All Forum Posts by: Justin Ellis

Hi Joey, I think if you're going to do the addition of a master anyway, it would be silly not to put a bath in there. I'm not sure how that will affect property value, but it will sure help in finding renters. If I were searching for a place to rent for my family of 4, a 3/1 isn't even worth a look, matter of fact I probably wouldn't even see your property in a search because I would set the parameters such that it only show me 3+ br and 1.5+ bath. And with the minimal difference in expense, I say go for it! And as far as what troubles you could run into, I would think permitting would be the biggest struggle (that's not speaking from experience, just what I've heard). Good luck! 

This concept got me excited, so I started looking on Google, check this out!

http://www.oldcalgary.com/retro-kitchen-appliance/fashionable-retro-kitchen-appliance-stunning-brown-wooden-cabinets-kitchen-chic-curve-orange-fridge-kitchen-cool-orange-stove-between-counters-stylish-orange-oven-under-stove-charming-orange-dis/

I think hipster is making a big push in AZ (at least in Tucson it is). I really like the concept of freshening the place up while leaving in some of the components from the past. You could market it as "retro chic" and get a higher asking price. And for the record I say keep the stove but see if you can get it refurbished, maybe in a bright red!

Those rents are pretty typical for the area. However, I still think this deal has potential to be repositioned as college housing. I clocked it a few days ago, 1.2 miles to the UofA, or a nice bike ride. I do worry about the lease term issue on something like that however. Another option someone brought up to me was section 8. She has 5 rentals and she gets a religious check from the gov. Obviously this has its issues as well, but a thought. All that said, yes I think throwing out a confident low ball offer is the only way to make this deal a gem. I'm going to approach it as if I've got a serious cash partner who's interested and will pick it up right now for "insert low ball offer". And if I get interest then yes, I will absolutely need a partner on this. I'll let you know how it goes! Thanks for the input.

Those rents are pretty typical for the area. However, I still think this deal has potential to be repositioned as college housing. I clocked it a few days ago, 1.2 miles to the UofA, or a nice bike ride. I do worry about the lease term issue on something like that however. Another option someone brought up to me was section 8. She has 5 rentals and she gets a religious check from the gov. Obviously this has its issues as well, but a thought. All that said, yes I think throwing out a confident low ball offer is the only way to make this deal a gem. I'm going to approach it as if I've got a serious cash partner who's interested and will pick it up right now for "insert low ball offer". And if I get interest then yes, I will absolutely need a partner on this. I'll let you know how it goes! Thanks for the input.

 The realtor said they had an offer on the place about a week ago. I'm going to follow up and see if it went through. If not, may give me some leverage to get the pricing down. The owners are leaving the country and I'm sure they want this gone. I'll let you know after I talk to the realtor!

I'm in Tucson, AZ and I want to flip .. BAD! I can handle every aspect of finding potential properties and coordinating a rehab but I need someone with money and preferably real estate experience to back me. I'm an intelligent, passionate, hard working guy that's looking for someone to take a chance at building a great partnership. Once I get my first property bought, rehabbed and flipped there's no stopping me! Just sit down with me and let's talk.

I've been looking around for my first property to flip and I found one that I think could yield a nice return when fixed up. According to the realtor, the buyer is ready to sell and will entertain a lower cash offer. Which brings me to the money. I'm looking for a hard money lender or private money lender to start a relationship with here in the local market. I talked to a local (Traditional) lender and he said he's got some HML's but they will only lend at 70% of the purchase price, no matter what you get the deal at. I'm looking for someone who will fund based on a percentage of ARV including rehab costs or maybe a partner, with cash, to go in with me 50/50.

They will not let me get the property under contract without proof of available funds, so I'm not even sure if THIS deal will play out, but to avoid this lag in the future, I want to have a lender relationship available for the right deals.

 I like the look of this. Stone on bottom and tan shade stucco on top...

http://s105.photobucket.com/user/cbrob_2006/media/...

Rocks and a few mesquites and cactus and you're the best looking on the block. Dont blow your budget on the exterior though if the insides need work. In my opinion, interior renovations would help with retention more than exterior. Definitely post after pics!  

Thanks David! And yes, the seller is moving out of country. They've owned the property for 10+ years and it was recently reduced from $299, so I think there may be some wiggle room. But in Roy's analysis it's showing a 10% CAP rate (loosely) and what I'm trying to figure out is what an investor in this type of niche looks for on returns. You mentioned it seems pretty weak, so what types of returns would you look for to make it a viable property?