Hey everyone can anyone give me some advice as to how I can structure this deal?
I’m thinking of selling a rehab flip with the architectural plans and an option to build with us how would I price this out?
Has anyone done this before?
I’ve seen land for sale with plans but not a rehab with plans any input would help
thanks
Hi @Brian O.
I don’t quite understand, do you have the house already? It sounds like you have some architectural drawings for a rehab that could be done on the house, is that correct? And now you are wondering if you should do the rehab that you already have plans for or if you should sell the house without doing the rehab but include the plans in the sale of the house?
Hi @Brian O.
I don’t quite understand, do you have the house already? It sounds like you have some architectural drawings for a rehab that could be done on the house, is that correct? And now you are wondering if you should do the rehab that you already have plans for or if you should sell the house without doing the rehab but include the plans in the sale of the house?
Feel like the people that want a flip don't want to wait or spend deal with a big project like this. They're paying a premium for the finished product, move in ready.
The people that want to do the flips themselves probably have their own vision for the project and likely don't value the plans too much.
Doubt it'd hurt anything, but highly doubtful you'd see much return on the money spent to get them.
Feel like the people that want a flip don't want to wait or spend deal with a big project like this. They're paying a premium for the finished product, move in ready.
The people that want to do the flips themselves probably have their own vision for the project and likely don't value the plans too much.
Doubt it'd hurt anything, but highly doubtful you'd see much return on the money spent to get them
Yes I feel it that’s what I was thinking but given the housing shortage in the Bay Area people are doing things out of the ordinary. I was just trying to see if anyone has creatively been able to do a deal like this. Thank you for your input I take everyone’s input and criticism seriously no matter if it’s from an experience investor or beginning investor shoot even a 12-year-old kid I can take advice from I’m always learning!
Feel like the people that want a flip don't want to wait or spend deal with a big project like this. They're paying a premium for the finished product, move in ready.
The people that want to do the flips themselves probably have their own vision for the project and likely don't value the plans too much.
Doubt it'd hurt anything, but highly doubtful you'd see much return on the money spent to get them
Yes I feel it that’s what I was thinking but given the housing shortage in the Bay Area people are doing things out of the ordinary. I was just trying to see if anyone has creatively been able to do a deal like this. Thank you for your input I take everyone’s input and criticism seriously no matter if it’s from an experience investor or beginning investor shoot even a 12-year-old kid I can take advice from I’m always learning!
All said, plans seem little value add and expose you to more risk with little upside.
Find a way to make the property easier to obtain (construction loans aren't easy to get) and faster/more streamlined delivery. Pitch that as your value add.
If you had the capability, maybe plans, permits, scope/bid from contractor, and project time line...all that bundled together might get some action... I'm seeing that a lot in market out of state. Big remodel/new build being marketed and sold before it's even done.
If you have your own plans and architectual drawings then you may come across to some GC's as a potentially overbearing client. The good GC's will have their own people and plans and would most likely not put you at the top of the list.
Why not simply keep the property, gt cash out....and rent it out.......and then use that money as a down payment for another property. That way you have your eggs in multiple baskets.
If you have your own plans and architectual drawings then you may come across to some GC's as a potentially overbearing client. The good GC's will have their own people and plans and would most likely not put you at the top of the list.
Why not simply keep the property, gt cash out....and rent it out.......and then use that money as a down payment for another property. That way you have your eggs in multiple baskets.
If you have your own plans and architectual drawings then you may come across to some GC's as a potentially overbearing client. The good GC's will have their own people and plans and would most likely not put you at the top of the list.
Why not simply keep the property, gt cash out....and rent it out.......and then use that money as a down payment for another property. That way you have your eggs in multiple baskets.
This could be good for investors that are seasoned like that but for someone like me just starting out i wouldn’t have the capital to battle with tenants like that.