All Forum Posts by: Jacob Messer

New floors, drywall repairs, countertops, bathroom, plugs and switches, etc. Nothing crazy. The investor painted himself so consider that. Nonetheless a successful endeavor for all!

This was a great find by our brother wholesale company and the investor was able to put little time and money in order to get a house that is currently worth significantly more than when first purchased.

What made you interested in investing in this type of deal?

We love no brainer deals that make everyone money.

How did you find this deal and how did you negotiate it?

Our brother company sourced the wholesale contract and found the investor to buy it.

They brought us to the table and we were able to build a scope and work out a deal with the investor to get the project.

How did you finance this deal?

Our investor used hard money (I think)

How did you add value to the deal?

We created a scope that minimized investment and maximized value.

What was the outcome?

Everyone made money and everyone was happy. The investor is still renting it and if he wanted to sell it he would make a nice profit.

0 Votes

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $105,000
Cash invested: $29,000

This was a super quick project to get the house in rent/sell condition.

New floors, drywall repairs, countertops, bathroom, plugs and switches, etc. Nothing crazy. The investor painted himself so consider that. Nonetheless a successful endeavor for all!

It looks like it's bringing in $1500 a month.

What made you interested in investing in this type of deal?

We love no brainer deals that make everyone money.

How did you find this deal and how did you negotiate it?

Our brother company sourced the wholesale contract and found the investor to buy it.

They brought us to the table and we were able to build a scope and work out a deal with the investor to get the project.

How did you finance this deal?

Our investor used hard money (I think)

How did you add value to the deal?

We created a scope that minimized investment and maximized value.

What was the outcome?

Everyone made money and everyone was happy. The investor is still renting it and if he wanted to sell it he would make a nice profit.

1 Vote

Quote from @Michael Kinsella:

Nice. Plans for another soon?

@Michael Kinsella We have about 10 or more going at any given time... So yes haha.

1 Vote

Quote from @Tyler Lingle:

Wow! Nice job on that rehab! @Jacob Messer

@Tyler Lingle Thanks man!

1 Vote

0 Votes

@Tchaka Owen firstly thanks so much for your kind words. We all really work together to make this happen.

To your other point, i would say it depends on what you value. If you source a good deal, get it done and receive the correct return that’s good.

but what made this deal especially great was how simple was. No hang ups, no weird stuff, just in and out.

if I’m an investor, I can make $33k the hard way or the easy way. I think everyone can agree that even though it’s still $33k in both instances, the easy way is preferred 10 times out of 10.

Quote from @Tchaka Owen:

@Jacob Messer - there's one area in which we are going to disagree: IMO, this is a solid deal, however I do not agree that the investor made out like a bandit. The numbers are exactly as needed, ie, when all is said and done, the investor should net around $33k (give or take). That's not making out like a bandit, however it's a very nice deal.

That said, I have nothing but good things to say about Mainstay! Even though I'm not in the Naptown market anymore I've maintained contact with them because they are above-board. They've put together a nice operation, are very smart about how they do business and I wouldn't hesitate to recommend them.

1 Vote

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $75,000
Cash invested: $38,000

Super straightforward proejct; floors, paint, bathroom, counters, added a bedroom, etc

I believe the house was rented for awhile, might even still be occupied.

It does seem to be listed off market with an estimated value of ~$190,000

How did you add value to the deal?

We created a scope to add a bedroom and get the home rent ready. It has since been occupied and could sell for ~$77k profit, assuming the numbers I have are accurate.

0 Votes

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $85,000
Cash invested: $45,000
Sale price: $172,500

This was a relatively straightforward project.

New bathrooms (2), new kitchen, relocated the laundry room, new floors, paint, AC unit, etc.

We had a heck of a time demoing the house and redesigning the layout, but other than that this was a super easy and fast project.

What made you interested in investing in this type of deal?

This was a private money deal and we love working with people who seek us out.

How did you find this deal and how did you negotiate it?

they came to us

How did you finance this deal?

they had their own money

How did you add value to the deal?

we made the scope of work, got in and got it done.

What was the outcome?

Everyone made money.

Lessons learned? Challenges?

The challenges associated with old school layouts are unpredictable.

2 Votes

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $169,900
Cash invested: $33,000
Sale price: $257,000

This project was a great wholesale contract provided by Mainstay Property group. The Investor made out like a bandit on this one.

The house had great bones and minimal issues with it. The scope consisted primarily of the basics; flooring, new bathrooms, appliances, backsplash, landscaping, and some framing and drywall to open up the kitchen. This project was fairly straightforward, and like most of them we were in and out.

Note: for some reason the picture of the kitchen corrupted :(

What made you interested in investing in this type of deal?

We love projects that come from Mainstay Property Group because they wholesale good deals.
Good deals means the house doesn't suck and the investor makes money.
When that happens we're happy.

How did you find this deal and how did you negotiate it?

We were recommended to the investor and closed the deal with him

How did you finance this deal?

I believe the investor used hard money

How did you add value to the deal?

We created and executed the scope of work

What was the outcome?

Everyone made money

1 Vote

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $85,000
Cash invested: $65,000
Sale price: $185,000

This was one of our more complex projects. The demo and trash out was quite extensive due to hoarding. Before anything could be done to the upstairs we had to redo the subfloor because it had fallen through the ceiling onto the first floor. Once the extra framing was out of the way it was business as usual; Floors, Paint, Bathrooms and Kitchen.

What made you interested in investing in this type of deal?

We are always happy to take on ambitious projects; this house was in rough shape at the time.

How did you find this deal and how did you negotiate it?

Investor came to us and we agreed on a scope of work after some deliberation.

How did you finance this deal?

Hard money

How did you add value to the deal?

We created a sound scope of work and got in and out of the house on time and on budget.

What was the outcome?

Everyone made money, especially the investor. ~$45k or so would be my guess for him.

Lessons learned? Challenges?

Don't neglect your home and hoard. It isn't worth it for you or the people who will have to clean up once you're gone.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

2 Votes

All Forum Posts by: Jacob Messer

Jacob Messer has started 27 posts and replied 37 times.

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