All Forum Posts by: Robin Vidovich

Welcome. You will quickly find that this is an awesome resource site for investors.

Ryan,
True that Assigning is one form of Wholeselling but "Most" people are using the words interchangably and they are not. Wholeselling is or CAN mean more than Assigning. Assigning is simply that.

Robin

John,
Thanks for the detailed reply. I have been watching this threas but have not had the time to spell out what you did. This topic has been discusse before and it is important to continue to discuss for newbies.

Robin

Tony,
Not all markets are created equal. Most of the properties that I get are between $10-25K with rental rates of $600-725 depending on the area of town(not including rehab).

Even though I have never been in a personal situation that I have had to live in the types of properties that I own, there are tons of people in lower income levels that need to rent.

Get over the pre-judgement that no one would want to live in such a property. They may not WANT to but they do out of necessity.

Hope this helps,

Robin

Tex and OH,
Thanks for the great debate. I respect you both for your opinions (not that I agree with them all). I commend your positions and ability to debate in a professional manner and stepping up when you are wrong. Those ethics have made you both the sucessful REIs that you are today.

Robin

The traditional word "Broker" that most people know and utilize CAN get you into trouble depending on the state. Therefore I don't even use the word to describe what it is I do and teach.

Wholeselling or Assigning a contract is mearly selling a piece of paper thus your interest in the deal. I don't sell property (that IS a broker), I sell a contract to pruchase a property. It seems that as more and more people become involved in this business, the terms seem to become more and more clouded.

Case in point, this forum is called Wholeselling. That term has even become clouded as the true term is Assignemnt.

I appoligize for changing the direction of this string. But I hope this clarifies your question Terry.

Robin

Mike,
Make sure to talk with a local title company. I am not sure where you are looking to wholesale but there have been some unique NEW transfer tax laws here in PA.

Robin

There are several things I do for my due dilligence.
*Obtain Comps
*Obtain Rental quotes
*Initially estimate rehab and have contractor verify numbers if I get the deal under contract.
*Check current morgtage rates and Insurance rates to make sure that the deal (if it is a rental) Cash Flows.
*Check out the nrighborhood.

That should give you a fairly good start with with doing due dilligence. Event though I provide all of the information to a potential end buyer, I ALWAYS encourage them to do their own due dilligence. This part is very important! They may not have the best of credit or they may go with another insurance company. Both of which may dramatically affect their Cash Flow.

Robin

I use the following formula with my properties:
After Rehab Value - 30-35% - Rehab costs minus what you would like to make on the deal = your offer.

I usually make my number that I want to make in the deal a bit high so that I can leave some money in the deal if needed for the end buyer.

Make the deal regardless a win-win.

Robin

Welcome. Where do you invest?
Lots of good info on this site for sure!

Robin