All Forum Posts by: Account Closed

Difficult, but not impossible. When dealing with banks, do you let them know up front you're a serious investor and one that can justify your offer price? Getting an offer accepted also depends on how desperate the asset managers are to get properties off their books. In the Phoenix metro area, there's plenty of REOs that need to move.

Better areas would be Phoenix NorthCentral & NorthEast, Mesa North & East, Chandler, Gilbert, Tempe, and Scottsdale. On the other hand, if you can get a smokin discounted deal that fits all the numbers in a less desirable area, would you take it?

Any HML here offering more than 70% LTV on a deal would be considered an exception.

As sharp as it may be, I think it's entirely possible to find houses that would survive your razor.
I'm curious, would you be interested in trying out an MLS search engine that searches for Arizona and Colorado properties based on cash flow, cap rate, discount%, equity, etc?

Nevertheless, nothing beats having a local resource with "boots on the ground" that will do the needed leg work. I do have a list of potential properties that could work for you.

Jon, sounds like you're quite a handyman. Awesome.

It's been a busy Sunday for me. Processed a price opinion in the morning, went to church, watched the Arizona Cardinals go to the surperbowl (unbelievable), spent time with the family, and then finally crunched the research together for your property.

Here's what I can tell you:

Contractors - I know a few. If I don't have one you need, I work in an office/brokerage that has 140 Realtors. They can refer me to the good ones they've had experience with.

Property Management - the brokerage I work for has an in house property managemnt team specifically created for investors.

Hard Money - I do know a few hard money lenders, but as I'm sure you're aware, they're checking all the numbers on every deal and want to get to know the investors' track record. If the one you're working with doesn't pull the trigger, gotta find one that will.

Phoenix Metro Trends - Single family home values have fallen roughly 23% from this time last year. If (that's a big if) foreclosures continue at the current rate, it will continue to impact values, but some analysts say we're going to bottom out in the 4th quarter of 09. The Phoenix economy is still healthy and growing, but at a much lower rate than just two years ago. Construction is the primary industry feeling the crunch here, although could get a boost from federal project money in 09. People will continue to migrate here, and that will keep the Phoenix area's real estate sector kicking. Our new light rail system is adding a unique opportunity for development and rehabbing along it's corrider.

About the property you've mentioned - Your figures are pretty accurate. Average 3bd rents go for $850 here. I don't think $900 is unrealistic after repairs, but you would have to deal with a higher than average crime rate in this area of Phoenix. I'm seeing vacancy rates in this part of Phoenix hovering around 10%.
ARV - based on comps & being conservative, you should be able to get between $46k - $53k after fix up (not to good). I'd list it at $52,900 - 60 day contract. Overall, I would say it's a little risky to be flipping quicky in this unstable nieghborhood. I would not recommend much in this part of Phoenix.

However, if you're seriously interested don't let this fool you. There are plenty of great properties in the Phoenix metro area.


Jeffry, I'm thrilled you find this entertaining. Considering the fact that you're a wholesale expert, I'm betting you'll be a millionare in a few years. If you're not one already. Sorry to hear no Realtors in your area worked out for you.

I'm not sure if you read my last post in the thread you were referring to Matty, but the point I was tyring to get across there is that everyone's situation, experience level, and goals are different when it comes to investing in real estate.

I'd like to help you find properties in AZ.
I do have a tool available specifically for investors that searches for properties based on cash flow, equity, and other criteria.

I have a backround in computer networking, therefore I am more tech savvy than most Realtors. I constantly look for ways my clients and I can "work smarter, not harder" through technology driven tools and resources.

Market knowledge - I know my local market very well. I process property valuations (Broker Price Opinions - BPOs) for financial institutions on a regular basis.

I'm more in tune with finding properties in the listing services. Although, I would not completely rule out locating wholesale properties.

Hey there, I'm an investor minded Realtor in the Phoenix, AZ metro area that is ready to team up to find you a property that meets your criteria.
Let's break through the 09 doom and gloom once and for all!

Jeff & Josh, as an investor minded agent, I agree that little or no money down and buying a property at a huge discount is a great thing. Savvy investors make this happen on a regular basis. More power to you guys!

Maybe I was leaning my original comments towards the novice, time challenged, low risk investor that just wants a place to put their money for tax benefits, cash flow, or appreciation over the long long haul. Not everyone has access to OPM, or knows how to negotiate complex deals by themselves. When I mentioned big down payment, my thoughts were on how the credit crunch is affecting some people, requiring them to put more $$$ down. Even then, I meant no more than 20% down, and only as a last resort.

As I am sure you are well aware there are many factors that dictate how good an investment property performs, and that alone means something different to everyone.

In 2009 the doors of opportunity are waiting to open. Who's got the keys?

Hi Mike,
I agree fully with Richard. The key is cash flow, cash flow, cash flow. It doesn't matter what kind of market it is as long as you have positive sustained cash flow on a property. So, get that fixed rate mortgage, make a big down payment, or pay cash so you're in the black every month.

Len W

A good Realtor should:
Listen to the client's needs.
Provide the client effective tools and resources.
Fully represent the client's interests.
Follow through with what they say they will do.
Present facts, not BS.
Be there when the client needs them and not get in thier way when they don't.
Should be up on the latest technology and trends.
Good knowledge of the local marketplace.

Now, where you find them is another story. :-)