All Forum Posts by: JaBrie Lindsey

It seems like every broke wanna-be investor eyes wholesaling as their road to riches, hyped up by marketing gurus selling dreams. Can you elaborate on how it was a rookie mistake for you?

You hit the nail on the head.

Rookie mistake was falling for the Guru marketing and NOT having a business plan. While possible, wholesaling as I’ve learned is just another avenue. The educated investor focuses on long term wealth and not quitting. I can see the reward over time, something I couldn’t do at the beginning of my journey.

Bills need pay ! Hahaha

-JaBrie

0 Votes

Norfolk, Virginia

Quote from @Nathan Gesner:

Quote from @JaBrie Lindsey:

Thanks for sharing your journey and tips, JaBrie!

It’s the first of many. I appreciate you reading up !

-JaBrie

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Norfolk, Virginia

I was broke, fresh out of college and found bigger pockets after deciding if I need to pay back student loans, or invest in real estate.

I started to look for immediate cashflow so after reading the Ultimate Guide to Real Estate Investing - Bigger Pockets Edition, I picked wholesaling.

Rookie Mistake.

So, to hurry up, 3 YEARS later I am an accountant and work at a real estate company in Hampton Roads, Virginia.

Here is my new mindset looking back:

1. Get a high paying job, and keep applying to higher paying positions. - you're really after cash.

2. Study your favorite method (mine is Vacation Properties) and dont worry about anything else.

3. Get an LLC AND business License and bank account and learn to work with an accountant (my bias is justified).

4. Start RENOVATING your own apartment or home, and save money for losing your security deposit because you're not getting it back.

5. Write down a step by step guide for yourself* on how to secure your first deal.

Starting at point #4, this is the highest return on investment you can ever get just starting out. By hiring contractors, understanding costs for renovations and After Repair Value (ARV) you will begin to understand the true costs associated with earning a living and how long these things will take. You can use your knowledge AND enjoy a newly renovated living space.
The Gurus are just selling you basic information that you can learn more quickly by doing it yourself.

A DIY project is the #1 way to gain experience and benefit from keeping your money and improvements.

Im about to earn my first deal, which will be an AirB&B at my apartment, AND buying a Live in Duplex Flip and househack at the same time.

Good luck.

2 Votes

Norfolk, Virginia

Originally posted by @Brian Pulaski:

Originally posted by @JaBrie Lindsey:

Find 10 propertiesthat recently sold in the same neighborhood in the last 6 months on Zillow.

Average them up. that's ARV

Mao is your max allowable offer = ( 70% x ARV - repairs) - your finders fee.

This isn't not really accurate for getting a good ARV. She needs to find similar properties with similar size, bed count, bath count, in comparable neighborhoods. The houses should have also had updates as close to what would be expected of her wholesale house.

Once you have these "comparable" houses, she needs to then adjust her property (with the after repair assumptions) up or down depending on the comparables stats (adjusting for SF, acres, beds/baths, etc). Once you have done this with all the comps (I like to find minimum 3, up to 6-7) then average things up.

After that, the 70% example can come into play.

Thanks Brian. A more advanced approach from a pro, much appreciated

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Find 10 propertiesthat recently sold in the same neighborhood in the last 6 months on Zillow.

Average them up. that's ARV

Mao is your max allowable offer = ( 70% x ARV - repairs) - your finders fee.

0 Votes

Originally posted by @KJ L.:

If you're saying you're going to have $6k cash available for the down payment of the property, you might want to discuss with a lender what they recommend you having available in liquid assets for a home purchase in LA. Its really hard to find a house for less than $400K in LA property in decent condition or in a decent neighborhood and even with FHA financing you'll need at least $15k-$20k cash to cover downpayment, taxes, insurance and closing costs.

Begin searching through Los Angeles Zillow listings so you become familiar with the prices, neighborhoods and types of homes available in LA. That will help provide some direction.

MUCH!!! respect -

I felt like 6k was low. But 15k is not impossible either and i believe if there’s a will there’s a way, especially for those who seek knowledge,

Like I said I work like a dawg! But thank you so so much for pointing me in the right direction.

- Sincerely

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good afternoon,

This is perfect information . I can use this to build my foundation because the clock starts now. I have 12 months to make my dream a reality.

I’m a simple man: i have a job that will transfer me based on performance, however I will find another place to be a 1099 easily... I want to work, study, and enjoy the city so I’ll never be home but I do want a clean place with 1 garage port or at least a driveway. 4bed and 3 bath enough for 3 other tenants . Small yard

I want a nice place with my own bathroom and regular appliances.

Tough neighborhoods don’t scare me I was born into one , as for my tenants idk.

I plan to have 6k. Cash

Also, luxury is not the only preference, it is just what I have learned is the best long term option. I’m not a slouch Renovating and doing hard work is also something I’m actually looking forward to.

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Originally posted by @KJ L.:

Hi @JaBrie Lindsey, congrats on recently graduating. The first question to ask is whether you'll be transferring your job to LA or will you be unemployed and looking for a new job since a w-2/1099 will factor into your ability to get financing? How much do you have in liquid assets to provide as down-payment? Also, what do you consider a "luxury property"? You should speak to a lender first and see if how much in loans you can qualify for and then compare that amount to the neighborhoods and property types in Los Angeles. The LA market is different where a multifam in a rough neighborhood will run you anywhere from $450k - $3MM depending on the number of units, the condition of the property, whether you're inheriting low rent tenants, and how bad the neighborhood is. In a decent neighborhood, single family homes (like a 3/2 - nothing fancy) will run you $800k+. Talk a lender first and see what your options are and then you can pivot or adjust your goals according to the information you receive. Hope this helps.

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Originally posted by @Melissa Mendoza:

@JaBrie Lindsey Any goal is realistic. Question, since you have no credit cards, do you have any credit? Credit scores are often determined by how many accounts you have open and how long they’ve been in effect. Also househacking in LA is very possible but what you first need to do is set clear goals on what you want. Get as detailed as possible. This is a good place to start.

Perfect . My timeline is to close on the house September 1 2018 and move in. I have a full 12 months.

I want a 4. Bdr 2.5 bath around 2000-2500 sq. Ft.

This reply puts me into the right direction. I only know the end goal and a few of the beginning details. My goal is to have 6k cash but then and have already started saving.

As long as I’m in LA with decent Tenants paying the total mortgage and utilities I’m perfectly fine with anything I can get “easily.” I plan on being very active away from the home

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Good day,

I am a recent accounting grad with 2 Jobs. Payroll associate and barbering.

I am interested in moving to La or graduate school in France. Whichever comes first

But if I do move to Los Angeles first, I would want to house hack a luxury property or whatever nice I can afford.

I have student loans around 40k but I am opposed to car payments and have zero credit cards.

Is my goal realistic, insane, or easy to accomplish?

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All Forum Posts by: JaBrie Lindsey

JaBrie Lindsey has started 2 posts and replied 10 times.

Post: The Cheapest way to start House-Flipping

Post: The Cheapest way to start House-Flipping

Post: The Cheapest way to start House-Flipping

Post: Determining ARV New Wholesaler

Post: Determining ARV New Wholesaler

Post: Recent grad - HOUSEHACK hopeful

Post: Recent grad - HOUSEHACK hopeful

Post: Recent grad - HOUSEHACK hopeful

Post: Recent grad - HOUSEHACK hopeful

Post: Recent grad - HOUSEHACK hopeful