All Forum Posts by: Neil Goradia

@Patricia Vildozo, here in Indy the big names are FC Tucker, Century 21, Berkshire Hathaway, etc. They usually have a commission split as follows: 50% of your income goes back to them until you hit a magic number, sometimes over $1 Million in sales. There are many variations to this, but regardless it takes a while to achieve real income.

Conversely, smaller/investor friendly firms can be started by anyone after a few years being a normal agent. There are many to choose from in your local area, all of which offer better commission splits. Usually you make 80% of your commission and only have to pay back 20% to them. Plus their clientele are investors meaning while working there you get to meet a lot of potential clients and learn a lot on the investing side, which will help your business. 

Call Dan Bostick at Paramount Title on 1848 N. Alabama. 

Very investor friendly (double closings, assignments, etc) and they are cheaper than others I've used. Also quick turnarounds on settlement statements and last minute closings.

@Mickey Russo, in Mibor, under the search drop down, skip over the residential you usually select and go down to multi-family quick. Under the location section, type in the address of the property and do .25 mi radius. You should find other multi-families in the area that you can comp with, but it probably won't be many. Most multi-fams aren't on Mibor, they're usually on loopnet for better or worse.

@Melinda Warren, if you're looking out of state for your SFR's, then there is a good chance your HELOC will be enough to buy 2-4 SFR's cash, especially if you look in the midwest. I'd just start with the HELOC, and after you buy a few deals you could probably qualify for a new loan on your subsequent property purchases. You are correct that if you try to get too many loans at once you may run into problems.

@Jessie Creighton, 

I completely understand...everything is very confusing at this point. I think it took me over a  year of networking, reading, learning, driving around before I bought my first deal - and even that deal wasn't very good (ha)! 

My #1 recommendation, outside of learning from BP, is to join a local REIA (Real Estate Investment Association). Hopefully there is one in Maine..there should be. That's where you're going to meet all the movers and shakers in your community, the title companies, the rehabbers, contractors, wholesalers, flippers, etc. Things will just start to click once you surround yourself with those people.

1. One way you can become an expert in your area is to drive around areas you hear are "hot" and up and coming. You will learn more about these areas from the REIA meetings. Start following pages on facebook from local neighborhood groups that have formed to develop certain areas of the city. Talk to wholesalers and ask them which areas are selling right now - and ask to see some houses they have - even if you're not ready to buy yet (don't mention that part :)

2. Not sure what you mean by getting a phone number and marketing? If you're looking to flip then wholesalers are your best friend. Also find investor friendly real estate agents that can help walk you through what a good flip deal would be. Have them send you some listings to analyze. Practice analyzing deals until you can pretty much do it in your sleep.

I'd wait a little while before getting your license, it's not really necessary at the very beginning and might side track you from learning about the investment side. After you get a deal and have some time and experience then go for it as it will open up other doors for you.

Thanks and good luck.

@Alain Perez-Majul,

I'd be interested in getting on your buyer's list. I am looking for a 10-30 unit apartment building in the next 6-12 months. I'm also a wholesaler so maybe we can do some deals together by providing each other buyers.

@Ramon Moreno, for about 10 years I invested without a license, always thinking that I didn't have time to take the class and it would be a bigger liability to deal with paperwork when I could be doing more deals. 

Fast forward to 2017, and now that I have a license I regret not getting it sooner. If you're a flipper, the sheer savings of buying and selling far out weigh any extra hassle you go through. As a wholesaler, it makes the argument that you're brokering a deal without a license a mute point. The ability to run comps whenever you want is really sweet. I'd go with an investor focused realty to hold your license as opposed to the big name companies. This allows you to keep your costs down and keep more of your commissions.

Not to mention the extra income stream of helping friends and family with listing their houses for sale. Selling is easy - take pictures, throw it up on the MLS and let the other agents bring you buyers.

@Or Laor Stern,

Unfortunately, this is a common problem. I'd do a few things right away:

1. I would contact the title company you closed with and make sure you purchased a lender's title insurance policy as part of the settlement statement (hud). If you did, this policy will protect you and potentially pay for these city liens. If the city never put a lien on the house (and just issued an invoice), this title insurance policy may not be able to help, and it would explain why the title company never saw anything on the title search.

2. Contact the city by calling the number on the notice of violation. Surprisingly, these are usually nice people that understand you're a new owner. Here in Indy, you usually go to a hearing as the new owner and give them a game plan of when and how you are going to correct the past issues with the home. They are usually happy to see a fresh face committing to fixing the problem. In my experience, they will reduce the fines up to 90% once you fix the issues.

Good luck!

@Samantha Soto makes sense, thanks for clarifying! Now that you guys mention it, I don't mind the area either. I think the large number of vacant lots and empty businesses will turn around soon as you say as well. As the Windsor Park, Woodruff Pl areas run out of space, it's bound to come further south. They're already beautifying the street near Arsenal Tech as well, so I can see it happening in the next 5 years or so.

@Spencer Gray Very well said, thanks for your insight!