All Forum Posts by: Rick Martinez

@Jim Adrian, @Dustin Davis Thanks guys..Im looking into getting these changed before  tenants get in there.  

Does anyone know if it meets code to have windows that don't open in a 4plex bedroom? The contractor was supposed to do normal windows that open. When I showed up to look it wasn't.  Looks like a plain glass commercial window.  

Hello,

I recently purchased and BRRR 4plex in Tulsa. I got an Insurance policy for it and they said to send them pics of Front, Back, Breaker Box (each apartment) and Service Entry. I emailed the pics and made my first months payment. Then I got a letter in the mail today saying that they are discontinuing my coverage in March because they did not receive pics and because of something to do with an old claim from 2 years ago with previous owner. Really weird and I don't know why they could call me first. Anyways I'm trying to get this figured out because I feel like I had a decent rate with them. But if it doesn't work out , does anyone in Tulsa or Broken Arrow have a insurance agent they can recommend. I'd prefer someone that gets the investment side of things.

Thanks!

@Jeff Filali Thanks Jeff. I have met with a local investor and he is going to help me get through my first few. I prefer Broken Arrow, but he let me know that other areas like Glenpool or Owasso are also great places to look. I have been mainly looking at MLS and have a couple of wholesale connections now, but like you mentioned I need to keep building relationships so I can get more deal opportunities.

Thanks for the input fellas. I guess after listening to the BRRR podcasts it seemed so simple...

Buy a house for $60k. 
Put $20k into the rehab so all in at $80k.  
It appraises for $100k.  
Lender refinances for 80% LTV...thus this scenario would be low or no money down.

I will present this strategy to lender and see what all I am missing so I can be prepared for worst case scenario.

Thanks!

@Brent Coombs. I did double check that with my portfolio lender and basically if I buy a house for $60k and ARV is $80k. Then I would just need it to appraise for $100k to work as BRRR.

Thanks Tracy. Good advice.

Build, Refi, Rent, Repeat?

So I almost got a BRRR under contract a couple months ago, but the wholesaler sold it to a personal buddy instead. Finding it difficult to find a BRRR deal in Tulsa area. I know eventually I will score with a hud but even those get snatched up. Been considering hitting a couple neighborhoods with direct mail over the winter. But recently I have been thinking what if I could be my own general contractor and build a house for $80 sqft and get it to appraise for $100 sqft. I know building prices are at a high at moment but just curious what others thought. I have a friend who builds in Owasso and said they only make $15k net on a house, which seems low cause companies like Ubuildit make it sound like you can have $40k in instant equity when you are your own general contractor..ha..probably a gimic. Anyways has anyone done this...build a BRRR?