All Forum Posts by: John Hamilton

I know this is old. I'll respond anyway to see how this worked out for you, and what have you done since? This information might also help someone else who is facing the same situation.

Hi @Jamael Reed Congrats on getting your feet wet and coming back to BP with questions and guidance. Now you know to do that before you make the offer. Just make sure you have most of the important details to get the best advice.

From $60,000, your offer of $40,000 leaves you at 66% ARV. Still enough to take it to 70% and flip it to a buy and hold investor. Research what rents are (Ask the seller what he was renting it for).

Ask the seller if he is interested in a lease option for a 1 year term. If he agrees in writing, turn around and advertise to those who want LTO. Ask them for money down and leave some equity room to entice your buyers. If he asks for a down payment, ask if he can defer for 2 months and agree on  price. Of course, there is risk involved as you have to get that buyer in the house and paying you the down payment. If you have to make a down payment, make sure your buyer's down payment is a little more, to give you some breathing room in case they default or late with monthly payment.

Once you are legally as on the lease, talk to lenders (not banks) to see if you can borrow the money to get the owner out of the situation.

I hope this helps.

John

@Darren Eady Hello, I'd like to connect with a lender who lends in Florida for SFH, fix and flips.

I need creative lending since I don't have 5 star rating. I can explain more in PM.

Thanks,

John

@James Holland I'd like to connect with you as a way to pass on potential deals. 

@Kevin Martin Hi, would you mind if I sent you a PM? I'm looking for a GC in Jacksonville, too.

@Orion Walker I would focus on the home that is closest to being completed and that can sell the quickest. Even if it can sell quickly, maybe it will take only a couple of months to sell. Then, you can take that money to finish the next closest and quickest to sell.

So, depending on how much money is left, decide which house will sell the quickest, even if the rehab is going to take a little time.

I'm assuming time is of the essence as you have to start paying back these loans or hefty monthly payments? Meanwhile, as you start completing the first project, you might find the money easier to raise.

Much success to you.

@Travis Benham

  I agree with @John Powell, but if there is no impact financially, why not do it. It's such a low cost that it could be a great lesson, even if you broke even. I wouldn't want to invest $10,000 and lose it just to learn a lesson, but it's your dime...Well, 100,000 of them. :)

Where did you find these deals and what do the numbers look like for the selected property? We could tell you if you are way off or on target. Also, rehab can come back and bite you in the rear end if you do it wrong or take too long or get ripped off. I'm not trying to scare you off, just preparing you for things to watch out for as you are going through it.

Much success to you my friend.

@Steve Kordish Hi there,

I'm looking for JV partners who can bring the financing to complete fix and flips.

I can find the deal and handle the rehab, as long as you can cover the costs.

I might be able to bring some money into the deal, like closing or holding costs (depending on the total, but can help there, too as I have great income). I might be able to cover all, but I can help with that.

I want to work in Jacksonville and Saint Augustine areas. Only because I live here, so it would be easier for me to look at properties and coordinate the rehab.

Let me know what you think by PMing me. Call or PM, your choice.

Hi John,

Thanks for sharing and providing all this information here.

So, in order to engage the loan, we need 10% upfront and good (what range?) credit? No matter a business or personal holding.

Do I have that correct?

first lie should have given you a clue about his trustworthiness...should have sought counsel then just to protect your side of the investment. 

Never give anyone money, especially in a partnership, without being on title or having some kind of deed in your name. Bogus LLC should have been a clue, too.

Go see a RE atty to cloud the title with the quit claim deed you have and find out what your options are. In case you missed it...

SEEK LEGAL COUNSEL IMMEDIATELY!!!

@Erik K.Glad everything worked out for you. Is this the one you sold in July or August?