All Forum Posts by: Samantha Lanphere

I had 2 bad appraisals in 1 week.
I was able to have 1 of the rehabs appraisal adjusted.
The other rehab, still working on the appraiser. The contract price is $100k, the VA appraisal came in at 94k.
There have been some poorly done rehabs in the neighborhood I am working in and unfortunately anything can qualify as remodeled...including homes with stained carpet and 12 broken windows...ugh!
My question is if we cannot get the appraisal adjusted, do I have other options than what I have come up with so far:
1.) Buyer comes up with 6k (or at least some more cash), not likely given the price range of the home
2.) Take the 94k, not give the 3.5 in closing costs. Buyer finances 100% since its VA
3.) Owner finance the remaining 6k, ensuring a 100k comp in the neighborhood I am continually working in.
4.) Buyer switches their lender (Wells Fargo) and gets a new appraisal
5.) Put the home back on the market and hope the VA appraisal doesn't get attached to the property

I am concerned about losing the profit but more concerned about setting a low comp for future home sales

J Scott
Thank you for your reply! You have logically and analytically broken down the flipping process into common sense.
I will absolutely take you up on lunch with you and your wife.

Brian-
Thank you for the fair warning with GC's. I am a detailed person so I will expect and request my bids to be detailed as well.

Is it a good idea to use a general contractor for your first flip(s)?
What is going to be the average percentage that a GC will charge?
I would prefer to use one on my first flip(s) however my business partner wants to contract each job to specialty services to save money.
She works full time and does not have the schedule to oversee them during most of the day. Most likely I will be the one *groan* doing that since I already work for myself and have a flexible schedule.
The flips I am looking at are brick homes in Decatur, GA that are built around 1965. I'm trying to stick to cosmetic flips with few repairs. Staying away from mold, flood damage, foundation issues or anything else that appears to be too much for me to handle the first time.
How much time would I be looking at daily to be at the house to manage the specialty contractors? Do you need to be there all 8-10 hours of them working on the house?

Bump for this topic. Looking for a title company that works with reo wholesalers in Georgia.