All Forum Posts by: Seth Parmelee

@Jarrod Woodley so basing the needed profit of 1000 per door an additional 500 for expenses “may” work?

Ok guys. Have a question about new construction projects. My mls has a brand new just completed development for sale. Have an investor I’m looking for things with and I think this would fit. It’s 20 units with asking price of 3.5. At cap rate of 7 that comes out to roughly 1025 noi per door. For a brand new development what would good estimate for expenses be?

@Adam Serdula in NC any real estate contract and sale is void if the party involved is a minor. So hate to say it but you gotta wait till your birthday.

My understanding you will have extreme difficulty finding a lender due to high percentage of POH. Lenders don’t like them at all.

@Remone Randolph from how I understand it you’ve already cancelled the contract. The only thing to negotiate now is em. I don’t see you state being that different in contract law since that part of real estate is not state specific and national. You have notified the seller that you are cancelling the contract. It’s done. In order to come back to the table and close you would have to go under contract. Again. That means new offer and negotiation and everything.

@Brennan Mowry the commission was already negotiated by the seller and the selling firm. The selling firm then splits the commission however they deem. Just because there is no buying firm does not mean the commission is lowered.

Ok here is my take. You notified seller of termination. There is no longer a sales contract between you. So if you at the house you need to send another offer at lower price. The trick is with distribution of em. In order for title company to release you need signed release form from you and seller that is then sent to title company who then releases monies. They do not say who gets money. That is between you and seller. If you can not come to an agreement then you will have to take seller to court. Most likely small claims. That is where the fha addendum should win your case (not an attorney but I do have a masters in criminal justice system so like I said should win it obviously not an “expert”). Your agent should have explained all this to you. So like I said at this point you are not under contract. You are attempting to recover em.

@Ryan B. If all you are doing is maintaining the property and not managing it then I don’t see an issue. Obviously all state laws are different but in general you have to be in the business of buying selling leasing etc in order to need a real estate license. Not fixing landscaping etc. but like I said not familiar with your states laws so could be wrong.

@Jay Hinrichs fastest I’ve gotten one of my clients was a cash feel week between Christmas and New Years and got it in a day and a half. Was amazed that we actually were able to close in 4 days due to timing with inspection.

Here’s my take on this from the side of a broker. You want me to work for you but without the safety of getting paid for any work I put into you? Sorry most of us will pass unless we have some form of trust and relationship with you. My state requires a buyer agency agreement at time of offer. The investors I normally work with that’s when we do an agreement for that property. If I’ve never worked with you than I might show you one or two without an agreement, but I’m not putting much effort into it until there is some trust in place or an agreement. Sorry guys but this is my career and I get paid for transactions not for feeding you deals without any financial safety.