All Forum Posts by: Uchenna Egwuonwu

 Yeah I got a little lucky with this one. It's in Tower Grove South and should do pretty well.

@Dan Hillebrandt

It’s in St. Louis. The St. Charles area is popular too though

I joined a couple local St. Louis ones. I'm also hiring all the work out.

Pictures Here

SFR Fix/Flip

Purchase price: $120,000

I'm currently in the middle of my first fix/flip deal with none of my own money in it. I found a property that I purchased for 120k and needs about 40k in repairs. It was appraised for 170k in "as-is" condition and given a 243k ARV.

What made you interested in investing in this type of deal?

After running rough numbers, I was pretty sure it was a good deal, but not certain. My first thought was to wholesale it. I called my mentor, Jack, who saw the pictures and confirmed to me that it was worth getting under contract immediately and trying to rehab myself. He was willing to be my partner/coach through the deal.

Also interestingly enough, the first real estate book that I read was "The Book on Investing in Real Estate with No (and Low) Money Down"

How did you find this deal and how did you negotiate it?

After a short stint in cold calling, I realized it wasn't my natural ability. So instead, I joined Facebook groups and watched for deals. I came across this deal from a wholesaler before anyone else did. I was advised to offer $5,000 below asking, in which they agreed to. I got it under contract that same day.

How did you finance this deal?

When I first came across the property, I made around $11,000 a year between being a full time college student who also plays on the football team. I didn't have much.

I did have good credit, so with that I was able to use a company that finds you credit cards and applies to them for you. I received about 32k. Each card has a 12-18 month interest free grace period. After paying for closing, I’ve used my remaining credit to fund the repairs, which will be reimbursed through draws by the lender.

How did you add value to the deal?

Most of the work is cosmetic. We've planned to remodel the kitchen, add new flooring throughout, do some drywall work, and a lot of plaster work along with some other things.

What was the outcome?

I'm still in the early stages, but expect to have the property on the market by February.

Lessons learned? Challenges?

I learned that communication is key. I explained to the wholesaler that I intended to buy the property, but had trouble finding a lender. It ended up going from a 30 day close to about 60. He was very understanding and got a contract extension between him and the seller to allow me time to find financing.

@Mack Bailey

You just have to get a little creative. I make around $11,000 a year as a full time college student who also plays on the football team.

I found a property that was purchased for 120k, needs 40k in repairs tops, and was appraised for 170k "as-is" and given a 243k ARV.

The hard money lender only required 10% down for the purchase and offered 100% for the construction costs. With all closing costs considered I’d have to come up with 21k.

I have good credit, so with that I was able to use a company that finds you credit cards and applies to them for you. I received about 32k. After paying for closing, I’ve used my remaining credit to fund the repairs, which will be reimbursed through draws by the lender.

While using next to zero of my own money, I’m on track to make a killing with my first property.

The bottom line is if you find a good enough deal, you will find the money as well.

My question is whether or not I can get a HELOC on the equity of a rental that I should close on in mid-January. 2 of the 4 units need repairs to be rented out. The house will be attained via a subject-to contract. There is a mortgage still in place. I'd like to use the ~54% equity to make those repairs. Is this possible?

I’m working a deal in which the owner will agree to sell her property, a 4plex, on the terms that she‘all receive ‘x’ amount of dollars over ‘x’ amount of time. She has made it apparent that she is not interested in a lump sum amount, and would rather have payments made. 

The building has 4 units, each a 1/1 with the possibility of adding a second room to each. 2/4 units are currently occupied at $450 a month, while the market rate is $500-550.  Her monthly payment is just under 500. ~29k remaining on her mortgage balance. I estimate that repairs for both of the unoccupied units will be anywhere from 20-30k. 

What would reasonable terms for a seller finance deal be?

Hello everyone! Through research on BP and listening to podcasts, I've finally found the confidence to pick up my first flip. I am partnering with an experienced investor that will coach my through the deal. He is also a broker and suggested that I use his brokerage to charge the closing costs and essentially get the money back in cash.

My question is, what other ways can I get this money into a bank account so that I can bring a cashiers check to closing? I'm expecting 22K total that I will need from a total of 40k in credit cards. From my understanding I can do one of a few things:

-Charge the total of 22k through my broker which will include the 3% convenience fee, costing me $660

-Buy $500 visa gift cards w/ 5.95 fee each, and depositing to my account costing me $261.80 (a lot of work)

-Get credit card convenience checks, which may or may not be charged as a cash advance.

Can anybody recommend an approach for me?