All Forum Posts by: George Firn
George Firn has started 4 posts and replied 17 times.
Post: General Contractor recommendation in Ypsilanti
- Ypsilanti, MI
- Posts 17
- Votes 6
Hi BP,
I'm looking for a General Contractor who can look at a possible flip with me in Ypsilanti and help me estimate the rehab cost. If anyone has any suggestions I would appreciate it. I haven't actually been inside yet but it looks like it will need a kitchen remodel, maybe take out some walls, additional drywall repair, full interior paint job, hardwood floor refinish. Maybe more, not sure until I can get inside. Approx. 900 sq/ft, 2 bed, 1 bath, single story with unfinished basement. Let me know if I've missed anything vital.
Thanks,
George (from Ypsi)
Post: Cash on cash return - what do investors look for in Michigan?
- Ypsilanti, MI
- Posts 17
- Votes 6
@Joe Villeneuve did I mention I'm new at this! :-) Thanks for your input, it is very much appreciated, as a newbie it's hard to know what strategies are even available. You don't know what you don't know kind of thing. I can use this to start learning what the particular strategies actually entail so I can learn when and where a particular strategy makes the most sense.
Thanks again,
George (from Ypsilanti)
Post: Cash on cash return - what do investors look for in Michigan?
- Ypsilanti, MI
- Posts 17
- Votes 6
Originally posted by @Joe Villeneuve:
First, your assumption is partially correct. I say partially, because that is only one of many ways to get your cash back out fast. The key isn't as much the "exit" strategy, as much as it is the "entrance" strategy. I'm always thinking about the next "entrance" whenever I do a deal...then, I reverse engineer from there, coming back into the investment I'm doing from the back door (exit) and to the entrance of the property in question.
I analyze as if all the properties are tied together. Not like a string (straight line), but as an exponentially expanding "tree". My cash is working for me. It goes in the front door, and out the back..."with friends".
Oh, and what's Golden Rule #2? Never forget Golden Rule #1.
Joe,
What are some of the other ways you get all of your cash back out of a buy-and-hold in the first year?
Thanks,
George (from Ypsilanti)
Post: New Member in Ortonville Michigan
- Ypsilanti, MI
- Posts 17
- Votes 6
Originally posted by @Gregory DuFour:
Hello All,
I have been ramping up to get started in investing. Trying to do all of the right things, got incorporated, got an accounting firm to setup al of my accounts, sat through a couple flipping seminars...
Now I need to buy some property. I see houses that look like good candidates, but I am having a hard time reaching the owners. Either they don't respond to phone calls of the house is vacant and no lead on who the owner is.
Does anybody have any advise for me to get the ball rolling? I am also trying to find a good source to find templates/forms for purchase agreements and lending agreements.
Any help will be appreciated!
Thanks,
Greg
Greg,
A good place to start looking for the forms you want is the biggerpockets file place. They might not be Michigan specific but I would say that's a good place to start looking. If you have any doubts about the legality of them you should have them looked at by an attorney who specializes in real estate. Best of luck to you!
George (from Ypsilanti)
Post: #34 purchased today in Redford, Michigan
- Ypsilanti, MI
- Posts 17
- Votes 6
Originally posted by @George P.:
Originally posted by @Guru Thapar:
How much did you buy it for?
sorry, meant to mention it, then slipped my mind. got it for $60k. @Account Closed
Congrats George! What are you expecting for it to rent?
George (from Ypsilanti)
Post: Cash on cash return - what do investors look for in Michigan?
- Ypsilanti, MI
- Posts 17
- Votes 6
Originally posted by @Aaron Treloar:
Hi, @Bryenne Korte. I invest in Kalamazoo County. I personally like to see at least 15% $/$, among other criteria.
Aaron, what other criteria are you looking at along with cash on cash return? Anyone else have other criteria you are looking at besides cash on cash return?
Thanks,
George (from Ypsilanti)
Post: Tear down and rebuild
- Ypsilanti, MI
- Posts 17
- Votes 6
Hi BP,
I have a lead on a property in Canton Michigan that is in a great location surrounded by newer homes that have sold from 296k up to 425k. The house on the property is small and not in very good shape so I think the best option is to tear it down and build new. A realtor friend of mine did some checking and fully fixed up it would only sell for 100- 130k tops. I've never done anything like this so I would like to hear what you think.
What are some of the options for going about something like this? Are there builders out there who would build on the property and share the profit with the owner or would the property owner need to fund the build?
What does it actually cost to build a house that would sell in the 300-400k range? What other costs are involved? The house is on public utilities so that wouldn't need to be added.
What other questions should I be asking?
Thanks for your input!
George (from Ypsilanti)
Originally posted by @Emilio Trejo:
I have read that I may use my 457 retirement fund to purchase real estate, where do I begin?
Welcome to BP Emilio, you've come to the right place to learn about real estate investing!
I just finished listening to the 200th episode of the BP podcast, Brandon and Josh did an excellent job detailing the steps every new investor interested in buying a rental shold go through in order be successful. I highly recommend you take the time to listen to it as well as checking out the show notes here: https://www.biggerpockets.com/renewsblog/bp-podcas... it's a great place to start. Good luck to you!
George (from Ypsilanti)
Post: Wholesaler in Michigan (Wayne Oakland Macomb county)
- Ypsilanti, MI
- Posts 17
- Votes 6
Fady,
I'm a new investor, from the Ypsilanti area as well. I'm still looking for my first property, my plan right now is to use the equity in my personal residence as a down payment and purchase using a traditional mortgage, (I'm just waiting on the pre approval letter). I'm looking for a SFR as a buy and hold investment, either a 3/1 (because that's what the majority of the houses are around me), but preferably a 3/2. I really like the idea of Brandon's BRRRR method and am planning on making offers on MLS properties once I get my letter. As of right now I am looking in a few specific neighborhoods here in the Northeast corner of Ypsi Township. I would be interested in learning more about the types of deals you are finding, I would not be apposed to purchasing a house in need of repairs in order to get in under market value and have instant equity in the house.
Thanks for reaching out and good luck to you.
Kind regards,
George
Post: New Yorker looking to invest OUT-OF-STATE!
- Ypsilanti, MI
- Posts 17
- Votes 6
Originally posted by @Joe Villeneuve:
Originally posted by @Eric DeVito:
I understand your point but if I don't have enough capital that is a issue. If I only have 20,000 then I shouldn't be looking at million dollar properties. That being said what areas do you suggest to invest in as a fellow New Yorker?
Find investors that need GAP or Bridge loans. Keep running that $20k through them until that $20k grows enough to make another $20k in profit. Keep the original $20k doing the GAP/bridge dance, regenerating profit. Take those profits, and find REI that have equity in rental properties that they are willing to sell to you. You step right into a cash flow deal, without having to make any offers or do any rehab, and the original REI gets access to some of the cash they put in without refinancing.
Joe,
Could you explain what a GAP or Bridge loan is, how you would go about finding investors looking for them and how you would vet the investors/deals?
Thanks,
George
(New investor in Ypsilanti)