All Forum Posts by: Matthew P.

@John Christodoulakis All great things mentioned! I will just chime in on galvanized plumbing, only because I have close friends redoing it because of them breaking down from the inside out. Get a plumber out to scope the pipes and just factor replacing the galvanized pipes in your figures....you’ll sleep better at night. My friends dealt with flooding and major sewage issues, all because they didn’t have the camera go down the pipes during due diligence. So much great character in those older houses that is hard to replicate in a 80’s or 90’s home IMO. Best of luck to you moving forward.

One of my coworkers quit after buying a RV park in Montana just outside of Yellowstone by 30 mins. Her and here husband have had a great financial year so far wIth it. Networking with them opened my mind to the idea of something like that.

@John Fedro Yes, definitely agree about not doing anything sneaky, just more so committed to finding creative solutions for deals. I can see why Brandon Turner and others have got into that space. I am making 2 offers a week, going to commit to making at least 4 offers next week and so on. Thanks for the offer of help, I’ll run a deal or two by you when they come to talk shop in the future.

Thanks for the Lonnie reference. I had a buddy send this to me to look at buying. This is why I love BP.

Thanks for all the responses. There is a local bank who can loan on this. The land is $410 a month, mortgage after rehab would be $350 a month. I would at least charge $1100 after the rehab. The vacancy rate in this town is 0.1%. The numbers sounded good. I appreciate the honesty.

Looking into buying a mobile park home that a family is trying to unload. The rent on it would be crazy cash flow, but it is without the land and I have to fill out an application. The family said that the management group app states it has to be owner occupied, forcing me to not renting it out. Anyone find a creative way around this. I thought about talking to the manager and ask if I pay them 10% of my rent collected if they will do it. Any thoughts or experiences with this out there BP???

@Becca Summers The last one was an estate sale 2/1 1700sf no garage that had 4ft of water sitting in the basement and standing water on the main level. They had no clue how long it had been there. A disaster cleaning company came out and stripped the basement to the studs and tore the floors and some sheet rock off main level. They said bad original plumbing and roof leaking combo with all the rain we had. The subfloor main level was unusable and It was sight unseen....total gut job $100k rehab. They said they wanted it under contract that day and close ASAP asking 220k. After analyzing an ARV between 300 to 325k and confirming around 100k in rehab plus holding costs. I offered 150k all cash, 100k earnest, closing 4 days or less, and only due diligence as a contingency to get someone out to see if the foundation was still functional. They let me know that they had a full offer and closing in 3 weeks. Wholesaler....maybe??

@Michael Pearse Thanks for your response I fully anticipated needing to make 20 to 40 offers prior to an accepted one, but shocked how over the top these other investors were vs my offer. The question I’m working out, is combining my HELOC with some hard money to step up in price range to hopefully thin out this current crowd or stay the course like you said.

@Jackson Pontsler Thanks for sharing your experience! I know Utah is a HOT market, the crazy thing on all those offers we got the feedback that it was fix, flip, and hold rentals. In your experience in this market, are you seeing a lot of non-permitted or substandard work being done on these investor over bought properties? I ask, because I had a very detailed breakdown of everything including holding and permit costs. I fully planned on needing to do 20 to 40 offers before getting something staying where the number made some sense. I is good to hear I wasn‘t In left fIeld on that analylsIs. I was just shocked how over the top these offers came. I am lucky to have an understanding RE Agent that is fine shooting these offers out, and even the they are a little taken back as self investors on the other offers. Thanks again for the reply

I am a newer investor in the Utah with a descent sIze HELOC to invest with. I have made 4 offers in the last two weeks on estate sale homes, all cash, closing in 4 days, 100k earnest money, with only due diligence as a contingency. These homes have been marketed as most likely needing to be torn down or as is. I have about 4 years experience as a new residential home building partner pre-2008 before the crash. I have done thorough rehab analysis on each home factoring that in my offer, but I keep getting run over with what seems to be overpaying investors with stupid money. I have stayed pretty up to date on material costs, and do not think I’m over estimating myself out of deals. Any advice? i am not afraid opportunities and know that I’ve grown and evolved even only submitting the few offers I have.