All Forum Posts by: Paul Bowers

@James 

@James Ayres this may be a perfect opportunity for a partnership.  If you can find someone local to Erie that you know and trust that has income and credit but no cash, partner up.  That gets you into the property but also gives you someone to run the property after you graduate and leave the area.  If this isn't something you are interested in you may also be able to find someone interested in owner financing with that large of a down payment. 

Just keep in mind, either way you go, with only $1,200 a month of income be very careful about any unexpected expenses before you are able to rebuild a nest egg.  A few thousand dollar expense soon after closing could be devastating if you've completely emptied your bank account to buy the property.

@Michael Lee, don't give up.  I'm just finishing my first flip.  The house was listed at $64,900 and I offered $28,500, first time they didn't even counter.  They lowered the price $5,000 about 30 days later, I made the same offer.  I made the same offer every 30 days for 6 months.  The came down approximately an additional $5,000 after each offer I made.  Month 7, I bought it for $30,000.  

The market will prove one of the two of you right.  Wait 30 days, resubmit your offer.  The seller may eventually decide you were right and sell it to you or the market may decide they were right and it will sell to someone else at a higher price.

@Gita Faust do you mind explaining what is missing from QBO that makes it bad for using with no property management software?

@John Jackson lets assume for a minute that this deal was completely fraudulent on all sides involved.  Lets assume that you prove it and they completely unwind the deal and the property is now back on the market.  Do you honestly think there is any chance in hell the owner of the property is actually going to the close a deal with you????  I'm not trying to be disrespectful but you would have to be nuts to think you could drag someone through that type of legal proceeding and think they are going to the turn around and sell you their property.

@John Jackson what is your end game in all of this?  To have them unwind the whole deal and then sell it to you?  If so, that sounds like the EXACT definition of revenge to me:

1.

90 days seems awfully fast to close on a property, pull permits, do work, pass inspections, list property, sell and close.  I would easily figure at least twice the timeline.  You also have to have utilities on, pay insurance, pay taxes, closing costs, real estate commissions etc..  Make sure you're factoring ALL of the misc carrying costs.

If you are worried about them moving suddenly a year lease isn't going to stop that.  If they decide to leave, they're leaving.  Keeping them on the month to month gives you much better control over removing them if and when you decide to.

I would assume at some point he will want to get paid so he'll have to eventually contact you, unless of course you've already paid him but if you were aware of this I'm sure you didn't.

I've been selling cards for just over 30 years. Every situation will be different. It will vary bank to bank and customer to customer. I sell plenty of LLC's that obtain financing with no PG but these are typically well established companies with very strong balance sheets. With my banks that require a PG some report the debt under the guarantors name, some don't. Obviously the banks that are the most lenient also typically have the highest rates.

I personally would be hard pressed to convince myself to buy a negative cashflowing property in a market that is experiencing it's highest prices in history just to possibly save a little on taxes.