All Forum Posts by: Matthew Hite

It's all about the verbiage you choose, instead of "ugly houses," instead say phrases like "houses with value-add opportunities" or "houses under distress."

Welcome! The first deal is always the toughest. I'm also in the Dallas area with similar goals, feel free to reach out with any questions.

Sent you a private message; however, please also send any information regarding the property to [email protected].

Thanks!

Fellow Longhorn here: you sound a lot like I did in college and I'm going to give you advice as if I were speaking to myself. First off, switch majors into one you'll enjoy but is still employable. Even if real estate goes well for you, you'll likely need a W2 job for a while to help with traditional financing. Use these next few years to learn all that you can about real estate and determine if it's something you truly enjoy and have a passion for, or if you're only seeing it as a way to get rich. Don't wait to get started though, the market is hot right now but that doesn't mean it'll cool off anytime soon, it could continue to rise for many more years. Time in the market beats timing the market. Just make sure you're buying smart. Don't waste your time with stocks. You're not going to trade that $1000 into anything meaningful. You'll likely burn through it in a few weeks trying to day trade. Instead, use that money to start marketing for wholesale deals. It'll give you a taste of the real estate investing world. Finding deals is key and some people just don't have the courage or outgoing personality to talk on the phone or meet with motivated sellers. If that's not for you, you'll need to pivot to another strategy but the majority of those will take initial capital. As a college student, the thing that you do have right now is time. Use that to your advantage. Try to partner up with someone to have them show you the ropes and maybe split a deal. Keep your living expenses low and put any money you earn back into your business. In a few years your hard work could snowball into something great.

Yes, it is a deal; however, you'd have to take into consideration the liens and potential realtor fees when structuring the deal.  You're going to have to move fast since it is in the foreclosure process so don't tie up this property if you can't get it closed quickly.  Consider partnering up with an experienced wholesaler in the area who can help you through the process and bring a buyer to the table before you place an offer on the property.

Hi BP,

I'm looking to pick up several rental properties in the DFW or Austin markets within the next year. I've done some conventional wholesaling in the past but have recently switched to buy-and-hold strategy. With the Texas markets as hot as they are currently, it is difficult to find good cash flowing deals on the MLS and purchasing with conventional 20% down is expensive. I enjoy the idea of using leverage to increase returns and am considering using my wholesaling experience to find owner financing (and possibly Subject To) deals. The primary goal for finding these types of deals is to pick up properties for only 5-10% down.

Are there any roadblocks to this strategy that I'm not foreseeing?  On paper this strategy to me seems logical but I know that is not always the case in real life.  Does anyone know of an attorney in the DFW area that they could recommend for owner financing contracts?  Also, if any wholesalers in the area have similar deals please message me as I'd like to be added to your buyers list.

Thanks!

Congratulations!  The first purchase is always the toughest but you'll find that it becomes addictive.

I just kicked off my first direct marketing campaign last week and have had similar results as you. I'm mailing 250/week (1000 monthly) and from my first batch I've received three calls (~1% call back rate). They were landlords that owned the properties outright but had no motivation to sell. The properties needed little or no repairs so they were expecting an offer near market value. It was good experience talking to the sellers and pulling comps but I'm hoping to find someone motivated within the next few months.

I've wondered the same thing. Are each unit within a MFH metered separately? Or, would you have to split the cost between tenants?

I know that lease agreements vary from state-to-state but do you have to include a clause within the lease agreement that utilities are not included or is that typically the standard?

Thanks for the advice! I'll be sure to try to check out Phil and Harold's meetups sometime.