All Forum Posts by: Stephen D.

Steven,

Thanks for your reply.  I was kinda thinking along the same lines.  Among many other issues, here are some that concern me:

• Agreement on current price
• Rehab budget - fortunately the seller of the 2nd property has been given quotes from other GCs so he should expect something in the neighborhood of our quote
• Agreement on ARV

Have you done this before?  If yes, what other issues have you run into?  

Thanks,

Stephen

After reading long enough on BP, we decided to start a DM campaign to absentee owners.  We've received a few calls.  Two of them are intriguing.

1) Seller is upside down in the property but seems to be well capitalized where continues to make monthly payments and taxes.  Rents the place but is paying about $1K out of pocket just to keep the house...  Wants to get rid of it but wants to do it collaboratively with a flipper so he doesn't lose his shirt on the property.

2) Seller is well to do and has hung on to his property in a really nice part of town for the last 7 years. Has been paying mortgage and property taxes. Doesn't have it rented for personal reasons for the last 7 years. Knows that the property needs a substantial amount of work (about $150K) but could be a +500K ARV. However, similar to seller 1, wants to partner with someone to realize the benefits of rehabbing and flipping.

I'm perfectly fine working with both sellers so we can both enjoy the benefits of a flip but that's generally not discussed here.  Is this a no-no?  Also, anyone here do something similar?  Would be interested in any opinions/suggestions.

Thanks,

Stephen 

Mostly new to investing and looking for someone to work with on 3 different lots in desirable upscale neighborhoods.  Approximate lot sizes are 1, 3 and 10 acres.  Please let me know if any interest.

Thanks

Hi,

I've been looking for ways to find out about upcoming foreclosure auctions in Greene County, MO but can't find any information on the county website.  Does anyone how how these properties are sold?  Any info would be appreciated.

Thanks

@Account Closed The title company's service sounds really convenient.  I'm guessing you have to pay some type of a subscription fee and most likely worth whatever they are charging.  Wish we had the same option here.  Will try to connect with some local services here to see if that's an option.

I haven't used any of the foreclosure services but may look at using one.  Thanks for the tip.

@Steve Babiak Agree.  It's a huge time waster to do research without the first bid and I've stayed up till 1-2AM in the morning researching.  These auctions are getting frothy and it seems like I'm just wasting a lot of time.  The other kicker for me is that some of these property auctions with the opening bid get cancelled or extended to a future date when you get there in the morning so all you can do is turn around and go back home.  Frustrating...

@Eric M.  I love your last comment about being thankful that we at least have 12 hours.  I'm counting my lucky stars.  hahaha

Glad to hear that I'm not the only one in this situation.  Would have figured this process to be a lot more streamlined but that's probably expecting too much from a local bureaucracy...

In today's auction, a buyer bid on a 200K+ property only to be told by his fellow bidder that he was bidding on a 2nd Lien. He didn't realize that it was a 2nd and asked that his bid be cancelled... Fortunately, the auctioneer complied. MLS looking better and better.

@Dion DePaoli Tell us how you really feel about the broker?  hahaha

@Gary McKissick Dion's got your back. Please listen to him.  

Joel,

Interesting take and probably accurate.

Just for the heck of it - how would you approach someone in this situation?  It may still be worth a shot. The worst thing he can do is throw me out of his office :)

Stephen

I was talking to a friend of mine who owns a restaurant in a strip mall.  He was frustrated that the strip mall owner:

1) won't sign any leases over 7 years although some stores have been there for 20+ years

2) does not maintain his property and has several vacant stores

3) other business have contacted him to lease space but presumably doesn't their return calls 

4) has tons of other properties all in the Chicagoland area so may not be as concerned about each individual property's performance as long as the overall portfolio cash flows

I'm wondering if this may be an opportunity to work out some arrangement with the owner to either buy a partial interest and/or work with other investors to purchase and realize the full potential of the strip mall.  It's on a really busy street in a nice area and could probably get:

a) longer term tenants - presumably some are just 1-2 year leases and the businesses are frustrated that they don't know if they will have to move out soon.  Some businesses have deferred improvements. 

b) additional tenants should improve the overall cash flow and help the current businesses with incremental traffic

c) There's a fairly new Walgreens next door which is also good sign

Looking for ideas on how to approach this individual and start a discussion.