All Forum Posts by: Ned J.

I agree that the biggest challenge will be finding reliable trustworthy contractors and labor to do the rehabs..... when there is such high demand the market will flood with scam artists looking to take advantage. You think its tough dealing with contractors that don't return phone calls and never show up on time now, wait until the frenzy starts....

I also agree that we wont see the prices start to go up for a couple of weeks/months at least....right now no one really has a clue what the full impact is.... the market wont change until the scope of the situation really kicks in

I'm interested in what will happen too...got a SFR in Humble that was spared (unless it all flares up again....knock on wood) My tenant gave notice for a move out end of Sept and I needed to have a bathroom remodeled..... how do a find a contractor now? I was going to bump up the rent but do I do it even more now? Do I sell and get out? Do I buy distressed houses? if I do who do you trust to rebuild them? (lots of scam contractor after Katrina), what's the demand for a house that flooded out the year before ?....who the hell wants to live in a place that may flood again in the next couple of years?

Lots of questions......and some internal guilt for thinking about opportunities when so many are facing such epic devastation....

Sensitive question?

I would be lying to say that the investor in me hasn't been rolling through tons of questions about how this will effect me and my SFR investment in that area...... I feel guilty..... tons of people have lost everything they own...and it looks like my investment has been spared...... the city will take years to recover...and many people will be destroyed financially for years to come.... It looks like I dodged a bullet (sure hope I didn't just jinx myself)......and for that I am truly grateful. It has been a stressful week worrying about my investment.... but I can't even imagine the stress and fear for the people that are in the middle of it. My worries pale in comparison.....

But I'd be lying to say these questions haven't gone through my head....

Couple of weeks ago my tenant gave notice of moving out at the end of Sept and I need some work done....how the hell am I going to find a contractor now?

Does this mean the rental market is going to go through the roof, so should I increase my rent even more than I was going to ?....what a horrible thing to think about...... NO intention of gouging, but supply/demand sets the base rate..... do I get "soft" and cut someone a break as they get back on their feet? what's the right balance between ethics and business that takes care of my family?

Housing shortage....is this the time to sell and get the hell out of that area? How does this effect the value of the home? Does it go up since the supply just got destroyed or is the area now have such a horrible image that the value goes down?

Do I buy more? what a weird market situation to get into.....

Horrible things to think about as other people's lives are destroyed....complete devastation..... but these thoughts have been bouncing around in my head just as much as "what if I lose the house"?.... then what?...... the loss wouldn't destroy me, but it would definitely be a hit.... but nothing compared to the people living in Houston....not even close.....

Holly crap.... the devastation is mind blowing.

I was curious if any of the BP REI community is being effected by the disaster.....either personally or your investments in that area...

I have a SFR in Kingwood....north east of Houston, near the "top" of Harris county. So far...knock on wood..... its looks like it will be spared from the flood, but fingers still crossed....more rain is still on the way. Of course we don't have flood insurance....no where near the flood plain data areas....but this appears to be a never before seen flooding disaster....so that data may not mean jack this time around. Not sure what we will do if it floods....

If every contractor out there was trustworthy, reliable and did great work then I would buy into the "just hire a professional....it ends up saving you $$ and the work turns out better"....but lets face it...... that's not reality. I've seen plenty of DIY guys do just as good a job as some "pro" and at half the cost and with less stress and headaches of dealing with unreliable workers etc. And I've seen DIY guys do sh*t work that ends up resulting in more $$ lost etc....and Ive seen lot of contractors that take your $$....never show up on time....take 5x longer than promised....and do crap work.......so both "plans" have their pro/con aspects

So it really depends on your skills, time available, and whether you have contractors that are reliable and do good work for a decent price. Do you take actual satisfaction in doing it yourself and don't mind putting in the time? ...or is it more about getting the job done well and as quickly as possible and you would rather be doing other things?

If you have a team of reliable, reasonably priced contractors that you can trust, then that's the best way to go overall when you factor $$ and time and quality of work.....

If you never want to see the electrician again and spend hours leaving phone message for him to come finish everything, then go ahead and pay him know..... since that's what will happen.

I think one of the biggest challenges for us smaller CA investors is even finding what would be considered a reasonable deal....let alone a good deal. The personal buyer market is hot and so is the REI market...... if it hits the MLS its like blood in the water for a lake full of starving sharks...its dozens of bids and outrageous prices. Off market properties are getting gobbled up by investors with big networks of real estate agents, loan officers etc, so us "little fish" get very little attention when agents find deals before they hit the MLS... the numbers rarely make sense even if you find one...... so unless you are basing a good deal solely on appreciation and tax benefits etc, its hard swallow buying in this market

So the appeal of out of state is that at least you have a chance to find some properties than even have a remote chance of being a reasonable deal....you can run numbers on 50....look at 20....put offers on 5...... in CA, with us "little guys" that's never going to happen. The out of state deals can obviously be a huge PITA and come with some challenges, but at least you are getting in the game. Numbers still need to make sense, but at least you get a chance to play.....

Depends on how much $$ we are talking...... what's your time, effort and stress worth vs the $$? And even assuming you win, what's the chance you will ever see a dime of the $$ awarded to you?

Sometimes its better to chalk it up to the cost of education and move on....

Because my career as a pole dancer isn't working out as well as I though it would and its not paying my bills.... :)

@Jared Vidales.... know this is an older post but still looking to sell off some "as is " properties?