All Forum Posts by: Marisa Amirian

@Chris Seveney can I ask how you outgrew pipedrive ? and what you moved on to?

Yes yes yes...I see....You are truly very kind with your time @Jerryll Noorden thank you for taking the time to explain all of that....very helpful...can't wait to see what you do with the airbnb! 

Quote from @Jerryll Noorden:

I would never use the 70% rule to figure out your numbers. I know that this is what everyone will tell you to do but it is bogus.

But that aside...

if the rehab is 100K and the ARV is 130K, it is not that you are doing something wrong. The rehab is just more than what the house is worth. Will be a hard wholesale sell, in my opinion.

Not sure that a $130K house justifies a $100K rehab cost.

To give you some idea of what sort of deals we are getting..

We make offers based on the numbers, NOT based on our exit strategy.

That is the mistake here. My offer is completely irrelevant to whether I will hold it or flip it or wholesale it. 

You simply can't offer anything for a house that is $130K with a rehab cost of $100K, unless by doing the rehab putting in an addition, or something the ARV will increase significantly.

Not all opportunities "work". Sometimes you just need to walk away sadly.

 Jerryl can you break down how you get to those numbers if you aren't basing them on exit strategy? thank you kindly sir! 

Thanks all! @Eric Greenberg Mt Airy! love it there...not so many deals like that there anymore though...always could have done better on all the rehabs oh well! Thanks @Kevin Nieves!  I saw your post in another discussion....just get started is what I always say.  If I can do it so can you ;) 

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $105,000
Cash invested: $145,000

BRRRed! Cash out refinanced and rented! 3 bedroom 2 bathroom Philly rowhome.

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

it was in an area of Philadelphia that was convenient that I liked. It didn't need a TON of work but still needed rehab.

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

MLS through my realtor.

How did you finance this deal?

I paid cash.

How did you add value to the deal?

I updated kitchen and bathroom and new roof and patio in the backyard.

What was the outcome?

BRRR cash out refinance and successful rent with no vacancies ever since. It appraised well and I got most of my money out. And it has appreciated mucho ever since.

Lessons learned? Challenges?

OOF....do everything you need to in the beginning. I should have rehabbed more....there are still some maintenance issues that I wish I took care of....it didn't set out to be a BRRR I think I accidentally made that happen. But the area is a good area for Philly and I learned that I really like that location.

@Jerryll Noorden...thank you for the reminder! And I can read between the lines of what you are saying as well :) We should be dialing in our marketing so that leads are coming to us...I got a lead last night and the woman just wants to get rid of her property and she put a lot of money into this property with hopes of renting I out and her husband got sick and they can't finish reno so they are in over their heads....anyway - she legitimately needs help and If I cannot help her i'm going to find someone who can. But I think yes if you are chasing leads in the beginning you are really trying to make ends meet, recoup costs and its hard and you end up treating the leads like gods but need to reset! 

Thank you @Jerryll Noorden.  This is sage advice.  Thank you for sharing those deals.  

Hi! I've recently started marketing for leads to increase my rental property portfolio....and I have my first lead in west philly on a 2 story 3/1 that according to the seller "needs a full rehab".....I put my general number for a "full rehab" of that size at about 100K ....I'm putting the ARV at 130K....if i'm not interested in keeping and need to wholesale these numbers already look grim....ARV * 70% - rehab = -$9,000.....soooo what am I doing wrong ?? I can probably get away with less than 100K rehab but I'm not sure how much less...can anyone weigh in on my numbers? thanks!

Start the process ASAP! we are going through eviction process now in Philly...you need to document everything and follow the process.  At some point in the process a sheriff will get involved.  You just need to get it going.  

Thanks @Rich O'Neill!