All Forum Posts by: Ryan Substad

Make sure you attend local real estate meetings and network with others. When you connect with people at networking events, make sure to follow up with them to keep the relationship going.

Keep reading everything you can here on BP and read as many books as you can. Look at your local library to see if they have any real estate books or if you can suggest any books that you would like for then to get. Hope this helps!

I finished up a manufactured home flip last year and I agree with Greg about doing cheap laminate and carpet in the bedrooms. Cabinets look like they are in good condition. My end buyer used an FHA loan so it's doable.

Its up to you and what you are happy with for the work you put into the deal. If you start high you can come down if needed to satisfy the seller and/or end buyer. Also make sure the end buyer is making more money than you so they keep coming back to you and are happy working with you especially if you are doing an aassignment and they see your fee on the closing statement. It'll really depend on your specific market and what other wholesalers are getting. Network with other wholesalers. Hope that helps. 

You can use your county assessor's website to get the owner's name and use Whitepages.com to get more information (phone number, etc). Also checking the assessor's website to find where the tax bill is sent is always a good place to mail to.

My 2018 goals are to flip 2 properties and wholesale 10 properties to generate $100k+ in profits.

@Ray Lai Thanks. I would say the bottleneck right now is having enough capital to fund deals along with finding deals. I plan to do a DM campaign but I don't have enough capital to do multiple flips at a time.

@Jose Perez I would possibly use the same company again but I would probably be a little more conservative on my bids to get a greater profit margin. I'm also looking at other options for acquiring properties off the MLS and possibly some direct mail.

The contractor was alright but I think I'll explore other contractors for future projects.

Thanks everyone.

@Kulin Dakwala I bought the house through a company that goes to the auction each week so they helped with the rehab estimates for this one.

@Nghi Le @Brian Garrett Since I bought this house through a company that goes to the auction each week I had to pay them 3% of the purchase price so that was almost $5000. I also used a hard money loan which was 12% interest only payments and 2 points rolled into the loan. I also paid $6000 of the seller's closing costs (we raised the selling price of the house by $3000 to offset some of the cost.

@Shawn Ward @Pete Perez The trash out ended up costing $4000 but after that it was basic paint, flooring and fixtures. We were able to keep the kitchen cabinets and counters (we sprayed them with an epoxy finish that looks like stone counters which cut down on the price and looked really good) along with the laminate floors in the kitchen. Being able to salvage some of those things really helped keep costs down.

I just closed on my first flip in the Seattle area a couple weeks ago. I learned a lot in the process and even made some money. I ended up buying the property at the county auction. The property was a major hoarder house as you can see in some of the pictures below. After all the junk was removed it was a basic cosmetic rehab. The rehab ended up taking 4 weeks to finish. After placing the property on the market I had about 15 showings before I ended up accepting a full price offer 13 days after listing.

The biggest thing I learned through the whole process was to make sure every thing is in writing and agreed upon and signed before any work is started. I also recommend getting a couple different contractor quotes before agreeing to one and do your due diligence on the contractor. I ended up getting a recommendation and everything worked out alright but I will definitely do more due diligence in the future.

Here are the numbers.

Purchase Price - $158,500

Rehab Costs - $37,000

Sale Price - $252,500

Profit - $10,500

13.4% COC

Here are some before and after pictures.

HI Nghi. I would love to connect and see if we could possibly partner in the future. I'll send you a PM.