All Forum Posts by: Beth Turner

@Steve Sauro great of you to bring your brother in! Constant communication and setting expectations up front is exactly what will make this successful. Weekly updates of budgets, project updates, etc. Also, setting the change order process, overages, etc. up front will make a huge impact on the success overall.

@Noah Evans sounds like a good move without knowing a lot of the details. A lot of this business is getting creative which it sounds like you're doing by changing the garage to a house. Congrats!

@Hillary Windrem we flip exclusively remotely and the biggest challenges has been accountability and processes. We also install a security system which helps track when they come in and go. Not sure if you have a project manager or someone stopping in and looking in on the property. We also use a CompanyCam software (free for one user) to have someone (in our case our Operations Mgr though have used our realtor in the past) take pictures weekly as well. Happy to share any insight we've learned.

@Steve Sauro Overall that's about it and getting it all down in writing so everyone is clear and there is a legal document tracking the split. My first question though is why split the profits with the contractor versus just hiring him outright? Are you looking to incentivize them or looking for a long-term partner?

@Jason Triano I tried it earlier and it added the logo twice. Has this been fixed since we created the post?

I am hoping I am just overlooking the New Flip Calculator too quickly, though I cannot see where to upload my Company Logo any longer. Has anyone else had any luck with the new calculator? I even tried to add our Logo as the picture, though then it appeared twice on the output. Any help is appreciated. For now, we will continue to use the old ones which allow for the Company Logo upload.

Beth Turner, MHA, PMP

We are here!! @Jennifer Pauyo I currently invest in Kansas City, MO though live in Wisconsin. We have been doing remote flipping and long-term rentals. Always trying to stick together!

We attended our first Flip Hacking Live this year and it was an amazing event. You hear the term 'life altering' thrown out about a lot of various conferences. This event will not alter your life for you. Instead, it will give you the power, enthusiasm and support to alter your life for yourself. There are no gimmicks or get rich quick schemes. This is a group of very successful people willing to share their vast knowledge and experiences with like-minded fellow investors. We could not have been luckier to attend and cannot wait to attend 2020's Event.

@Kyle Wells The numbers on this look good overall. My first question would be is this a SFH or MF? The reason for the question is what is cost per door. We try to get a minimum of $100 per door leaving no money in the deal and if this is a duplex or a SFH, the numbers look good.

The biggest points of failure when doing a BRRRR occur on the ARV and Rehab costs. If you are really solid in those numbers, the only other item to keep in mind is the re-finance generally cannot happen until 6 months after purchase. There are some lenders who can avoid the seasoning requirements, though make sure you find this out from your re-financing lender.

I am also an investor in the KC area, so feel free to reach out if you need any contacts for hard money lenders or re-financing lenders. Good luck!

@Michael Porter It seems like this is a great deal overall. From a rental perspective, we try to have a goal of a few items:

• Minimum of $100 per door after all expenses are paid and leaving no money in the deal (i.e. no down payment)
• Over 8% on Pro Forma
• Double Digits on Purchase Cap Rate

You seem to be hitting all of those though leaving a bit of money in the deal. It will take a little less than 7 years to re-coup this money and then only a few more years after that to have this property paid off completely.

The only item which you may want to revisit is the repair costs. Is this a completely rent-ready home or is it already tenanted? Very, very, very rarely does a property require no repairs or correction of deferred maintenance. 

Overall though, looks to be a great property and good luck!