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All Forum Posts by: Tom C

Tom C has started 40 posts and replied 1025 times.

Post: Your opinion on this deal

Tom CPosted
  • Real Estate Investor
  • Ohio
  • Posts 1,067
  • Votes 84

Well I put in a offer on 3/2 last night. It's a REO, banks asking $10K, I offered $7,5. A kid that worked for me actually paid $64K for it about 4 yrs ago and then lost it to the bank last fall. They pretty much trashed it going out and the bank did not winterize it. So chances are I am going to find a lot of broken pipes when I turn the water on which isn't any thing new.

The area is exellent and once rehabbed the place will easily appraise for $60K, will rent for $600. Rehab cost around $4k duration 2 months. I will still have enough cash to jump on the other deal if he decides to take my offer.

Post: Your opinion on this deal

Tom CPosted
  • Real Estate Investor
  • Ohio
  • Posts 1,067
  • Votes 84

The homes were in pretty bad shape. Actually I can't believe that he even had tenants in them. I did offer him $70K for all 4. $15K DP and then he hold the note for 5 yrs at 6% interest amortized for 30 yrs. He felt they were worth at least $80K and spend a lot of time trying to convince me at how much they cash flow.

Basically he is a different kind of landlord and works under the assumption of why fix your places up only to have the tenants trash them. I don't work that way and explained that each home needed at least $3K in repairs. So the offer is still out there and we will see if he comes back.

Post: Why The Rich Get Richer - They Buy Low-Sell High!

Tom CPosted
  • Real Estate Investor
  • Ohio
  • Posts 1,067
  • Votes 84

Jeff,

I appreciate your comments. I can pretty much say that when I was growing up and to this day, that I and my friends did more physical labor by 8:00 am then most people on this board and most likely you too, ever do all day long and we were poor. I have relatives who live in the Appalachians and the surrounding area that work all day long trying to hustle a dollar by selling stuff they make or find along side the road and fix. They have nothing, but pride.

You or I probably couldn't last a day living in their world. I got out of that world by pure luck in many cases. I met someone who gave me an opportunity.

Many people do not, so they are stuck in the situation they have known all their lives. Sure people can say, well if there isn't work in the area relocate. Relocating takes funds to live on until you can find work. It also takes other resources that many of these people do not have.

Maybe you can say that inner city people who are poor are just plain lazy, I seen enough of it, but you certainly cannot say that the poor folks are lazy physically or emotionally where I come from.

Post: in a bad situation

Tom CPosted
  • Real Estate Investor
  • Ohio
  • Posts 1,067
  • Votes 84

No offense, but what are you waiting around for? Get out. Do not pay any more rent and find another place to move. She lost the house. Don't play games or rely on someone else to put a roof over your head or you most likely will end up sleeping in your car. Just find another place to live.

Post: Lawn Time! How do you handle your lawns?

Tom CPosted
  • Real Estate Investor
  • Ohio
  • Posts 1,067
  • Votes 84

On my SFR's, Tenants are responsible for cutting the grass. I made the mistake of providing cheap lawn mowers and now when they break down, they call me to come over and fix them. I won't make that mistake a again!

Post: Why The Rich Get Richer - They Buy Low-Sell High!

Tom CPosted
  • Real Estate Investor
  • Ohio
  • Posts 1,067
  • Votes 84

Mike,

I agree with most of your comments above except for the fact that the poor are lazy. I grew up poor, my friends were poor and I see poor people every day. There really are several different kinds of poor people. Where I come from, people are poor because they simply have dead end factory jobs that pay $25 to $30K a year or now not even that job.

My dad worked hard every day as a Tool and Die guy and then came home every night and continued to work around the farm. He made $28K a year and then made additional income from the farm and we were poor. I know many poor people who work every day collecting scrap metal, working odd jobs and hustling to survive. They work just as hard as you and I, but are stuck in that existence and do not know how to get out. You have to have the opportunity to sometimes change this pattern and the opportunity just is not there.

As I said before, in my part of Ohio, we have been in a depression since the late 80's when the steel mills closed down. Now with the rest of the world crashing, what low paying factory jobs that did exist are now gone too. I am watching my neighbors and friends go from living on a $100K a year auto plant job to go living off unemployment and there is nothing for them to turn to. These folks don't know how to survive on nothing like the poor people that I grew up with. It's a scary time in my community.

Then as you said, I also see the poor people who sit on their front porch all day drinking beer, living on Section 8 and Welfare with multiple kids and have no desire to even attempt to get a job or make their own money. Those people are the roaches of our society.

Post: where to find the Cheapest windows

Tom CPosted
  • Real Estate Investor
  • Ohio
  • Posts 1,067
  • Votes 84

Bjarne,

Vista window company in Warren. Contractors purchase price $100 bucks or at least thats what is was 2 yrs ago.

Post: HUD is dragging their feet

Tom CPosted
  • Real Estate Investor
  • Ohio
  • Posts 1,067
  • Votes 84

Chad,

From my experince, until you close HUD is responsible for that house and any change in condition of that house from the time you made the offer to the time you close is on HUD.

This allows you to back out if someone comes in and trashes the place and still get your earnest money back. If you look over the documents closely, there is a section in there that states the conditions under where you get your earnest money back. Remember, HUD doesn't really have it, it's sitting in escrow at the agents office.

Post: Your opinion on this deal

Tom CPosted
  • Real Estate Investor
  • Ohio
  • Posts 1,067
  • Votes 84

I will give that a shot. I drove by the properties last night and they are pretty rough, although, may still be doable.. His coming back in town toward the end of month. I can not get in the homes until then.

Thanks Mike

Post: Your opinion on this deal

Tom CPosted
  • Real Estate Investor
  • Ohio
  • Posts 1,067
  • Votes 84

Thanks Guys,

What would be a typical owner finiance situtation on something like this? Terms and conditions?