All Forum Posts by: Tim Wilkinson

Hello all!

I'm asking a question for my father, who is 70, and lives in SC. He owned a house in FL that used to be his primary residence, but he rented it out for last 10 years. While he rented the house out in FL, he was a renter in an apartment complex in Anderson, SC. He sold the FL house and profited a little (20K-ish).

Here is my question:

If he was not a primary homeowner, but owned an investment property, and sold it. Does he have to pay capital gains on the 20K if he purchases a primary residence with the proceeds? It seems there would be an argument for him not gaining wealth here. He literally has to put the profits towards his new purchase which will be owner occupied. 

I'm grateful to anyone who knows info that could help me help him. 

I am everything I am today because of this man. 

Thanks!

@Ben Staples Richard Cella is very experienced, won't break the bank, and super easy to work with. 

I can PM his info

@Deren Huang you saying I should pay for my own?its possible. I think I can get it for about $400

@Joe Gutmann there are too many good points in there to count. 

The second agent came up with it on her own. She is from A Waldorf brokerage and so is the first and third. It's the County seat. 

I really think I've interviewed enough agents. I agree things are easier with one agent. Also, I ha e to get back to MA and my wife when I'm done with the rehab, so I really need to know they're working it. 

Originally posted by @Michael P.:

Some might disagree but IMO listing agents do nothing other than put the on MLS. I am a Broker so take it for what's it worth.

I would tell the second agent to bring her Original Listing Prices compared to Sales Price comparison.  She might promise the moon and delivery Hell.  I'd also want to know her DOM average.

You might run into owning the house for an extra 3-4 months as you priced too high, listing got stale, you had additional carrying and upkeep costs and end up netting less than the 299k you could have gotten in 1 week on market.  

I would honor the deceased wishes and use Agent #1 personally, or hire a discount broker who will list for 1% or a flat fee.

Goodluck...

I do not have listing versus actual, but DOM were good. However, inventory is historically low here. Many of the comps are old and they were homes that had updated kitchen and bath, but basic finishes for trim, doors, and floors. 

This home will have hard wood, granite, new roof, deck, new kitchens, baths, windows and 3/4 acre of new grass and shrubs. They weren't comparable. I want to push the limits this close to DC. 

@Deren Huang It is possible she will reevealuate after the remodel. My question is: will they only give their best if it's an exclusive agency?

I am improving a 1986 Rambler in Southern MD that was left to my father in law after his fathers death recently. I have interviewed three agents recently and all had good stats. However, one was recommended by the deceased in a letter to his son written 4 yrs prior to his death at 101. I met the latter first to honor his wishes. She's been super helpful and showed me comps that said we could list at $299k. She lives on the same street and stops in once in awhile and even recommended me a roofer that saved me a couple grand. She is what I would call a simple, country girl and I wasn't sure she understood the finishes. Or maybe she knew the market didn't care. She recommended engineered hardwoods, and I thought they were for basements. You can't refinish them and when they float them they look fake to me. I'm an ex-GC, though and may be biased. Second was a real fire cracker closing 125 deals last year and said she would list at $325k. She seemed to totally get my finishes and thought the market would reward me for it. Third was a pair of women that were super nice, but basically said that I'd never get 325 in that market. Note, this subdivision in La Plata, MD, with great schools and commuter distance from D.C. In this subdivision, nothing has sold for several years and it's all 2+ acre lots. My questions: Can I somehow hire one and two? Should I or disregard the third? I really want to give the first the chance, but we aren't interested in moving fast as much as maximum value. Not sure she's patient enough.

So after about two years of Massachusetts deal searching part-time with minor success in wholesaling, losing consideration and lots of time on a Middleton condo conversion (could not capitalize), I have the opportunity to do my first flip.....in Maryland. The1986 rambler is 30 miles southeast of D.C. ON 2.5 acres. The property is 1488 sf with a detached garage. 3 beds/2 full baths. ARV is $300k based on comps currently, but in 6 weeks a new BPO will be done after a few more sales and it could make entry at 309,900. Rehab is kitchen remodel including adding a window, both baths, hardwood throughout common areas, trim package, new roof, and expanded deck. Even though I've performed condo conversions for a broker in Weston as an employee/Construction Supervisor and done many interior and exterior rehabs as GC, I really needed an actual flip with a short timeline to prove my value to equity partners. Friends and family thought I should have quit a long time ago on my dream to make money in real estate. I kept myself afloat finishing basements and whatever I could to survive. Persistence pays off.

Clarity on deck: House is 58' long and deck is 12'x12'. I want to expand deck to be 28' x 12'.

Hello all:

I a from Greater Boston. I am accustomed to certain things being sort of the "gold standard". However, I also understand that, in other regions, applying that same standard can quickly turn a deal upside down. 

There's been a death in my wife's family, and the family is inheriting a rambler (brick front Ranch) in a great, small desirable neighborhood in La Plata, MD. It is 1500 sf w/attached one car garage and 2.5 acres.

The BPO I've received wants to list at $200/sf, but the one sale that was $223/sf was not finished as nicely as this will be. Is she pricing to move despite our desire to maximize ROI? She's a nice lady, and very helpful, but we have 6 months the property MUST stay in probate by law, so we would prefer maximizing ROI, as long as rehab and sale doesn't exceed 6 months. This is a 4-5 week project.

Recent sales in the area range from $150-$220/ sf, but only one was above $200/sf. I need to be very careful not to apply Ma standards to a rural area in So. MD. This town does have commuters to D.C., but it's exurban, and it's a 80-90 minute commute.

1) Will it pay for me to do things like hardwood throughout? 

2) conflicting advice on expanding deck (agent says yes, flipper in neighborhood says no.) my gut says yes.

3) Need to reconfigure kitchen( 70 sf) : my gut says remove water heater from closet pantry and install an on-demand heater in same space and add cabinetry and a fridge alcove. Realtor said on-demand too expensive. I say only $300-400 more and worth it for space. Also, if folks are not used to them, maybe it will make the home stand out more...

Interested in any thoughts from people with experience in this type of market. 

Please keep on subject of finishes, design, expectations and ROI. I'm not ready to talk about the deal or deal structure in this forum.

Thank you all in advance.