All Forum Posts by: Kirsten Braddock

Hi @Pradeep Varghese. I used this strategy last year on a rental property purchase. You have to verify which cards are available to be used at a title company. Then you setup a wire transfer to the title company through the Plastiq website. Similar how you would wire cash funds at closing. It was a really easy process. A litter nerve racking the first time, but it really does work!

@Kyle McCorkel the rehab looks great! I'm just about to start on my 2nd BRRRR property and struggling with the appraisal portion. The comps for my house are anywhere from $70-120/sf, so I'm trying to keep my estimate for the ARV on the lower end. I see that you still had $34k in the deal. How do you plan on paying that balance off? Do you still consider it successful when you have money left in the deal (you do have nice cashflow!)? I have been reading the BP book about BRRRR and @David Greene usually gets all of his money back. I'm still trying to wrap my head around that one. The project I'm working on will have about $7-10k left in the deal and I'm thinking of doing a refi on another property to get the equity to pay off the balance. I'll be carrying that $7-10K balance on my HELOC until I can pay it off. Would love your thoughts! Thank you!

I’m interested in hearing how to use 0% introductory rate credit cards as a way to purchase properties. The problem I foresee is that once I access the money for the cash purchase, I’ll kill my good credit with high balances. Ideally, I would refi the property after 6 months to pay off the credit cards. Has anyone done this successfully. Tips and tricks please!

Does anyone have a recommendation for a good property management company in Jacksonville, fl?

Thanks, @Bob B. Do you have one LLC (or other entity) for each of your properties or are they all together? Agreed, QuickBooks is too cumbersome. I tried using it earlier in the year. Have you heard of YNAB? I started using it for my personal finances, but find it really helpful and easy for my business too.

So you have an account for each property, then another separate one for taxes? I have been putting money aside for personal income tax. That is what my Tax account is for. Not sure this is necessary either. 

I'm looking to get advice on how others are setting up their bank accounts. I currently have 3 rental properties. Last year I adopted the Profit First System (Mike Michalowicz) and use the following accounts to manage my business: Operating Expense, Bonus money, Owners Compensation, Tax, and Vacancy/CAPX/Repairs. All of the profits and expenses came from the Operating account and then the other accounts are holding accounts. 

Is there a better way for me to set up my rental business accounts? I wonder if it would be more simple to have a separate account for each property? I'm also not taking any profits from the business (reinvesting), so not sure that I need Bonus money / Owners Compensation accounts. 

Thanks in advance for any guidance!

@Jason D., so then If my ARV was $135k and I did 75% minus the repairs, I would be at $76k. Would I also want to subtract HML and closing costs?

Is there a rule of thumb I could use when deciding if it’s with the time/effort? We have been focused on purchasing turnkey buy and hold properties, so this is a diff direction for us.

@Caleb Heimsoth. I was thinking 120 days to fix and sell. 

@Ryan Blake, I used the fix and flip calculator in BP and it recommended I purchase the home for $75,760. I talked to the seller today and said the best I could do was $76,000. I had the rehab at $25k, holding costs at$1160/month. Hoping to net $15k. I didn't factor in the extra money for selling costs of 1.5%, so I will go back and make that adjustment to my calculator. I initially tried to get the owner to be the bank, but they need to cash out so they can use the money for another project they are working on. I'll check with another contractor to see if I can get a lower quote. This is not an mls property, its off market, found through farming. :) 

@Jason D. We were hoping to go through the process, even if we dont make huge profits, so we can be more educated on future flips. Stupid logic? 

My husband and I are looking to purchase our first flip property. Im looking to get advice on the numbers to get some insight from more experienced investors.

Here is the breakdown:

SFH: 3/1, 1177sf

Acquisition: $80k

Reno estimate (from contractor): $25-30k

Hard money terms: 12% / 3.5points (will loan $90k)

ARV: $135k

Realtor fee: 6% (to sell)

Homes sell in about 45 days

The owner doesn't want to sell for less than $80k, but I don't think that gives us much space if reno costs creep up. We would like the opportunity to work our way through our first flip, but I'm nervous since it is our first one. We are buying directly from the seller, so no RE commision on th buy.

Any advice for a newbie flipper?