All Forum Posts by: N/A N/A

I was going to call today and get the address, pull comps, tax info, sewage bill and check rental rate in the area.
Then go and look at it this weekend.
See if it needs work etc. Figure out a price that an investor would pay for it and get an option to purchase or birddog agreement. (neither of which I have yet and would appreciate it if someone could give me one)
Am I missing anything?

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Originally posted by "uniquedesinez":

Buying for 195.0 ...5.0 closing costs.......20.0 for repairs....in property for 220.0 ...fast sell @ 260.0 .........40.0 profit....foresee any problems???

What is the market like where you are selling this property? it has slowed in my area to where flipping is only a good idea if you buy really low and sell low. Can you move that house fast for 260k? Here the average house is sitting for 6 months which would be big holding costs.

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Originally posted by "uniquedesinez":

I keep hearing about approaching sellers and asking the proper questions. Can someone please tell me exactly what these questions are or where to find them. I am in contract now on my first flip. ( not first house purchase) but I found this deal through a realtor. There were a few questions about the property, but that was it. I am already looking for my next deal and would like to find distressed sellers...kinda know how to go about that but not exactly sure what to ask them once I find them. Common sense would be WHY are you selling...but what else do I need to know....offer a purchase price....if accepted, great. if not move on...seems pretty simple...what am I missing??

What are the numbers on your first deal? I am curious to what you can find through a realtor. What did you pay? What was the appriasal? What kinf of financing? How much rehab? Are you using a contractor?

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Originally posted by "Ryan Webber":

I personally never let someone else do MY homework. I can't imagine taking the fluff on an advertisement and believing it. Who cares what the seller is saying, crunch your own numbers and determine if it's a deal.

Obviously you need to first find out what the asking price is, and then determine if its even in the ballpark. If comps are coming in at 105K-110K, then I know I need to be at 73-77K WITHOUT any work done to the property to hit my rehab numbers (70% of ARV). After subtracting possible rehab numbers, I know I need to be in the low 60's.

If they tell me that they are asking 70K or so and act like they have some negotiating room, then I would start doing my own homework.

First, I would check with a realtor and check comps in the area to determine an accurate After Repaired Value. Are comps actually selling for a $105/square foot?

Is their estimated rehab a contractors bid or is it just their estimate? Verify that the repairs listed are all that are needed to sell it and that it will only cost 13K.

After determining your own estimates on these two vital numbers, then you can make your own determination of if its a deal or not.

I would recommend buying a rehab project in a normal market at 70% of After Repaired Value minus repairs.

They are asking 63k. Are you saying you want to pay 70% including rehab? I figure that this is how first time investors can get started. Is the "whole saleing"?

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I come across these listed at my local REI club. I am wondering how to approach this?

Below is a listing at my local REI club. I have access to deals like this but am worried that it might be an attempt top take advantage of new investors. How should I handle this as a new investor? What chronlogical order should these steps be taken in? I am not going to attempt to make this deal but I believe that many newbs here have access to these deals and would like to learn how to handle them.
Thanks.

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How can I approach this deal?
« on: Today at 07:33:54am » Reply with quote Modify message Remove message
Below is a listing at my local REI club. I have access to deals like this but am worried that it might be an attempt top take advantage of new investors. How should I handle this as a new investor? What chronlogical order should these steps be taken in? I am not going to attempt to make this deal but I believe that many newbs here have access to these deals and would like to learn how to handle them.
Thanks.

Quote:
Great property to flip for quick profits! * 3BR/1BA * 1,024 Sq Ft * 2 Story Home COMPS in the area include: * 2120 Lambert St - Sold for 105,000 * 2114 AS Norwood St - Sold for 107,000 * 2063 Snyder St - Sold for $110,000 Estimated Profit Potential - $24,000+ Estimated Rehab cost of $13K assumes new kitchen, bath, carpet, heater & hot water heater and paint. If interested, contact either: xxxx xxxx xxxx
Quote:

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Thanks.

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Thank you.

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I am looking inot buying duplxes in my area for 115-150k.
I am trying to figure out what kind of positive cash flow they will create with zero down and the current monthly rental rates.

Example:
120k with 0 down
2800 a year in property tax
1800 in gross monthly rent
180 a month for proerty manager

How do I figure mortgage ins.?
Home ins?
and what else should I calculate?
Thanks

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Is using a property manager something that can be written off at tax time?

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Is there a good book that will tell me the places to look for these deals?
I have no idea other than realtor websites.

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All Forum Posts by: N/A N/A

N/A N/A has started 17 posts and replied 41 times.

Post: How should I approach this........

Post: What profit do you make?

Post: I see why new investors hate newbie’s

Post: How should I approach this deal?

Post: How should I approach this deal?

Post: What is the best first investment?

Post: Calculating monthly profit

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Post: Using a propery manager/ Tax deductable?

Post: Looking for a strategy