All Forum Posts by: Jared Polk

Investment Info:

Single-family residence fix & flip investment in Ontario.

Last deal was a joint venture w/ another investor/realtor. It's been a long time and I lost the info/photos on my old computer but basically over about 3months from purchase to sale, we took a 3br 2bath and added a br, new paint, carpet, few other cosmetic upgrades and cleared about 50k profit.

What made you interested in investing in this type of deal?

I attended a seminar by Armando Montelongo (it was actually awesome but I hear he's unfortunately fallen on hard times) in the middle of the Great Recession and we toured the Inland Empire where we became very familiar w/ a few neighborhoods, costs, etc. We learned a bit about rentals but mainly flips and so it was what I was more confident in executing. Oh, and this was at 25yrs old!

How did you find this deal and how did you negotiate it?

I actually came across a post on a forum Armando used to have on his website by my future partner and after meeting him, seeing the property, and running the #s it was an obvious opportunity and my partner not only managed the rehab but for every dollar he went over our budget, covered it AND through in his commission as a realtor on the sale.

How did you finance this deal?

My late father and I bought it cash. Well, my father did and cut me in for finding the deal and dealing w/ our new partner.

How did you add value to the deal?

Adding another br and cosmetic rehab.

What was the outcome?

Successful. Cleared about 50k after just over 3months start to finish.

Lessons learned? Challenges?

By adding a br, we increased value BUT we ended up w/ nowhere to eat! The house stayed on market probably another month due to this and some of the value was lost.

Thanks guys, 

I am already attending events but figured it can't hurt to post in BP. I honestly have attended 4events in past 2 wks off Event Brite or Meet Up and 3/4 were bogus.  I did just join a Mastermind Group so I'm optimistic about that!

Hey Stephanie,

Welcome to BP and thanks for your post. I'm in the area and currently looking to do a flip in Inglewood/or LA. Let me know if you have any leads and lets put our heads together to see if we can make some money!

Hey BP,

I'm an aspiring REI with one flip under my belt a few years back in the Inland Empire but am currently focused on the Inglewood/Los Angeles Market. I've got a great contractor and am willing to put in the time to make something happen but am looking to add value to something, not just grab something retail and hope for the best. Any wholesalers or other investors looking to partner up and make some money, please call or message me so we can discuss strategies. Thanks!

Hey Rachel,

Very interesting idea. Can I ask why you think renting to these types of programs is the way to go? I'm asking because I'd had a similar idea, although on a smaller scale but really never thought it all the way through. I actually know some people who've worked with some similar places and it just struck me as a great way to have nearly 100% occupancy, due to the need.

Lots of great insights! I've been trying to find a MF in the LA area but am having trouble finding a deal that would be profitable, plus my partner and I have start up capital and great credit but not much w2 income so we've been told that we'd have to go DSCR w/ a 25% minimum down payment which sure squeezes the benefits of doing a deal from the gate. I've been reading alot of positive experiences w/ flips and house hacking and I'm starting to think thats the way to go.

I'd like to do a Live in Flip/House Hack in the LA area. As I said, we don't have much w2 income but have about 80k bank statement income and 300k+ in stocks that can be leveraged or drawn from. If anyone can give me some tips on how to go forward I'd appreciate it!

Thanks for your insights, Ken! She has 807 credit, income, and no debt so I don't foresee an issue with the assumption but who knows? She's planning to wait until she's pre approved for the assumption before taking his name off the loan. Would you recommend doing it any differently? I appreciate your time.

Thanks for the tips but I have a question: I recently applied for a loan to get pre-approved so I can start looking for a 4plex in LA but do to getting paid under the table, i have neither w2 nor 12months of bank statement to prove my income. I have 300k of stocks that I can either leverage, liquify, or barrow part of for a down payment.

My girlfriend is in the process of getting her ex off the deed to her primary residence/assuming the loan and wants to hold off on applying for any loans until it's wrapped up in the next few wks. The lender is spoke to advised me to to wait for her to apply with me since she has w2 and bank statements going back yrs. I really want to get the ball rolling but am stuck. Would your last tip about setting up a corp. to "pay" me a monthly income work for me or should I just put it in park? Thanks!

He has just agreed to take his name off the deed and she's just waiting on the paperwork to assume the loan. Due to his behavior in the past, she's not taking his word that he'll do his part and is insisting he take his name off the deed, first. That will take away any ownership of the property and then she can settle with him after. Lucky for him, she has integrity and is planning on still giving him a substantial sum after his name is off the deed, since at that point he'd be standing on air.

She is already in the process of assuming the loan at that rate however she will have to pay out of pocket for him to walk away. I need to run the numbers to see which option would be cheaper (cash out refi or pay cash) for the money needed to get him off the deed.