All Forum Posts by: Robert Adams

@Tom Hovind curious if you received any feedback about this company or if you had a personal experience with them after your post?

Investment Info:

Condo fix & flip investment.

Purchase price: $190,860
Cash invested: $198,000

I purchased a condo that had already been remodeled by another local flipper. The workmanship of the remodel was hit and miss. Some things were done well and others were horrible and needed to be redone. Also the water heater was not working which also caused the HVAC not to work as it was on a heat pump system. Since the previous investor was trying to charge top dollar but the unit still needed work and had systems that were not functioning they had a hard time selling it.

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

ARV was high enough I knew I could sell it for more.

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

On MLS...The seller wanted out and I knew if I tightened it up I could increase the ARV and get more than the current seller could.

How did you finance this deal?

Self Directed IRA Funds

How did you add value to the deal?

During due diligence the seller also replaced the water heater and agreed to an additional $5,000 seller credit at closing.

After crediting the commission and seller credit the final purchase price including closing costs came out to just over $190k. Between fixing systems, rehabbing the previous rehab, we spent a little over $5k.

What was the outcome?

This property is currently listed for sale for $245k.

Lessons learned? Challenges?

Properties don't always have to be distressed to be a viable flip.

Quote from @Chris Seveney:

Quote from @Robert Adams:

As we move into February, the Las Vegas real estate market is showing positive signs of recovery after the holidays and the conclusion of the presidential election cycle. Our team has noticed an uptick in buyer demand paired with a continued decrease in housing inventory. The energy in the market is shifting, and we are anticipating that the January data reports, which will be released shortly, will reflect this momentum.

The chart below shows the annual cycle of decreasing inventory in Q1 every year for the past 5 years. Now that we are entering February, we will soon have the new data showing how we finished in January. As agents we tend to feel the pulse of the market shifting before the data hits the newsstands. If what we are feeling is accurate, the January data should show substantial increase in buyer demand.

Jan 1, 2020 to Jan 1, 2025 Inventory

While interest rates remain high, the demand from buyers is still strong. Many are eager to secure properties before the spring season fully kicks into gear. Historically, the spring market in Las Vegas is one of the busiest times of the year, and we’re already seeing signs that this year will be no different.

Although the current rates are presenting a challenge for some buyers, the pent-up demand from the past few months combined with the stability post-election is propelling the market forward. If we see any reduction in interest rates in the near future, we expect the market to become even more active, which would only amplify the already noticeable shift.

Jan 1, 2020 to Jan 31, 2025 Mortgage Rates

In summary, while we are still navigating some uncertainties with higher rates, the outlook for the Las Vegas real estate market in 2025 is promising. The spring market is shaping up to be one of the busiest in recent years. We’ll continue to monitor the data as it comes in and keep our clients informed as the market evolves.

Stay tuned for more updates as we continue to analyze the latest trends.

 Good to know as I have a property coming on the market and we had one off market offer already all cash but at 10% list price discount (which we most likely will reject).

Curious if you think the california fires will assist the market since many of those people need places to live for years and I am guessing some will flee california?

It definitely won’t hurt our local market. I think majority of those that are displaced will likely find homes in the surrounding communities in CA (I’m sure some local CA experts have better insight).

With that being said we tend to see a lot of CA buyers relocate here for the lower cost of living including lower home values, property taxes, insurance, no state income tax, gas prices etc. Many are also tired of homeless issues, politics, and now more than ever natural disasters. 

We haven’t really felt the effects of it yet but I think that is mainly due to the timeframe it takes for them to process claims and emotions from the devastation. I do think we will see an uptick in demand from it. How much is yet to be determined. Our thoughts and prayers are with all those affected. Such a horrible loss.

Regarding your property, I think as the trends in the report continue over the short term you will be able to sell closer to full value in coming months. I don’t have a crystal ball either but we are definitely feeling a pick up in the market.

Investment Info:

Condo fix & flip investment in Las Vegas.

Purchase price: $275,000
Cash invested: $294,000
Sale price: $355,000

The property is a 2 bed 2 bath with a den and a 1 car garage. I intend to add a closet to the den and make it a 3 bedroom adding value as well as remodel the entire unit. After a rehab budget of $20k, We resold for $355k which was the highest recorded sale in the community EVER! As I update this on 2/1/2025 it is still the highest recorded sale.

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

The Value add of 2 bed with a den being able to be converted into a 3 bedroom. The comps for a 3 bed were drastically higher than the 2 beds.

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

Seller was behind on pay HOA payments and in risk for losing the property. Had equity but couldn't access it. I had a good relationship with the listing agent and was able to structure a below value deal (beating out iBuyers and other investor offers). The property was in horrible condition, pet odor, lots of deferred maintenance etc. I provided a free rent back for 2 weeks so the seller could get her funds and relocate. I also released my EMD after contingencies so she has some cash to work wit

How did you finance this deal?

Cash from self directed IRA accounts

How did you add value to the deal?

Remodel
#rd Bedroom conversion by building a closet (the window and door were already there).

What was the outcome?

Sold for record price and a great profit!

Lessons learned? Challenges?

Look for value ads and opportunities in variations of the comps

Investment Info:

Condo fix & flip investment in Las Vegas.

Purchase price: $275,000
Cash invested: $294,000
Sale price: $355,000

Seller was behind on pay HOA payments and in risk for losing the property. Had equity but couldn't access it. I had a good relationship with the listing agent and was able to structure a below value deal (beating out iBuyers and other investor offers). The property was in horrible condition, pet odor, lots of deferred maintenance etc. I provided a free rent back for 2 weeks so the seller could get her funds and relocate. I also released my EMD after contingencies so she has some cash to work with in the meantime. The property is a 2 bed 2 bath with a den and a 1 car garage. I intend to add a closet to the den and make it a 3 bedroom adding value as well as remodel the entire unit. After a rehab budget of $20k, We resold for $355k which was the highest recorded sale in the community EVER! As I update this on 2/1/2025 it is still the highest recorded sale.

As we move into February, the Las Vegas real estate market is showing positive signs of recovery after the holidays and the conclusion of the presidential election cycle. Our team has noticed an uptick in buyer demand paired with a continued decrease in housing inventory. The energy in the market is shifting, and we are anticipating that the January data reports, which will be released shortly, will reflect this momentum.

The chart below shows the annual cycle of decreasing inventory in Q1 every year for the past 5 years. Now that we are entering February, we will soon have the new data showing how we finished in January. As agents we tend to feel the pulse of the market shifting before the data hits the newsstands. If what we are feeling is accurate, the January data should show substantial increase in buyer demand.

Jan 1, 2020 to Jan 1, 2025 Inventory

While interest rates remain high, the demand from buyers is still strong. Many are eager to secure properties before the spring season fully kicks into gear. Historically, the spring market in Las Vegas is one of the busiest times of the year, and we’re already seeing signs that this year will be no different.

Although the current rates are presenting a challenge for some buyers, the pent-up demand from the past few months combined with the stability post-election is propelling the market forward. If we see any reduction in interest rates in the near future, we expect the market to become even more active, which would only amplify the already noticeable shift.

Jan 1, 2020 to Jan 31, 2025 Mortgage Rates

In summary, while we are still navigating some uncertainties with higher rates, the outlook for the Las Vegas real estate market in 2025 is promising. The spring market is shaping up to be one of the busiest in recent years. We’ll continue to monitor the data as it comes in and keep our clients informed as the market evolves.

Stay tuned for more updates as we continue to analyze the latest trends.

Quote from @David Lamb:

Quote from @Robert Adams:

I would recommend the cash for keys coming from the current owner and then you compensate the seller for that cash at closing when they deliver an empty house for you. If they can't/won't do that then I would go the cash for keys route yourself after the fact. Be sure to no only account for the cost of the cash for keys but your additional holding costs while you have to wait to get them out. Best of luck.

Excellent idea!!!  Thank you Robert

 Happy to help best of luck!

Some additional perspective on months of supply

@Joy Li I am not a property manager but we have one in our brokerage that I am happy to connect you with should you still need one :)

@Logan Rex if you are considering selling the SFR and going with a Highrise for house hacking purposes of eventually after the year or 2 and then keeping it as a rental. You should also consider the tower you buy in and get one that you can do STR like MGM Signature for example. That would cash flow much better than a LTR tower. The high HOA's in highrises normally kill cash flow. The higher revenue from STR would help that.