All Forum Posts by: Shane Ussery

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $15,000
Cash invested: $20,000

This one just by renting I’ve made 3 times my initial investment in 6 years

What made you interested in investing in this type of deal?

I look for deals that’s what I do... I just knew I can make money renting it.

How did you find this deal and how did you negotiate it?

Went on Trulia .. I believe listing said “seller bring offer” they wanted 25 for it... hvac messed up needed some repairs

How did you finance this deal?

Cash

How did you add value to the deal?

Making Repairs and offering it to society as a Rental which I currently do with this one

What was the outcome?

It’s a rental I still have

Lessons learned? Challenges?

I had some repair men over after the purchase to start repairs. One of the repair men told me I had honeybees in the wall. I had never experienced this before so I started calling around local beekeepers. A Sheriff who happens to be a Beekeeper came out and got them for free. Lesson Learned if u see bees going in an opening investigate a little Further. Learned a Great Deal about Honey Bees. Greatful for the experience

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Listing Agent

@Marlen Weber that was a deal from long ago... not getting an inspection 2 different things at the time when I made a decision. Worst case at 5k you can’t get a house and Land for 5k typically or a different view at the time was worst case it’s a big storage building, even at the price (price is what u pay value is what u get) in that viewpoint it most certainly passed the test. Next, that was part of my tactic getting it at the price as”people that usually buy things like this know what their buying” today my philosophy is different but at that price I’d do it all over again. Point is u do grow based off of experience your philosophy changes as u grow.

Investment Info:

Single-family residence other investment.

Purchase price: $5,000
Cash invested: $15,000
Sale price: $30,000

Took this one from a vacant house of over 20 years fixed it up rented it out. Sold after 5 years

What made you interested in investing in this type of deal?

The Price

How did you find this deal and how did you negotiate it?

Listing Price was at 20k.. i talked to Listing Agent and told them the listing price wasn’t a fair representation of the house value. I offered 5k Agent called the State of North Carolina and they accepted.

How did you finance this deal?

Cash

How did you add value to the deal?

Took house from a vacant house of over 20 years and brought it to life

What was the outcome?

Turned out to what I envisioned .. rented it out then sold

Lessons learned? Challenges?

Bought as is where is no inspections. Tough challenging project

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Yes. Listing Agent

@Peter Doan whatever discount you can get  on the purchase go ahead and get it now. In fact, I’d say negotiate a little more if you can. Economy wise we don’t know which way this thing will go? It’s kinda weird I’m actually closing on one where the investor passed away couple years ago and his Estate is selling the property. I didn’t know the background prior to putting in my initial offer had I known I really don’t know what I would done? In the negotiations I ended up finding out. In the End the Estate, settles at about half the listing price.. The Family is really wealthy so the proceeds from the sale their Donating to Charity... for me it’s one of the best deals I’ve gotten. Before I came across this property I been telling everyone don’t bring me any deals unless it’s at least double as is condition, this way my bets are hedged. Sounds like a good deal 

@Sam StablerIf that were me and I’m only assuming but would it be fair to say you don’t have a lot of experience or haven’t been doing this long? That’s perfectly fine if you haven’t as u can see all the above people including myself as u can see comments like “your in control” your behaviors are kinda indicating that. I’m just posting to kind of help u not a beating u up or anything. I don’t know your situation but I would encourage you to take a step back analyze your situation and figure out if this is right for u at this moment. If u still want to do this how about getting a property manager in your local area this way your kind of hands off and just observe the things they do..if u want to be successful immulate techniques they do.Again this is just way I see things. Doesn’t mean I’m right 

@Corby Goade great ideas.. unfortunately by the letter they wrote I believe this tenant wants to be a thorn in his side. I’m a firm believer in treating people the way I would want to be treated but based on current behaviors u know it is what it is

@Sam Stabler hey if your tenant wants to get technical I would do this. Explain to them your job is to Provide a Product in Return for Services Rendered your compensated . Thus, them impeding on work to be performed is causing a matter of Waste. I’ll get back to that in one moment. You have a whole bunch of resources you said Inspector has to sign off on work correct? Ok Great! Go to the office and I’m sure if you explain the situation to them they can figure out a letter to make it look official also what it does again is send a message that their dealing with the government and your in control. Being their a know it all that’s how u deal with those type of people. If that doesn’t work contact a lawyer (provided they don’t charge a fortune). Simply tell the attorney their presence, the time you have have spent trying to get access to the premises, is now causing a matter of waste and it’s bringing down the value of your product. So either they let u in or seek a bunch of fines, court costs ect. I had a similar situation not long ago that’s how I dealt with that cost 200 bucks but I now got their undivided attention.

After reading that letter first chance u get they need to go I can see right now their going to be a problem

What @Ben Zimmerman said.. you have to let them know your in charge, you can do it in a nice way. In fact, I would tell your tenant the insurance company is wanting to review and u need pictures.. that will get u in the door u start taking pictures it’ll kind of put things in perspective for them. And because your in charge your sending a message to them. That’s procedure I do right before I evict someone. I tell them insurance company is requesting photos then if I take them to court I have pictures on condition of property of holes in walls tore up house u have proof

Price is what u pay value is what u get.. the price is kinda irrelevant. Speaking from experience I try to get deals where I can... say rent is 600 a month retail hvac unit duct work is 5k ok after taxes insurance that means the tenant has paid a year long not missed a payment your still in the red... that’s why I pay cash. If u owe a bank that means u have inflated rents with the inflated costs of the house... if we go into a recession type scenario that means Dear Heavenly Fico want be able to save these credit money investors.  I’ll be out buying repo houses again. Why? Because my prices are low. I’m set up for bad times