All Forum Posts by: Jordan Bateman

Steve K It's in reasonable (not great) but older area that is turning around. It's in the inner city, so there's no land available around for builders to build new (which I see as a plus as the supply won't be changing unless they start tearing down).

I haven't seen a lot of new builds. Houses were mostly built in the 60's, a lot of remodels, but not many new builds. I would definitely not want to overdo it, unless the cost makes sense. The house would need to "fit in" pretty well.

It is a good enough deal where I have a fairly hefty rehab budget, which is why I'm considering this.

Also, at a certain point, can it be cheaper to rebuild completely than try to contend with a remodel on a dilapidated house?

It appears there's only one related thread on this topic from 3 years ago, and wanted to get some more recent opinions from the group on this.

I have a deal in Houston that is a major rehab. In my experience, I've taken a house down to the studs pretty much, but have never taken one down to the slab or built brand new on a site.

This house is one where I'm weighing those options. The house literally needs everything from roof to foundation, mold, etc. I'm talking to contractors and builders, but wanted to get other's opinions.

At what point do you consider taking a house down completely or down to the frame versus trying to just rehab what exists?

What should I expect that wouldn't come up in a typical major rehab? Additional permits or rules/regulations, etc?

And who should I trust to handle the job?

I'm also trying to figure out what makes the most since from a timing and cost standpoint?

Thanks!

Hey Marc, I'd be interested to see the consensus here too pertaining to builder's risk policies.

Personally, I am happy to pay money for insurance in general for the peace of mind and protection and most of the rehabs I do could be considered major.

Some investors also like to use an umbrella policy for cost purposes and what ifs.

Whatever works for everyone else. I can do monthly or every other month.

I really enjoyed the meeting and getting to hear everyone's story. I definitely think we should make this a regular thing. Thanks for setting it up Sam.

Looking forward to it.

I too am interested in the topic and thought I would give the post a bump to get the conversation going again.

Danny Day - what exactly do you mean by "without personal funds?" I'm assuming low cost or low barrier to entry?

Bill, thanks for clarifying. And for making an interesting topic even more interesting! I guess I'm a little bit defensive of Bob.

But moving on, I appreciate the advice. I'm sure some interesting stuff will come up along the way, esp with the title company, so we'll see. I expect some back taxes (I already found out a little bit is owed, but not as much as I expected to see, will dig further).

I've got some RE investing buddies who work with condemned properties all the time, so I plan to lean on them for some help on that end.

It hasn't officially become condemned, but it's probably on the verge. Nothing would really surprise me at this point.

I intend to continue posting updates regardless for anyone interested. My comment was only to Bill, who I don't know, so I'm unaware of his sense of humor. I take my business, my reputation and my ethics very serious and don't appreciate his accusations, joking or not.

To everyone else, stay tuned until tomorrow (assuming there's progress), I will keep you posted on my conversation with the title company.

Bill Gulley See previous post.