All Forum Posts by: Stephon Blackwell

Here are some popular ways to find properties:

1. If you are into short sales, then you may want to get lists of homeowners who are delinquent. I believe some BP members subscribe to services that give them lists of people who have notices of default filed against them. I am sure this is also available from the county public recorder.

2. If you wish to buy at foreclosure, you will want to get those lists as well. The public recorder should have this data but it is often easier to buy it from a company that puts the data together in a user-friendly way.

3. If you wish to buy a property that has been taken back by the lender, you should also check the MLS as most properties end up there.

4. Some FSBO sales are advertised on Zillow, Craigslist, etc. Some people also have these signs all over the place at intersections, etc.

There are numerous companies that ask people to subscribe to their list(s). Most are a waste of time. Which ones are worthwhile?

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Originally posted by Raymond B.:

Here is a link to a list that might help you.

http://www.biggerpockets.com/bank-reo.html

Ray in Ct.

That most definitely helps!

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All over this site, there are threads dedicated to "finding deals." In order to cut back on the number of these threads to be created in the future - which are often repeats of past ones - I want to compile the most exhaustive list possible of places on the web to find RE deals.

This can be a reference guide for newbies and veterans alike.

Here's what I've got so far:

Fannie Mae
http://www.homepath.com/

Freddie Mac
http://www.homesteps.com/

The FDIC
http://www.fdic.gov/buying/owned/
http://orelistings.cbre.com/
http://www.fdiclistings.com/

Department of Justice
All DOJ RE sales are handled by LPS Asset Management Solutions: http://www.lps-am.com/

All others
http://www.ustreas.gov/auctions/

I've noticed that a lot of federal agencies as well as regional and community banks use CB Richard Ellis to handle the sale of foreclosed property. So they are definitely a good source for leads.

If you have links/sources to other places, please list them here.

I'm especially interested in finding out where national and regional banks are listing their properties online.

Any ideas?

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I'm currently reading the book "FLIP: How to Find, Fix and Sell Houses for Profit" by Rick Villani and Clay Davis.

They have a formula that they use to determine their maximum offer.

Here it is: After Repair Value - Improve Costs - Quiet Costs - Minimum Profit = Maximum Offer.

Should I include my Contingency Expense in this formula even when my purchase price I well below my maximum offer? Should I include the Contingency Expense in my maximum offer at all?

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ATL Property Scouts is a birdogging company here in ATL(obviously). They're not asking for any money so I've got nothing to lose.

Has anyone here had a bad experience with these guys?

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Where do you get the best low-cost, high quality materials for your projects? Do you often recycle unused materials from previous projects?

I've heard from a few posters on scam.com that if you're a rehabber, DirectBuy is a good place to get low-cost materials. Is that true?

Do specialty stores usually have the lowest prices or are you able to get more for your money at big retailers such as Home Depot and Lowes?

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Just added the "Contingency Expense" to my sheet.

Thanks guys

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Originally posted by J Scott:

After you get through a handful of houses, you'll start to figure out what things tend to catch you by surprise, and the surprises really won't be that surprising. Until then, you should always assume worst-case and make sure the numbers support the worst-case scenario.

For example, even if I don't see any evidence of termites on the initial walk-through, I assume we'll find termites and will need to treat for them and fix some damage (add $1000 to my worst-case budget).

Even if the HVAC system seems to be working, if it's older than 10 years, I'll budget for a new system just in case (add $3000 to my worst-case budget).

I'll always budget for some rough plumbing and electrical work, even if both systems are working, as once you get into the rehab, you're likely to find some issues (add $2000 to my worst-case budget).

No matter how good your rehab is, a good inspector will find issues when your buyer has their inspection (he'll make up issues if he has to, as it's embarrassing if an inspector can't find anything wrong), so expect to spend money after the rehab is done as well (add $1000 to my worst-case budget).

When I started, my worst-case budget was always about $10-15K above my target budget. These days, I'm generally within a few hundred dollars of my target budget, but I always know that if there is a $5K surprise, my project can handle it.

And the nice thing is, if the numbers support a worst-case situation, and you expect a worst-case situation, you'll often find that you come in well below budget and make more of a profit than you expected.

On every project, I still have a worst-case budget, a target budget, and a best-case budget. For example, my last project had a worst-case budget of $55K, a target of $50K, and a best-case of $45K. We strived really hard to hit the $45K, but in the end we hit $50K, knowing that even if it ended up at $55K, we still would have hit our profit target.

That's how we like to treat our budgets...

Thanks......I like the idea of "a worst-case budget, a target budget, and a best-case budget." That really helped.

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Originally posted by Joe Dube:

Stephen,

Call all the for rent houses on classified ad web sites. These are land lords, right? Ask if they are looking to buy more houses. If so, what type? Tell them you get houses like the ones he's advertising for rent and want to know if you can put him on your buyer's list. Then call them when you have a good deal. The landlord may want to sell the house instead of renting. If so, you have a possible house to buy. This is very simple however, a lot of folks will not do this because they are afraid of the phone or making money or what ever may be. I have a hard time figuring that out. Just take massive action & good things will happen for you. I hope this helps...

Yes, this helps a WHOLE lot. Thanks.

What are some good classified ad websites(craigslist is the only I have in mind right now)?

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All Forum Posts by: Stephon Blackwell

Stephon Blackwell has started 6 posts and replied 13 times.

Post: ATL Property Scouts

Post: Sources for Deals

Post: Sources for Deals

Post: Sources for Deals

Post: Maximum Offer Formula and Contingency Expense

Post: ATL Property Scouts

Post: Low-cost materials

Post: "Flip This House" question

Post: "Flip This House" question

Post: Bandit Sign Marketing WITHOUT properties?