All Forum Posts by: Account Closed

Hello, I've read many articles, pdfs, and listened to podcasts so I have a general idea of wholesaling and flipping properties. Now, I haven't done any actual work in terms of starting, but rather have gained a massive amount of knowledge. 

My question is, what would be the first steps you would take, besides the networking aspect, because I am already working on that. 

Below is a list of how I want to start, and any obstacles that are stopping me from doing so are in parenthesis:

1) Analyze the markets you want to hit in my city (Los Angeles) & come up with the criteria that you need to stick to. 

2) Network with cash buyers by going to different events

3) Make business cards & and two different websites for sellers and buyers, with a squeeze page from aweber (this sounds like it would be expensive) (do I need a buyers page and sellers page?)

4) Make a google voice number

5) Find a good attorney and make contracts (I don't know what to ask the attorney to add into the contracts to fully protect myself -- I am a licensed agent that doesn't practice) (Also, this sounds expensive, and I was wondering if there is another way I can come up with contracts, or if someone can assist me with creating one)

6) Find a good closing agent that is real estate friendly

7) Make buyer/seller script (elevator pitch) so you are prepared when talking to them over the phone, or in person when you visit the subject property

Thank you in advance!

Thank you so much @Will Barnard for all this info. It will definitely go to good use. 

@Rick H.Thank you Rick for the valuable input. Do you mind sharing any tips on drafting contracts and how to get started? Real estate is a dangerous aspect of business if you don't do it right, and any pointers would help me tremendously in getting started. Thanks in advance. 

Thank you guys so much for all your help!

@Joshua McGinnisThis was very helpful. I'm grateful for people like yourself that take time to help a new investor out. 

@Ewa RezaThank you for the insight. Do you have to buy REO's and then sell them? Is there like a restriction to most where you can't sell it for a specific amount of time. I feel like i've heard that somewhere? Thanks.

Hello, 

I recently went to a RE meeting where they said that assignments and double closes are illegal in California (Los angeles), but I sort of don't believe it. Do you need to buy the property first, and then sell it? Or are assignments and double closes legal? I have my RE agent license, but it is not hung on any broker's wall. Also, when you buy from MLS or from a seller with a broker, how does wholesaling work?

Hey Ram, 

Thanks a lot for your input! Will definitely put it into good use. 

Can anyone please share what the front and back of your investor business cards look like? Buyer and seller business cards please. Do you write "real estate investor" as your position?

Can anyone also share their contracts with me? I heard that if you have a base, your lawyer will charger a cheaper rate to edit it, rather than drafting a new one. Thank you!

Hello, I am from Los Angeles, California. I have been studying wholesaling and flipping for the past couple months, and want to start very soon (paralysis analysis)

I was wondering if anyone, especially regarding California laws, can recommend any clauses to put in my buyer and seller PSA, & assignment contract to protect me from any lawsuits or put in me a position where if things go wrong, I'm stuck with a payment. 

Also, if anyone can recommend any good RE lawyers and closing agents that are great and friendly, I will be sure to tell them that you sent me!

Thank you in advance!

@Michael NotoThank you so much for all this info. For #8, sorry for the confusion but I meant to ask the difference between a general contractor and a project manager. 

@Bret EmryThank you so much Bret for the eye opener. Relationship is key, and I will definitely work on improving it. 

@Ron CollinsJust jotted those down haha. Thank you sir!

I live in the Los Angeles county, and would love to start investing. I have some basic questions that might be stupid, but would be very beneficial to me if answered, especially from someone that invests in Los Angeles. If you could answer any of these, it would be greatly appreciated. 

1) What clauses/contingencies would you include in your four contracts (PSA for buyer, PSA for seller, assignment contract, flex option contract?

2) What are some markets that you like in the Los Angeles area?

3) What do your fix and flip closing costs usually look like, in terms of percentage of PP?

4) Where do you get your contracts from? Would you be able to share your contracts with me so I have a basis to start when speaking with my RE lawyer. 

5) How do you know if the foundation of the house is good or not before buying the property? Are there quick checks you can do? 

6) Do you call for estimates like plumbing and electrical before you sign contract and start fixing and flipping? Because what if you buy it, and you start finding these things. But then again, wouldn't it be very costly to get these different inspections before even buying the property?

7) Isn’t subject to property violating the due on sale clause? If you are taking over someone else's loan, can't the bank ask for full payment whenever it wants? 

8) What is the difference between a general contractor and a property manager and how do you pay them and your other workers such as construction workers?

9) If you go to a foreclosure auction, and you want to wholesale the property, how do you have the cash buyer actually buy it? Does he need to come to the auction?

10) Do you fix up properties if the area around it has ugly houses? Because even though the property might look nice, will people pay more for it? Or do you fix it similarly to like kind properties around the area? 

11) If you get a loan from a private lender for a fix and flip and sell the house, can you use the loan money for another house? Or do you take out a whole new loan with a whole new contract?

12) Do you usually use 100% financing when borrowing from lenders? 

13) Can you use two different loans from two different private lenders for financing one single home?