All Forum Posts by: James Vermillion

Hey everyone,

I have just spend the last 30 minutes or so getting caught up on the forums and something really caught my eye...the number of people who come seeking deals/partnerships/HMLs and do not follow basic etiquette or treat people with respect. For anyone using BP to make contacts or find partners I thought I would lay out a list of basic rules to follow (I apologize if this has been brought up lately).

1. Be honest. Not telling the whole truth about yourself, your company or the deal is the quickest way to ruin your reputation on BP. Remember, BP is full of experienced investors and business persons, who can very easily find the BS. If you cannot be honest, why would anyone risk getting involved in anything with you?

2. Expect a lot of questions and answer them openly and to the best of your ability. You are asking people to risk their hard earned money with you, they have a right to ask as many questions as they need to feel comfortable, and your job as someone seeking funds or a partnership is to answer the questions. When you invest in stocks or funds, you can read a prospectus to better understand the purpose/strategy/numbers and any good investor will seek those same answers in a any real estate deal. If you truly have a good deal you should be able to answer the questions and prove it.

3. Know what you are talking about. Make sure you have done all your homework on a deal before you present it to the BP community. People get offended when someone comes seeking money, yet they have only scratched the surface as far as research and due diligence is concerned. Know the deal, know the numbers, know the plan!

4. Do not be easily offended. You have to have thick skin sometimes, and retaliating to questions or accusations in a rude way is not going to help your cause. If someone accuses you of something you have not done, simply explain your case. This is a business, so treat it as so.

I know these are all very basic "rules" but I believe if people thought of these before they posted about deal making, they would see much better results and see that BP is one of the best resources for successful real estate investing.

Nick,

I just finished up my classes as well and took the schools final exam...I passed! Now I just have the licensing exam which is scheduled for next Saturday morning. Congrats on finishing up!

James

Would you mind posting some pictures...I would love to see it!

I believe that building a "team" is important in flipping, though I have never referred to it as a "power team". It is simply the right people, in the right positions, to help you accomplish your goals. The biggest tip I can give about finding these people is to put yourself and your business out there. We were able to find a great lender, CPA, and general contractor by talking about our business and goals. We went to different banks, and talked to different bankers until we found the one that aligned the closest with the accomplishments we seek. We did the same with the CPA and found a general contractor we now use for every project by word of mouth (recommendation from a trusted friend).

The best way I have seen it approached is with simple math. Find out houses in the area general sell with a realtor and let her know the benefits. Most people have a very hard time finding qualified buyers if they do not have access to the MLS or other options. Let her know that paying commission is not necessarily costing her money, as she is likely to sell the house quicker and for a better price.

Find the info to back up your claims so she knows you are not BSing her.

I am not a lawyer but I do not believe you can get in trouble for sending one letter. Perhaps someone has been coming around her property and it was timed well with the letter and she believed it to be you. I would not worry too much about it, as you have done nothing wrong. You will come across "crazy" people every once in a while, but if you are in tune with the laws and treat people with respect you shouldnt have to worry.

We do pay him hourly, but we trust him enough and know that he does not slack off or try to stretch out work (we keep him pretty busy anyways). He can manage a lot of the work himself but when needed he usually provides extra labor (we pay them hourly too but at a much lower rate). We found him through the referral of a couple people we know and trust (they knew him through church). I hope that helps.

We do a mixture of 2 and 4. We have one primary guy who does just about everything we need him to do (replace windows, install hardwood floor, replace trim, install cabinets, etc.). We also have our go to guys for other things (carpet, paint), which we hire as we need. We haven’t had too much of an issue with materials as my business partner is usually close enough to make a run if needed, and we don’t leave too much off our large purchases. I think we will get even better at that as we gain some experience. So far, everything has worked out well for us.

This is pretty much what I predicted would happen in the short term. People were way to bullish on silver and most commodities in my opinion. I think silver could go down below $30, but I would start to buy if it gets close.

Too many issues here. If it were someone on assistance with no other issues, I would definitely consider it. If the person had only had trouble with his ex and no other issues, I would consider it. The combination of the two, not too likely.