All Forum Posts by: Cleiton Levinski
Cleiton Levinski has started 2 posts and replied 7 times.
Post: Guidance Needed on Evaluating a Potential Fix & Flip vs. BRRR Opportunity
- Investor
- Clearwater
- Posts 7
- Votes 3
Quote from @Andy Sabisch:
If you are considering a BRRRR, what are rents in the area and what neighborhood is it in (A, B, C, etc.) Use the BP calculators to see what the ROI is and try different scenarios. You may find one out performs the other by a lot especially with interest rates (and HML rates can kill what might look like a good deal otherwise).
I would be happy to take a look at the specific property you are interested in . . . send me a message with the address rather than posting it here. Will see what the numbers look like and give you some questions to follow up on. Don't worry, moved back up north so I am not in the Florida market anymore (and don't do long distance)
I'll follow up privately.
Post: Guidance Needed on Evaluating a Potential Fix & Flip vs. BRRR Opportunity
- Investor
- Clearwater
- Posts 7
- Votes 3
Quote from @David Avery:
Clinton,
First off if it's listed, You could
take the owner to dinner but he has signed a contract with the agent .
The agent gets a commission no matter what you try with the owner.
Call his agent and go look at it.
Do not get another agent that represents you.
Now you have about $12,000 wiggle room ( 3 percent commission).
Don't hesitate to go and look.
See condition and let BP know condition.
This is step 1
I think I forgot to mention but it is not listed! :/
Post: Guidance Needed on Evaluating a Potential Fix & Flip vs. BRRR Opportunity
- Investor
- Clearwater
- Posts 7
- Votes 3
Hello, fellow investors,
I'm venturing into the realm of real estate investment and am eyeing a property near my neighborhood for a potential Fix & Flip or BRRR opportunity. Though I'm new to this and still learning the ropes, I'm keen on making informed decisions and possibly partnering with an experienced investor who can guide me through the process.
The property that caught my attention is currently listed at $439k on Zillow. It appears distressed and, despite its listing, feels like it has been overlooked. Located in a prime area of Clearwater, FL, the house next to it is valued at $615k, suggesting significant upside potential. With this in mind, I have several questions:
- 1. Finding Owner and Property Information: What are effective strategies to uncover detailed information about a property and its owner, especially one that's listed but seems neglected? Are there specific databases or resources that are invaluable for this research?
- 2. Approaching the Owner: Considering the property is listed, would it still be advisable to directly approach the owner? I want to ensure my interest is perceived positively, without harming potential negotiations.
- 3. Deciding on an Offer: How can I determine a fair offer for a property that, despite being listed, might have a different value in reality due to its condition? What tools or methods should I employ to evaluate its true market value?
- 4. BRRR vs. Flip Decision: Given the property's price and potential, how can I decide whether to pursue a BRRR strategy or a traditional Flip? Are there specific factors or market conditions in Clearwater, FL, that would make one approach more advantageous than the other?
I'm also considering utilizing $150k-$170k in equity from my primary residence as a HELOC to fund this investment. I'm eager to learn from those more experienced and would appreciate any advice or insight. Partnering with someone knowledgeable in this area, even just for the learning experience, would be incredibly valuable to me.
Thank you in advance for your guidance and support. I look forward to your responses and any advice you can share.
Post: Need Help Starting in Real Estate Investing
- Investor
- Clearwater
- Posts 7
- Votes 3
Quote from @Benjamin Aaker:
1. Property equity: Consider taking out a line of credit on the property so you have the money available when you find the deal.
2. Mentorship: Rather than paying for a mentor, you might find value in joining a real estate group. Some of these are run by a leader and require a fee. I don't think these are bad, but you do need to do your work to vet them. Many continually upsell you. Just like those of us who went to college, we were willing to pay to have the knowledge readily accessible. If there is someone out there who will take away all the bad advice on an internet search and answer your questions, that person provides a value and might be worth your hard-earned dollars.
3. You can do no-money-down deals. They do exist. But they are the minority of real estate deals. And they have significant drawbacks. You have money - in the equity of your property. You don't need no-money-down.
Thanks @Benjamin Aaker. Those are really good insights. I wonder if I should be more specific as to the dollar amount in equity I have available. I something around $150k-$170k, that is obviously not enough to purchase a whole property and I'd probably need Hard Money to cover the rest of the investment. I was recently advised that BRRR is probably not a food fit for me and flipping could work better.
Any thoughts on that?
Post: Need Help Starting in Real Estate Investing
- Investor
- Clearwater
- Posts 7
- Votes 3
Quote from @John K.:
Hi Cleiton,
Welcome! You're likely not as much of a beginner as you think, as learning how to take care of your own home is half of the battle. Here's my answers:
1. For getting equity out of your current primary residence without affecting your current mortgage, you can use a HELOC or HELOAN that will go up to 90% LTV. If you don't have a low rate locked in, you could do a cash-out refinance as well that goes up to 80% LTV.
2. I am personally strongly against any type of mentorship program or course. Stay away from the gurus! All the resources you need are 100% free between the internet, agents and lenders that will all be more than happy to help and answer any questions for you.
3. For investment properties, there is no way to put zero money down--20% down is the bare minimum. It may have been possible years ago, but not anymore--lenders want to make sure that you have skin in the game and that you won't just walk away from the property if things get tough. It's a different story for a primary residence however--there are indeed programs for 0% down that are not exclusive to VA/USDA. I have a 100% LTV FHA program that is open to almost anyone and can be used with a duplex. You can also put 5% down with conventional on a 1-4 unit property.
Feel free to reach out anytime if you want to discuss more!
John
I wanted to reply to your comment but ended up creating a new comment under the post, hahah!
See my reply above.
Post: Need Help Starting in Real Estate Investing
- Investor
- Clearwater
- Posts 7
- Votes 3
@John K. I greatly appreciate your insightful advice. I'm eager to connect and delve deeper into the subject. While grasping the overarching concept seems straightforward, I'm aware there's a wealth of intricate details beneath the surface that I'm keen to understand better.
Post: Need Help Starting in Real Estate Investing
- Investor
- Clearwater
- Posts 7
- Votes 3
Hey everyone,
I'm new here and looking for some advice on getting into real estate investing. I've heard you can start without much money, and I'm curious about how to do that. I've got some equity in my home that might help me get started, but I'm not sure what the best move is.
I'm also thinking about getting a mentor. I've heard about programs like Relaunch and Real Success, but I'm not sure if they're worth it. Has anyone tried these or got any tips on finding a good mentor?
Here's what I'm trying to figure out:
- What's a good first step for someone with a bit of property equity?
- Any advice on mentorship programs or how to find a mentor?
- Are those "no-money-down" deals for real? How do you actually do that?
Would love to hear from anyone who's been in my shoes or has any insights to share. Thanks a bunch!
Cheers,
Levinski