All Forum Posts by: Miko Yeo

Good Day BP Fam!

          When an Agent sends you a lead and based on the photos there seems to be a tad bit or zero property distress evident in the photos. Would you still look into the deal or end the analysis there? On one hand I'm thinking it may be a waste of time to look into the deal since if there is not much property distress evident in the photos then chances are we would be paying close to or at retail price. Which can be problematic since now there won't be enough equity in the deal to do anything  (And negotiating would be hard since there is nothing really wrong with the property either to negotiate on). However on the other, would it make sense to still proceed with our due diligence by asking seller's reason for selling the property? 

          For if the seller has a lot of personal distress that alone can be used to bring the property price down and create good amount of equity for a deal to work? Or can that only be done if it's an off-market deal? For if it's on market seller can just wait for primary residencers to chip in on the deal? (Since their offer price would be more compared to an Investor in which the numbers has to work)

          What are your thoughts BP Fam? End the analysis if property distress is not evident in the photos? Or continue analysis a bit further and gauge the personal distress to see if their is equity to be made in the deal? 

Thank you & Stay Safe Always!

@Matthew Paul Yes I agree, Thank you as well for the Insight. Will definitely keep that in mind. Much Love & Happy Investing Matthew! :)

@Alecia Loveless Thank you for much insights, What you said really made sense. And gotta say, That is one hell of a Contractor you got there, He is most certainly worth his weight in gold :). (A Total Rockstar just like yourself haha!) 

Aside from that, Thank you once more and Best of Luck on your Apartment Alecia :)

Good Day Fellow Rockstars! I have been reading David Greene's BRRRR Book and on a section with the GC he mentions a way on how to figure whether the GC is lying to you regarding the Timeline or not. His Process is as follows:

1. Carl mentions that he can get the Job done at 8 Weeks. You then ask "Are you Positive on that? Just asking so that I can plan around it."
2. Carl now mentions "Alright, 9 Weeks". You then respond "Actually Carl, I'm gonna give you 10 Weeks and a 5% Bonus from Total Job cost if you finish on time."
3. Now Carl will be Ecstatic, But here's the trick. You follow up with "But if you are to go above 10 weeks I will have a 5% Penalty of the Total Job Cost for every week you go beyond the agreed Tenth. I need to be very sure you’re being real with me here, and not just telling me what I want to hear."
4. Now if Carl is Excited and accepts it. It shows that he can really do it at the Set Timeline but if he were to make excuses, stammer or backpedal then we know Carl has been Full of Crap this entire time.

With the above said, Is this something one would still apply when you have found your Rockstar Contractor? And if not, How would you talk to your Contractor about him not having a Bonus and Additional time on a Project anymore? (Do you convince him otherwise for instead of Bonuses and Time you can bring him "More Volume"?)

Thank you & Would love to hear your Inputs Fellow Rockstars! ;)