All Forum Posts by: Matt Hegedus

Chase, 

The first time I heard about 203k was from a Pittsburgh broker. His name is Dennis Natale. Google his website, or call him up, he will be a great help if you're serious. 

If I were you I would start looking at properties. Try to visit 5-10 a week, even if you're not 100% sure you're ready to buy. You gotta get familiar with the market.. So you know where and what you want to buy. 

And simultaneously keep learning and saving $$.  

Matt

Hey everyone,

After almost a year of searching, I have found a house that meets my needs (4 garage bays), in an area close to where I work.

The zoning is really throwing a wrench in the purchase. The one seller has passed away and the wife, who is in a nursing home, has signed over Power of Attorney to a woman I'm having trouble locating (no relation to seller, possibly a court order)

My agent says I won't be able to get a conventional loan on the place, given it is zoned C-1 (light commercial). The listing agent says I will be able to, and wants to go ahead with the purchase agreement. What do you think?

I really can't afford a commercial loan given my budget... I have enough to pay 5% down plus all closing costs and inspections... but not enough to pay 10 or 20% down.

All the ordinances from the county website make it seem like I can't even LIVE in the home, given it is C-1... although the sellers lived there for 61 years. So I'm not so sure how strict they are.... still though, this seems like it will have an impact on financing. Any ideas? Plan of action I can take to purchase this primary residence?

Thank you.

Welcome to BP Lindsay! You'll find some wholesalers here...

Hi BP,

I'm a new wholesaler and I'm brainstorming ways I can help homeowners who need to get rid of their properties. 

Obviously, the options available to us depend on the situation, but I'd like to get your input because I don't know what I don't know. My goal is to make money while helping the seller fix their problem.  And I want to put together a list:

How to help motivated sellers.

The obvious wholesale answer is: Make a low offer, tie it up, and then market that property to other investor buyers. 

But what ELSE could I do to help, short of buying the property myself as a rental?

I'd love to hear how you guys are making money when a motivated seller calls.

Thanks

Thanks J. 

The part that threw me off was "Broker's fee, paid by Buyer to Broker, is as follows... 3% of sale price or $2500, whichever is greater."

However, when I read on it says "it's the broker's policy to accept compensation from the listing broker. The Broker's fee only applies when the amount received is different from the amount [in the paragraph above]"

I get it now...

 Hey Matthew,

My parents are having issues with their leech field (it basically failed). It's in a flat yard and they have lots of extra space.

If I rent a backhoe, how expensive is it to have a plumber come in a re-build it beside the existing field? I'm looking for a ballpark what it cost you...

Thanks

You guys need to be careful with the Buyer Broker agreements. 

I'm reading one right now that would (if I signed it) require ME, the Buyer, to pay the Broker 3% or $2500 (whichever is greater) WHETHER I BUY A LISTED PROPERTY OR NOT.

Now, my Realtor assures me that they would only exercise that if I bought a FSBO, but the paper doesn't lie: Some of these contracts are a liability. 

Buyer beware!!

Hi everyone, thank you very much for your responses! I read and re-read all of them.

I ended up not going through with this purchase because there were significant red flags by the seller. Including length of the leases. Turns out a 4-year tenant (as per our conversation with seller) was actually a 4 MONTH tenant once I saw the leases. 

I also talked to a homeowner on the same street and he said this building has LOTS of turnover due to crime and drug activity. No thanks...

Thanks for posting this Scott! It's an invaluable lesson for all new rehabbers! 

I would be seeking revenge on the village code makers! (But then again, that's one reason the house in in such a beautiful community).

Could you have possibly rented this out (or L/O'd it) to recur some expenses? Or are you anxious to get on with the next flip?

Just wondering
-Matt

 Haha, so meth labs would be more profitable :-)... 

I did some digging on the forums and found two options for this guy (in this particular neighborhood):

1. Try to sell it to the neighbors or

2. Donate it to the city, which will happen anyway regardless.

Thanks Jon!