All Forum Posts by: Chris Webb

I am in VA and I do LVP, it is similar in price and it will last longer.

If you are interested in becoming an agent, read the red book from KW. You should also learn about scripting and communicating. These tools will help you develop sales skills. Oftentimes agents do not necessarily deal with many financing questions or problems. If they do, it is on the commercial side and generally, they have a sound finance background. 

If you are looking to invest, look at the blue book from KW and realize that you probably will have difficulty until you get a few years under your belt with variable income. If the end goal is investments, look at getting a W2 role within a realty firm and invest as soon as you can qualify with an owner-occupied multi or SF and rent out rooms. Move in a year and then transition to agent status. This way you have 2 rentals before you move to variable income and 2 years of rental income on your taxes. 

Great job! I recently moved up to small MF as well (like less than 20 days ago, lol). They are... interesting, lol. Take care! 

Awesome! I bought 8 in 2023 with no W2 income (a recent sale in 2022 funded the 15% I actually had to write a check for), If you have financial questions let me know. 

I use two strategies, one I offer an extremely low price for cash or financing at a bank. Or I ask for significant work to be completed at like 80% with bank financing. The second strategy is to explain to the seller that I can get them to walk away with 60% cash, but they will have to carry 40% in 2nd position. In my last deal, they did not like the 2nd position and offered to carry 90% at around 6% for 30 years. Now, to get this financing I did have to increase the price to full price, but it cash flowed at this price point and if I ever need to I can refi, but I anticipate I will not. Let me know if this helps and if you ever want to chat offline let me know, I am just a short drive away and I get up to Richmond often to see my sister and I am looking to branch out there in 2024. 

Hi All, 

I will be in Vegas in Feb for an event and I wanted to see if anyone who invests will either be there or if anyone from Vegas who invests would be available for coffee. Let me know!!

Chris 

What are all the numbers? You mention rehab costs, which do affect CoC return. For older homes be sure to review your insurance as it will increase, significantly. I anticipated around 1600 per year for my recent purchase (1880) and it came in at 2400. Also, the seller's insurance agent who was insuring the property for $80 per month would not even re-write the policy. They are cutting older homes to make their books look better for 2024. It does really depend on the area close to downtown. South of DT will be less rent, North will be more. West will be somewhere in the middle. I see two in the area that are close to 1600 and one has sat since Nov 9, the other was recently listed (Dec 16) - see links below. If you have any questions on calculations let me know as I do CoC videos all the time for Lynchburg. 35% seems high to me, but I am assuming management, vacancy, and repair costs.

Rental listings

https://www.redfin.com/VA/Lynchburg/601-Jackson-St-24504/hom...

https://www.redfin.com/VA/Lynchburg/317-Polk-St-24504/home/1...

Hi BP, I wanted to share a situation I was able to overcome this week to prepare you if you are buying an older property (converted 4500 sqft home older than 1900). I had a local insurance company say they could insure it and all I would need to do is get the premium paid before the closing. I called the week of the closing (this week!) and they took my payment information and everything was fine. I headed to the bank to get my check for the closing the next day and as soon as I got back into the car, I received a call. The insurance company would not re-write the policy. Yes, that says RE-WRITE! They insure the property for the seller and they would not write it for me. The seller paid roughly $100 for his coverage (I do not know the amount) and I was expecting to pay around $125 a month. I called around to several companies and brokers and I could not get coverage. I finally found one on the day of the closing for $330 a month. I found one other company - Farmers Insurance - that cut that price by a third (still more than I thought).  In the end, I was able to find insurance and close on the property.  Just an FYI about the state of insurance right now... be careful and make sure they go to underwriting. 

Take care. 

@Account Closed I am part of an investment group in Lynchburg, I can reach out to the group leader and see who he trusts, send me a message and let me know if you would like me to do this. 

Hi @Account Closed, if the comps are $3,800, what is your market price now? Have you had any drops in price since 60 days ago? Will you allow for the 2.99 rate to be assumed? I assume this is above the median price, but how far above? Is it in a market that does not have many buyers? I would ask some realtors about the market range as well. I would frame it as someone who is looking to add to their portfolio and ask if the realtor has any canceled listings in the price range of BLANK to BLANK (your home price in the middle) and just count the number of canceled listings you can find out about. If there are 3 or 4 per realtor, it might not be a good time to list. In this scenario, I would just rent at a lower price and live to sell another day.