All Forum Posts by: Robert Arquilla

@Jeff Byrne

I’ve been saving and doing research for a couple years now and I am almost ready to make my first purchase. I get the same reactions, but since I’ve been listening to as many podcasts as possible, reading as many real estate books as I can, talking to lenders, talking to people on BP, I’m able to explain how I have time for this or what happens if a tenant leaves or if the water heater breaks. Sometimes even though you have a plan for the problems that may arise some people just can’t get behind it or see it the way most people on this site do. I think you just have to prepare enough ahead of time and then execute your plan to show them that it does work.

Just my newbie two cents.

What branch of service are you going into?

@Tom S.

Thanks Tom. That gives me some direction and specifics to ask about!

@Tom S. Excuse my above typos.

@Tom S.

The lender I was speaking to is the one who told me about the rehab loan. I told her about the house I was looking at (28k) and told her it needed maybe 30k of work and she never mentioned any minimum amount. That’s a question I’ll have to ask her about.

My area isn’t all that expensive for a decent start home around 40-50k which only needs maybe carpet and paint.

Have you use a rehab loan before? How did it go? What’s the process like as far as draws go?

Thanks

@Cliff Young

Research.

Figure out which path you want to take.

@Nathaniel Hovsepian

I appreciate your input and advice!

Thanks and good luck to you!

Im thinking about buying a fixer upper for a long term rental and using a rehab loan.

What are some challenges you faced when you did this?

Anything I should ask the lender specifically?

My thoughts are there are a lot of houses that are in a C to C+ area that are really cheap 15-25k that will be worth 40-65k when fixed up but my thinking is it will take care of a lot of capex issues up front for a profitable rental unit. Rents are around 600-800 depending on the size and bedrooms.

Tell me about your experiences good and bad!!

Thanks!

@Mauricio A.

His price seems a little high but hard know without seeing it myself.

My only guess is he’s having multiple guys show up to work. So even though they are working 8 hrs you have to figure on how many guys are working 8 hours (man days) if he has three guys your paying for 24 hrs of work.

@Mauricio A.

In commercial construction we normally use loaded carpenter rate of around $70/hr.

Here’s my break down:

Maybe your contractor is figuring on needed two guys to demo, replace joists and put back in one day that’s $1120

Plus a tile guy one day $560

Plus material $850

Total $2530 for 3 man days plus material. 2 days work total.

@David Lawrence

Dave I work with a construction manager mainly downtown Cleveland and there are two large (skyscrapers) buildings for new apartment housing being built. One will be opening soon the other By the looks of it will probably open early next year. Also I’ve seen some town homes being built downtown. A lot of people at our office are pretty surprised how many new apartments are being built. Construction in Cleveland has been really busy recently and doesn’t seem to be slowing down, at least for us.

Check out this site they have articles and updates for what’s going on in Cleveland.

http://www.propertiesmag.com