All Forum Posts by: Carlton B.

 The fire I had was the tenants fault. My insurance paid for the property to be fixed, but did not replace the there belongings. 

You are in the right place with a good plan. If I were you I would find a local REIA and talk to some local investors maybe even ask for a mentor. As far as the mid-west for investing I can speak for Milwaukee WI. It is more affordable then some southern cities and it has lots to offer, but there is also plenty of cons. Most experienced investors say invest in the area(s) you know the best first.

I had a fire in a unit and the tenants lost everything and and I had 60k in damages. So I now offer a small discount just enough to cover the insurance when tenants first move in. With that said most let it lapse after the first year. 

The 7% rule is a good starting point, but we have some other rules 

It should be finished in 3 months 

10k a month so 30k before taxes minimum 

Leads are from every source I can get my hands on, but the best leads come by way of networking, MLS ,and then wholesalers.

All of the above but word of mouth with other investors and real estate pros is probably or best option. It's all about networking and being a good business person. People help us and we help them so our circle of investors/friends are our best source of deals. 

It never gets old. Congrats!

So here is our secret we are friends with other guys who flip and we help each other out. They have sent deals our way when they had plenty and vise versa. This might not work for everyone but it works well for us. 

General contractors scare me because of this very reason. I'm by nature a pessimist. I would be walking the site as much as possible asking questions and reviewing invoices. At this point the only way to know if he is being honest is to review the books number don't lie. I would also speak with another contractor who is reputable and get there opinion. With that said it would probably cost more to stop and start again with someone else. If you find out he is playing games you can go after his reputation by letting people know what he did wrong. I'm very interested in how this turns out please post a follow up.

Have the plumber put in a laundry box. This will eliminate the sink saving space.