All Forum Posts by: Nathan Veech

@Emilio Ramirez The lots are split, but unfortunately the lots are bisecting the house, so either I would have to get the subdivision redone so it is next to the house, or I would have to remove the house and rebuild on the either side. I was originally planning on living in and renovating the current house, and then once I had enough funding I would build on the second lot. I was talking to my investor friend, who I recently found out already has a portfolio of somewhere over 30 homes, that we could even potentially build a couple of duplexes if I was planning on tearing down the current house.

I am still looking for a GC, I have asked around at work and looked up a few online to start getting quotes. I understand that the cost of building may be on the way down, so I am tempted to wait a few months to see which way the market goes.

@Emilio Ramirez Thanks for the feedback. I have replaced the sub-floor on half of the house and put up some tile in the bath/shower so I have a place to live/sleep while I work on the other side of the house. Most of the newer construction in the area was done about 10-15 years ago. I will ask around tho, thanks

Thanks for posting John. I am on Plum street, and the surrounding properties were built around 2004 -2005, they are all about 1500 to 1800 sq ft. and sold from 200K to 230K. Rent in the area is about $1300 a month. Not sure what kind of levels rent would have to be vs market value, but I do know that Watauga is a growth area, to be honest most of DFW is a growth area. The current home is about 900 sq ft. 

I am living in Watauga Texas (near Fort Worth) in a 2 bedroom, 1 bath rehab. 1960s home, everything has to be redone. Foundation has to be leveled, sub-floor needs replacing, walls need to be redone, roof needs to be replaced (including rafters to bring them to code), all windows need replacing (16 windows), kitchen needs to be finished. In other words the whole house needs to be re-done. The reason I bought the house was that it was in my budget and it came with an empty lot. I thought I could rehab the house myself slowly over time (which I am in the process of doing). Then I was going to eventually house hack until I could build something on the empty lot. Most people told me I should just knock the house down, but I couldn't afford that kind of thing myself. Enter my investor friend.

I have a friend that want to get me out of a rehab and into some cash flows, and he currently has some cash that he needs to invest in real estate. He likes the property and location, and told me that he would front the cash to knock down the existing property and build 2 new homes (3 bedroom 2 bathroom ideally) on the then vacant lots. Then we get renters in one and house hack the other one.

He told me he wants me to look into how much it would cost to build 2 new homes on the land and what kind of options we have in terms of size houses, and cost to build and then when we have that we could start talking about making it happen. This seems like a no-brainer to me, this would put me 5 years ahead of my plan, and get me into a finished house with some cash flows to pay down my mortgage, and gets me an opportunity to have a future investor.

I am looking for some advice on what I can do to explore the options available, where I could get cost estimates for building new homes in Watauga (near Fort Worth). If you know any builders or general contractors that I could talk to, or where I could find premade plans homes, or any advice that you think could help I am all ears. I am looking to get the ball rolling as soon as possible the longer I wait the more this could potentially cost, and if I don't get started and finished before winter I may have to wait until spring.

Thanks so much,

I am living in Watauga Texas (near Fort Worth) in a 2 bedroom, 1 bath rehab. 1960s home, everything has to be redone. Foundation has to be leveled, sub-floor needs replacing, walls need to be redone, roof needs to be replaced (including rafters to bring them to code), all windows need replacing (16 windows), kitchen needs to be finished. In other words the whole house needs to be re-done. The reason I bought the house was that it was in my budget and it came with an empty lot. I thought I could rehab the house myself slowly over time (which I am in the process of doing). Then I was going to eventually house hack until I could build something on the empty lot. Most people told me I should just knock the house down, but I couldn't afford that kind of thing myself. Enter my investor friend.

I have a friend that want to get me out of a rehab and into some cash flows, and he currently has some cash that he needs to invest in real estate. He likes the property and location, and told me that he would front the cash to knock down the existing property and build 2 new homes (3 bedroom 2 bathroom ideally) on the then vacant lots. Then we get renters in one and house hack the other one.

He told me he wants me to look into how much it would cost to build 2 new homes on the land and what kind of options we have in terms of size houses, and cost to build and then when we have that we could start talking about making it happen. This seems like a no-brainer to me, this would put me 5 years ahead of my plan, and get me into a finished house with some cash flows to pay down my mortgage, and gets me an opportunity to have a future investor.

 I am looking for some advice on what I can do to explore the options available, where I could get cost estimates for building new homes in Watauga (near Fort Worth). If you know any builders or general contractors that I could talk to, or where I could find premade plans homes, or any advice that you think could help I am all ears. I am looking to get the ball rolling as soon as possible the longer I wait the more this could potentially cost, and if I don't get started and finished before winter I may have to wait until spring.

Thanks so much,

Nate

@Jaysen Medhurst & @Jovan Irwaru 

This is exactly the kind of feedback that I was looking for, it is better to make mistakes on paper than it is in a deal. Much appreciated.

Hey Guys, this is my first ever use of the calculator and I wanted to see if I made any glaring mistakes.

Thank so much

View report

*This link comes directly from our calculators, based on information input by the member who posted.

Hey Guys, this is my first ever use of the calculator and I wanted to see if I made any glaring mistakes.

Thank so much

View report

*This link comes directly from our calculators, based on information input by the member who posted.

 Thanks for your input and experience. 

Hey BP Forums:

I will preface this by saying I am new to real estate investing, and really excited to learn and get a better education in REI. Something I am trying to understand better is; "If a property is such a great investing opportunity (high CoC ROI, with a great cap rate), why are people selling that property?"

I understand that there are different types of investing (wholesaling, flipping etc.) that someone can pursue, and could be a valid reason, but is there anything else that I am missing here? Why sell a great deal when it could be more valuable to hold the asset earn have cash flow?

Thanks