All Forum Posts by: Bob Okenwa

@Aaron Hensley

I'd suggest the buyer find another lender if they won't approve the deal. There are no anti-flipping rules for USDA other than the lender should ensure the appraisal is strongly supported by validated comps in the area.

@Lynne Ha

Sellers do off-market deals because they're looking to get cash quickly without doing repairs and often sell the home as-is to investors. Doing it off-market with cash usually means you can bypass using and paying for real estate agents. So you save 6% and get to close within a few days. Much more appealing than listing the home on the MLS, doing an open house, having showings, going into escrow, signing tons of paperwork, paying agents, etc.

@Eric Taylor

I've heard of them but have never done business with them. They do higher-end remodels and rebuilds in Scottsdale/Arcadia area of Phoenix. They're homes usually sell for 500k and up out here.

@Nick E.

I am unsure of how the market is in Sioux Falls, but I just bought a new construction home and all the existing resells never get full value due to competing against the brand new homes. In most cases it would take 3-5 years to get your money back out here. With that being said, like @Patti Robertson mentioned, this strategy seems like it will only work with an appreciating market. Be sure to check the DOM for comps to make sure you're not stuck with a house for longer than you'd like.

Hello and welcome @Whitney Lloyd. Most people have turned to off-market lead generation such as driving for dollars and direct mail marketing. You can also team up with local wholesalers and get leads that way as well. 

You won't need payroll unless they work directly for you. Otherwise, if they are subcontractors then you can just cut them a check from the LLC bank account.

Conventional loans can be had for as low as 3%. Conventional with 3% down usually means higher rate and possibly more fees though. You should see what kind of down payment assistance is available in your area. You may be able to use DPA and have the seller cover closing costs and you have a chance to move in (depending on house value of course) for free basically.

@Yaroslav Golubev

I received my degree in software development and even I think that: a) this is a tall task, b) there'd be more effort in creating such an application than just writing the SOW yourself. Impossible to make? I doubt it, but I am unsure of how such an app would be able to determine what's in your head in terms of vision for yard landscaping simply using a picture. Putting dog faces overlapping a human one and having an app do design for you are more like apples and avocados. 

There'd probably need to be so many inputs in the program to create a SOW that you'd be better off doing it yourself by hand/computer the old fashioned way rather than using an app because by the time you're finished with all of the inputs, you'd actually have written the SOW. No real shortcuts I can think of other than making a Word doc or spreadsheet detailing what needs to be done in the yard. I would suggest taking a SOW template and adjusting it to make it a yard template and go from there. Just my 2 pennies though. I have never seen or read about such an app but I'm sure there are many people smarter than I that can create one. You're going to have to just do the work and make your SOW like everyone else.

@Ritch Bonisa

When you say materials, are you referring to just rough materials, finish materials, or both? For instance, if a contractor wants to charge me $150 for a toilet I know I can get for $90 or 6k for cabinets I can get for 4k, there's no way I can blindly accept being overcharged for something I know doesn't cost that much.

@Jerry Alvey

I, like many others here would suggest, think it's best to speak with a licensed CPA in your area to answer specific questions regarding legal entity structuring and tax advice. I spoke with an accountant last week and it is much more informative than BP advice when you can sit and ask specific questions and get detailed answers.