All Forum Posts by: Alfonso Velazquez

awesome job buddy, was this your first flip? Either way great job 

would have been great if it were real, we could run the numbers on our perspective matches. See if they fit out life arv, see we can go on a date at 65% of the cost. Something to look into right. Haha

my agent is a buyers agent. However I think I should look into if it is there brokerage holding the property. . I never thought to look into that. 

hey guys. 

I checked out a house that is in shortsale, i worked the numbers and found a point on which i believe it would be profitable to me. However i felt as a first flip it maybe a lot of work to take on. So i told the agent that its a lot of work and threw her a really low ball offer of 115k. She responded with lets see what happens. Now heres where my newbie self needs help in understanding.

She asked me to sign the binder which i understand. 

Then she ask me to sign a sheet that states i would put down 20% at the signing of the contract if the banks accept your offer. I asked if it were earnest money and if so i'll cut her a check for 1000 while i get my inspection and contractors bids. Her broker than sent me an email saying i should at least put 10% down if the offer gets accepted. 

My question is that the norm request 20% as earnest money especially since the it would be paid for in full at closing with the funding i would receive.

Thanks in advance  

awesome. Simply awesome. Stories like this is what keeps me trying. It so easy to het caught up in the, real estate is dead or theres nothing left crowd. I'll use this story and the others like this to drown out the neigh sayers. Thanks.

I apologize for the typos....

You see a house you like it. It fits your numbers. Now what?

what is your next step?

what order do you take?

what would be your reasons from walking away from a contract?

what contingencies do you place in the contract so as to make it simple to walk away?

I ask cause I'm a newbie yes, but I'm trying to find the common bond between successful investors, whether it be a flip or a hold or flip that turned out to be a hold. Often times you find a common thread between all those that are successful and that helps me and other newbies to understand habits that we should incorporate into our own practices. so if you dont mind please respond i believe it would help not only the newbies but the experienced as well.

thanks 

alfonso

Thanks for the tips. Yea I think the mother is either no longer with it or with us. It looks as though the daughter is in charge of the property now. Like I said earlier her sisters still live on the block one across the street from the house the other next door. So it seems to me like she wants to hit a home run and bank out. I'm going to wait the 30 days see if she realize that shes out of reasonable pricing range. Thanks again 

hey guys,

   I found a property in a great neighborhood which should see some up swing in the next year and a half, due to some gentrification going on. 

   The house is a shortsale going for 299,900 and looks to need about 20k of work judging from the photos I've seen. However I'll find out more about repairs tonight.

   Houses in that area price range broadly from 300k to 750k on the same block, so I'm thinking arv would be roughly 315k judging by similar homes. Now going under a 65% rule I 204,750 - 25k estimate - 8% closing and holding cost. Offer price price would be 153,928. Has any body work with a situation like this before? Does it seem plausible? 

Thanks 

Absolutely, thanks for the tips.