All Forum Posts by: Steve Hodgdon

Quote from @Nathan Gesner:

Quote from @Steve Hodgdon:

If you've lived in Northern California for 40 years, surely you've seen the price of everything increase. Your price seems very reasonable for tear-down, hauling away the hot tub, and building a new deck.

The value of your home has probably doubled in the last four years. Does it surprise you that building materials would also increase?

 Not at all. Just comparing to a house purchase in Louisiana. $25k for the house. $10k light rehab. Sell for $50k on terms.

Starting to do some SB 1079 flips in a charity I formed for affordable housing. So I’m back in CA and have to get used to prices.

I just paid $12k for a 12x10 redwood deck. No pergola, no steps or railings. Yes they took down old 14x14 deck and pergola, and hauled away the hot tub (for an extra $1800). No stain. That was an extra $2600. I've been in Nor Cal for 40 years. This is why I fund deals in FL and Louisiana. I could have remodeled a rental for this. Just suggesting that regionality still plays a vital role in how we make a living in this world. 

Cute, huh? I'm looking for buildable lots in tertiary markets near good economies. Working on a project to set up affordable, nice, new manufactured homes. I'd like to be able to do 5 or more in an location so to achieve some economies of scale. So if you have lots with good access, near or existing utilities, easy regulators to work with, high and dry land. And it needs to be within 30 minutes of a Walmart and a hospital. Part of the focus is retired military on fixed income. Thanks all. 

Can you get direct control of the asset? @Chris Seveney s comments are spot on. We have been buying distress for years. Taking control, putting the failed syndicator in 2nd position improves the results for everyone. IF you know how to save a sinking ship! Passive? Nope. Bad money after bad. 

I'm looking for buildable infill lots. Focus is affordable housing with manufactured homes. Not junky mobiles, new, nice, sturdy and attractive. If anybody has lots, let me know!

Quote from @Josh Tagge:

@Steve Hodgdon the idea of land investing has me very curious. I can understand the concept of this being more on the speculative side but from all that I've read it does seem that there is opportunity. If you don't mind me asking, what have you found to be your best resource for locating prospective properties? 

We search using DataTree or Land.ID . Datatree lets you select your targets and charges for only what you download.  started using Property Radar since I have used for years. Propwire is a free tool. Then when we have an offer we add Prycd search. They can probably replace the other tools if we choose. 

Land flipping is not real estate investing. It's speculating. If you're OK with a gamble for higher % gains, that's what we have done with a big chunk of our cash. I was fearful of long term economy when COVID started (wrong again!) so went short term. It's been fine but there's a lot of work involved. We now have a team of 3 on this full time. 81 properties sold last year at a 40% gross margin. BUT there are a few stinkers to solve. Bad access, won't perc, too much slope, title problem. Still doing it now for 3 years. Started in RE in 1995. Never been a big shot, just average investor spread across different asset classes. 

Quote from @Blane Koenig:

Wayne, thanks you this helps me. Just to verify if it is sold Bond for Deed, would the property stay on the books as an asset?

hi - I'm checking to see how this worked out. You've discovered what a Bond for Deed is by now. Is the note performing? have you ever considered selling it or starting others? We're active in CenLA.

People get hurt cutting down trees. Make sure you add some insurance. Also, too small to have a lumber co harvest, but if there's hardwood maybe there's someone local who would do some removal for free. Again, insurance and license

I like the idea of partnering with an EXPERIENCED licensed builder. I've bought and sold 120 vacant properties during Covid and currently continue. We pivoted from houses (DUH) out of fear that the world was ending. Wrong again!