All Forum Posts by: Canesha Edwards

@Josh Livingston

I would check into the property and see just how many liens are on the property before speaking with the bank. The last thing you want to do is buy the property then be on the hook for a $5k unpaid water bill.

After you find out about the liens. Since you have the bank’s contact information, work directly with the lender. See how much they are willing to accept for the property.

How much is left on the loan? Most Leander’s will take a certain percentage of their interest in the property for REOs.

Best of luck.

Canesha

@Karl Dela Cruz

Congrats on your accomplishments.

My advice is going to be a little different from everyone else.

I too started where you are....I wanted to get into development, but didn’t know where to start, so I jumped in head first. Needless to say....my first project failed and I lost $30k. Why did the project fail? I “hired” someone who was supposed to be “experienced” in development, when actually he was really a con artist. First lesson I learned- always maintain control over your projects.

Now, my second time trying to get into development, I found a mentor like everyone suggested I do. You can take this path...but it’s still going to slow down the process. Why? Well, one the mentor made me sign an NDA and non-compete for a 2 yr period. Also, they were not willing to pay me anything for properties that I sourced myself and put under contract. I didn’t think that was fair because it was basically an unpaid internship.

So, I decided to do it on my own. With zero real development experience. I saved excessively until I was able to buy a small infill. I put the property under contract and don’t have to close until I receive all entitlements.

Now I’m in the design phase and working with the architect to design the homes. I’m building 4 townhomes ground-up. If everything goes will- I’ll submit the site plan on 12/6 and I’ll meet with the planning dept Jan 2021.

I’m the sole developer on the project. My plan is to find all pre-development cost- then bring on investors for the financing piece.

So- if you really want to be a developer, then be a developer. Visit your local zoning department website- they should have zoning documentation available. Start here. Read the comprehension plan to understand what the area needs/wants in terms of development.

The biggest thing that helped me is talking to people in the zoning department. I would call and say- “Hey, I’m thinking about purchasing vacant land in xyz area...can you tell me the steps I need to take to build an apartment, house, etc.

Also, ULI has a great textbook around development. It’s basically my bible. I refer to it often.

Book title: Professional Real Estate Development- The ULI guide to the business.

Don’t let your inexperience deter you if this is really what you want to do and don’t wait around for a mentor....you do need one. The biggest issues new developers run into is obtaining financing, but there is always a solution if the numbers make sense.

I hope this helps.

Feel free to reach out any time if you want to discuss further.

Best,

Canesha

@Tanner Sheehan

Congrats on getting started early.

You start by making a plan- then taking steps to execute.

Since you’ve been learning about real estate you should a solid idea about what type of investor you wish to be. Long term holder- flipper- etc.

Start working on saving money and your credit. You won’t be 17 for ever. Build good habits now and you’ll be golden by 30.

The next thing you need to is build your skill set in your strategy. Let’s say you want to be a long term investor.... skills you can work on

1. Finding deals- cold calling buyers- driving for dollars

2. Become a master rehab evaluator. Investing is all about the numbers. Hang out at Home Depot and talk to some of the workers. They are great sources of information as well.

3. Pick up handy skills. A $8,000 flooring job can be cut in half if you know how to properly do it yourself. The great thing is you have time to learn and master your craft.

4. Become valuable to others. The more valuable and helpful to others- the faster your business will grow. Offer to help others in their business if possible.

5. Network. Go to meet ups- get active on BP. Put yourself out there as someone who provides value but is also willing to learn.

6. Learn your market. Are you in a hot or cold market? More renters or buyers? What’s the flipping activity like in the area? How many days does a property stay on the market? Is it a sellers or buyers market currently?

An investor will be more willing to work with a newbie who has knowledge and skills vs someone who they have to break down everything.

Happy Investing!

Canesha

@Kenneth Watanabe

Network.

@Fradel Barber

You’re welcome. I hope it helps.

@Fradel Barber.

All the properties on my list are on the list because they fall within a certain category. Therefore, I know from the beginnings I’m looking to wholesale the deal or keep it for myself. I will document the condition of the property from what I can see from walking the property or from google maps. I’ll also keep notes what the owner paid for the property and when. As well as if the tax value is increasing or decreasing.

This is basic information I have so when the owner does call I some information.

I keep everything in a google sheets file so I can make live updates when I’m talking to owners.

When owners do call....the most important thing you can do is listen. You want to get the owners talking to understand their problem with the property and why they would potentially sell.

@Fradel Barber

Hello Fradel-

My list is a collection of driving for dollars- searching the county property assessors maps. I would also look into Realeflow. I was able to sort properties by my specific buying criteria and it brings up properties that fall within that category. I would check out the free trial to see if you like that system. Once you have a solid list- start skip tracing the properties.

You can also buy list from places like Listsource etc.

Reach out if you have any other questions.

Best

Canesha

@Sam Khoshnavaz

I buy about $300 worth of stamps at a time. That will get me through around 300 mailers. I try to buy a reasonable amount but not over do it. Once I get through that amount, then I buy more.

@Sam Khoshnavaz

Hey Sam. A lot of good questions. My marketing is a mix of cold calling and direct mail.

Direct Mail:

I hand write all my letters. It’s time consuming but it adds a personal touch. The response rate has been higher than my earlier postcard campaign. I went to Walmart purchased a set of cards and envelopes. You can find them by the party isle near the gift bags and other cards. I buy the small colorful ones just to be unique. Don’t forget the stamps.

The message is simple.

Hi, my name is ........ and I’m a local investor. I drove by your property located at ( include address) and would be interested in buying the property, should you ever think about selling. Feel free to reach out any time.

Include contact information at the bottom.

Since hand written letters do take a lot of time- I’m selective with my properties. Still I try to send 100 or so letters every 2 weeks. Some more- depending on how much time I have.

I also call the properties I send letters to hoping to reach the buyer in multiple ways.

My best advice is to stay consistent. It takes time to start seeing steady leads but just keep building the pipeline.

I hope this helps.

Happy Investing!

Canesha

@Ryan Cleary

I was using hand written letters before the pandemic. I feel I get a better response rate because people are more likely to open and read a hand addressed letter.

It is time consuming since I personally write all of my letters. I don’t use the pre-printed letters.