All Forum Posts by: Davon Lowery

@Jscott @donharris

I appreciate any and all input, irrespective of my own. 

I have learned feeling the breeze is much more enjoyable than being a component of it.

Thank you

http://www.hud.gov/offices/hsg/sfh/hcc/hcs.cfm?web...

http://www.hud.gov/offices/hsg/sfh/hcc/hcs.cfm?web...

Attend workshops for home buyers and those that wish to learn more about the process including but not limited to credit repair, home buyer programs etc...

Very good post. Congrats on your current success and that to which you will encounter very soon. Welcome to BP, keep learning and growing with us.

Working on a flx and flip in Atlanta, still need another quote from a contractor, we need a bid closer to $40k but, this is what I have so far. 

The prospect property is a 3/1 SFR in Decatur 1k SF looking to add an additional bath and SF. Hard Money lender has me pre-approved.

This is what I have so far for the numbers.

$145,000 ARV

$61,000 purchase price
$4,880 Closing cost (purchase @ 7% gross costs)
($5,000) Down payment to seller

$56,000 purchase balance X 70% -$16,800 (LTV)
$50,000 rehab budget X 90% -$5,000

$84,200 Loan Amount ($39,200+$45,000)
$2,947 origination fee (3.5% of loan amount)
$10,104 holding cost @12%
$10,150 resale closing costs (7% gross costs)
$400 Appraisal fee
$450 draw inspection fee(s) (3x)
________________________
$108,251 all in costs

$145,000
-$108,251
_________
$36,749 gross profit

$400 appraisal fee
$16,800 cash to close(12.5%)
+$5,000 cash to close (12.5%)
_________________
$22,200 out of pocket costs from us

$36,749 gross profits
-22,200 net expenses
_______
$14,549 Net profit
65% Cash on Cash return ($14,549/$22,200)

We are also looking to network in Atlanta. We will be in the A-town next week, anticipating making it to a couple of REIA meetings and or investor meetups. If you have any info on those, please share. Thanks Davon.

@manoloD. Thank you. Very good points.

@Manolo D. Maybe you can shed some light on cost savings as it relates to, retaining 1 part of the original structure (in the event of a teardown-rebuild scenario), where be it, a wall or a prescribed portion of the original structure is retained, per the request of the city/county? 

I too am beginning a marketing campaign to acquire a tear-down, and erect a new structure, preferably a multi-family new build; here in Los Angeles. 

I would hope to keep it under MM, as I don't have the capital to command that type of leverage. However, a well thought-out JV is very attractive to me.

This is a great post, I too am looking to expand my list of the aforementioned;  as @Anthony Anwasi stated the Home Inspector can make or break a budget.

Congratz @Murray Cronia you are on your way to do great things.

Welcome @Okey Okafor Keep us posted on your success.