All Forum Posts by: Michael Finkelshteyn

I am in, maybe @Al Bunch wants to join in.

@Jay P. ,

Welcome to BP. I looked around BCS for some multi-families, but I really couldn't find anything that worked for me. I was using MLS, so go figure. How did you find yours?

Would you mind sharing the numbers of the property? You can private message me if you're not comfortable spitting out the numbers in public.

Best regards,

@Account Closed , I am currently in a similar situation as you. I used up the money I saved for real estate in a duplex. I'd like to acquire 2 or 3 properties a year, so the traditional savings route won't allow that. So, some of the things I've been considering are:

Cash out/refinance: Get my money out and go sink it into another property

Owner finance: Find a seller willing to do this type of deal and possibly negotiating a low down payment, favorable rates, balloon payments etc.

Subject to: Find a seller willing to do this, give him an initial down payment and offer to pay their monthly payments and then rent out the place and capture the spread.

I am not an expert in these, and they'll take some legal work, but its a few of the options out there to keep the ball rolling and minimize your risk. I plan on just asking sellers to see if they're willing to do a deal like that, and if they say yes, I'll seek out more specific advice from BP or my local REIA.

Thanks Bill.

How do you arrive at the 20/22k value? Is it just 39k-40%?

I would think there are some PV calculations involved when analyzing the entire return of the note, correct? In which case, the note would have to sell for less depending on the rate.

Are there any rule of thumbs on recognizing when this type of strategy is suitable?

There is a 3/1 property in Houston being wholesaled with the following information:

ARV: $50k

Repairs: $27k-30K

Rentals: $600-$750 ( I don't believe these numbers)

This deal doesn't make sense as a rental to me, but I was thinking if it would be possible to structure an owner financed deal to an owner occupant and then sell the note to a note buyer.

Below are some rudimentary calculations. I have not included holding costs for simplicity (HML+insurance+property taxes+utilities+etc.). This is more so an exercise and I'd like feedback on how notes are properly analyzed.

If possible, perhaps I could complete some "Lipstick" repairs for $15k-$20k.

I was trying to check the quote I received for 16 piers at $145/pier. So it looks like its in line with what you said.

I wanted to find out what sort of prices Houston investors are seeing for foundation piers. Are they typically dependent on the amount of elevation required?

Ha, thanks @Account Closed , thats a good point that I'll have to consider in the future.

@John Fossetti, the previous owner still has her stuff in the property. She is moving to another residence and she has it lined up already. Its just that she doesn't have access to a truck nor does it seem like she has enough money to hire a moving service. Essentially, my hiring a mover would be the "Cash for Keys".

I'd just like to get her out ASAP because of legal/liability issues and to begin rehab.

If the previous owner of the property you purchased from still has their stuff in your property and they are dragging their feet on moving out; what is the best course of action?

I would like to expedite the move by hiring a mover ($175 quoted) and just closing that issue.

As far holding costs go, they are minimal as this was a cash acquisition.

The previous owners were supposed to move out Friday, then Sunday, then Tuesday and now they're asking for Wednesday. I swung by today and none of their stuff has been moved and I just don't think they'll move out when they say they will.

What do you guys think?

Yes! Come to Houston!