All Forum Posts by: Tim Jones

Off the market. 

I'm looking for feedback on if this approach is a good idea, or a bad/unethical/shady idea.

A tri plex goes on the MLS on Friday. I walk it Saturday. Offers are due Sunday. The owner makes the decision on Monday. They had specific showing windows, so I believe the potential buyers are limited. Currently I do not have the funds, however, I'm confident that with more time I could get the cash together or find a buyer to assign the contract to. I just need to get it under contract. I also have a lender that will give me a lender letter to go along with my offer. Is it wrong to submit an offer even though at this time I cannot complete the deal, believing that I can make something happen once I'm under contract? Part of me feels like it's shady, the other part feels like you have to get creative and make stuff happen.

Hello. I'm testing the waters for a wholesale/partner deal.  I do not currently have it under contract, but the deadline is tonight, and they are making a decision tomorrow.  I walked all of the units yesterday and I know what the other offers currently are. I don't have enough cash to do the deal myself, but would be interested in wholesaling or partnering. ie I will handle all of the on-the-ground logistics if someone comes with the cash.

Brick triplex just outside of Denver. Fully leased, all with month to month, so easy opportunity to get it rented properly as the current rents are low. One 3 bedroom unit, and two 2 bedroom units. Two of the units are rent-able, the third needs a full rehab, but the current tenant has been there for 6 years and lives like a slob. No HOA. Property taxes are $1400. Owner pays water, gas is submetered.

Purchase Price: $295,000 (other highest offer is $285k)

Closing Costs: $20,650 (estimated and buyer pays all)

Rehab Costs: $10,000 (estimated)

Estimated Income: $3,200 - 3,485 (Unit 1: $1295, Unit 2: $1195, Unit 3: $995)

Current Income: $2,100

Hello. Could you suggest a good course in Denver for getting a Real Estate license? There are obviously a lot of choices out there. I work a mon-friday day job, so I am available on nights and weekends. Also, as a general discussion topic, would you suggest that I get my license or just work/partner with an established agent in my area? (familiar with investment deals of course)

Great advice. Thanks, @Micki M.

@Terrence EvansIt depends on the deal I think. Some of the props have been listed before,  so there are already pics and info available. Perhaps you've even done a walk through. You could also go by the property and someone might actually let you in as well. I know that once you have a relationship with a HM lender it's significantly easier to make it happen. Also depends on the deal that you get. Say you win a bid on a property for 115k with 50k projected rehab costs, but the comps come in at 280k. In that case you would be well within the constraints of a HM loan. Obviously I haven't done a deal like that myself, but that information is coming from my brothers who have completed a transaction like that before. 

Gosh I love BP. Thanks for all the responses!

@Terrence Evans  Not a dumb question. My brothers recently used a HM loan to close on a cash bid deal through homesearch.com so I know it can be done. 

I have seen properties on Homepath and Homesearch that I would like to bid on. Can someone suggest lenders in the Denver area that I could contact to get pre-qualified for financing on a property? Any suggestions on how to go about that process? Do most people come in with cash or hard money and then refinance out of it later? I assume financing should be in place before bidding on a property because if I win a bid, but can't finance the deal I will lose out on my earnest money. Any suggestions would be helpful, or just a nudge in the right direction. 

@Dan Mackin That's a great suggestion. So you are thinking that there might be some SFR out there that have a monther-in-law suite or something? Would those show up on MF listings or as a regular house? Probably just a regular house. I recently visited my brother in Tucson and we drove through a neighborhood where every house had an extra little dwelling in back. Pretty cool.

Thanks for the quick responses gents. The explanations certainly make sense. I'm definitely not dead set on those areas, but I was curious why there was nothing there. What are your thoughts on a MF owner occupied in general? I'm single with no kids, so I have the flexibility to move. I also work as a PM in construction so a rehab effort is in my wheelhouse. It seems like there are some pretty good benefits on the procurement side if you go owner occupied such as being able to bid before investors, qualifying for FHA loans. and using the rents as income on the qualification. Are there other strategies you would suggest that help on the procurement side?