All Forum Posts by: Kevin Cardinale

Ok i consider myself smart. I do pick up things easily. I'm resisting trying because I am afraid of messing up the house.

SO FAR: I decided to have everyone come over, in the past 2 days. I've had GC's bid from 30k to 70k and of course the ones that big 70k told me to don't listen to the 30k ones.

One GC said, Nope, this isn't a job I would take - you should get a licensed electrician (entire electrical panel is gone) and do the rest myself.

I am not handy, but I haven't tried. But, like I said, I do pickup things quickly.

I still need an A/C guy, with a crane and all though, I'm sure I can't do that myself.

I don't know if I can install the bathroom myself. 

I've had plumbers tell me 1. oh good they didn't cut down into the slab, this is an easy job 2. oh good this is cast iron, it's very resilient 3. oh no this is cast iron it presents a lot of problem and we need to dig it up and provide you with a new water line and sewage line (made them explain what a water line was, now I know)

Dry wall guy didn't want to do anything but patch up what was there. I forced him to give me a bid on tearing the entire thing to the studs (which only one GC suggested, all the other GCs said just patch the walls)

BUT there's asbestos all over the house. Outside siding. Inside popcorn roof. Lead paint.

I've been told that there's city programs to have it removed for me.

So 70k is worth more than the house. I've asked every GC "is there something I can personally do to lower the price" and was met with a resounding NO.

So a house fell in my lap, no seriously. Keep in mind the ultimate goal is to parlay this into launching my super real estate business. 

So this house has been completely vandalized: wires, pipes, walls, electric box, ceiling, a/c, even the interior doors. Here's the deal. My aunt is selling it to me and the repairs I make to the house, will offset, not only the cost of the house, but I can live mortgage free for the life of the repair cost. So it's like a front loaded loan? Something like that.

My problem is, I've never hired a contractor before, nor even used a hammer, and the only time I've used a drill was 6 months ago to drill into plant pots for drainage holes.

I've had a GC contractor and quote me a price that I could literally scrap the house and rebuild the entire thing, it was so expensive.

Could I have a rehabber here in vegas, come over, look at the place and tell me what they think it should cost, how I could pick up a hammer, try not to hurt myself, to cut down on labor, and estimate how much it should REALLY cost? and I'll buy him a pizza or something. mmm pizza. I love pizza.

Specifically I worded my email thusly:

"I am Kevin. I am looking to start rehabbing properties. This is a preliminary letter to open talks between us. I have several properties, which I feel are good deals. I already have a retail buyer and a cash buyer, ready to go with any properties I bring them. I have no liquid funds, however for the purchase price. So I have the properties and a guaranteed exit strategy. Can we do business?"

Something close to that.

Wow that is an amazing idea. I was really rather feeling low when the emails came in saying NOPE NOPE NOPE NOPE NOPE. I even have a buyer who is sitting right next to me, waiting for me to get him a house. I have several properties that look like they would be a good deal.

I put all of that in my email. NOPE! *sigh*

I'll try your ideas, they're fantastique.

Yes, I'm a wholesaler, but i'm a really bad, inconsistent, low motivation, stutter stop, investor. I would prefer to be a rehabber, actually. But, I don't have $60k.

I was surprised to hear that I'm doing some things right, as he was going through points. But I've only made... a few thousand at wholesaling. Trust me i'm bad.

ok, Aaron is saying being a rehabber is what someone new to REI is supposed to be doing, since wholesaling requires:

• marketing
• writing contracts
• figuring rehab costs
• getting a deal that includes a spread for both the wholesaler and the rehabber

Whereas the rehabber simply walks along, gets deals thrown at him by wholesalers and simply manages contractors and then rakes in cash. ( yes i'm simplifying what he said. )

I think Aaron told me, if the deal is really good, a HML WILL lend me money for a rehab, with me not having to come up with out of pocket money. In fact a few people wrote and emailed me that same sentiment. But, the HMLers that I contacted, one said, don't have anything less than 4 houses and most said, have 20% down on the house.

I don't have $60k in the bank. In case you were wondering.

Sorry, I found it. I'm special in the head. *sigh* And yeah, I was going to say the only Aaron I know is Aaron Mazrillo.

Sorry I'm a noob... Aaron Mazrillo? I couldn't find the podcast.

Should I Be Working Towards Landlording or Build My Wholesale Business

One of the "gurus" I follow, flat out said, "wealth is only built by buying and holding."

Most of the "gurus" I follow, hint at that buying houses on leverage and renting them off, with renters paying off the loan and thereby both paying off the loan, building equity / wealth and giving them cash flow, to also build wealth.

This all sounds very convincing and logical. So the question is, is wholesaling a pipe-dream of building wealth? And, should I be striving to build a rental empire?

Thank you, Mr. Martin.

But this would only apply to a cash interest right? There's no way you could buy an interest in a home or 4 plex, through any sort of conventional financing right?