All Forum Posts by: Joshua Fulenwider

Not sure if you got my message.  I'm still getting used to the way bigger pockets works.  I lend in Texas as well so let me know if I can be of any help.

Do you have a partner that could approach him?

Interview multiple property management companies and go with the one that fits you and your property the best.  Understand their systems.  I have places in Colorado and South Carolina.  They do things differently but they have very good reasons.  Don't assume that what you are used to is the standard.

Also, by interviewing multiple property management companies, should the one you decide on fail to work for you, you should know who your backup is.

My recommendation would be to start with a smaller project and test the waters of both the market and how the property manager does before you invest in larger projects.  It's easier to work out problems on a four or ten unit building before going into a 50 unit with them.

Conversely, the property manager you choose may be very good at handling small properties but doesn't have the systems in place to take on a large project.

It's also a good idea to develop the relationship with a property manager so that you have boots on the ground as you look at future deals.  

David,

I've heard of this strategy but haven't actually done it.  Try calling your local title company (if you are in a state that doesn't have title companies try a attorney's office that specializes in real estate closings) and ask them.  They may be able to help you out.

Brady,

Sounds to me like multi-family projects managed by a professional property manager could be a solution to your problems.  Another option would be commercial buildings where due to the structure of the leases the business tenants are vested in the upkeep of the property.

If you are wanting to get your feet wet and merely be a passive investor there are a lot of syndication deals out there where a professional with experience puts together a pool of investors to invest in larger projects.  The buy in on those range but it could get you out of your "paralysis analysis."  

Happy to answer questions on any of that and more.  Let me know if I can help.

Unfortunately I have seen this as a lender.  Owners get scared and start hoping/believing that something magical will occur to solve their problems.

Be nice and keep up your contact with them.

If you find a way to get their attention I'd love to hear it as well.

Try exploring an Option Contract and make sure you record it at your county assessor.  It basically says that you have until some predetermined future date to purchase the house at a price that you both agree on today.  

Given that you are putting money into it I would further tie it up with a 2nd mortgage covering the cost of your rehab expenses.  That way if for some reason you fail to purchase the property in time for the option, the seller has to start making payments to you or you can foreclose and get the property.

Personally, I would try to buy the property now and get the seller out of the picture.  By keeping him in it you potentially are creating problems for yourself down the road.

Make sure you are protecting yourself and your capital.

Keep networking.  Talk to your lenders, other investors, the wholesalers themselves and ask for recommendations.  The good ones will know who other players are.  Some of the best wholesalers I've been introduced to were by other wholesalers.

You are correct in wanting a breakdown.  He doesn't need to document every nail and shingle but you should get something better so you know where your money is going.  There are so many benefits to having broken down bids from helping you build your knowledge of repair costs, to comparison shopping, to documentation in the even of litigation.  Definitely insist on it being broken down.

Also, until you have established relationships with people you trust get a minimum of 3 bids.  This helps keep them all honest.

$150 bid write up sounds to me like you may have already gotten taken but I don't know if that is standard for your market.  It's not here.

I'm looking for multi-family around Spartanburg.  Please add me to your list and keep me in mind if you come across anything there.