All Forum Posts by: Trevor Burns

When it comes to structural issues in any investment but especially a flip you need to commit at the very beginning to do what is needed to fix it right as you are fully liable for it. If it is not fixed properly it will be noticed in the inspection and risk the entire sale of the property. Try to hide it/fail to disclose it and you risk a future lawsuit. You should try to get a few more quotes and maybe a better rate. Best way forward it to use that higher quote to your advantage and renegotiate based on this new unforeseen cost.

You and your partner need to take a few minutes to listen to podcast # 109 "You will get Sued" and I am convinced your decision making process will be pretty clear.

Obviously reference your state and local laws but I can't imagine it to be an issue. It is a strategy used by many agents. This topic is well discussed in J Scotts book "The Book on Flipping Houses"

WELCOME. This site is amazing. Do you make it up to Fairbanks?

In my experience estimates are free as this is how contractors derive their business. On the other hand a good inspection is always going to cost you as it is a service being performed for you. Depending on the level of damage you may be better off not going with a remediation company and rather a General contractor. Remediation companies are great if it is your intention to salvage the majority of the interior surfaces but their services come at a price. If new paint and flooring throughout is on the list for the rehab save your money. Hire a GC to complete the remodel and ensure the HVAC gets thoroughly cleaned.

It's a flip, so start with the numbers, and as with any property get a thorough home inspection. In this case I would suggest asking for the inspection prior to your offer. Your home inspection is one of the biggest bargaining chips you will ever have when talking to home owners. It provides a professional unbiased third party look at the the real issues effecting the property. On the last house I did I negotiated a 40k reduction on a 135k home based solely on issues detailed in my home inspection. Smoke touches everything so plan for new flooring and paint everywhere. Is there electrical damage? If so, plan for the worst and get an electrician on site for an actual estimate. Fire can travel behind walls if this is a concern ask that they open them for further inspection. If the numbers work go for it. If the numbers aren't lining up but you can show evidence for why another number is better make an offer.

The biggest question is in ensuring the numbers work just like any other property