All Forum Posts by: Renata Johnson

Originally posted by @Joe Cassandra:

Sounds like you're not out much money, especially since he didn't take a deposit. He basically was private-lending to you while you got together the rehab and selling it. 

Never heard anyone do that...but I guess it's not completely unfair. But weird he didn't disclose that to you...andn weird you wouldn't ask for the what the option price is when you're ready to exercise it. 

But, I'd just chalk it up to learning and get out. 

You are right. It was weird of me not to ask. My husband dealt with it d\t at the time i was dealing with the death of my brother so i wasnt focused but we didnt want to miss out. I actually expressed the same concerns to him. We scheduled to talk today about some better options. He let me know he didnt think I was genuinely serious. Now that he sees progress on the house and I'm researching the property, He's helping me learn how-to maximize on the rent and possibly revisiting the contract so I wouldn't get a loan. Im in georgia.

Originally posted by @Theresa Harris:

Talk to a bank and find out if you can get a loan-that is your best bet. 

Thank you! I've already been researching it. That's just confirmation I should explore the option more. Thank you for taking the time to respond.

Nicky Reader, Thank you so much for the advice! I actually thought about the BRRR method after posting so I will definitely be researching into it. Ive been using here, YouTube, Pinterest , anything I can get my hands on. The numbers I gave are exactly whats in my contract other than the total price and Zillow. But I will be sitting down re-reviewing the information. Thank you for taking the time out to respond. I was getting slightly frustrated but I'm starting to see there MAY be a silver lining.

Jonathan. Everything was wrong. Like I said, it was before really investing in bigger pockets. A friend found the listing and referred it to me so i wouldn't use my credit. Ive had problems with this man since day 2. I'm just now reaching out to an attorney and I have an agent as well. The principle only add up to 57900. Numbers are way off. If it wasnt for the calculators and this page, I would of never thought about it. I'll blame it on lack of education. Never again. Def know it was all wrong. Now just looking to restart and trying to stay motivated. I dedicate at least 2 hr a day for bigger pockets and about to upgrade to pro even though not ready to buy quite yet. Just trying to stay motivated and no one in my family or fb groups understand this stuff so venting to like minded ppl to stay positive.

I'm a 32 year LPN that is just getting into real estate. Before joining Bigger Pockets, I signed a rent to own contract on what I thought I would be a great investment. We are living in it as we rehab. The landlord charged no deposit since we were doing the repairs ourselves. GREAT! We have been rehabbing and I have started using Bigger Pockets calculators. I needed numbers so I looked at my contract and it said 240 principle 240 interest 240 tax and 8% interest but no total price to buy. I looked up the tax assessment as it said 32285. When I asked him for a total price he said 79500 but if I got a loan he'll sale for 60000. I was expected about 50000 for him to make a profit but almost 80000?! I know he has to make money but the house wasn't in the best condition and still needs a lot of work. I have the option to sublet after 2 years but rent is 825 and Zillow has a estimate of 695/mo so even If I charged 900 I only make 75 a month and it maybe hard to charge that amount. I looked at comps and there is one place charging 900 on my street but it beautiful and required a lot of upgrades. Also, he makes me feel very uneducated. I've explained to him that I am using this an investment property. He proceeds to tell me about how impossible it is too get a loan and his way is the best option for me but IF I can get it, the price is 60000. Long story I know I made a bad decision. I am still able to leave the contract without penalty and haven't spent too much on rehab but Ill lose that little bit of money. I'm just a little discourage. Looking for advice, success stories, or anything to keep motivated. About to read a few forums as inspiration