All Forum Posts by: Joey Zawacki

I have worked with Jerry. I have received a $15k wholesale check. It was a high end flip that was out of my experience. I believe he netted $75k off the deal

1. Google Reviews

2. Angi App

3. Post the city your property/idea are in and network here on who we use on the local market

4. Ask the neighbors, HOA, or drive the neighborhood and see what landscape company is already there

5. Neighborhood FB groups: ask who your neighborhood uses and ask reviews

Every landscape company will be different. How many properties will they do for you? How will you pay? How big is the yard and scope of work? Too many facts and each company will be different based on size of project, single family or multi family, single property or multiple properties, etc. Hope this helps

This is a lot more detail and you will get proper responses from your peers to direct you in your search

PML will want first lien positions. PML don't like to be in it longer than 3-4 months. I've never seen an PML in a deal for 12 months unless they are partners on a deal and getting equity share. Expect high interest rates of 15-25% on a PML loan until you establish more experience and a track record. They have higher associated risks. PML doesn't want to deal with the hassle or burden of selling the property, so until you get more experience under your belt, I suggest HML. Find a HML broker and tell them what you're trying to do and then decide what works best for your strategy.

There is also a LOC (line of credit) option. If you have any equity in rentals, your personal home, stocks for collateral, whatever, there are HML that will do LOC. I did this when I first started my fix and flips for acquisitions.

You must have a solid and well thought through exit plan. And for PML you need a plan A and a plan B. I would put together a professional prospectus outlining exactly what you do, and what your goals are, and your track record when soliciting PML. If you have your business model and business plan in writing and outlined for an investor, you’re more likely to get a vote on the line. 

you can join different FB groups, or in here, and find Land flippers and private money suggestions

My HML broker works with 50 different lenders and would be a good place to start.

Cory Williamson

[email protected]

With all the new wholesale laws coming out, you will need to check the laws of each state you're working, when flipping the paper if you have an end buyer pre-sold at closing. New regulations are coming down HARD, and "they" (NAR and state regulators and national level clowns) are making buyers take ownership for a length of time before a resale. Each state is different, but I know there are strict regulations (Oregon just passed a tough one). I do double closes when flipping notes at closing. Even those will be weeded out with time.

Good luck with your new business. Stay persistent and consistent. 

What’s is your length of term for the loan/s? It is transactional and you already have an end buyer? Are you buying and holding for an extended period of time past 3 months? Past 6 months? What’s your exit strategy and use of the acquisition? These are important to know for a lender, but also for us to advise the best way to raise and seek capital

I lease to some Air BnB'ers. Make sure they have additional insurance to your own HOI. Also, make sure your property is in a LLC and not personally owned for any potential lawsuits. I add 15% to the normal rent for a Air BNB tenant as they are leasing the property with no risk or skin in the game, and they are making a profit off your lease. Ask for a higher deposit as well, and copy of the insurance on the property they get. If you have a good relationship with a HOI company, tell them what they want for HOI if the property was used as AirBNB and thats the policy you want the tenant to get on top of yours.

Hope that helps,

Joey

I love hard money. Interest is awesome as long as it creates cash flow and is making you money. And the only way it will make sense is if you ran the numbers, the comps and ARV are correct, and you have a fast dispo on the flip and the time frame.

I have advanced software for my comps and ARV’s, it also runs my numbers for all costs associated, including holding costs, exit costs, all of it. I know EXACTLY where and how my numbers work and if I take longer than expected on construction and the sell (dispo- Sale)

Let me ask you a question, if I loaned you 100k at 20% interest and you had no money out of pocket cause you used a gap lender at 9 %, and you still made $15k in 3-4 months OR MORE (I shoot for 15% profit), would you use the hard money loan to gain experience, knowledge and then leverage into better Interest rates the more you do? ABSOLUTELY

more you partner with someone who helps you with experience and knowledge on one or two flips to get you experience and use their leverage to help you. Ask yourself this? What’s THAT worth to you?  I’d love to chat more on a call. I’m a Rehab & Retail investor —- Joey
 

I would be interested in buying it on a creative finance offer: I buy ASIS and seller finance the equity.

or 

We do an equity protection program: I.e. Novation Agreement. I do all the rehab and retail it for you. I pay off my lenders, I get 15% of profit on sale, You get paid at closing the remaining profit

Also, I can help you on Creative Financing with land so you don’t use your own money or private lenders. Novation Agreements! Master Lease Agreements, etc!!!!

ProForma showing the spread and the deal and offer equity share and how the ROI will work: payout.

I put together deals in an email so all the investor does is click, see, and then decide to take action or not.

Follow up is IMPORTANT. 

@Swat Khan I am sending you a PM. I have some questions on this if you have experience doing them.