All Forum Posts by: Dell Schlabach

 If you live long enough to cash the checks .... 

We had one house we bought in the hood for 7k, I send one of my guys, older ex-special ops guy, was over weight, limped walked  with a cane.  I had him doing some maintenance and go-fer stuff to help him out.

I sent him to take some pictures at this house for ads. He parked on the street and went towards the house and was approached by 3 young punks much bigger then him, who told him to give them his camera. He gets past them and takes his pictures. On his way back to the truck they are blocking the sidewalk, one guy says "give me the camera old man" .. Dan says what did you call me?  Punk says, "Old Man, Give me the damm camera if you wanna get out of here alive". Dan says get out of my way, as he starts hobbling with his cane, punk 1 grabs for the camera, Dan instant reflex hits the guy across the face with his metal cane, Punk 2 comes at him from behind and Dan knocks him on the ground with a swift elbow to the chin.  Dan limps towards punk3 with cane raised, they take off running, saying they are going to get guns and kill him. Dan is yelling at them and calling them wimps, sissies and pricks, to come back and fight like men. . 

I called to check on him just as he had gotten to the truck, he said he was going to wait until they come back. Told him to get the h**I out of there, if they come back with guns he doesn't stand a chance with his cane. I stayed on the phone until he got out of the neighborhood. 

As Dawn mentioned, there is a good reason why properties are for sale for those prices, there are 23 available on the mls in  Akron and Canton right now if you would like to pick up a few, just be ready for an adventure

We bought a five unit for 32,000, so little over 6k per door. Renovated as units became vacant. Rents were, 75, 375, 495, 550, 595 bought it 100% financing.

I was offered a free house by a tired landlord, canton city, if I paid taxes about 2,300, I declined.

My landscaper bought a house for $1.00 that I gave up on. I had been  trying to locate the owner of a vacant property, that was abandoned 10+ years, records showed it was owned by Huntington Bank,  spend a lot of time calling bank local, and regional divisions and then the  assett companies for Huntington Banks. After a dozen or more calls over a couple weeks, I told my landscaper if they want to pursue it they can. It was located one street from their residence. A few month later, they bought it from their local Huntington Bank for 1.00, to make it a legal sale.  They renovated it and sold it for I believe 50-60k, its been about seven years, as I recall they made about 15k on it, needed a lot of work. Persistence pays off. 

I am a fix and flip guy, I tend to think it is easier, lower risk and more profitable, in the short term than rentals, especially if you can do much of the work yourself and avoid a lot of the labor costs. 

A highly motivated person, or family that is willing to spend their free time renovating a house instead of watching tv or other non productive activities, can do a couple rehabs a year part time,  in our area and pretty easily profit 15-25k per property. Thats much better than a couple rentals if you are trying to get ahead financially. 

It does if he paints over silicone ... your painter should be using a latex or other paintable caulk and it wont crack the paint, id be very concerned about a painter who makes that comment

agree with Aaron, painter caulks 

@Bill Gulley 

My version of wholesaling is a bit different than most, as we buy mls listed properties and sell them to other rehabbers as a significant part of our business model. We don't typicall assign the contracts as the banks don't allow it. We typically close and and then sell to a rehab buyer that we have lined up before we close.

The frustrating part is that with bank owned properties They use out of area title companies, many incredibly incompetent, two weeks before we get title recorded is not that unusual, 

We are looking at using a local title co to close, pay the extra fees so we can close to our buyer right away. Exploring the simultaneous close, which two of our local title companies we work with won't do. 

Do you see this model as being problematic for a realtor,  from a legal aspect assuming all disclosures are done. 

I am in real estate classes now, along with one of my staff to become licensed. Not to work with retail buyers or homeowners,  but to better understand the principles of real estate transactions and  for our business. 

What is your take on a realtor buying a property on the mls, selling to a rehab buyer in double close scenario. 

We would have money in escrow for our closing. 

Have not decided on a broker yet, or talked to a local attorney to make sure we have the legal aspects covered, which we will do in the next week or two, but be interested in your take.

If he's bringing you good deals that you can make money with be greatful that you have a realtor that is capbable of doing that, i would worry less about deals others get, as long as I was getting good deals. 

In our area, most realtors are incapable of getting a good consistent supply of deals for rehabbers.

I supply four other rehabbers all their deals. 

None of the rehabbers individually can buy all the good deals that I find, last year we bought 37 deals.   I have a rotation system that I use so everyone gets treated fairly, and has a consistent deal supply. When one of the guys is working on a rehab and has another in the pipeline, next deal I will run it past the guy who most needs a deal and in that way I keep them all fed, its kind of an art to keeping everyone happy, they keep buying from me because I consistently find them better deals, easier then they can get from other realtors. 

I would say if he  brings you consistent supply of good deals, don't worry too much about what the others are getting.

FYI, I never bid my rehabbers against each other for a highest best situation. 

Our wholesale deals typically net us between 5k and 10k on 100-200k ARV deals.

 Are you a legitimate hubzu rep? Using hubzu as your last name makes you suspect. Why not use your real name if you are real. 

We bought five from hubzu last year, we notarized all the closing documents at my realtors office, they handled all the paperwork for me.  

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