All Forum Posts by: Jeremy Karja

Has anyone used the Clayton Morris Program?  Essentially it sounds like a very turn key program.

Basically they buy the house and fix it up for your (of course at a price but if the numbers work, great).  

Here are the numbers after I spoke to them over the phone:

They buy the house (in Indiana) for 15 to 30k.

Rehab it for around 20k (The set the number and stick to it despite changes or surprises they eat the extras if any)

They have a management company that they use.

They give it to you for that price plus rehab (call it 40k)

The ARV around 50k

Taxes, mortgage, insurance, everything for around 500 cost

Rents around 700 to 725

The rehab is a full rehab so you should have very little costs for 10 years (sounds a little too good but what they said)

Cash on Cash around 10-15%

Cashflow after expenses around 180 to 200

Costs are basically property taxes and insurance… mostly everything else handled by tenant.. Gas, heating, appliances, snow removal, etc etc.

They did say the BRRR strategy is being used with this quite a bit too because they get around 25% ARV equity.

I must admit this is very enticing because I have such a busy life but seems a little too good to be true... which means it probably is.  This is why I turned to the BP community to help me find the flaws or considerations before I pull the trigger.

Thank you!

Thank you Brian!

Sorry if this is pretty basic.  How do I actually use a Heloc and credit lines to finance a RE purchase?  Just get a check from each institution?

I spoke to a RE and told them my situation and they asked how I would pay and I told them heloc, credit lines, and IRA (I know you can't mix Ira funds, I work with IRAS for my job). She said okay you are paying cash then? Well can I put my heloc and credit lines together and pay cash? (Together they would be enough but sperately they would probably not be in my area of Minneapolis... but maybe) is this a good strategy using BRRRR or should I try to raise private money first?

Thanks eveyone.

I would echo everyone about Eden Prairie and cottage grove.  Without doing the research I would guess Eden Prairie has a lot of growth still.  Not sure about Cottage Grove.

@annguyen I am not looking to invest in Austion right now.  Thank you though.

@Jeremy Hunter That helps a lot, thank you. I am on the networking hunting attending different REI groups and sub groups and have ran a across a few but no solid ones so far. But I have only attended maybe 3 so far. Thanks again!

Hi BP,

What is the best ways to find wholesalers? I am just getting into it and I know most people find their first deal on MLS but I am not seeing much so far so I want to find some off market deals. I know one team member I need is also a good realtor. Where is the best spot to find a good realtor that invests themselves and or specialize in rental properties? Other ways to find good off market deals without spending a ton on marketing and a ton of time driving neighborhoods. I could make a lot of calls on my long drives in to and from work if there are good lists to call.

Thanks!

Hi BP Team,

I am about to start interviewing RE Agents.  What questions should I ask?  What are the big keys to look for in a RE Agent?  I have a couple close friend as RE agents but frankly they have day jobs and it is not their main focus even though one owns rentals and multi-families.  

Thanks for your help.

Jeremy

Yes.  Emyth revisited for sure.  He mentions that in the BP podcast and he mentioned when I heard him speak this summer.

@DeNay Ramsey if you need any more analysis on the annuity let me know.  IE the company and payout at your age I can give you more insight.  But either way the basics facts will remain unchanged. If you think you can cash flow more with 100k with real estate vs. about 5k for the rest of your life then you probably have your answer.  Best of luck! 

@Dan B. ! So funny to see you hear.  Let's connect old roomie!