All Forum Posts by: Chad Jarrah

Thanks for the info @Lew Payne...I appreciate the info and numbers you provided. This helps to give me another prospective from a private lender. 

@Jeff S....I agree. I would prefer to pay terms pre-determined on a loan than to split profits, especially with more risk involved on my end. And thanks for the list of questions - they will definitely come in handy.

Hello @John Herrick! I actually have an unsecured line of credit and it helps, but it just isn't enough to get the properties I would like and pay cash for them. Once I have a private lender lined up, I agree with providing photos of the progress - I feel I'd owe it to keep whoever I was borrowing from in the loop. And good strategy on using the comparison of using the security of the type of loan I am after, to that of stock market risk/returns.

Thank you all - much appreciated!

Hello! I've been flipping for ~10 years now (just very slowly - 1-2 per year) and have done well on each one. I've taken the profits and invested them in 4 rentals (and a personal res) over the course of that time. The only problem is it's been a very slow process. I didn't mind taking my time before as I had been learning along the way and had my priorities elsewhere (other work). At this point I've worked out the kinks - know my market, have my crews set, know my costs and potential profits for my area. I'm at a point now where I am seeking outside funds to help speed up the process (I have lines of credit available but have reached a point where my debt to income allows no more lines on my rentals equity)

My questions are:

- When seeking outside funds from private lenders, what should I expect as far as conditions? Percentage of the profit or percentage rate of the borrowed money? Or both?

- Any recommendations on where to approach willing private lenders? How to approach them - with a breakdown of my past flips?

I want to give myself the best situation possible so I can manage more flips and turn the profits into rentals for myself and would love any opinions on the subject. Thanks in advance for any and all help!

Hello @Rocio Martinez! Welcome to BP! Which tools in the Network were you referring to? 

Thanks so much @Bill Gulley! Great info!

@Lynn McGeein, I agree, if I was a homeowner I would deal with the insurance and have the repairs done myself. I guess some people would just rather not deal with it. It just seems like such a good way to make a profit  - coming across one of these damaged properties with the type of owner that would rather sell.

@Chris Simmons, you are correct in what I meant. Sounds like you're pretty familiar with it. Do the seller's ever have a problem with submitting the claim? I mean, do they ever refuse or seem put out by your request?

Hey @Joe Bertolino, nice to meet you and thanks for the response. What I mean is I've heard of a Fire/Water Restoration company in my area that gets called in for an estimate on a badly burned house. The company would then make a fair offer and the family would jump at it because then they wouldn't have to deal with the repairs dragging out. Then apparently the company would get the property and the claim . So for example they pay 100k for the prop and they get the claim worth 100k and make 50k in repairs; property gains value because of updates - total win for the company when they re-sell. Just sounds too good of an idea to be true and wanted to see if anybody ever heard of anything like that.

Hey BP'ers! Has anybody ever heard this or come across this? Can a property ever be purchased and the homeowner's policy goes with it. More along the lines of a claim made? Ex: If there was water or fire damage and you purchase the house and get the accompanying claim?

Thanks in advance!

Hi Jackie! Hope you enjoy BP...if you go to the Network tab above, you'll see a zip code box. Type in the zip code of the area you want and click 'search members'. Good luck!

Hey @Garen Lafser! Welcome to BP! I'm pretty new as well and love it so far. Lots of helpful, knowledgeable users and so much good content. I've always shied away from networking for some reason until only recently and BP has made the transition very easy. Good luck with your investments and if I can offer you anything, feel free to reach out.

Hello @Michael R.! I've just recently joined and am loving BP so far as well. The first tip I received from another user was to set up my keyword alerts so I'll pass that along to you. Good luck with your investments!