All Forum Posts by: Khang Pham

This is absolutely impressive! How long did the rehab project took for you to complete? 

@Mark Sewell @Peter Roehrich

Thank you both for some words of encouragement! You guys definitely help me put things into perspective.

Peter, that's an awesome example! It reminds me of the book Never Split the Difference, often times when we label the fear or emotion it tends to ease up the tension and release us from our fears or nervousness! Thank you. I will try that at the next meet up with someone!

@Brian Alfaro

Thank you for your suggestions. I did attend a few before. At these events I tend to feel very timid when it comes to speaking to individuals that are much older than I am. Part of me is afraid that I would say something stupid. However, I will get comfortable with it with more exposure.

I am absolutely going to be getting a realtor to help me on my first deal. Do you think it is uncommon for realtors to agree on signing a noncompete for only the deals that you see together and not by a 3-6 months term period?

Hello all!

I am trying to get connected with local Texans and get more educated and build my network with this first post!  Does anyone in the Houston area (I live near Memorial Park) want to be accountability buddies to grow and motivate each other on this real estate journey?  

I also found this website that helps with analyzing deals. I made several searches and it seems to be somewhat accurate in some areas.  I would say it is a nice reliable secondary source to use when you're in a crunch.   Has anyone else try this website out?  Thoughts? Comments? I would to hear them! Please to meet you all virtually!

https://rubikanalytics.com

 I 100% agree with what you said. In this industry it’s definitely a market that you have to pay money to make money. I’m going to give my money to the pros and let them do what they do best. As a newcomer I am open to learn everything and to decide what I like and don’t like. What I don’t like can be outsource to others who are good at it. With that being said, I won’t rely on just 1 professional opinion but at least 3 opinions. That is until I can find referral or person, I can trust to give me their best advice. Lastly, you nailed it by stating that personality and rapport goes a very long way in this business. I always want to encourage positivity and energy when talking to everyone and anyone even if they seem like crook trying to rip me off with absurd estimates. This is what gives me the courage and grit to carry on to find me next deal. Thank you for your valuable input. 

 It's good to know that I'm not the only one who had that experience. Not that I was wishing that your deal fell through, but its good to recognize that we won't give up.  You and I, friend we will acquire our first cash flowing deal if we keep it consistent and work on it little by little!  Thanks for sharing 

I agree with you. The contractor part is definitely the hardest part. I got a delta of 10k between various bids for the same work.  I did mention to them that I just want the home to be "rent ready"  (nice kitchen with granite countertops and a very nice restroom vanity) everything else is just base line safe and presentable as you mentioned.  

Yes, my initial offer was indeed a bit too high.  Well too high for the actual "as-is" value of the home.  

Thank you for your input.

Thanks I know it's a competitive market, but grit and tenacity will eventually help me land my first deal I'm sure of it!  It seems that you are an out of state investor?  Congrats on your recent deal! I want and choose to be where you are one day! 

Hi BPers!

I want to express the amount of gratitude I have for the BP community that had showed me so much in the last 4 months. I've learned so much and try to put little by little the things I've learned into actions.

Here are some facts:

Listed: 130k

ARV: 155k

Accepted offer: $125,049 (got this number thanks to Never Split the Difference- Chris Voss, amazing book highly recommend)

Repairs: 20k for rent ready and then later on to find out that it is actually 35k for rent ready and foundation repairs (a whopping -5.5in)

Last week my first deal fell through in Southwest Houston, TX. I found the home on the MLS for 130K after conservatively generating multiple logistics results (thanks to the BP calculator) and made an offer for $125,049 and got accepted. My realtor mentioned that the home had been receiving $90k-$100k offers and it left me wondering why. I got it under contract with a 7 day option period. During my due diligence process I calculated that I was sitting on $116 cash flow after all expenses. I had told myself if the deal will cash flow for $100 or more I would bite. I knew that all I want is to land my first deal regardless of the low monthly cash flow. There was so much to do! Inspections, lending, contractors, insurance, and time! Each day I would drive from work on lunchtime to meet up with contractors to give me estimates on the repairs. Also I wanted to learn what the key things to look for and the ins and outs when buying a home.

I had multiple professional opinions with a wide stretch of estimated repair costs of $20k~$35k. The first contractor (before having an inspection) he advised that the home does not have a foundation issue (when you walk into the house you can feel the slant, the house was -5.5in on the front left) and quoted me $20k. The inspector, 2nd contractor, and 3rd contractor all advised me that the home does have a foundation issue because there were multiple visible branching of cracking through the bricks and sheetrock totaling the repairs value to ~$35k. Ultimately with $35k of repairs I would have been in negative cash flow. This was when I decided to break option period because this was a bad deal. Like you hear it on the BP podcast, “No deal is better than a bad deal”.

I am glad I made my decision with logic and not with my emotions no matter how much I wanted this first deal to work.  In addition, I lost about $500 on inspection and option period, but it was definitely worth it. I got a learning experience from it and who said education was free....Even though this deal fell through I know that this WON’T STOP ME.

I would also like to volunteer my time to help fellow Houston local BPer’s on weekends to; paint your house, paint your cabinets, mow your yard, helping with landscaping, pressure wash your driveway, stage your home, etc…two free helping hands is all yours. All I ask is for you to share about some of your favorite deals and experience over coffee. Please PM me

Thank you for your thorough explanation and for sharing your experience!   Yeah I hope to gain some organic relationships with an honest wholesaler to do business with.  If we both make money from the deal, the wholesaler and I, then I am more than happy.