All Forum Posts by: Nathan Braithwaite

@Nathan Hughes

I'd do some of it myself, but most of it will be contracted out, about 90 percent. SF is 2200. I'd say mid price range. Definately not cheap, but high end isn't needed either.

I have my sights on a 4 bed 2 bath foreclosed single family home in the Tulsa OK area. I have walked through the place and have done my analysis, but would like your opinion on the accuracy of my rehab numbers.

Similar properties in the area show a market value of 210k-230k. They are asking for 173k, which to me is very high. I'm thinking about offering 100K. The place needs a ton of remodeling, as is common with foreclosed properties. Here are my hopefully conservative estimated repairs:

New Roof - $8k, Replace all Flooring - $9K, Complete Kitchen Remodel - $10k, Remodel Bathrooms - $8k, Interior Paint - $7k, New AC/Heater - $8k, Exterior Repairs - $1k (it looks good)
Total Repair cost is $51K

I only have 20K in cash, so I will need to initially purchase it with hard money with an estimated cost of 15k.

70 percent rule says at $210K that I should only have about $147K invested in this deal. I potentially will purchase this home as my primary residence, so I'd be ok with the 80 percent rule, which would be about $168K. That's where I come up with the offer price of 100K. It is significantly less than the asking price, but it is what makes financial sense to me.

My main question is if my rehab assumptions are accurate.

@Chris Mason

Thanks for the information. I appreciate it.

I dont know much about buying points to get a lower interest rate for a conventional loan. How much do points typically cost, and do they make economic sense for realestate investors?

@Andy Gilbert

Thanks Andy. When and where are the meet ups? I would enjoy having a discussion with you. When and where would be convenient for you to meet up?

I am a 36 year old Engineer from the Tulsa Oklahoma area interested in taking control of my financial future through realestate investing. I have read a few books and am ready to take that first step. I would love to take a local investor out to lunch to see how I could help him or her. I'm interested in single and multi-family residential housing.

@Tarik Turner

Thanks for the response. My follow up question is how do I select good lender? Is one just like another? Other than the interest rate percentage, what else should I look for? For one thing, I don't want to get scammed, and I also do want the process to be to arduous and complicated. I guess I should just start asking around and making phone calls to see who I mesh well with.

@Shaun Weekes. That makes sense to ensure that I am prequalified with both private money and the bank prior to finding my deal. I'll also definitely not to drag my feet about looking/finding once I do have funding. Thanks.

New investor here. I want to find a fixer upper and finance it via private lending. I will then fix it up and refinance through a Credit Union.

Quick question, do I find and set up financing first, or search for a great deal first? I know that you usually have to act fast on a good deal, but I also dont want to leave a lender hanging until I find said deal.

@Eric C. Thanks! Great food for thought. I do love my wife, and whatever we do, I want to move forward as a team. I believe she will grow to love it once we start acting. You're correct in that I do need to understand my 'why'.

I dont want to work until I'm 65. I do want to have more time with my children and wife, (i.e. vacations, sports, plays, school activities). I want to be able to help and serve others at a higher level, both physically, mentally/spiritually, and economically. I want to help my parents in retirement. I want to help my children in college, REI, or whatever they chose to do. I want more control of my future than the stock market can provide.