All Forum Posts by: Ron Czecholinski

Your right Robert - I am not interested in taking over the headache. At the same time, I enjoy the challenge of making the house viable and helping out a friend.

I also am making money for managing the deal now, and my friend is losing much less money than he was. I am just thinking there must be a way to increase this win / win scenario - to help him stop losing money completely and for me to profit in the deal.

The 50K is only needed to create space for two more suites, which would increase the cash flow substantially (and resulting value). I am just looking for options that might make this feasible.

I have a friend with a large house that had it empty for two years, not able to sell or rent it (too big for most people). I was able to help by creating 3 suites and renting to 3 single peoples. It still doesn't quite cash flow but size and zoning would allow for 2 more suites, but would need renovation to create them.

The problems are the owner does not have the money for renovations and is upside down in the mortgage (worth 25% less than he bought it for). I thought about controlling it myself with a long term lease option but the upside down mortgage is a problem. I am also not sure if about the cash flow - the current value is around $300K and the loan is considerably higher. It needs around $50K for renovations for additional suites, and rent would be around $3K plus utilities.

The upside of this seems to be a good solution for this house. Any ideas that could help my friend get out from under this and me to make some money?

I have been interested in this type of project for several years and trying to put a small development together in Asheville, NC. I have great property with seller finiancing, the zoning works, and the market is there - but I haven't been able to but the initial cash together for building the first house.

As far as manufactured homes - I don't think there is any comparison and the market is completely different.

I have been building "green" since the 70's and it is definitely not all about jacked up prices and only for environmentalists. Although there is plenty of market hype, greenwashing, and greenbashing going on, with some basic education you will be able to build or rehab a home that saves the owner money and is healthier for the occupants and planet.

In addition, by incorporating the principle of tradeoffs (the same way you do with any building project) you can successfully incorporate the "shade of green" that fits your budget and market.

Green is all about increasing energy efficiency, resource conservation, and air quality - things we all should be concerned about. I am usually able to build green with little increase in cost and always sell at the top of the market.

The primary benefits are quality control (if working with a good company), resource conservation, and speed of construction (when it isn't super complicated).

IMO the best option for panelized construction is SIPs (structural insulated panels). The increased energy efficiency is the primary benefit along with the others.

Modular construction is another good option to consider, especially if you want to manage the project with minimum experience.

I have been rehabbing and building (one at a time) for over 30 years and am negotiating on property for a small development. It will be 10 to 12 small green built homes for a niche market.

First I am looking for input on structuring the deal to attract investor/partners. I would like to hear what kind of options make sense for partnering arrangements as well as structuring the ROI.

The other thing is I would be interested in hearing from anyone interested in this type of a niche development. I am also working with another developer with a larger similar project and in communication on other possibilities.

Had to post this link I just stumbled on - very cool house.

http://www.inhabitat.com/2008/05/09/prefab-friday-maison-evolutiv/

Great question about outsourcing David and I love your larger question pertaining to the "neoAmerican illusion" - where too much is never enough.

It is a very complex issue that involves consideration of our social and environmental impact at home and globally. It involves consideration of others and "fair trade".

Unfortunately it is the same folks that ***** about our welfare system that do most of the outsourcing.

Good luck - I look forward to hearing your progress. Let me know if you find suitable property for a house development - my home base is right up the road in Madison.

I doubt if a concentration of liberals (or conservatives) has anything to do with making money. It would be helpful though to have a concentration of (liberal or conservative) socially and environmentally responsible investors and buyers for the success of this type of project.