All Forum Posts by: Sam Erickson

Raj,

Did you find an agent yourself or did you talk to the agent that was listing the property for sale?  In WI as I'm sure it is the same everywhere, by law the agent has to submit the offer to the sellers.

I think your biggest concern is if the agent did submit the offer how long you/the agent gave the sellers to respond.  Most offers have a clause that gives the sellers a set time frame to either accept, reject, or counter.  After said time frame if no response is given the offer is void.  Do you know the time frame that was given?

If you do and it is past that time frame maybe you want to find a different agent.  I would tell them what happened and they might be able to assist in finding out what happened with your first offer.

Hey Everyone,

I'm looking for  good landscape and concrete contractor for a project I'm starting in Milwaukee.   Below is my scope, let me know if you have a name of anyone that would be able to do all this work in house at a reasonable price and in a reasonable amount of time.

-Bush removal / Yard clean up

- Concrete walk removed and replaced

-Concrete patio poured

-Fence removed and replaced

Thanks,

Sam

Hi all,

So I just scheduled a property inspection for a rehab project I'm closing on next week.  When scheduling I got a really good tip from the inspector that I'm for sure going to use in the future.

They offer what they call an "investor Inspection".  The way it works is they actually meet you at the property prior to writing in an offer.  Being that the inspection will be on a house that will be rehabbed they look mostly at high ticket items (roof, foundation, furnace, etc.) and don't spend so much time on the little stuff.  The cost for this is only $145 and allows you to then write your offer with no inspection contingency.

Of coarse you run the risk of not getting the property and being out the $145, but for me I think it will be worth the risk given the better negotiating power it offers you by being able to submit a contingent free offer. 

The company in Milwaukee that offers this is Honest Home Inspection.  For everyone outside of Milwaukee, may be worth calling some inspectors to see if they offer anything like that or would be willing to.

I don't know about Texas but in WI by getting your license it only provides you the opportunity for MLS access. In WI there is a monthly fee for MLS access. Its not like they hand you a log in when they give you your Realtor certificate. You will need to sign up and pay the fees.

I think it depends on the investors tolerance to risk. Is he is looking to just supply capital and see a guaranteed % return after a certain time period? If so then a smaller % return similar to what a HML would charge I think would be appropriate.

If they are willing to take on more risk and if things went south share in the loss then a higher cut of the profits is in order.

I currently operate with an investor in this same scenario.  The investor supplies funds to purchase and rehab the property.  At the end we split the profits 50/50.

Personally I am confident in my projects enough that I would rather just pay a %. I haven't been able to find my investors willing to put up that kind of cash for a % return that aren't HML and are doing a lot of deals.

If this is your first deal I would recommended giving them a share of profits.  This way if things go south your not on the hook to not only pay back the funds they put up but also the % return you promised.

Below are my cost from 2013.

E&O insurance: $500 (I only broker my own deals any only buying and selling 3-4 properties a year. This cost will increase with the quantity and price range of deals you broker)

MLS Access: $720

Dues (Local, State, & National): $700

State Filling Fee: $25 (When your a broker you will need to create some sort of business entity as well. WI has an annual filing fee.)

Like @Jeff Blanchard said QB is focused on accounting.  You can adjust your settings to make it more specific to your business but it still is an accounting software and isn't going to excel at the day to day operations of the buildings.

I have used propertyware.com in the past.  Its a good program and doesn't cost a fortune.  You are able to create different "portfolios" ideal for multiple LLCs.  In QB you will need to create a different set of books for each company. Property ware works well for the operation of your rentals, comes full of different templates needed, move in & move out reports,  different notice types, etc. Also has features geared toward property managers that need to send out monthly owner reports.  Like most management software is lacks in the accounting department.  They realize this though and have developed a QB plugin that will push everything you do there to you QB file.

I ultimately when with QB, however I only have a few units.  With the amount of units you have to manage Propertyware.com might be worth a look.

Welcome!

I believe @Kyle Hipp is correct, no license is required to operate a management company.

@Korey Enstad to answer your questions regarding the salesperson and broker license they are two different classes and exams.  It used to be that you could take the class and exam for the salesperson and then turn around the next day and start the class for the brokers exam.  This is no longer the case.  The state has changed the requirements and now you have to meet certain sales requirements as a salesperson to be eligible for the brokers class. This means that you would need to work under an already existing brokerage before becoming a broker yourself.

I took both classes and text through the WRA.  The have a few different coarse options to help with flexibility.

I believe  @Brie Schmidt is correct.  If you look closely at the first line of his post it states that they will help you "source" properties.