All Forum Posts by: Ricardo Navarro

it was an interesting process but basically, the novation allowed us to get the deal done without having to involve the banks. this was a huge motivation. that way I save on having to close twice. I agreed to pay for the renovation with no interest credit cards. In exchange, I have first rights to sell the property through a power of attorney. once it sold, the seller get his agreed price, and I get the rest. I would do it again. You just want to make sure your paperwork is solid. we went with a company that specializes in writing them called creative tc. https://creativetc.io/

tell me about it! lol not sure what I am getting into this year but always looking. really trying to grow the unit count. i probably won't do a flip. I'll rehab and brrrr if it makes sense but I'll either stabilize my real estate company a bit or move on something if a killer deal crosses my desk. always looking for small multi's on clevelands east side. 

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $136,000
Cash invested: $90,000
Sale price: $260,000

full renovation from studs

What made you interested in investing in this type of deal?

wanted to do a full gut renovation for a flip

How did you find this deal and how did you negotiate it?

off market, novation agreement

How did you finance this deal?

intrest free credit cards and cash

How did you add value to the deal?

fixed the entire property

What was the outcome?

sale

Lessons learned? Challenges?

be sure to stick to your 70% rule for the flip, know your numbers. run everything conservatively. overbudget for time and costs but 15-20%

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Erin and Dwight Robinson are my realtors in CLE. They are investors themselves and are great at what they do.

I would also steer clear of ReMax Haven Property Management (Dave) Very poor experience and even petty and spiteful in the end. Incredibly unprofessional. Completely disregarded my wishes as owner. 

Reach out to Becky Thompson at Cleveland mortgage. And tell her I sent you.

Hey Pamela. DM me. I have some experience here in Cleveland and can give you a little insight. 

Thank you @Aaron W.

Hey guys. I wanted to put a feeler out to you guys on a situation I am looking at right now. 

I am currently looking at a property that looks like if it was half completed through and renovation. The property at first glance looks decent. Good bones. Dry basement, newer roof. Completely gutted so the walls are open. Still a ways to go but it looks like rough mechanicals are in place. 

My question is this, this house is neighbored by a small church on its right, a semi vacant parking lot on its left, the backside of a charter middle school that is the entire block directly in front of the house. The location of the property is on the outer fringe of a very desirable area, (Walking distance, 3-4 blocks tops). The house is on a dead-end street with only 3 other properties on the street. Are any of these factors cause for concern for you guys when thinking about resale values or resale speed? 

The plan is a flip. The ARV's can fluctuate from street to street and the variance could be pretty wide if you miss on your numbers so we're just trying to be sure.

The seller has dropped the price 4 times since july of last year. This is also something we're investigating into.  Thoughts?

Ok, we’ll that’s good. You’ll need specialized help in the area.  Make sure they are reputable and not some jo schmo from round the way. My Managment team is a keller Williams office and they straight out told me up front they they and many others steer clear from that area. 

@Chelsea Jeffers I would not buy here. Check with your property Managment cause many won’t even bother. It’s a dangerous and highly abandoned part of town. The deal is good for a reason. Also check the crime maps on trulia for crime tellers reports.