All Forum Posts by: Greg Gerken

@Bridgette Delva yes it is a complete gut and remodel. I know about the construction loan. But it takes a certain contractor to deal with that, I was curious if there was any loans that would allow me to GC the project?

My wife and I have found an old farm house that we have a cash agreement on..... I know about rehab loans, my problem is it requires a certain contractor that’s familiar with the process. Do I have any other options on financing the rehab, I live in PA and could def GC the project myself but the bank won’t allow it. Is there a way around that? What are my options?

@Chris Seveney what happens if the appraisal comes in lower than what she owes, which I now believe it will. So she owes 89... the appraisal comes in at 70 (for example) and she has 75k worth of judgements. Could she liquidate her other property to satisfy those judgements on the first property?

@Jason Coyle thanks he’s a contractor and I actually work for his supplier as a sales rep so I understand fully the construction business plus I know the ins and outs of getting the best deals with vendors.....basically he doesn’t know the sales side, the real estate market etc... I do and he has the money and crew to do the work

My contractor has the money and wants to partner with me.... he wants me to find the deals, negotiate the deals, design the flips, negotiate material costs, sell and market the house. He’ll fund the deal and do the work.

How do you structure this?

Should he charge for labor?

What should be the splits?

Should he just lend me the money take interest and labor and a small percentage after sale?

Thanks

I’ve been looking to do my first deal for quite a while..... I’m well versed in house flipping, I’ve studied, networked, educated myself etc....I was approached by a contractor friend of mine who shares the same goals. He is a general contractor but knows nothing on the real estate side. I’m currently in school to obtain my real estate license, and have been studying my local market and going to meet ups for a while now. He’d like to partner up. He has access to enough cash to fund a flip. He can do the work. I need to find the right house, run the project, market the house for sale etc.... what is the best way to structure this partnership?

I’m currently trying to buy a house with 76k of judgements against the owner. She owes 89 on the Mortage I’m offering 95k.... she owns another property... is it possible to transfer those judgements to that property?

I’m currently trying to buy a property that the county tax assessment office values at 170k I want to pay 95k and on another deal fix up another property this person owns to get her moved into. She is recently widowed. I was told that buying that property at that price would raise questions with the tax assessment office or something along those lines..... why would it matter what she sells the house for. Plus the condition of the house would never appraise for 170k.... does anyone know what I’m talking about? Does it make sense?

So my scenario is this... I was approached by a friend/ customer in my current job to partner up in an investing buisness. My friend owns his own company as a contractor. He wants to flip houses. However he knows nothing about real estate, selling, buying etc. He also has the money to do this. I have been looking to get started for a while in this, currently getting my realtors license, know my market in and out, have the contacts, I’m a salesman for a living currently. I just don’t have the extra money.

What would be a fair set up? Is it enough that I find the properties buy them with his money at like 10% interest, contract his company to do the contracting work... then profit off the rest... also I would be buying under my own LLC? Should I be doing 10% interest and then percentage after sale? I'm just not sure what's fair.