All Forum Posts by: Garrett Diegel

My answer is NOPE. But that is totally an opinion. I believe with the info available and a TON of effort you can learn everything you need to know. The idea of paying $$$ to get a quicker, packaged, education sounds easy but it was never my path. But, to each their own. If it is worth it to you and will get you started go for it.

Sounds to me like a pretty minor fix for a few hundred bucks. Get it done and move on to the next project.

@Mindy Jensen Too bad you don't have a remote position, content creator, ambassador program, etc. I would be all over that and more than happy to work with BP in any fashion possible. Good luck in the search for amazing people to help BP, I am sure there will be many great applicants. Plus, YES, Denver is AWESOME! 

I have to question your mentor if you are questioning him yourself. The right time is now. Get started but do your homework and make the most educated decision you can. Find the deal and ask everyone what they think!! Mentors, BP members, CPA, etc, everyone!! They will all give you different opinions but it will help you determine if the deal is there or not. If it's there, buy it and get started!! 

@Mario DeGrazia - I'd love to hear how you estimated your rehab costs. We are needing a better system to estimate repair costs etc when purchasing

We are in the process of building a lending package that can be provided to lenders up front when we are asking for a loan. What would you include in this package when you meet with a lender? Taxes, profit loss, asset to liability list? The idea is to be proactive here and show the lender that we mean business and are professional. 

We have one 3 family that, looking back, I wish we would have included rehab in the total purchase price from the hard money lender. Instead we paid for the "must fixes" and let most of the rest go. Now, we are coming back and fixing pieces here and there as money allows. Currently we are replacing the roof, gates, and fencing. Total is about $13,000. We are have decided to get a unsecured loan to cover the cost of the repairs and pay the loan off with the tenants payments that come in. This was our first deal so the structure is not ideal, BUT, we bought it good enough that we have low vacancy risk (tri-plex) lots of monthly reserves (cap-ex, maintenance, vacancy) and the purchase price was low enough that we should still be at 80% LTV when we go to refi next year. Again, the structure and numbers are not perfect but we learned a lot on this deal and will at the end of the day still make money.

The property we are currently doing will need approx 10-15k rehab. So, on this one, we financed $5000 of it into the hard money loan and may use our own funds or another loan to cover the additional 5-10k. Then, we'll refi back out next  year and get our money  back. Much better on this one but not because of the deal, because of the experience we have gained from prior deals. I'm sure our next one will be even better. 

Thanks for the vote @Angela Yan - It really is a great part of the country with a ton to offer both in the city and in the surrounding areas. Outdoor lovers dream for sure. Shoot me a message anytime :-)

I would advise everyone to do their research but sometimes the WANT and DRAW of wanting to get started in REI when we may not have the correct means will push investors to do things that might skirt what is considered legal or advisable. Remember the tulip craze, when everyone wants in SO BAD they will do just about anything to get in. Even if it will lose them money. My advise? You did great it asking the question. Just take the responses how they come and use them to learn constructively as you move forward.

@David Lecko - thanks for the info! An automated CRM of any kind seems like a must have these days. Once we get our mails system up and running we'll work on setting up the system to handle the "22" calls that come in for example :-) Looking forward to watching your journey !