All Forum Posts by: Jason Pettigrew

The kids do have full power of attorney. The mother has "functional dementia" so she cannot make any decisions. 

As far as the appraiser goes, do they value a property that is in need of major repair, basically as-is value? Or...do they look at the housing market and base it off of recent comps? I'm still in research mode here and trying to cram this all in to understand it fully. 

When I say major repair; All new electric, gutting half the house for insulation and re-wiring, new roof, kitchen, etc... I'm curious to know if these or any type of repairs are even considered in their evaluations vs. what comparable are going for in the area.

Here is the situation. I have a potential deal where the owner is currently in the hospital and the kids want to get rid of the house. They've already contacted an appraiser to look at the house and the owner is on a waiting list to go into a nursing facility. The house is in need of major repairs and I'm in the middle of calculating everything. Once the owner is in the nursing facility she has 9 months of private money before medicare kicks in. I understand that medicare does a look back on property and could potentially come back for their cut. 

The kids are looking to move the house and be done with it even if they have to owe money in the end. It holds 2 mortgages which amount to 79k, the house conservatively once fixed up could be between 120k - 130k. How can I structure this deal? Should I have the kids start talking with an elder law attorney? From what i understand is that these situations are shaky to begin with. This will be my first deal. 

Looking for some insight on how to structure. 

Thanks @Nuhan Demirkan I've been searching this topic. When you were out looking for a brokerage did you ask upfront if the broker(s) had an issue with investing on the side and did the office encourage it?

@Jacob Krusienski Welcome Jacob!!! This site is great and informative to each aspect of REI. Either by reading forms or going to the Resources Tab, can provide you with a wealth of knowledge. Start by reading The Ultimate Beginners Guide To Real Estate Investing, its free. The podcasts are incredibly inspiring, each guest tells their ups, downs and successes. Brandon & Josh are quirky and tend to make the interviews not as rigid. I wouldn't ask them to change anything that they do. Also, reach out and be involved. their are no stupid questions. 

I'm new to the REI world too and from the upstate area too. In a couple weeks an REIA meeting is coming up, I would suggest to stop by and talk with other investors. 

Good luck!

Does this require action from your insurance? I went through a fire at my personal residence. My wife and I hired a public adjuster to help with dealing with the insurance company. He was able to make sure they(insurance co) covered every expense. I'm not sure through a rental what would be required, but do not think it would be any different. 

As far as disclosure goes, do you put in the wholesale contract or have a separate contract all together with you disclosing you're a licensed RE agent but acting as an investor, this way its shown that you've disclosed this to the seller and no recourse can occur? 

@Mike H. What did you find out about mixing as an RE Agent and RE Investor in NY? Rules, regulations, how you disclose your position as an RE agent? I'm curious to know since I have gone through the course, but hesitant to sign up as a RE agent in terms of being fined or turning a potential listing away. 

@Steve Stern - Where you able to find a LOC? If so who did you use? I have seen a few people mention a business line of credit that funds flip and fixes, which I am interested in. I'm curious to see others experiences before I jump into it.

@Tyler Smiarowski Great story, very inspirational. I'm currently looking into the financing aspect of my first flip. 

How did you come across the deal, wholesale, REO, etc...? Did you have to provide a business plan to the VP to get the loan? What type of loan was it?

Thanks everyone. 

@Cherly Lare I am in the same situation, not having cash, but currently figuring out a way around it. I've read a number of posts and listened to almost every podcast so far. My next step is road mapping my plan, it is continually refined as come across new info here on BP. This place is such a great resource!! 

My niche will be fix and flip to build up cash on hand for those deals that arise. My mid-term goals will include continuing fix and flip properties and to acquire multi-family foreclosure's, fix and rent them out to generate passive income. Then finance the rental and pocket the equity to use on future deals. As I grow, my long term goals will be to invest in a team to help with a seamless flow, automating the entire process. 

This is what happens when you get an idea, create a plan, network with like-minded individuals, then make it ALL happen. It's eff'ing great!!!