All Forum Posts by: Sean H.

@Mike McCarthySomeone could just easily unplug the extension cord at night then. 

So, you don't just have an email listserv where you send out the properties to?

I asked some Q&A to a sales rep, and it seems like a pretty good system for me considering it doesn't require wifi or a lan line. I generally just need something that i can have, once i drop my appliances in and have the house for sale (usually a month or two). I asked about cancellation and they said it only take a couple of days, i just wanted to confirm that. I would realistically only be using the service for a couple of months out of the year. 

I would be nice to utliize the system after my electrical rough in, but my only electrical service before the building final is the temp. service pole. 

@Arianne L The point I'm trying to make is that any "guru" can tell you about how much success they have had. If a post is all positives, it just sounds like your ulterior motive isn't to advertise some "guru" company like flip hacking, i would love to hear the actual details of the journey. 

What big losses did you have? Why are you doing so many flips at the same time...are you working off extremely low margins or are just wholesaling the properties and making 5-10k a property? When i take on a flip, i don't mess with it unless i'm making 50k+ profit, otherwise what's the point in tying up your money? At what point did you start taking on full time employees? How were you able to relinquish the control? If you're just paying people to send and follow up letters, how are you paying them, salary or commission?

Also, the BIGGEST question. Your exponential property holdings don't make any sense. Unless you're taking on outside investors, how are you quanities jumping up so quick. Where is all this imaginary capital coming from? Once you're doing 10+ properties a year, you're taking on full time employees. Full time employees start cutting into your capital, and in my experience they are loss before they are gain (aka they have to be trained and some are duds). According to your properties turnover you were taking on a lot of full time employees, and yet you exponential growth didnt skip a beat. 

I guess this is off topic, but it caught my attention since i work as a contractor a lot. 

If there was never metal sill plate installed behind the plumbing, is the contractor who shot the trim nails really responsible? I can't think of way the contractor who installed the baseboard could have prevented this?

I was going to build a spec home. I already went to the planning department to determine the setbacks i had to abide by for the lot. 
It's a small corner lot. 

It right near the heart of downtown surrounded by houses, so im pretty sure i dont have to worry about utilties. 

dd=due diligence. 

Im going to buy a lot from a wholesaler. If he asks for a dd, hat can i do to safeguard myself in case any liens show up. I assume he is not a licensed realtor, so i would assume a dd contract would be less legitimate. It's an empty lot, so besides a survey (which i'm afraid could take awhile). I can't think of any other things i need to get inspected. 

I told him my lawyer will probably be able to close on it in about a week, so it will be fast close. 

Sounds like an intro to someone trying to sell their "coaching" services. 

I don't understand how depreciation recapture is relevant to a flip?

Im factoring the cost of the property, 90k. The materials, and work done by subcontractors, 80k. Realtor fees 14.5k. Im including my labor clumped into the profit margin. So with a sale of 370, minus the 185 would put me in the ball park of a 185k profit. I didn't take any loans on this property. I paid with my own money for everything, so no interest write offs. :/

Why start "gambling" if you don't need the money? Id throw 70% in a heavily weighted bond index fund, 15% in an index fund that follows s&p 500, and the other 15% in REITs or your own property ventures. If you haven't done much property investing, why not start out small locally, and learn from your mistakes while they are still small?