All Forum Posts by: Adam Mitchell

@Bobby Esposito great job. I would start looking for a better source of funds now. I think you can do better. At the same time you are looking for financing you can either try to refi and take money out to buy another, find an owner finance deal with favorable terms or look at a subject property.

Keep learning if all the above is not common language to you yet.

@Thad Frame I have 4 notes from your analysis:

1) double check the monthly rental amount

2) are you sure about repairs needed?

3) itemize your expenses bc you may find out the 50% rule is not accurate for your area.

4) make sure you account for a Third party property manager (this will minimize your issues with non-payment and other tenant issues)

I would double check those figures to make sure they are accurate. If you check those things and the numbers are still in line I would pull the trigger.

@Mark Anthony Alvear Jr are you sure he is the owner? If your not sure cross reference his name with the county appraisal site. If you are talking to the seller I would try to get in touch with them a couple more times and if no response just move on and keep looking.

Remember this is a numbers game and if you get hung up chasing one seller you are not spending time looking for others.

@Greg Heroy there is nothing wrong with starting with a flip but be prepared and have your mindset prepared for stress. I personally love flipping houses but they are stressful. You HAVE TO learn to expect and plan for the worst case every time and you will probably lose money on the first thing.

GUT CHECK

However after you complete your first flip you will wither fall in love with real estate investing or never do it again. You need to learn whats really inside you heart regarding this question. The way to make money flipping is to 1) Do one 2) Figure out how to get better on the second 3) Do another 4) figure out how to get better 5) do another....you get the point. If you stop at one because you didn’t make money you have no chance.

So if you are going to start flipping plan on doing several so you can become good at it.

Im fired up for you right now! Good luck and if you have any questions let me know.

@Geoffrey Giannone welcome. If you want to own rental properties start looking at many at least on paper to get familiar with areas. I personally like rentals in middle class areas of DFW because they are very stable. I have one in Arlington, Fort Worth and Allen currently and they are performing well. If you have any questions let me know.

@Matt Hatton 1st wholesaling is legal and a good way to start but agree with most of the comments that you need to be upfront with your potential sellers. If they are distressed all they care about is getting rid of a house. If you explain that you are partnering with another investor by assigning it to them, you wont have an issue. We do both here...sometimes we close on properties ourselves to rehab and sometimes we assign to other investors. Just be transparent and upfront and you won’t have any issues.

To address your question about going back in time...focus 99% of your time and efforts on marketing. I would pick one marketing method and become the expert at it in your market. Once you master the first marketing method, stack another one on.

@John Corum find out who the investors are in the area who pay cash and ask them what they are looking for. At the end of the day you need to be finding what the cash buyer investors want. I find that deals here in Dallas go quick when they are fix and flip and really slow when its a rental play. So we focus on fix and flips deals.

@Jonathan Toruno in a case like this the house will have a very limited buyers pool so I would reach out to a couple of buyers and get their opinion before you try to get the house under contract. If you don’t have interest from a buyer I would pass and look for deals with bigger buyer pools.

@Mahmoud Y. Elhalawany they do not scrub against DNC. You need to preform that step after you get the list back from REI SKIP

@Mark Anthony Alvear Jr the market in Dallas has slowed down some in terms of mls sales but wholesaling is hot. We have a lot of competition here so we are grinding it out.