All Forum Posts by: Bruce Woodruff

I like @Michael Baum s concept. Add a few extra items, it doesn't cost much but makes you look good, plus if ever needed could be a lifesaver. Especially in more remote areas like his.

Although it may seem extreme, I would add a clotting agent and a tourniquet...because you never know what's gonna happen. But maybe that's just me and my mindset.....

This guy is not your 'friend'. He is a user and frankly, a thief.

You can absolutely get the CSLB involved, even though he is a partner. (Do you even have a legal partnership agreement?) 

I would a) stop your dealing with him immediately, b) Call the CSLB and tell them what he is doing...everything, c) hire someone to finish, even if you have to borrow the money, d) contact a lawyer..there are ones that will do a phone consult for $300 or so...see what they say.

But mainly - do NOT deal with this guy any more. He is taking huge advantage of you.....

Thoughts: 

#1 - good for you!!!! You are way ahead of the game and you will have a wonderful and successful life! 

#2 - Stay in the electrical trades,learn as much as you can, and eventually start your own business...that is where the BIG bucks are.

#3 - Your cash flow is NOT $11 per month. It is far less. 

Good luck!

Quote from @Sarah Steinhaus:

Quote from @Travis Biziorek:

Hey Mark,

I spent some early childhood years in Ada, and my Dad grew up in Grand Rapids, so I’m familiar with the area. It’s definitely gotten hot lately, and I get what you mean about the prices in SW Michigan being a bit steep for cash flow.

If you’re serious about investing, I’d recommend taking a hard look at Detroit. 

It’s not too far from SW Michigan, so you’d still be close to the market, but property prices there are far more affordable. 

Detroit offers strong cash flow potential, especially if you’re strategic about where you invest. The market has its challenges, but with the right approach, it can make a lot of sense long term.

I've been investing in Detroit for 6 years and have built up a 12-door portfolio here, mostly using the BRRRR strategy. If you're interested, I have plenty of resources I'd be happy to share on the market, strategies, and what to expect when investing there.

Best,

Travis

We have been looking loosely at Detroit but a lot of the neighborhoods around there scare me, lots of run down homes selling for pennies on the dollar. Do you think Detroit would be a good area for house flipping? We have also been heavily looking at surrounding areas, ie Troy, Rochester, W Bloomfield, etc

Crappy homes will attract crappy tenants. Period. And a crappy neighborhood will attract crappy tenants...even if you sink a bunch of money into a house to fix it up.

Now, no one would say that you can't make money in a crappy part of town...just be aware and be expecting problems...big ones and constantly.

I don't know what the PM guy has going on...is he working for himself or you, or who? He won't work for free, that's for sure.

I would stick with finding a good GC and let him develop the SOW with you. Go back and forth on it a few times to get it as comprehensive and detailed as possible...this will avoid issues later on in the project.

To develop a good SOW should take only a few days or 2-3 meetings. To get that transferred to a solid budget/bid could take 1-2 weeks ....they have to get subs out to give them a solid number and then compile all this into a contract document that makes sense to everyone.

As the others have said - this is critically important! Take the time to find a really good GC and make sure that your SOW/Proposal/Contract are rock solid and define every detail of the project. PM me if you need any help.

Best of luck!

I thought AI was supposed to be so impressive. A child could have done that.

So you're only going to break even...even after raising rents to market? And right now you'll be running $600 in the red every month? Did I read that correctly?

Why is this a good deal?

It's always a good time to start. Always. You just need to adjust your expectations and goals a bit. Maybe this is the time to buy a serious fixer? Or go the STR route? We can't say from outside the bubble, but start looking at all of the various sub-markets within this huge RE industry.....there will always be something that works.

What do you foresee happening with that area (RE market wise) in the next 5 years?

The $600 mo, and $15-30k profit would not be enough to make me sell. Particularly if you can see that in 5 years you might have $100k in profit from a sale.

@John Underwood ^^^ bamboo cutting boards. HAve you tried some of the new non-stick like they have at Costco? I saw some being demo'ed in-store a while back...maybe they're better quality....?