All Forum Posts by: Liz Cole

@Caleb Heimsoth

Yeah, I didn't mean to imply that all TK's are bad. I just meant; you tell someone from SoCal or WA they can buy a fully reno house and rent it at a profit and they're onboard, and often to their detriment because of the due diligence. Maybe if I had a few hundred thousand to invest and no time, I would think about that. But I'm Type A, and love the hands-on part. 

I'm old too, so I do have to be in a now or never mode, and get my money to grow a little faster than someone in their thirties or forties. Don't get me wrong, I do want to have some semi-passive RE income. I just can't start out that way. 

I DO appreciate all the input and @Derrick E. I didn't mean to hijack your thread. :) 

@Derrick E.

@Derrick E.Derrick were one/both properties listed through an agent or did you find the sellers through other methods?

What would you say your ARV is on both?

And is the ARV close to say, the Zillow estimate?

@Lana S. 

I'm assuming you mean the investor has offered you $50k OVER what you paid?

Have you run your numbers again to see where the ARV is?

If you think it's still at the $50-80 profit margin then why would the investor offer you the $50 profit assuming at best he would maybe make another $30.. 

And, you seem to be over-thinking things like the private lender issue, the realtor, etc. I can see why you would pay your GC for the time he/she has  put into the work. Otherwise, you're in it to make money, not worry about the rest of them particularly. I mean: you're not purposefully trying to cause harm to anyone else's earning potential. :) 

Hmm. I'm really just throwing out food for thought. I'm surprised no one has responded with their insight. 

@Caleb Heimsoth

I'm originally from Mesa, AZ. But you're correct. Looking at houses that cost the same or less than a car in 2018 seems unbelievable. I also think it's why these TK's can dupe newbies. I've lived in Washington North of Seattle an hour for about 8 years. You would be hard pressed to find a residential lot for $35k. 

I was looking in Mt Vernon, WA but a dump was over $225k. Will they keep going up? Probably, but I wouldn't live in the area I saw those. I would live in a couple of the under $25k's in SB though.

The island I live on.. $300K to start. 

I guess I don't understand how the neighborhood is rated (A-D) in a place like South Bend. 

So in relation to that:::

You go get your RE License. You find a house the seller wants/needs out of and now as an Agent you HAVE to give them the education. Personally, as an Agent, I'm getting them the most I can. More money in my pocket. Where does that leave the investor? Because the way it's going in liberal-runned States, you will HAVE to use an Agent to buy and sell.

Going to lose your home to foreclosure?  Tough.  Because as a buyer trying to do both of us a favor, I risk being sued by you afterward.  

@Jason D.

In Washington it isn't JUST being RE Agent.. you can still get in trouble for "equity skimming" for not giving the seller in pre-foreclosure full market value or at bare minimum in writing telling them what they "could" get. 

This is from the RowleyLegal.com website: 

If you're feeling the need for even more regulation, note that you should also (or rather) get your contractor license if you intend to Flip - if you're also brave enough to try and grab up a property worth the hassle. 

I sure wouldn't want to rip anyone off. I just think they go overboard in "protecting" sane adults capable of buying a home but evidently, not capable of selling it on their own ...

@Eric James

They do all kinds of things to 'protect' you folks on the West coast, and you pay them back by selling and taking your capital gains elsewhere. Sheesh. When will they think to institute a 'relocation tax' to make you folks pay your fair share. Maybe make it retroactive. ; )

Don't give them any ideas! Washington State Gov is tax happy and loves to "protect" us folk!  Liberals love the regulation and the taxing (I guess) or our lovely State would go Red. lol

@Derrick E.

My family all lives in South Bend and Niles area, and I have been seriously looking at moving back there to invest. My biggest concern is being able to find something to flip. I mean seriously I just looked at a cute house for under $10K, fix it and live in it and then find another one to flip. BUT, it's on the West side. 

I'm way too Type A to do a Turnkey and trust in that process! I'm a hands-on kinda girl. 

@Account Closed et el, 

Hi Anthony, I know this is an old thread but it had more substance than the 20 "welcome to BP" so thought I would grab your attention if possible.

I've been looking at the South Bend market and actually thinking of moving there to invest. I have a ton of family between SB and Niles. :) So, I feel comfortable going to that OOS market.

RE: Properties under $25k purchase price

What I don't understand is looking at super low priced properties that (when I Google map walk them) don't look like they are particularly "bad" neighborhoods even though they supposedly are in higher crime areas. No bars on the windows, yards are basically well kept, not a lot of junk laying around. And they just sit on the market for months. They clearly need fix up, but what gives?

Thanks and happy to hear from anyone of course!

@Derrick E. 

I get that you are planning on holding for a long time, but I can only imagine buying a house - regardless of what State - for $7,000 must be in a high crime/low school rated area. (Maybe I'm wrong as I'm making assumptions, so correct me if not).

What I've seen as I investigate where to put my starting money, I noticed that these type of areas tend to be fairly stagnant in equity growth, some areas houses under $25k just sit empty for months. Basically, you can't give them away unless one of these "turnkey" companies buy them and then convince somebody in another State it's a great way to get started.. 

Can you share with me your experience? Are you investing in this type of area? 

I was looking for a way to start flipping and then keeping one every two or so as a rental to build up a more passive RE income. Any thoughts on this?  

Thanks! 

Liz