All Forum Posts by: Ben M.

@Ben M. That is really going to depend on what your contract states. Some wholesalers will offer a property as “net to seller”, which means that the seller walks with whatever amount is agreed to on the contract. If the contract says the deal is net to seller, or that the buyer pays all closing costs then you would be paying more in fees than in a traditional closing.

If the contract does not specifically say that you have to pay seller closing costs, then you do not have to and you will pay traditional closing costs  

I would review your contract to see what it says about closing costs. If you are already in contract you can also ask the title company for clarification.

This looks like a tear down to me. I’d rather have an empty lot.

There are enough cosmetic rehabs (sometimes including roof, windows, siding) out there that I don’t get involved with huge rehabs like this that could tie up me and my cash for far too long. 

Howdy BP Fam!

I'm looking to owner occupy a duplex in Houston (would prefer a 4plex but I can't find any turn key properties in my price range). That said, I've decided that a "turn key" property would be my best bet. So my question is... do Yall think it's possible to get ANY cash flow with these current rates and home prices? When I do the math it just doesn't seem feasible... and cash flow is what I want. Does that mean right now isn't a good time to buy? 

Also, I would prefer to put 3.5% down or at most 10%., but With so little down I believe I'll have to pay PMI which will also drive up the cost. Not sure if I should wait/hope I find something with a better cap rate "eventually" or if I should just buy and know that eventually my property will appreciate.... and if I'm able to refinance at a lower interest rate....then at that point I'll be able to make cash flow. Since it's gonna be owner occupied for hopefully as long as possible I'd prefer to live in a place I actually dig.

@Ben M. IT'S NOT THE COMMISSION IT'S CONTROL!

Think about, how much of the commission does the PMC actually get to keep and how much do they pay their agent?
-Usually, the majority of a sale commission will go to the agent!

So, as others have stated, it's really about having to deal with a pushy Realtor that treats the PMC badly.

There are legitimate liability concerns:
- Tenant's possession(s) go missing during a showing
- Prospect is injured at a showing and sues EVERYONE
- Realtor shows up at tenant's home and strong-arms their way into walk-thru or showing, causing tenant to file lawsuit for violation of their privacy rights.
- Etc.

Our contract states we charge owners $50 for any appointment NOT related to property management. We also will NOT give a listing agent a key to the property or tenant contact info while we manage it.