All Forum Posts by: Simon Shih

Awesome! Living the dream.

Great job. What renovations did the 18K include? Can you give us a breakdown?

Hey @Ekaterina Gelashvili. Welcome to BP. I'm in Houston so a heads up. The majority of multi-family homes in Houston are in D class neighborhoods or worse. We are a SFR city. Let me know what areas you're looking in and I can give you more information if you need it.

Hey @Chad Bailey. Welcome to BP. Sorry about getting laid off. I'm also in oil and gas and I see how little work there is coming up this year. Good luck in your investing.

Oh and look into yellowletters website. I think they are cheaper and they pull from the same source.

Welcome to BP @Antoine Baisy. You are on the right site. Lots of information and a great group of people to learn from.

Also remember that you should put a house in only one person's name. That way the max amount of conventional loans is double for two people.

So if you are wholesaling, this is what you do.

Find a deal and get it under contract with an option to assign the contract
Example: House ARV at 100K. repairs at 20K
Under contract for 30K.

The you find a buyer and agree on a price.
Example: Buyer agrees to buy the house at 40K

Sign a separate contract that states that you are assigning the original contract to new buyer for 10K. Get buyer to sign.

Find a title company that does assignments and go to closing with all paperwork. Buy cuts a check to title company for 40K. You get a check for 10K and the owners get a check for 30K.

New investor has house for 40K. Rehabs it for 20K and resells it for 100K for a profit of 40K. 

This is a very simple explanation with round numbers. There are, of course, holding costs, etc...

Make sure wholesaling is legal in New Mexico.

Are you a real estate agent? Not sure why you would add a 3% commission if you are not. Pretty sure that's illegal. If you are wholesaling, then you assign the contract and use a separate contract to come to an agreement with the buyer. Or you can do a double close and get money out that way.

My mentor is an old high school buddy that has been investing in real estate for 20 years. I get to bounce ideas off him, he verifies that I'm doing things correctly, he looks over deals I get and he's a huge confidence boost. It cost me nothing but a few beers when we hang out. Don't waste your time paying for programs or listening to gurus. Everything you need to know is on this site and the people here are great and want you to succeed. Save your money for your deals.