All Forum Posts by: Christopher Meadows

Hello everyone!!  Just wanted to see what your all are using as a template when you all submit written purchase offers to prospective sellers.  It interested in templates that you all have had success with that cover both contingencies and no contingency all cash offers.   Additionally, when you get approval, what are do your contracts look like?  I'm not looking for a wholesale contract but just a straight purchase contract.  If you would be willing to send me a link or an attachment of what you are using, that would be very informative.

I feel like I can reach out to a Real-estate Attorney to do this but I though I would first ask the community for your thoughts prior to doing so.

Thanks

Chris

@Stephanie P.. @George Taylor and @Ariel Salvaro I appreciate you all taking the time to grant me some insight into the world of HML. I think I will attempt to use HML for the property purchase and my own cash for the rehab. The property I'm interested in is up for auction right now but I feel the starting price is too high. Since the same company has attempted to auction it twice (Oct and Dec of 2016) to no avail, I don't expect it to sell this time either. The auction ends tomorrow so I guess we will see. I have reached out to the company that owns it to submit my written all cash offer. We'll see what they say.

@George Taylor

Hello All,

I am placing a bit on my first investment property in the Charlottesville, VA area. I already own a home in the area but this will be my first investment property. My question is in regard to hard money lending and contracting? Generally speaking, I have the money to cover the property purchase or the rehab, but not both unless I get a great deal.

My question is: What is your criteria for choosing a hard money lender? I have never used hard money lenders before but based on the research I have done, there seams to be a lot of variation in how they all do business. I have read that some vary from 0 points up to 5 points and then the interest. Looking for some thoughts from the community in that regard. What do you all look for in a local hard money lender?  Where do you all draw the line with respect to hard money costs?

For contractors, (aside from stalking folks at the local Lowes and dragging Craigslist) where are you all finding your contractors or subs?  I have used Thumbtack.com for my own home handyman items. Does anyone have any experience finding contractors to work your rehabs using this service?

Lastly, I have met a contractor in the local area that is interested in doing a deal, but he does not have the cash reserves to do a 50/50 deal (In my opinion). He can cover 10-15k of rehab expenses but that is it. In my mind, on an 80k all in deal (35K being rehab), I would split the profit from the sale with 19% going to the contractor and 81% going to me. This is assuming we split profits according to total investment contributions (his 19% vs my 81%. Does anyone have any experience doing deals this way or see error in my logic?

Thanks

Chris