All Forum Posts by: Christopher Mongeon

Who's telling you that you can get a move-in-ready property in San Antonio for $70k that rents for $900/month? 

Welcome to BP and San Antonio, Courtney! I recently ranted about some of our local wholesalers, so I'm excited to see someone come in who's on BP. Josh & Brandon have interviewed several wholesalers for the podcasts and there is definitely some valuable insight there. Good luck! 

Welcome to the site! I echo what Seth Teel said about Chad's roundtable meetup.

I think there are a few podcasts that address the pros and cons of investing with family. I think the gist is to lay out the responsibilities, ground rules, and the consequences for breaking those ground rules ahead of time. That way everyone knows what they're getting into, what they need to do to get out, and what's gonna happen if they don't hold up their end of the deal.

For the past 6 weeks, my wife and I have been actively searching for a buy-and-hold deal. We found an up-and-coming neighborhood that my wife absolutely fell in love with and we decided to focus on it. We've driven the entire neighborhood several times, got to meet some of the locals, and found 2 properties for sale that fit our requirements. 1 (let's call it Yellow) had not been posted to the MLS, and the other (Blue) had been posted to the MLS that very day.

We walked through the properties, worked up our rehab estimates, ARV, and made our offers. Our offer on Yellow ended up being below what the guy told us he had in it, but it was the most we were comfortable with offering. He told us he was going to list it on the MLS the next day for $90k.

Blue was listed for $145k, an outrageously high price for the amount of work needed. We put in an offer which we were told was "way below" 2 cash offers they received. Alright - can't fault the sellers for taking a higher cash offer, right?

Wrong. Literally that same night, we see Blue on craigslist. A wholeseller is pimping it for $130k, saying how the ARV is $260k (complete speculation, unsupported by comps). And a couple days later, our friend in the neighborhood tells us one of their wholesaler contacts got under contract for Yellow, and was selling it for $96k!

Is this the state of wholesaling in a hot market? Sourcing your "deals" off the MLS, making up crazy ARVs and trying to make a $5k-$10k margin on literally zero value ad?! It's super frustrating. I can only hope that other San Antonio real estate investors are doing their homework on these properties.

tl;dr A wholesaler who can't / won't source his own deals isn't really a wholesaler. Their "deals" aren't really deals, and they aren't worth doing business with at all.

/rant

Hi Johnie! A quick search of BP shows several people have been asking about Real Acquisitions. The only straight answer seemed to come from @Renee Stewart on this post, and although she didn't offer much info she indicated she was open to PMs regarding Real Acquisitions. 

Either way, please update this post when you've decided to use them or not, and why. And of course, let us know your experience with them if you decide to try it!

Hey Andrew! I saw your post was lacking any response, and although I don't have any info for you I wanted to stop by and say hello. I'm still trying to build out my network of service providers myself, so I'll be interested to read any recommendations from other investors in San Antonio!

@Chris Adams

Fascinating to follow along your journey, thanks for the updates and keep them coming!

I would love to take a peek at the cash flow analysis you presented at the first meeting with the bank and the original 2 investors. If you're open to that.

Thanks for coordinating this, Chad. Looking forward to participating! 

Hi BP,

My name is Chris. My wife, Lauren, and I have recently decided to start investing in real estate. We live in San Antonio, so we'll be looking for investment opportunities here. 

We became homeowners almost 1 year ago, and we purchased with the intent of one day renting it out. We're nearing the end of our owner-occupied term and we've started crash coursing our REI education. BP has been a big part of that, and we've only scratched the surface of the resources here (podcasts and blogs, mainly).

So we're excited about starting out! We're hoping to find an *incredible* deal here in the next few months.. despite it being a sellers' market in this city. We also hope to meet up with some local REIs here, so bring on the connections!