All Forum Posts by: Constance Grandelli

Hi Salvatore,

In my opinion, unless you have over 2 million in assets, you don't need to do either of those. Keeping a perfectly veiled LLC is difficult for entrepreneurs (and there are costs involved). I've never done a trust, but my friend Kris Haskins does all his flips that way. Just Google his name and his YouTube channel will come up. I have worked with a person that did 200 flips a year without an LLC or using trusts. So, how do you protect yourself? Umbrella insurance. It's very affordable. Flipping houses is complicated enough, why add more legal stuff and paperwork? Hope this helps. :0)

Hi Henil,

Network, network, network. That is the best way to get or give leads. Check out Meetup.com, or search here on BP for networking groups in your area. Many people find good flips on the MLS. :0)

Hi Adam,

When I have had to use a co-signor, they are screened the same as the tenant.  Hope this helps!  :0)

Hi Demari,

I think it's awesome you are interested in real estate investing!!! You are not too young to start helping on a construction crew, or attending REI networking meetings. Go for it! Anything written by Gary Keller is an excellent start, and of course don't forget "Rich Dad, Poor Dad." That's the first book I gave to my kids. Keep it up! :0)

Hi Benjamin,

There is limit on FHA loans:

"No matter which type of FHA loan you're seeking, there will be limits on the mortgage amount. These limits vary by county. FHA loan limits in 2020 range from $331,760 to $765,600. The upper limit for FHA loans on single-family homes in low-cost counties is $331,760."

Talk with your lenders to see what amount you qualify for and what type of loan.  Hope this helps!  :0)

Hi Katie,

Don't think of it as a negative thing.  If you feel it would be a win-win, for the home owner and yourself, go for it.  Sometimes an offer on the house is just what they need to make the next step forward in their life.  Good luck!  :0)

Northeast Tennessee is a very hot market now.  No state income tax, low cost of living, moderate weather & retiree friendly.  It's difficult getting a trustworthy team together where you live, and even more difficult to try to accomplish that from across the country.  If you decide to invest in the TriCities area, I'll be happy to do everything I can to help.

Kingsport, TN

Hi Klint,

In my limited experience, I've never heard of anyone quoting rehab per sf.  Only sf pricing I've heard of is in new construction. In new construction, the variables are accounted for.  Like do you want the cheapo package, or the glitz & glamour package? 

With flips, there are too many variables.  I have a rehab price worksheet that I use to guesstimate the rehab.  I'd be happy to send you a copy. I think part of the reason it's difficult to get a sf price for rehab is, you don't know what you're going to encounter.  Once you pull out the flooring, do the joists need to be replaced? Was there termite damage that couldn't be seen?  Was there mold that was undetected?  If your gut is telling you this guy is price gouging, he probably is.  :0)

I bought a gutted duplex for $28.5k, put in about $30k, rented for a total of $1300.  So that was pretty good. But, that was like a flip-ental.  LOL!  Sold it with leases and property manager in place for $110k.