All Forum Posts by: John Snow

100 amps is plenty large enough. There are calcs. you can do for it but I won't bore you with them. Between the facts that you have gas in the home and products are becoming more efficient it will be fine, unless someone is really doing something unorthodox...By the way, I started out for the first 18 years as an electrician/ electrical contractor.

I meant no disrespect Evan. My point in the end was that each bring and see their own value in a different way. We're best off not seeing ourselves any more important than the other in a "partnership". I hope it all works out to the best for all! Good luck!

Really?!...

Look at it from a different angle, who needs who most? I am a general contractor as well, and finding a money man is a wee bit more difficult than finding a general contractor. The money man didn't earn his money by being foolish or just throwing his money around. Money breeds money, and if you don't have it to start with, it's a lot more difficult to start with. So I think I would be a little more appreciative of the partners until you're in a position to be otherwise. It's a lot easier for both of them to pick up a phone and fill your gap. I would expect the "partner" money man to get a 50-50 share, or in you're case a 50-25-25 share unless a finance agreement was established.

And by the way, an insurance policy can be sold to anyone for pretty reasonable costs.

Good luck on your guaranteed success... and my apologies for the directness but...

LOL @Ophelia Nicholson , Way too much character up here. Good luck with the sale!

And yes @Karen Margrave , In this part of the country there are a lot of people that consider that character. I've come across a lot of homeowners over the last 30 years that have not wanted me to correct them. They love the pumpkin pine floors.

That's exactly what I'm asking about Ophelia Nicholson

@Ophelia Nicholson

I have a question with regards to the extent of rehabs for the seasoned flippers here.

In my area of New England we have a tremendous amount of older homes, and a lot of the homes I'm coming across have some very uneven floors. I'm just getting started in REI, house flipping to begin with, and have put offers in on more than a few homes over the course of the last three months. I've been a remodeling general contractor for a lot of years and most of that work has been in higher end homes where we either try to correct these issues or the homeowner wants to maintain the "character". My inclination is that I'm probably overstating the necessary improvements to what I've been doing for years versus what an average home requires, and therefore out bidding myself.

So my question is, using the uneven floors as a sample, as long as there are no structural issues, is this a turn-off for the average homeowner that I should be pricing in for correction or just refinish as is? Un-even floors lead to uneven doors and uneven ceilings and so on. Not my style but is it good enough for most?

Thanks in advance!

I have one more question regarding this purchase. It's a little off topic so correct me if it should be posted elsewhere.

Currently the woman was planning on listing this home for approx. 185,000 and expected to land at about 149000. She just put her mom into a nursing home and is not strapped for cash. She also thought there was a potential to split a lot off the property which I have found that is not a possibility by the building dept. or a survey co.

My intention was to offer her 130,000, utilize a hard lender for this and 50,000 rehab and I have 50,000 for "skin in the game". My realtor that I plan on using to sell the property felt our sell point for a reasonably quick sale is 285000- 305000. To sell within 6 months of purchase.

My question is this, If she was not desperate to get paid right off, could I suggest for her to sell the property to me, defer payment till property was rehabbed and then sold? I could then use my "skin in the game" for the rehab funds and in the end forward the money the finance was going to cost to the seller and that would put her closer to what she was hoping to get, 149,000, in the first place, just shy by approx. 4k. If it went over my 6 month calculation I would compensate by whatever the loan payments would have been. I would handle all the other associated cost that were expected anyway, purchase, holding, selling.

Thoughts? This all came about by referencing @J Scott 's book

So I ended up getting a hold of both "an offer to purchase" form and a "P&S" agreement last night. I will be calling an attorney first thing in the morning to cover that base. @Ann Bellamy I hadn't prior to this because I was undecided between two different ones and things just started to happen a little quicker.

With my working the numbers over and over, what is it "analysis paralysis", I came up with 3 different price points that I would be willing to purchase at and the effects to the rehab budget and associated finance/ admin. costs. I'm very comfortable with where they are and what my "No thanks" point is. @Shaun Reilly That being said, none of them involved a realtor on the purchase end, but since have now recalculated that in. My thought is that he did not bring in the buyers and is not the buyers rep, so at worst should only be due 3% if the seller is insistent of his compensation. With my better numbers, I'd even be willing to split that fee with the seller as "hush money" to prevent him from talking her down a different path. I've also calculated the effects to a sale for her if she chose not to go with myself, hold the property, and go with a more traditional listing and sales commission at 6%. Bottom line, the property is distressed and will end up selling similar to my numbers either way, now or later...I'm trying to convince myself of this to get myself off the ledge and just do it.

@Joe, no not entirely, but it's in place. @Darrell, great post- sounds like what I'm dealing with. Thanks