Rehabbing & House Flipping

User Stats

10
Posts
5
Votes
Ross Smith
  • Real Estate Agent
  • Conroe, TX
5
Votes |
10
Posts

Anyone used Curbio to flip?!

Ross Smith
  • Real Estate Agent
  • Conroe, TX
Posted Feb 13 2019, 13:16

Has anyone considered using a company like Curbio to flip houses? Curious if anyone has researched this before.

https://www.curbio.com/

User Stats

1,731
Posts
1,262
Votes
Eric M.
  • Flipper/Rehabber
  • Louisville, KY
1,262
Votes |
1,731
Posts
Eric M.
  • Flipper/Rehabber
  • Louisville, KY
Replied Feb 13 2019, 15:03

Kind of an interesting concept. I have thought about if there was a way to make money partnering with homeowners who want to renovate before selling but don't have the cash.

Definitely seems to be aimed at homeowners not investors. But they are very cagey about how they make money. Are they taking a cut of the increase in sales price or are they just marking up their renovation services and charging for those? Are they just a remodeling company with a different sales model?

User Stats

3
Posts
1
Votes
Replied Feb 15 2019, 02:10

No, I never used it.

User Stats

69
Posts
17
Votes
Evan Jarvis
  • Specialist
  • Fredericksburg, VA
17
Votes |
69
Posts
Evan Jarvis
  • Specialist
  • Fredericksburg, VA
Replied Mar 15 2019, 20:58

From what I understand, Curbio completes projects and offers 100% financing until closing.  I've heard they tend to be pricier than their competitors, but have shorter timelines due to the way they do project management.

It might make sense if paying a premium for faster project completion fits into your business model.

User Stats

1
Posts
0
Votes
Replied Nov 7 2019, 09:26

Evan Jarvis - who are Curbio's competitors?  I only just heard about Curbio.

User Stats

1
Posts
0
Votes
Replied Nov 14 2019, 15:46

curbio also mentioned if the property doesn't sell , the selling price will be reduced by %2 every month.  What happens few months later property got an offer and I want to accept but pay the rehab to curbio but it isn't enough commission for buyer and seller side.  Who makes the desicion which offer to accept.  Is it the listing agent or curbio has the option as well ? I am looking to buy properties for a flip and would like to use them . I want to know detail if it would be good investment for them to work on it so I dont have to worry about scam contractors in miami . Thank you 

User Stats

1
Posts
4
Votes
Replied Feb 9 2020, 14:28

I'm CEO of Curbio. Just to clear up some questions: We do pre-sale renovation and get paid at closing. We work with investors but will not do properties with a hard money loan on them. The realtor retains complete control over which offer to accept. We recently changed our 2% per month price reduction requirement to something much more flexible. Ultimately we are all on the same team - trying to get a home sold for the best possible price. We get paid for the renovation work. You'll have to determine how our prices compare but as one data point we do a complete gut/redo of a 7x5 bathroom for $12,500 and a complete kitchen for $24k.

User Stats

6
Posts
3
Votes
Adam LeZotte
  • Boca Raton, FL
3
Votes |
6
Posts
Adam LeZotte
  • Boca Raton, FL
Replied Apr 10 2020, 12:25

Rick, 

What advantages would a home flipper have to using Curbio? Are projects really completed 60% faster than hiring another gc?

Im a realtor and market Curbio as part of my listing presentation. An estate tied up in probate is a great candidate for presale renovations but they decline Curbio‘s offer and elect to sell as-is . . . Can I take Curbio a proposal use that to market to an investor to purchase the home and how easy would it be to I guess “transfer” all the work we started with the proposal to the current home owner over to the cash buyer? Can the investor really hit the ground running with reno plans already in place as soon as the deals closed and investor takes control of the property? 

There are plenty of investors that utilizes hard money loans. Having a reno plan already in place and knowing how fast Curbio can get that house on the market that investor wants to use Curbio. Can they pay like they would any other gc instead of at closing?  

User Stats

1
Posts
0
Votes
Robert S.
  • Specialist
  • Los Angeles
0
Votes |
1
Posts
Robert S.
  • Specialist
  • Los Angeles
Replied Apr 21 2020, 13:42

Adam: I am unaffiliated with Curbio, but very familiar with them, as our company, Purgula, has written about their offerings to help educate homeowners and agents.

Regarding how fast they are, I would ask how long their typical engagement is by budget size. Unlike, an independent GC, who undertakes a broader array of projects, Curbio’s project experience will be more uniform and consistent over time (e.g. focusing on a core set of projects, with similarly attractive traits: impactful; reduced complexity; reliable sourcing; etc.).

The "as-is" investor approach that you describe should work, as you would have all of the criteria necessary to be deemed a "qualified-prospect" for Curbio, e.g.: sufficient equity to cover a min $15K budget and ample up-side potential to deliver a sufficient positive ROI. Curbio would just need to do their standard vetting of the property and opportunity (e.g. virtual tour, data analysis, realtor input).

Your question about simply paying Curbio, like any other GC, is a good one! Clearly the big push-back from Curbio would be their need to maintain similar decision-making control on the improvements. However, today, homeowners are allowed to execute a buy-out clause that simply pays the full amount of the upgrades done by Curbio. Though good for homeowners, Curbio should include a minimum listing period, so that Homeowners don’t game the system to get quick & affordable renovations (e.g. listing without intending to sell, and quickly executing the buy-out). Agents would unfairly lose out if this scenario became popular.

In due time, I could see this happening for NON-pre-sale renovations, e.g.:

• Curbio develops a strong reputation for quality and efficiency

• Homeowners are attracted to Curbio’s ability to get things done efficiently, reliably and cost-effectively (no nightmare renos that go on forever)

• Curbio continues to enlist realtors as strategic sales partners, by devising a referral commission program for them, to mitigate channel conflict

• Curbio maintains sufficient decision-making control (e.g. project types; material & appliance options)

• Homeowners are given sufficient preference choices within strict guidelines (e.g. color palettes; good-better-best options materials)

But I suspect one of these two growth scenarios for Curbio might happen beforehand:

• Expand current offerings to owners of rental properties

• License technical infrastructure and processes to qualified contractors

User Stats

1
Posts
1
Votes
Replied Apr 29 2021, 23:32

I'm convinced I want to work with Curbio! How do I start? Let me get to searching. 

User Stats

1
Posts
2
Votes
Replied May 14 2021, 13:12

I am one of the first LA based agents to use Curbio- my client in Sherman Oaks is in the middle of a rehab. It started out great of course until you sign the contract. Its been over 3 months since they supposedly sent in the plans for approval with the City of LA and we have yet to even SEE the plans they submitted. They are doing other construction stuff around the house that does not need permits and the quality of work is lacking in some areas. Also, they have limited and low quality products that you choose from for materials such as flooring  bathtubs, and lighting, etc. Hoping that things get better but so far I would not recommend them. 

User Stats

1
Posts
0
Votes
Replied May 19 2021, 08:01

I’ve used and I must say I regret it 100%!! I would not recommend. Find a good GC

User Stats

66
Posts
49
Votes
Nina Grayson
  • Real Estate Agent
  • Los Angeles, CA
49
Votes |
66
Posts
Nina Grayson
  • Real Estate Agent
  • Los Angeles, CA
Replied Jul 22 2021, 13:11

I just finished a project with Curbio and what could have been done in 4 weeks took 8 weeks.  Poor communication from the PM, poor subcontractors that had to come back multiple times to fix what they didn't do correctly the first time, delays upon delays with materials deliverables.  Curbio kept emphasizing it's a small project, it's mostly paint, it can be done in 4 weeks.  

And now water damage to a downstairs condo unit due to poor installation of tub spouts.  Fortunately, that's covered by the 1 year limited warranty.  But why use the same subcontractor to fix the problem, when they kept doing pooer work that delayed the project in the first place?

But the worse part is how they disrespected my client when she asked for a credit for all the problems before the warranty issue.  

I was going to use Curbio for my own flips and in my Listing Presentation.  The disrespect of my client was the last straw.

I'm going to give Revive a try. 

Has anyone heard of Revive or worked with them?

User Stats

15,636
Posts
10,691
Votes
Will Barnard#1 California Real Estate Q&A Discussion Forum Contributor
  • Developer
  • Santa Clarita, CA
10,691
Votes |
15,636
Posts
Will Barnard#1 California Real Estate Q&A Discussion Forum Contributor
  • Developer
  • Santa Clarita, CA
ModeratorReplied Jul 22 2021, 17:29

Why would anyone think that this Curbio company can magically do things faster than a good GC? Case in point, several unhappy clients above. Someone who does this for a living on both the investor side AND the GC side, I can tell you that having a good contractor who knows what he/she is doing is almost priceless. Many things go wrong in construction, some of which are unavoidable, how the contractor handles those issues is paramount and speaks volumes to their abilities (or lack there of in the cases above).

There are no short cuts to construction or dealing with the building and safety/planning departments in cities, they are slower than turtles in almost all cases. As to the actual construction, time can be saved by ordering materials in advance and put in storage, having multiple crews going at once and having tight timelines. 

I started this process with agents many years ago, long before these Curbio companies came along. I saw a need on both the seller's end and the list agents end and went right to my RE agent contacts and let them know they can offer upgrades and repairs to would be sellers to help them win more listing agreements and then we move in and do what is necessary to obtain top sell prices for the seller/list agent. It is not rocket science but the contractor must know what they are doing and using below grade finishes will NOT do the job (at least not here in So Cal).

User Stats

66
Posts
49
Votes
Nina Grayson
  • Real Estate Agent
  • Los Angeles, CA
49
Votes |
66
Posts
Nina Grayson
  • Real Estate Agent
  • Los Angeles, CA
Replied Jul 22 2021, 17:35

@Will Barnard

Agreed, Will. However, many subcontractors are now not doing work while another subcontractor is present, so that can delay deliverable. But it is clear that this option is not ideal for flipping, especially since material choices are limited, which we discovered early-on on in the process. But the no up front cost option is great for basic updates and upgrades for a retail home seller. It’s too bad their service fell way too short of quality on all levels.

User Stats

15,636
Posts
10,691
Votes
Will Barnard#1 California Real Estate Q&A Discussion Forum Contributor
  • Developer
  • Santa Clarita, CA
10,691
Votes |
15,636
Posts
Will Barnard#1 California Real Estate Q&A Discussion Forum Contributor
  • Developer
  • Santa Clarita, CA
ModeratorReplied Jul 22 2021, 17:41
Originally posted by @Nina Grayson:

@Will Barnard

Agreed, Will. However, many subcontractors are now not doing work while another subcontractor is present, so that can delay deliverable. But it is clear that this option is not ideal for flipping, especially since material choices are limited, which we discovered early-on on in the process. But the no up front cost option is great for basic updates and upgrades for a retail home seller. It’s too bad their service fell way too short of quality on all levels.

 Agreed, definitely not a fit for flippers/rehabbers. As for the home sellers, it is not always a good fit as they have to go through their home being a construction site for a period of time and sometimes the cost and inconvenience does not outweigh the added resale value. But in some cases, it certainly does. I too offered agents the ability to offer the renovations without any upfront cost to the sellers and we would get paid at closing, of course this requires some documentation that stipulates that can not back out of the listing and other protections since we would have our money tied up into their home.

User Stats

1
Posts
0
Votes
Replied Feb 12 2022, 09:19

The thread is a little old but just wanted to reply. I'm the CEO of Curbio just for transparency. We do complete projects significantly faster using technology and dedicated teams for sales, service, permits etc. Too much detail to go into here. 

I was disappointed to see the posts from unhappy customers. We pride ourselves on delivering the highest levels of service but as in any business, not all surveys will be 5 stars. That said we maintain a 4.8-star rating which we're very proud of. Call us if you want to learn more!

https://www.featuredcustomers....