All Forum Posts by: Rusty Thompson

@Joe Villeneuve We don't have any special considerations for large buildings, or large homes. We just finished a 65000 sqft STEM school in Washington state. Its one of the things we are the best at. STEM School check it out.  The smaller the project the less it makes sense $$$ wise. Unless it is a large production of Identical buildings. Which we do occasionally. 

@Roy N. I would be interested in hearing more about your project. I have always thought modular makes a lot of sense for multifamily. We Have build a few assisted living facilities, but that is it. I feel in the next couple decades modular will become the standard in apartment complexes. Because even thought the construction costs might be higher, the project timeline can be a lot faster. Mods can start being delivered in when the site work is finished, assembled in a couple days and ready for occupancy in less then a month depending on he size of the project.

There are a lot of places that modular makes sense. But SFR's is not it unless site & labor costs are high. I can site some examples. Government projects that pay prevailing wage. The labor costs are so much higher than what we pay that it makes sense. We have been build homes for Alaska for remote areas. They are 1200sq.ft but cost almost 150$ a sqft. To put that in perspective a house in our area costs about 100sq.ft.to build. If you think about it. It wouldn't make sense for modular to be cheaper. All things being the same there are transportation costs to consider.

To bad you missed out on the opportunity to use a FHA loan to acquire a 4-plex. In retrospect its what I wish I had done with mine. Hind sight and all that. If the medical bills are modest. I would pay them off. Maybe look into some low interest loans to take care of them. Once they are paid off your credit will start recovering immediately. I wouldn't start out with a flip. It seems like everyone who joins lately thinks that is what they need to be doing. I guess I should blame the shows that sell the idea. It is a much safer bet to start with a rehab and rent. If you go over you can still rent it & it will help you understand rehab costs when you are ready to flip.

I've seen it a few times on the board. Keeping the buyers side of the commission as a perk. 

I've been working for a modular builder for 10 years & we rarely build homes except in the multi-million dollar category.  The pros are that they are all Engineered, built in a dry factory out of the weather. The cons is $$$. There is a lot of overhead in Modular building that there isn't in on site construction.

The other kind of factory built home is Mobile, which includes almost all "manufactured" homes. They are build to HUD building code, which is different then the building code that everything else is built to. In my area they are registered at the DMV like a car. Cons: Lower quality, cheaper construction, depreciate in value, Not desirable. Cost about the same as getting a stick built home if you already own the land. Pros: Quick & easy, minimal site work, great for hard to reach or remote locations.

I would personally upgrade it. Don't know what the cost of electrical is in your area, but its not actually that much work if their is a attic space or unfinished basement. A little harder with a crawl space, but not to bad. If your making a offer on a flip I would just subtract if from you offer price.

@Sandy Uhlmann Thanks for bringing that to my attention. I have used epoxy paint in the past in some commercial jobs for floors and walls and epoxy is  a amazing product. I think I might give it a go in the future. If I do I will get back to you and let you know.

I have also ridden the frugal train to RE success. Been house hacking for the last 3 years so I could apply every penny I make to RE. 

@J. Martin I think you point of using frugality, not only with money but in all aspects of your life is a good point. About a year ago I realized I that I didn't have the time motivation to buy & prepare food. So I started eating out a lot, but soon realized that was ridiculously expensive. So I asked one of my friends if they would be interested in making my food for me. She is a stay at home mom and has to shop for food and prepare it for her family anyway. So he just makes a little extra and packages it up for me. Costs 100$ plus the cost of food. Saves me time and money. I am now reaching a point in my RE where I will need to do the same. Some things that made sense to do myself are no longer making sense. Time to farm it out so I can focus on bigger deals.

If its a deal, its a deal. Doesn't matter where it is coming from, as long as its not illegal. I have personally bid on a couple properties through Auction.com, but have never closed one. I have bought one from HUBZU & one from Williams&Williams. Both after repairs had significant upside. Things to be aware of are the bidders premium & technology fees. Kind of hidden costs IMO. Are they asking you to do a quit claim or did they receive it Via quit claim from their parents? Either way I would consult a title company.

I think this is a great post. It really shows how knowledge, determination, skill & a little luck all came together in a great deal.