All Forum Posts by: Korey Rowlson

I am trying to determine as a Real Estate agent who the target buyers would likely be. I know that with the square footage of a retired firehouse the first thought would be to look at other uses.  Where would be the best places to market this to?  It has been remodeled and finished as a single family home and is zoned that way.  Any thoughts or ideas would be appreciated, as I would like to exhaust all avenues. Thanks in advance.

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $80,000

Cash invested: $24,000

Sale price: $140,900

The cash invested is not including closing costs, or the cost to us on the taxes at the end of the year.

The home was on a full walkout basement with an attached garage and featured 3 bedrooms and two baths up, with an additional bedroom, and office/ non conforming bedroom in the basement along with a family room and half bath.

What made you interested in investing in this type of deal?

The home had a large floor plan with the finished basement and the attached two car garage. There were some cosmetic things and floor plan issues that we knew how to address. Those items really helped the home turn into a great value.

How did you find this deal and how did you negotiate it?

I found the deal on the MLS and purchased with the help of a Realtor. During the flip of this home, I became a Realtor and sold it as my first listing.

How did you add value to the deal?

We removed the lower quality manufactured home drywall, opened the floor plan up some, and I installed all new drywall throughout the first floor. Then we added new crown, new baseboard, new flooring up and down, and finished off a bathroom in the basement. We also installed a ceiling in the basement as previously it was just open to the bottom of the manufactured home.

What was the outcome?

A great profit margin, and a strong start to a new Realtor career.

Lessons learned? Challenges?

Found out more about doing your basic plumbing, tracking down leaks, and repairing them.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

My previous agent works with me as my Mentor at Exit Realty 1st. I would recommend working at Exit, and would love to sponsor in anyone who is looking to change or grow their career options.

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $80,000
Cash invested: $24,000
Sale price: $140,900

The cash invested is not including closing costs, or the cost to us on the taxes at the end of the year.

The home was on a full walkout basement with an attached garage and had a bad upstairs floor plan. We reworked the floor plan, installed new drywall upstairs, painted, new flooring up and down, new crown and baseboard throughout, and did repairs as needed in the home. The home was in a great area with a highly sought after private lake which really helped with the sale of the home. At our asking price we ended up with tons of people at the open house, and multiple offers.

What made you interested in investing in this type of deal?

The home had a large floor plan with the finished basement and the attached two car garage. There were some cosmetic things and floor plan issues that we knew how to address. Those items really helped the home turn into a great value.

How did you find this deal and how did you negotiate it?

I found the deal on the MLS and purchased with the help of a Realtor. During the flip of this home, I became a Realtor and sold it as my first listing.

How did you add value to the deal?

We removed the lower quality manufactured home drywall, opened the floor plan up some, and I installed all new drywall throughout the first floor. Then we added new crown, new baseboard, new flooring up and down, and finished off a bathroom in the basement. We also installed a ceiling in the basement as previously it was just open to the bottom of the manufactured home.

What was the outcome?

A great profit margin, and a strong start to a new Realtor career.

Lessons learned? Challenges?

Found out more about doing your basic plumbing, tracking down leaks, and repairing them.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

My previous agent works with me as my Mentor at Exit Realty 1st. I would recommend working at Exit, and would love to sponsor in anyone who is looking to change or grow their career options.

It depends on alot of things. You understand that. They can be good and the area can be profitable. I know of some right now I would like to have.

Erik, I will PM you with some information. I will talk to you soon.

I don't have the time usually to meet up but would like to get to know people in the area. 

My two cents are somewhat similar to others in some ways. If you are not passionate about your major, find a major that you will like that can help you with Real Estate pursuits. If that's still not for you, and it's better just to leave, pursuing a trade skill that can help would be a great option too. I know what you are saying, some of the tedious things in college I found later in life prepared me for something even if its learning about grinding through.  It could help you to conversate with someone about a topic you would have been otherwise unable to have such as a religion course that was required for me.

Becoming a Realtor and working on wholesaling is a great plan. You can still do that while doing college or a trade skill as well.

I hope everything works out and you find the answer to your question.

Other responders: Let's try to stay positive and help. Most were great, but some small negative assumptions I saw were not needed. 

Harrison, 

Congrats on the education from a great school.  On top of that you have your eyes and mind open enough to go after Real Estate and have been researching well.  You are on a great path.  

If I could share anything, there would be a lot.  One thing you need to keep in mind is that you need to decide are you going to learn how to get your hands dirty, or are you going to sit back and just make decisions.  If you are wanting to get your hands dirty and invest your time into that side, you need to learn those ropes.  If you do not have people around you who can teach you those skills then you need to find a trustworthy team to surround yourself with.  A mentor would be huge.  In the interest of time we can talk more about building a team later.

If you are going to sit back and just make decisions on what to buy, who to have do the work and such, then you will still need a team.  You will also need a good source of income to sustain your life and business expences.

Staying in one lane until you feel knowledgeable is a helpful plan as well. Staying with one tactic (renting, flipping, or BRRRR for example) will obviously allow you to gain knowledge on that tactic more quickly. You can expand to other avenues for diversification after you are successful enough and feel ready mentally and financially.

A nice plan you should be able to start with is taking advantage of finding your own first home.  If I knew about it at your age I would have taken advantage of the lower interest rate of a personal mortgage and lower down payment requirements to get an investment property.  Buying a duplex or triplex for example would be great.  You can move in and update apartment by apartment, all while learning the ropes of landlording and having others pay your mortgage.  When the time is right, you could buy your next property as your new primary residence on another lower interest lower down payment loan and keep the process moving.

This path will allow for you to have lower down out of your pocket, lower interest rates, and learn about landlording. Multi unit homes are not for everyone, I have personally not gone down this path. Doing the same with a single family is also possible just mildly different. I like that others pay off your mortgage while you pile up properties for assets. You can always refinance later if you like keeping them leveraged and need the cash out.  Either way, if you get to the end of the mortgage and it is fully paid off you now have an asset that has more than likely gone up in value, and you hopefully have paid only a small fraction of that price. Sell it for money or make even larger profit, your call.

Being from the area I would like to help if you are open to it. PM me on here. Feel free to research.

- Korey Rowlson 

Text "Korey" to 85377 for my mobile business card.

Congrats on picking up more doors.  Last we spoke you had the one property and were looking into doing more. Don't worry about picking them up right now.  It is not that bad to us, really just 3 or so inches of snow.  I was moving couches for staging in it yesterday. 

I have seen a lot of the signs up for All Pro and am glad you have tried them and also a competitor that I have not seen signs for.  It is a good and positive perspective that you mention around the inspections, as most just complain about the inconsistencies from one inspector to the next and the inspection fees that come when they send a person out. I like the feedback and am sure many investors who are looking to be in the business around here will appreciate the information. 

Thanks for the response

Can anyone share their experiences with rentals outside vs inside city of Jackson single family or multi family?  I would love to hear about the best rental property management companies and anything that has worked for deals or financing. 

I have a lot of experience in "flipping" around here. As a Realtor in the area now I want to have a better understanding of what investors are seeing running their rentals. I already know all about the Jackson area city certification issues. 

I have studied rentals and know some who have land contracts and rentals in Jackson.