All Forum Posts by: Arthur Lyons
Arthur Lyons has started 6 posts and replied 34 times.
Post: What should be included in a contractors contract?

- Wholesaler
- Philadelphia, PA
- Posts 35
- Votes 20
What should be included in a contractors contract?
Post: What should be included in a contractors contract?

- Wholesaler
- Philadelphia, PA
- Posts 35
- Votes 20
What should be included in a contractors contract?
Post: Buying from online auction site HUBZU

- Wholesaler
- Philadelphia, PA
- Posts 35
- Votes 20
Post: Buying from online auction site HUBZU

- Wholesaler
- Philadelphia, PA
- Posts 35
- Votes 20
Post: Any Appreciation Investors Out There?

- Wholesaler
- Philadelphia, PA
- Posts 35
- Votes 20
Post: Duplex purchase but seller will not let me see other side

- Wholesaler
- Philadelphia, PA
- Posts 35
- Votes 20
Post: How to get the Private Money thing going. (Investor Packet?)

- Wholesaler
- Philadelphia, PA
- Posts 35
- Votes 20
I use 2 maybe 3 pieces of paper. #1. a promissory note: This would be used if the money you are receiving is being set up as a loan. It states the terms of the agreement. loan amount, points if any, Interest rate. I typically shoot for 1 point and 8% interest paid over the course of 6 months to a year. #2 a Profit split agreement. Because I pay 8% and sometimes 6% I will offer a profit split on top of the interest IF the investor is putting up most of the money. If they are giving me 100% of the money needed for the deal I sweeten the pot with a share of the profits. *Sometimes I only use form number 1 or number 2 but not both. 3. To give them a sense of security you can also make them a lien holder on the house you are purchasing so they know their investment is backed by real estate. LASTLY BONUS ADVICE: Add them to your life insurance policy for the life of the project for the dollar amount that they have invested. IF anything happens to you they will be covered and your family doesn't have to worry about messy paperwork. In the words of Lavar Burton from reading rainbow "but you don't have to take my word for it" consult a lawyer.
Post: Numbers look good, gut still feels wrong

- Wholesaler
- Philadelphia, PA
- Posts 35
- Votes 20
IF inspection is good, and numbers are good, and you have a rental close by that is doing well and good tenants in place I have no clue why you don't want it. Pass the deal my way sounds like a good one, Ill buy it haha
Post: Numbers look good, gut still feels wrong

- Wholesaler
- Philadelphia, PA
- Posts 35
- Votes 20
Soooo when you say "decent" area what does that mean? Is your gut telling you that the area is more on the side of questionable? Will the area be decreasing in value soon? Even if it does it sounds like you are cashflowing and you should be safe. Are you a new investor? Maybe you are just nervous? Is the seller willing to sell so cheap because of liens? Did you have an inspection to ensure there aren't any hidden foundation, roof, or other issues? Are all the major mechanicals good? If all that checks out Im not sure what your gut is telling you. Im normally a follow my gut kind of person so maybe wholesale this deal and then find one that you like. Not really sure if that helped. Most times I say if the numbers work in an area you like go with it.
Post: Should I open a Business bank account when flipping?

- Wholesaler
- Philadelphia, PA
- Posts 35
- Votes 20