All Forum Posts by: Paul Skikne

Expectation of buyers in the area as it pertains to the condition of the foundation when you resell. In my area, I have bought and resold older homes with minor foundation repair/upgrade because thats what buyers in the area are willing to accept in relation to the charm and character of an older home, however in other areas where older homes like this are not that prevalent, buyers will have completely different expectations as to foundation condition and you could be looking at major upgrades to repair foundation including replacement, or adding sister walls. I am in Los Angeles with a lot of old/period homes with masonry or brick foundations. Either way you could be in for an expensive line item. If you are not experienced I would steer clear of homes that old.   

@Account Closed yes about 400 sf. No separate meters have been required so far so I have not installed them. 

@Account Closed I only convert existing garages to ADU's. Cost range depending on several different conditions of existing structure approx 30-50K. Condition of existing garage, where it sits on the lot and lot line, footings, exterior stucco, existing openings etc. all contribute...

Thanks for all the feedback. I am doing most everything you guys are doing including super short contingency periods. I also never allow assignments in my contracts. I like the idea of having them text me a picture of one of their accounts.... maybe that should be an actual photo of their account directly from their computer screen....

@Will Barnard how do we start an LA blacklist? Can it be done here in a forum or...? CVI, LLC with principals Amir Suleman and Andrew Riad will be my first addition.

I am in the Los Angeles market and buy/rehab/sell many properties on an annual basis. Lately I have been selling some as fixer opportunities without doing any work on them. The problem that I have encountered recently is as follows: wholesaler (who I do not know is a wholesaler) makes offer on one of my properties, and after I vet them out by reviewing corporate LLC docs, proof of funds, making sure they see the property, and then having discussion with the principals directly, they never perform on any of their contractual obligations, and flat out lie on a daily basis that they are moving forward and closing escrow as agreed.

Now I am a seasoned investor and know I have to suck it up from time to time because there are tons of unethical bottom feeding buyers out there like this, but when I hear from my network of agents that they are receiving emails about one of my properties as a wholesale deal, I know that something needs to be adjusted in my process. Besides being clearly unethical, and disrespectful to my vendors (escrow, title, transaction coordinators etc.), it is also an incredible waste of critical market time (and money), so finding a way to prevent/blacklist these individuals and LLC's is a high priority for me since I do expect to sell more properties as fixers over the next year or so.

Does anyone have similar shared experiences, and if so have you done anything different to prevent this moving forward? Different vetting process, contract addendums? What about a shared wholesaler blacklist or LLC blacklist and forum? I have several to add to the list right away. Thanks in advance.

I am not familiar with the new changes, however I have had good success with converting existing garages to ADU's, but I will only try do it if I have at least 5 feet setback from power lines to make sure I get DWP approval. I have converted several this past year with no DWP issues.

Speaking only from the perspective of having converted several existing garages to ADU's in the City of Los Angeles.... Depending on how it was completed, you may run into several issues that may make it not worth legalizing. Was it a converted garage or a brand new structure? As stated above you will need an architect and structural engineer most likely, and setbacks could be a huge issue for several reasons, including getting approval from the utilities (DWP in Los Angeles). You may have to remove walls and expose foundations to show what has and has not been upgraded or built. I would avoid...

Demo and wood deck

I would keep the jamb if it is in good shape and change the door only even on a rehab. Too expensive to always be installing pre-hung.