instead of suing to honor the contract I simply took him to small claims which was 7500... laid it out to the judge that we were harmed as we spend a lot of time and money putting these contracts together .. and re ruled on the bench seller of timber walk over hands me a 7500 dollar check ( he not happy) and off we go.. so there is some strength in contract.. and if you spent thousands on marketing direct mail etc.. you maybe could make this claim... ALTHOUGH you better have the cash in the bank to prove you could close your not just and

You are right, it does take and money. I am just hoping this gentleman gives up way before we even start the suing process. The reason I want to pursue with this purchase is because this property has a ton of potential it has about $60k in equity as is. If you put another $70K-100K depending on how luxurious you want to get it can be worth anywhere from $250,000 - $300,000 more than what I got it under contract for. (Obviously minus renovation costs, holding costs, etc) I will go knock on his door tomorrow to try to talk to him and maybe give him the $20k more he wants for the property. Yes you are right I do have my hard money in place ready to take this property down, I also have open escrow. 

Originally posted by @Erin P.:

It's true that you may have a case given the executed contract, but you've got to consider whether or not you want to force someone to sell their house to you unwillingly. At this point, you probably haven't spent too much money, time or effort toward buying the house. My approach would likely be to mail them a letter offering to renegotiate price and terms for an agreement that works for both parties, and then turn my focus to my next deal.

 You are right I will try talking to him one more time, tried calling today and no answer. I will go knock on his door tomorrow with a new contract. 

Hi Guys,

So Seller and I came to an agreement on a price on a home. We both signed it and two hours later he calls me telling me he no longer wants to sell the house for that price and he wants more. Got legal advice and RE lawyer said we have a strong case, I am trying to avoid suing process as much as possible due to it being a long process. What is an alternative to do myself to get this deal going ? 

Tried calling seller a few times after he left me the voicemail that he no longer wanted to sell but no answer. Following day I showed up in person and he didnt even open the door, he talked to me from behind the window telling me he was not selling. I was actually there to try to renegotiate the price and try to come to an agreement, but he refused to talk and said he was going back to sleep. 

Originally posted by @John Thedford:

@Account Closed

What you are seeking is probably going to be found through relatives, friends, associates from various organizations you belong to. Don't get too hung up on private versus hard money lenders. The only thing that matters is terms. If you can find 7% for five years in my opinion that is pretty decent. Also, try posting an ad on craigslist but be specific as to what you are willing to pay and see if you get any bites. Years ago I advertised I was looking for private money and found two different people willing to lend. The collateral was worth about 300K and I wanted to borrow 50K so there was no risk. I did have a lender in Naples that was giving me 6% for 5 years interest only but Dodd-Frank scared him right out of the lending business. I found him by asking an attorney if he knew anyone that loaned money. Ask around.

Thank you very much for the info. I do have a guy here in Arizona asking 8% for 5 years interest only, down side his points are a bit high. He charges 5 points 

Hello Investors,

Does anyone know of any private money lender with better rates than 7% and loan term for 5 years for more ?

Hello Investors,

I want to putting the BRRRR strategy into effect, is there a process to make it happen with hard money loans only ?

This is my plan

Buy a house that needs rehab cash, fix it up, contact hard money lender, and refinance.

I want to do this with a at least 15 properties and ride appreciation then sell it in about 2-3 years.

The reason I want to do this is to pretty much cashflow a bit from each property and ride appreciation.

Is there any investors that does this ?