All Forum Posts by: Samuel Eddinger

@Jacqueline Lynch - Let Rebecca Makas know I said hi!

@Matt Johnson - you are not alone.  I've been dropped by Progressive as well.  Some insurance companies like progressive also insure auto and other coverages so maybe with the increasing cost of RCV policies, they do not want to be so exposed?  I'd love to hear more from the community about why this is happening to places that historically do not have crazy weather events like the Northeast.

@Patricia C. - I highly recommend @Devin Peterson.  He is local to our CT market so he is very familiar with everything to get closed.

@Kim Huynh - definitely an interesting situation.  I'd suggest that they can set up auto bill pay from their bank that will send you a check each month so they don't "forget" to make their payments.  Reasonable accommodations for disabilities can come in various ways but I'd think that using the bank's bill pay would be reasonable.  Like others say, I'd continue the eviction.

DM me if you'd like to discuss this further.

@Kenny M. - You should obviously keep the whole security deposit and I would turn them over to collections.  I own a PM company in CT so it is pretty easy to send someone over to collections on my side.  We do not often get money back but it helps the next company know what they are getting themselves into.

I would not mention anything in your security deposit about forgiving their debt.  I'd demand them pay or you will be sending them to collections.  In this case, if they have good credit you may be able to get them onto a payment plan.  Worst case, they won't pay but that will definitely happen if you tell them you will forgive the amount.

You may want to talk to a PM for the future.  I don't manage that area but I know some good PM companies that might.  DM me if you would like to discuss anything additional about this.

@Kayenta Saucier - I wouldn't say it is a great deal or a bad deal.

A lot of us still try to use the following equation.

Maximum offer = ARV * 0.7 - repair costs.

In your case Maximum offer = 400k * 0.7 - 100k = 180k.  Your purchase price of 215k would be a bit higher which could cause you to lose money on the property.

We have flipped a bunch and notice that even as a broker trying to be conservative in our ARV estimate, can still sometimes be too high by 5% (worst case 10%) in some cases. If your ARV is actually 380k (you would barely make anything).

Finally, the question is how confident are you in being able to do the renovation for $100k.  When you get up there to that level of renovation, there is always unknowns that pop up.  When you are first starting out, you should probably buffer an extra 20% on top of your renovation budget to cover incidentals while you are learning the true cost of flipping.

When you do all these things (conservative estimate of ARV, additional 20% estimate on construction costs, using a conservative 0.7 multiplier in your estimate), you are unlikely to lose on your first flip (but it will be harder to find your first flip).

My partner and I are patient.  While this means that we are priced out of a lot of flips, to date we have never lost money on a flip (though we have come close even using this approach).  Our philosophy is doing fewer great flips is better than doing more flips with some losing money.

I hope this helps.  DM me if interested in discussing more.

@Jacqueline Lynch - I'd recommend to go to some meetups.

There are meetups with @Brandon Rush, @Devin Peterson, @Stephanie Cabral, @Ryan Luby, CTREIA, CTPOA and some other ones that I'm not as familiar with.  Each is in a different part of the state.  Where are you looking to invest?

I'd be happy to discuss more with you about real estate investing.  I am an investor, flipper, and property management company owner so I have a lot of experience.  DM me if interested.

 I'm a CT based investor, flipper, and property management company owner.  There are three parts to any transaction; finding the deal, finding the money, operating the deal.  If you are only looking to be the person to flip the deal then you need to find someone willing to find the deal and someone to find the money.

A HELOC could be good if you have the equity. Alternatively, you should start contacting private money lenders and/or hard money lenders so that when you find the deal, you are ready to go with acquiring the money.

Which of the two (finding the deal or finding the money) is harder for you right now?  DM me if you are interested in discussing more.

 Congrats!

@Michael Nelson - I'd recommend you speak with @Devin Peterson