All Forum Posts by: Luis Montanez

Thanks david

The Before and After Pictures are in Are we missing is the (most important part) money back in the bank account:

Below the Numbers and anticipated profit:

PP:                   $105K

Renovation:        44K

Holding Cost:       5K

Selling Cost         6K

All In:                $160k

Estimate SP:    $205k

Profit:                 $45K

Before Pictures

After Pictures:

If you can:

1. Manage the acquisition (find the deal, help secure the funding), 

2. Manage the renovation (SOW, hire and manage contractors/renovation), 

3. Manage the closing.

4. Guarantee a $30k profit for me as minimum.

I am totally in PM me to get started.

After fix

To solve the issue, I ended up doing a french drain at the footing and waterproofed with special paint and plastic on the outside of the home. I also did some land grading to make the water move away from the home.

Inside the basement we filled in the cracks with a concrete epoxy and painted the wall. 

The total repair came out to $6k but this work general cost $12k. 

The good part about the option I went with is that, we completely solved the waterproof issue including a 1year warranty that translates to the new owner.  The down side is that you can still see some of the bowing from the inside and may scare buyers. I have taught about covering the wall with drywall or textured concrete but I honestly dont think it is worth the money or effort for the bottom line. I could get something certified by structure engineer but for the same cost I could probably cover the wall with dry wall and cover the issue. Not sure what to do at this point. Looking for educated opinions from flippers that have delt with this issue.

ask a commercial realtor, what is the average cap rate for thos area? I would value this property using the income approach. 6% cap rate is not exiting to me nor the average of $500 per month per unit but to each its own.

You are offering to pay $62k per unit so to me it sounds like you are paying near retail value. 

Do good due diligence, i would advice that you read this book before you move forward with this deal.

 Rich Dad Advisors: ABCs of Real Estate Investing by Ken McElroy

@Chris Brown Were did you get your windows? and for how much?

@Evan Miller for me as potential buyer, I would only be interested if: (in the best case scenario) 

1. ALL properties are vacant and cash flowing

2. There is supporting documentation to show (pictures, address, tenant contracts, payment history and operating expenses).

3.  I can acquire the properties at  70% of the appraisal value less cost of expenses.

If you can gather all this information and get the properties under contract at 60% then you will be able to make the 10% spread.

Cheers!

Hey @Corey Shields welcome to BP. flooring capital of the word? Will like to add you to my team,  As an example, I got this oak prefinished hardwood on clearance for a $1.11 per Sq. Ft. do you guys have any deals like this on regular basis? also need a carpet connection. Cheers! 

We are plugging and chugging with the renovation and we are balls deep. I am having doubt and am trying to stay on track with the plan (Cobb County Investors please comment).

My original ARV shows that I could sell this property with a medium renovation (that is: not as expensive fixtures, not changing the windows, not resurfacing the driveway and sidewalk concrete) for $189k (1,600 sq. ft. 3/2).

However, there is one property that sold recently in the area (500 Debra Dr., Marietta GA 30066) that closed for $231k. Based on this, my gut is telling to go all out with the renovation and increase my sell price by $10k to $20k. My doubt comes from the lack of inventory of "fully renovated" properties to get an accurate ARV.

So far, we have been tackling "deferred maintenance" issues. Like the new roof (done for $3k), foundation issues (done for $6k) and grading the land to resolve sinkholes issues (done for $2,600). Some pictures, video links below (let me know if they work):

https://goo.gl/photos/gJSa9fbbbiRozaG5A

https://goo.gl/photos/YWk8NCiWQQJLuqzq6

It all depends on the results of your IRR analysis. I bet you can shop for good high end furniture at low prices at Amazon.com, overstock.com, Walmart.com etc. Good luck