All Forum Posts by: Anthony Jenkins

I haven't come across this problem yet.  I've talked to a few investor with more experience than myself that have said most buyers will what the tank removed and a soil test done before agreeing to purchase the home.  I don't want to be too negative but the price they said to remove the tank and test the soil was more than $2500.  This is one of those major items to double check for when calculating repairs and making an offer.  Good Luck.

Yes, @William C. that's the Greater Philadelphia REIA that I mentioned before. The next meeting will be the first Thursday in February. There will be a guest speaker by the name of Scott Myers. He will speak about how to profit from storage facilities in real estate. Visit the GPREIA website and register for a free guest pass and location/time information. Hope to see you there.

What motivates private lenders is their rate of return on the deal. I think that 8-10% is a great deal for them. Stocks and IRA's and other investment capital do not offer that much rate of return. A mentor of my suggest offering at least 6 months interest even if you flip the house in 4 months. Just one more incentive for a lender to lend. As a partner they take on all the risk. For instance, if things do not go as planned and the profit is lower than expected. That will affect their rate of return. As a private lender they get their interest no matter the profit.

Great article that is what makes or breaks your profit.  I calculate all that info in a spreadsheet before submitting an offer.

Hey @Joshua Dorkin that is a great article.  The best thing I took from it was to test the basic info or technique the guru shows you before buying the upsell.  All investor do things their own way.  Just because one way works for one person doesn't necessarily mean that way will work for you. 

Her being a partner and private lender are two different things.  As a partner her responsibility would be to fund the deal.  That would cover the purchase and rehab price without any interest.  As a partner she would get half the profit.  As a private lender she still would fund the purchase and rehab price but with interest and none of the profit.  You do better of with her as a private lender.  Half the profit with her still doing the same amount of work (funding the deal) is a lot.  As a partner she takes on risk as a lender she doesn't.

Hard money should be your last resort.  Hard money lenders charge interests, points, fees and don't even pay the full purchase or rehab costs.  I would say the best way to finance a flip without your own money is through private lenders.  Private lenders fund 100% of the deal, don't charge points and fees only interest.  Another way would be to find a partner.  Have your partner fund the deal however, your partner will get half of the profit.  If you have too much of a hard time finding funding they just wholesale the deal to someone who does have funding.

I would only visit the property once a week every time you pay your contractor.  You should visit the property to verify the work the contractor says they have completed.

Ok thanks, I've been hesitate to put up bandit signs.

Learn as much about wholesaling as possible. Attend local REIA events and network with other investors. Ask cash buyers exactly what type of properties and in what areas are they looking for deals. Find a local mentor that can help guide you the right way. More importantly marketing. Flyers, business cards and etc. You must advertise.