All Forum Posts by: Nicole Johnson

Hi Brooklyn, 

How are you? Don't get discouraged. I am a builder in the DFW area and would be happy to answer a few questions for you! Sometimes we all just need a little push. Best of luck!

 Hi Logan, no I am receiving funding from a local lender. 

Thank you so much for everyone's input. We have secured funding on this deal! :)

Hi! Any suggestions on the best way to structure this deal with the lowest out of pocket cost?

6 Shovel-Ready Lots in Texas within the same sudivision

Cost per each lot $140k

Build Cost per each Lot $500k

Total Cost Per Each Lot $640k

ARV per each lot $950k-$1m+

Total cost for 6 lots $840k

Total Build Cost $3,840,000

Total ARV for 6 lots $6m

Specs:

3k sqft

4/2/2

Each lot is already platted and recorded and has it's own address assigned. I am closing in 12 days with one closing under one LLC.

I am considering taking a construction loan for 1-2 lots at a time and land only loans on the remaining lots and continuing that cycle until the project is completed to minimize down payment.

Are there any bridge funding suggestions? Maybe private lender?

Thank You so much! So blessed and grateful for this opportunity and your help. Best wishes to everyone in the businesses and in life.

Hi! Any suggestions on the best way to structure this deal with the lowest out of pocket cost?

6 Shovel-Ready Lots in Texas within the same sudivision

Cost per each lot $140k 

Build Cost per each Lot $500k

Total Cost Per Each Lot $640k

ARV per each lot $950k-$1m+

Total cost for 6 lots $840k

Total Build Cost $3,840,000 

Total ARV for 6 lots $6m

Specs:

3k sqft 

4/2/2 

Each lot is already platted and recorded and has it's own address assigned. I am closing in 12 days with one closing under one LLC.

I am considering taking a construction loan for 1-2 lots at a time and land only loans on the remaining lots and continuing that cycle until the project is completed to minimize down payment. 

Are there any bridge funding suggestions? Maybe private lender?

Thank You so much! So blessed and grateful for this opportunity and your help. Best wishes to everyone in the businesses and in life. 

Quote from @Marc Stevenson:

Quote from @Nicole Johnson:

Hello Everyone! I am under contract on my first flip in Dallas. I would love some advice and input. It is a hard money foreclosure already gutted with Demo, Framing, Mechanical, Electrical and Plumbing done. The home also comes with brand new windows and sliding glass door.

Address: 305 High Brook Drive Richardson, TX 75080

MLS info : 3/2.5 2,330 square feet w/ pool

Currently: 4/2.5 2,500 square feet w/ pool

Rehab: LVP flooring, quartz counters, ect.

Purchase Price: $450k

100% HML @ 11% $25k closing out of pocket

Rehab Budget: $70k-$80k maybe

ARV: $730k+++ (
-2 most recent comps sold at 288/ sq ft (no pool)

-1 active comp $338

-1 pending comp @ $340 sq ft

Questions:

1) ARV Opinion? Good or Bad Deal? (2 most recent comps sold at 288/ sq ft)

2) Rehab Budget Opinion?

3) Investor Friendly Contractor Recommendations?

4) I see about 20k delinquent taxes. Is that the seller's responsibility?

5) Typically, will the seller (hard money lender that foreclosed) allow me to have GC's walk thru for quotes prior to our closing in 2 weeks?

Thank you so much for any input!

 @Nicole Johnson Hi Nicole, first off congrats on securing your first deal. You've had some great comments here so far. I'm mostly a buy and hold investor (of course occasionally a flip presents itself and makes sense). Just be aware that if you are needing to refinance this loan that a lot of the hard money lenders are adjusting the ARV number they are lending on. Depending on how long you're planning to hold the property this could impact things. Great Job! Happy investing!

 Hi Marc, 

Thank you so much for your advice. I just went live 2 days ago with multiple offers! One very strong offer over asking and a cash buyer very close. I actually listed for $750k instead of $730k. I was wayyyyyy over budget and had to GC the entire project myself. Please keep me in mind if any good buy and hold or flip properties come across your desk. Thank you!

 Hi Carlton, 

Thank you so much! Im from Milwaukee! I went live 2 days ago and hoping to make 100k profit. We already have a couple offers. One over asking. 

 Thank you so much for the positive encouragement!

 Hi Michael, 

Thank you so much for the advice and encouragement! We went live this past Friday with multiple offers! Please keep me in mind if you come across any deals for flips or rentals!

Thank you everyone for your input! I needed the doubt to encourage me to dig deeper, which gave me more confidence to stick to my numbers!!!! Appraisal came back today at $731k ARV! Yay! So far the best quote for Labor and Material has been $70K (I would pick material and his number looked spot on to what I have budgeted on a previous deal). This was a GC referral from another investor. Not sure if I'm going to go with him. I'm excited and still nervous! Thanks again! I appreciate each and everyone on of you taking time out of your day to give me advice!