All Forum Posts by: Mark Sewell

I think they charge like $197 or something -- well worth it.  You'll get that value the first day.  Go do it.

Save what deal?  There's no deal here.

She buys the thing, pays closing costs.  She then pays again when she sells.  Gotta figure at least $10-15K in upgrades/remodeling, even for the most basic 'cosmetic only' rehab.  This is assuming she is using all her own money, and not hard money or paying a PM lender.   Sorry, but I'm not seeing the profit margin here.

Sometimes the deal isn't there.  It simply does not make sense to sell a perfectly good house to an investor -- just advise the seller to make the model repairs themselves, if that is all that is required, and then list it with a realtor.  That is the end of the pool they swim in, not us.   If the seller isn't motivated, and the house isn't distressed, then there is no reason to just give away the equity that would be need to make it worth the time/money of any investor.

The whole idea of working with an investor is because the house won't sell through normal market channels, or it won't sell fast enough. 

What am I missing?

Just came to BP to ask this very question -- nice that there is already a thread going. 

If I were going to mail to this list, I'd do it just like @Lauren B suggests.

I think if I were to cold call this list, I'd not raise the question of the tax liens.  They are not nearly as time-critical as being behind on a mortgage payment, but I do think these situations can snowball.  Better to get them talking, and maybe let them raise it.  Probably for the first call it, just make contact.  It is probably enough that they know how you are and they know your name, and somehow you want them to like you and trust you more than the other 200 wholesalers/buyers that are targeting them.

Myself I am trying to determine if I even want to call them at all. Probably I will look for those that are vacant, where the owner lives somewhere else, and then try to strike up a peer-to-peer discussion with them as a fellow investor... not unlike what we are doing here online on these very forums.  

Please take these comments as my own thoughts, just trying to think this out for myself, and not as somebody that has any degree of experience.  Totally new to marketing side of this.  Hoping to keep this thread going to learn how others are doing it.

I would not totally rule it out, but any investor should have some kind of self-imposed risk-management 'trading rules' in place -- meaning, you limit your exposure to those areas, and you don't invest too heavily there.  If you own a dozen properties, then maybe 1 or 2 could be in a flood zone.  But it should be priced accordingly.  There is a lot of that going on around here in Houston, as you can imagine. 

Another thought to consider -- actual flooding doesn't have to conform to existing FEMA flood zones. Those studies are sometimes pretty old, and over time dirt gets moved, flood plains get built and graded and reworked... And then, when the big one blows in, things will likely play out differently. Then FEMA will go back and redraw the flood zone areas.

Renters insurance only covers their belongings and personal property.  Doesn't cover any part of the house/condo that they are renting -- that's going to be a landlord policy, which is very different. 

Anyway, renters insurance is like beer money, about $25-30 a month, for most folks.  Not even worth discussing, just make them get it.

I could help you, brother, here in Houston.  Connect with some local flippers/landlords in the DFW area, somebody will have a good guy they can send your way.

Maybe some part of the condensers can be saved or repaired?  

One thought -- search for techs that do Goodman AC.  They are made here in Texas and they run a little less than the big brand names.

Sure guys, let's get together for a coffee some Saturday morning.

I would say he needs to go ahead and sell the place in NY, and get his hands on the proceeds.  It might not go as far as he thinks, but get that in hand.  Then buy something inexpensive down south somewhere -- just really got to buy smart.  The good news is you can get a LOT of house down south for not a lot of cash (compared to NYC).

Maybe go the Bigger Pockets house-hack route and find a decent duplex or triplex that he can rent out, while living in one unit.  Create your income stream there.  Then he can go back and refinance it, once he has renters in place.  

Jorge, let me know.  Sorry I missed it today.  Let's find a place with breakfast tacos!!

@Wade G

Hey brother mad respect for sharing this.  It isn't fun sharing stuff like this in the open when things don't go right -- ask me, I know. RE has humbled me, but I'm still chugging. 

Not a landlord but I think you provided your own solution to your dilemma.  Sounds very fixable.  

I would not pay off your primary mortgage, however.  Some leverage is good, particularly when it is cheap money.  Pay off other higher interest debts if you have them, but I'd have to be swimming in cash before I pay off anything early at 3.7%.  I would understand if you were to decide you wanted to restrict a big portion of that liquid investments -- that way you can still get to it if needed.

Maybe go meet up some proven flippers here in the area?  Consider going in on a deal with a couple guys that know how to do it right.... and now it occurs to me that this is perhaps what you meant by syndication.  

Good luck, sir, and thanks again for sharing.  We all get to learn.