All Forum Posts by: Ian Broadie

Thank you so much for the advice! @Brian Compton

I have a duplex under contract and I was intending on using a FHA 203K loan with 3.5% down. However, due to the fact that I've been in real estate just over a year, I can't use my income so I ended up needing to use a cosigner (if FHA didn't require this and could use my income I wouldn't have a problem at all). Apparently, I now need to bring 25% down, and that isn't going to be an option. I'm talking with another lender about possibly doing 5% down conventional with a construction loan, however I'm now looking at using a hard money lender. I know bigger pockets has an area that helps you to connect with hard money lenders but I can't find it! If anybody can help me with that or refer me to anybody I would really appreciate it! I have the duplex under contract for 250k and I plan on putting 100-150k into it to put on new siding, roof, updated kitchen and bathrooms all new flooring and paint and clean up the yards and this should land me at around 525k. Any help would be very much appreciated! I can't let this one go!

Good point. I'm looking into that. I haven't attended a REIA and I would love to. Can I find those on this site?

@Jeff Rabinowitz 

@Jeff Rabinowitz There will be an appraisal as part of financing (FHA loan), do you think that would be reliable? I fully intend on attempting to buy it, however I won't be able to do that until January when I can file my taxes again (financing issue) and call me pessimistic but I'm going to assume he isn't ready to sell or wants too much and prepare for the worst. If I can buy it, however, all my problems are solved and I'll be a very happy man.

I have it under contract for $250 and I'll be putting about 100k into it, so I need it to appraise for $430 to refinance with 20% conventional... I suppose I need to start investigating backup plans

Hey guys! If anyone saw my post about the tiny waterfront home... I ended up pulling out of that one to pursue this opportunity. It's a duplex in town with views of the water, what more could you want? Well I'm having trouble determining the ARV. A duplex that is not in town (though not far and close to the freeway), without a view, fixed up in good condition (looks great but no high end features like granite or anything), getting $1550 / month per side sold for $460k cash with two offers in the first week on the market. There aren't many duplex's in town and they never come available, but I think this is a good comp for the duplex I'm under contract for because it's the same size on each side, mine has a better floorplan, but only one car garage (the other has two) and mine is in town and one side has a view. They are both on the same amount of land. My problem is, I'm trying to figure out how much money I want to put into it.

Based off this comp I had made the assumption that it would be worth at least $460k once it's all done up, and only higher if I fixed it up further (I would like to make it really nice even though I won't get as good of an ROI, just so I can get better tenants). However, I've now had a few people point out to me that the duplex directly across from it (they share a driveway) is in horrible condition and it will lose value as a result. This other duplex (which is the mirror image of mine) has trash all over their yard, the roof needs to be replaced and just generally looks very dumpy. This is the million dollar question..... but what do you think guys? How much could you imagine this other duplex dropping my value? I realize this is impossible to answer without knowing all the details, but I bought the house with FHA and at a price where I should be able to refinance into a 20% conventional once it's completed... but not if it isn't worth as much as I had originally thought. Thank you in advance for any insight you can help me with!

Hmm alright I might try bringing someone out there with me today. Thank you!

I should have mentioned that.. No I'm buying and holding (at least for the foreseeable future). I certainly want to fix the foundation and I don't want to cut any corners doing it, but is 10k a reasonable expectation for costs? I know that is a borderline impossible question to answer without seeing it. If it helps I might be able to swing out to the property today and take some pictures of it

I'm negotiating my first fixer, and the cost is getting higher than I had originally bargained for.... It's a tiny 850 sq ft bungalow on the water for a great price, but there is a huge crack in the foundation. Like 2 inches thick kinda deal. The home is a century old and I want renovate the entire interior. I have about $40k for all of this, but I'm estimating it will cost about $30k for everything I want to do. I did some quick searches online and found $5-10k should be adequate to fix major foundation issues, but because it's on the edge of my budget I wanted to reach out and ask what experience has taught you. Also, the floor of the home isn't level (assumedly due to the foundation). Does anyone have any sort of idea what this might cost and the implications it might have? I have an additional $20k in reserves just in case the world falls down around me, but I don't want to break into that. Thank you so much for any input!

Thank you, I will!

Hello everybody!

I'm an agent who focuses primarily in Gig Harbor, Washington and the surrounding areas (Tacoma, Port Orchard, University Place, etc). Investing has always been my long term goal and what motivated me to become an investor. I lost out on the deal of a century because I found it before I had the capital to do it myself and hadn't found BP yet to show me that there are so many ways I could have made it work! I've now found the next prospect and won't let it slip away again. I'd love to meet anybody in the area who'd like a cup of coffee on me. Thank you!