All Forum Posts by: Edward C.

This was a very interesting read Abdul, but he hasn't posted anything since March, and I can’t find his site at shiftinvestmetnsl.com.

Did he crash? No idea. I could see with his efforts that he got too busy to be able to post anything, but then why would his site not just redirect to his new site.

Shift Inv, does have a YouTube in Jun, and there is a face book page, but the web site seems dead.

Hi Jonathan, I’m new myself in the Fairfield/New Haven areas. I had a question for Jeff S, how do I set up the Alerts?

Hi Rick, thank you and yes I'm still looking at/for others.
I've heard many people say this same thing as well. That we must be willing to walk away, to not do the deal and find the next one. I can definitely see the trouble it would be get 'in over your head' this would definitely cause more harm than good to all or most future success.
But we're would one, or should one draw the line?
I appears to convent to just walk away at the earliest hick-up, and not have to do any actual work. This won't work either for I can see myself never getting anything going.
This is all generally speaking, and I think your correct on this particular deal.

Hi every one. I’m not sure if this is the right thread for this Question. If not please advise the thread I should move it to, if I need to. Thank you.

An old corporate building 6 stories and it’s historical. Several years ago the building and land were bout out buy a much bigger corporation, who built their own building next to the vacant one and turned the land in to parking.
This historic building for several years now is being used as a large billboard and nothing more. Certain groups in the area say it could actually be converted in to apartments. There are investors that tried to buy the building and some of the parking to do this but were not able to agree with the owners or board of directors ‘large, international, so on and so forth’.

They might be willing to do something with the building, but are not willing to give up any of their parking.

As far as I can tell the first floor could be made in to underground parking, leaving 5 floors left to live on.

I’m brain storming on this one, but instead of buying the building, just to ask for the ‘Right of use’ of the building? I could let them know that I am willing to take this off their hands for free of charge and convert it for them, if they gave me a low interest loan to do this with and WE split the proceeds after all expenses with them 50 - 50?

Is something like this even possible, or am I just dreaming? Rental property is not their expertise. Any suggestions for communicating with large international boards of directors that have no idea what to do with this thing?

Thank you in advance for any suggestions.

Ted Cole

Hi Karin, and Thank you very much. I am familiar with CTREIA and have already joined a few months ago. This area is a little depressed and the buyers are looking for 65% ARV, 70% won't do it. the flat number on this is too low for him to except at this time, and though this is my first negotiation, and I never negotiated a home before as an investor, it appears to me that I have to wait a few days and head back in, but I'll have to do it with a little better numbers then I have so far. I'm going through J Scotts rehab book on how to do a ‘scope of work' I'll see if I can refine these numbers a bit.

Yes, I agree, and thank you.

He didn’t except the 5K up front and 20%. He wants to think about it, but I suspect he’s looking now for other buyers. Still at 5K offer up front, there’s not much on the up side.

Originally he said he might be interested in owner financing, but now appears to be less interested in the return on the end.

He’s trying to get as much, all up front, so offering 30% wasn't going to work. I’ll see if I can get a better handle on some kind of a scope of work and ask for opinions of every one on Monday to see how off I am on the 90K.

Would you have any suggestions on negotiations, second round?

Yes, that is true. Still a tight squeeze. I did think of that, there is a home nearby that Zillow lists as a 7rm, 4BR 1.5bath that there saying is valued at 205K. Not sure if that would actually work on this one, but it might.
I was just planning on assuming it won’t work, until I know it would.

Hay Ray.

It’s finished, needs paint and minor sheet rock repair. No heating, thought I could have a base electric system up there when I re-dew the Electric system in the home. I wouldn’t call it a 4th bedroom, but it is large up there, could make an excellent extra room, study, office, play room. A little tight around the stairway corners to get a box spring up there but a teen would definitely put a mattress up there.
3 windows and a sky light. Good views of the street and surrounding homes from up there. There is a small window AC already up there for summer use. It has one electric outlet that I can see up there already.

Are you going to be able to make the CTREAI on Monday the 15th?

Ted

Hi W Tomsin

I'm hoping to be over estimating the cost a bit, to be on the safe side. But the home would need a good gutting to sell it. Ash fault Siding is all messed up, roof, windows, lots of yard work, the mechanical s, electric major updating, an oil burner older than my grandfather, it does have a newer water heat though. the floors, walls, ceilings' on all 3 floors, move the kitchen over, bathroom, new cabinets, appliances, ext. I'll need a dumpster to get the job done. I thought the house was vacant when I first looked at it.

Hi, I'm Just starting, looking forward to my first deal.
The owner has the home through probate, there is a 20K medical lien and he owes about 2K in current and back taxes. He is not able to afford to pay the taxes and the home is in much disrepair. The ARV for this home (1344sq ft, 6rm, 3br, 1 bath) has a comp of 130K.
It needs a lot of work of about 90K but when the work is done it will have another 600 sq ft (walk up attic space), 3br and 1.5 bath. Similar homes like this comp at 190K.
190k minus the 90K work to go in to it, I'm left with 100K for Lien, Tax, holding, closing, and such (65K costs, roughly). This would give me 35K profit assuming I can sell it for the 190K, and I'm not even convinced I can get that.
I'm thinking of offering him a small 5K up front for the home, and 20% of any profit at the end, to lower the upfront cost as much as possible.
I'm trying to keep myself from losing my shirt by keeping the largest margin of error possible so I can't see offering him more upfront. On negotiation, if he does not except this offer should I consider upping his back end % to say 30 or 40%?

Thank you in advance for any advice you may offer.

Sincerely

Ted Cole