All Forum Posts by: Gavin S.

@ Justin Frye. Before I would have an opinion of any kind I would evaluate comps, ARV, etc. to determine if its a good deal for flipping or holding. Run the comps through Zillow, check property value(s) from the past. Evaluate what it would cost purchase per square foot and of course what area houses are selling for by sf....Never hurts to walk through the property with your Realtor, contractor, inspector, etc....What do your numbers say? GS

@Jose Tamayo

Ive successfully sold 2 homes with FSBO and others with a realtor. Success with it depends on lots of things but the market in that local area has a lot to do with it as does the price. If you have the time to devote to showing and marketing then try it yourself for a month or 2 if you have the time to do it. Both FSBO houses I sold very quickly and of course the house was completely redone and I priced it to sell not to get rich. I used a lawyer experienced in real estate. He provided ALL of the paperwork and helped to craft the deal in my favor :). All for 800$ total. I would have paid a realtor many thousands more. But I've also been very willing to use a realtor to sell and I always use one when one I buy. There have just been a couple of instances where I had the time and the profit point was just too close so I did it myself. Its a lot of work and a good realtor is the way to go most of the time. Don't forget to post for free on Zillow and I do believe there is a website where you can pay to post your house on the mls but sorry I haven't done that in a while so you'd have to look that up to be sure! Good luck. GS

@merhrank. Thank you it does. Yes the funds are limited. Probably have the funds to rehab or get it under contract with the earnest money but yes I'm lacking funds to just pay cash (which of course gets the best deals). After reading through the previous posts about Auction.com it sounds like the only way to mitigate the risk is to find a way to vet the property ahead, i.e. walkthrough etc which isn't always possible. So it sounds like accept the increased risk or be more passive and wait for more verifiable leads. Getting started without using hard money seems to be the most difficult part even though a few of these auction.com deals have plenty of profit if your selective, study comps, know the property issues, etc.

Thanks Again, GS

1st Point: I'm in my earliest stages of reading books, forums watching DVDs etc and learning all that I can about REI. I've narrowed down my goals and motivation to flip houses. After analyzing a potential (deal) property in my hometown (from originally) on auction.com, analyzing comps (I know the area well enough) and the house it dumbfounds me to know how much equity sits in the house as is. The rest of the story is that the house needs serious updating and some maintenance to the tune of around 20k if you go all the way. So how does a brand new investor get a deal like this done with limited cash on hand? The auction is already running? I'm still in the dry run stage looking for virtual dry run deals before I take the big plunge. Maybe there are too many questions in my rambling post so any info that any of you can give. Thanks in Advance! GS

D.W. Just my 2cents worth: Get to know the realtors in your area that are connected and experienced. Tell them what you are looking for which is properties in good condition but with distressed homeowners or properties owned by a bank that the bank may want to move quickly. You see the connected realtors are very willing to work with you because they might get to make a little money too in the process. Access to pre foreclosures is probably you're best bet for limited turn around properties....GS

Congrats! I'm impressed that you found a flip deal on the MLS because that seems to be difficult to do and I'm equally impressed with the speed you got it back on the market. I've been considering flipping some houses myself and working on becoming a licensed realtor. I think you just proved how awesome and efficient you can be with a great deal, a great plan and a license...

Great work and continued success. GS

Scott, I actually considered starting a project in Sheffield but it got snatched up. I will be moving at the end of June to the Decatur/Mattoon area so I am considering projects there. In fact I found a property in Lovington, IL (small rural town) being offered by a wholesaler for 17900 that looked like a quick flip. But I'm not sure the timing works yet, but that is the general area. GS

I agree with doing about anything to get a deal done but is that really the best for them and or for you. The sellers being older and into retirement age which negative equity and monthly loss with tenants whom you have to only pray don't do damage and then leave you high and dry.

There isn't always something you can do in every situation. Brian is the master and he has shown you the way.

I would personally only be interested in working with the buyers to sell to you at 110 K and most 115 k and they pay for all closing costs. Comps at 150k I think you said is a .73 ltv so still a little high but I'm betting you get your money back and then some if your comps are right and there is little or no maintenance to put into it. From the investors POV the short sale concept works the best for all. Is there a newer car then can sell off to get out from under the big home loan? The sellers being free and clear would be the biggest gift you could give them.

Its a tougher market these days....even 110 is probably high but maybe it works. GL you sound very honorable and just trying to help them out. Best wishes to you and them.

GS

I have sold homes both ways. I move a lot due to my job so selling on my own was the only way to make a profit which I did on my 2 successful FSBO's. I lived and worked in the town and I was pretty successful marketing the properties even before I listed them. Sold both properties in one month the 2nd one on the 1st day I put the sign in the yard. I had the time and connections to sell by FSBO. If you don't you'll drive yourself crazy trying to be a realtor i.e. properly market, call brokers and do open houses and showings. At that distance I say use a realtor. The lost thought is after location location location its all about price. If you really want to sell it and can afford a small loss cut your losses. The chances of just trying to make a dime in a scenario where there isn't much equity may end up very costly to you. An effective realtor will get it sold. GS

Hi Brian, in my late night scouring of properties I've stumbled on to a wholesaler out of Texas who buys distressed properties then owner finances them at a great discount with a quick close. That sure seems like a GREAT way to get started. Is that similar to how you operate? GS