All Forum Posts by: Keith Belzner

@ Nathan Paisley  Thanks for the push.

I am still working on getting started.  All the legal stuff and more learning so that I dont screw things up.

So here is my take on wholesaling: Find a buyer first BUT you cant find a buyer without a good deal SO go find a good deal BUT you cant until you have a way out ie BUYER so find a buyer but ....................

Without a lot of cash its a catch 22.

With that being said, I am not going to be held back from my plans. 

@Rob Anderson  I understand what you are saying and your issues with unethical people in general and unethical wholesalers specifically.  My response, without being argumentative, is that If I am completely honest and upfront with the seller  from day 1 and they have no problem with my deal structure then there is no harm to anyone. When I asked my question it was with the intention of doing just that, FULL DISCLOSURE at all times with the seller. Me personally I would never want someone to say they would buy my house within XX days they on the last day come to me and say Sorry I was never going to buy it, I was just to lazy to find someone else to buy it, bye. Or even worse insult my intelligence by saying my partner did not think it was a good deal.

BP Friends,

  What is a typical or good length of terms to close when you put a property under contract? I am looking at selling / assigning them only with no option on my part to purchase. I am thinking that 15 days is to short unless I have a buyer in waiting. Is 90 days to long? I feel that 45 days is about right, it gives me time to sell it and its not to long that the seller feels put off.  

Thoughts,      

Thank you

Hello BP friends,

  I am looking into wholesaling and I am not sure on contract verbiage. Here is an example of my question.

I get a property under contract to buy and or assign with a 45 day term to close. I am unable to locate a buyer for whatever reason. Since the contract says " Keith and/or assigns to buy ....." am I legally obligated to buy the property? Do people have clauses that will allow them "out" of buying it? Can you do just an assignment only contract? Or must I still buy it? I do not have the funds to purchase it.

I do not want to lead my seller on that I will be buying it no matter what. I wont lie to make a deal, I'd rather be upfront about my intentions.

Thanks 

I am looking at wholesaling in my area and wanted to know how to find and put under contract a property that has taxes owed. This is not going to be my "niche" but I just need some information if and when I run into a seller that has a tax issue who wants to sell, I hate to get a deal done then find out I will lose money because I was unsure.

So that I am not to confused on tax liens, here is what I understand them to be in a nutshell. I am in Baltimore county, Maryland

Home owner is in arrears on taxes. When will the county/state put the lien on it?

County /state will then sell property for the owed tax amount.   ?

How would I make an offer on it? If they still have a mortgage due?

Offer to pay taxes then an offer to get under contract?  

I'm just wondering who has used any of the hard money lenders listed under the "resources" tab? I'm in Maryland and looking to find information about some lending companies before I look into pursuing any properties for flipping. Being new and never done any deals yet, my plan is to research and become familiar with each phase of a flip from finding to final sale.  

definitely put together a parts list with numbers. You can also do a design of your project using a design software. I have been using Google sketchup for years now. It easy to learn , 3d and 2d modeling. Its free to download. I would say anyone that is doing any rehabbing with design work to get this. 

The big question is what type of contractor do you want to be? There are 2 types, a paper contractor and a working contractor. Let me explain the difference.

1. Paper contractor - Has degrees in business management,  project management, finance management ect. . He is the one that will hire all subs and even an on site supervisor who knows the trades. He has learned knowledge of how to run a business.

2. Working contractor (As Cole said) - Has worked in the trades for years swinging a hammer and putting in the hard work and sweat learning his trade as a carpenter, plumber, mason ect. He has working knowledge of what it takes to repair a house.

I am not saying one is good or bad over the other, just that you cant decide to become either one overnight. Good luck.

from a contractor stand point if you are looking for piece work I would be charging 55$ per hour. This covers all of my overhead - ins. Workmans comp. Gas. Taxes. And much more. After all that I make close to 20$ hour profit. Lager scale projects would be a flat price bid. Your location and even down to specific towns the rates will vary so asking for an average price won't help much.

Most contractors will hesitate to even talk with you if you use phrases such as " if you give me a lower price ill promise more work in the future".

I can only provide information pertaining to Maryland, so here goes.

There are 3 levels of licenses for home improvement work.

1. General contractor (GC) - is the only one that can enter into a contract with client. his licence supersedes all others. Can pull permits, not including mechanical (unless he's licensed in that field).

2. Sub contractor - can only be hired by GC. cannot enter into contract directly with client.

3. Salesman - Can only sell the job.

As @Andrew K. said, if you are buying the materials then you are not getting a GC but rather a laborer. Make sure you know for what position you are hiring someone. There are a lot of GC that dont do the work but rather hire it out to subs and manage the job. So if you act as the project manager you need to hire the right people for what your after. But they should still be licensed no matter what.

• Some states say that if you knowingly enter into a contract with an unlicensed contractor, you are not allowed to use the fact that the contractor is unlicensed as a defense for non-payment. Note that an unlicensed contractor can still file suit for fraud and deceit.