All Forum Posts by: Joshua Morgan

@Greg H.

When purchasing HUD homes and foreclosures, what are some of your key negotiating tactics if any? My first home (3unit house hack) didn't really involve much negotiations. I offered 10% below asking, as-is, with a 45 day close.

I'm looking to move out of this house hack into a SFH for the family and have a foreclosure in mind, but don't know the best way of getting a decent deal. This particular home has had trouble selling even in this market so I know it must need something larger. I want to have equity in the deal when the dust settles.

Thoughts?

Update: 2020 finally bought my first home. It’s a 4000 sq ft triple which I’m house hacking in. I got it on foreclosure for just over $80,000 one unit rents for $825 and the other rents for $700. I put about $10,000 into repairs.

3 years later but I’m finally in the game.

@Patrick Wheeler, I was trying to make this deal I'm currently working on more enticing such as a cash deal so the homeowner might be willing to accept a lower offer and a quicker closing date, but I'm having trouble coming up with a financing solution. I want to buy my first property, contribute extra to the mortgage and have it paid off within 3 years. I then want to use that property as leverage for a second or third property. What are yours and other people's thoughts on that method. 

Hi all,

I'm working on my first deal and it's a SFH FSBO who wants $69,000. The home is about 1500 sq. ft., 4 bd 1 bth, and .08 acre lot, and small detached garage. This home is pretty solid inside and out with good mechanicals, good roof, new water service, updated electrical. The additional things it would need are some more updated windows, updated furnace and hot water heater (Both working, but inefficient), gutters, and a new paved driveway (not essential, but could help direct water away from foundation.

The Numbers:

Asking Price: $69,000

Repair estimates: $15,000

ARV: $72,000

Rental income Estimate: $1,100/ mth

Taxes: $3,000 annually

Flood insurance: $500 Anually

Homeowner's Insurance: $1000 monthly

My research has told me thus far that a purchase price of $50,000 would make this work, but I'd like to know what others think. And if I'm correct, how have others presented a significantly lower offer with success?

Thanks for the help,

Josh M.

This year I'm trying to put thoughts into action and buy my first rental property. I've done research, found guidance from successful business people in my area, and have a partner who wants to invest with me (Heard that could be good and bad).

What I'm want to know from the community is what your first rental purchase was? How much did you pay, and what did that mean for you in terms of returns in your area? Was it a successful purchase and what kind of investment criteria did you hold yourself to.

Thanks for your input,

Josh

Buy first rental

Check out the file place section of BP. http://www.biggerpockets.com/files that might lead to something good. Another option could be to get a lease from BP add what you want and have your attorney review it for validity. Hope his helps

I can also vouch for FFREIA in Rochester and BP. I'm also a new investor and I started by going to the local REIA and met a few people. From there I have just been working to establish relationships and build a buyers list. The sub groups are great as well. After the two free meetings it was pretty easy to justify the affordable membership. Hope to see you there, Josh

Hi everyone, New wholesaler in WNY here doing a lot of research on what makes a great wholesaler and one of the things I found was bird dogs. I understand the concept completely, but what I'm more curious about is what real investors are actually paying these individuals? I've read in places and heard in podcasts wholesalers paying $500 for leads that turn into sales. Is this an accurate figure? Thanks in advance for the help BP has a very active community.