All Forum Posts by: Jason Richey

Are your parents going to pay for it 100%?

I was speaking rhetorically. Based on his post here he just comes off all wrong.

HOWEVER... looking at his profile he's got quite an impressive portfolio so clearly he knows his stuff and he's just presenting himself inefficiently. 

He obviously has quite a lot to offer: 

• 7 years of investing since 2010
• Experienced in single family and commercial rental
  
• 10 flips under his belt

I mean he's no Grant Cardone, but he'll get there. I can see how from his perspective people would be fools not to take him up on the offer, but I think he needs to work on how he markets himself to those people. Had I not bothered to check his profile I'd have simply written him off too.

Marketing is everything, be the kind of person you want to attract and they'll flock to you

Just my thoughts on the subject, but it sounds like you're more upset that you paid top dollar for what is essentially a trade-school education and are projecting that frustration. Maybe I'm way off​ base, but you sound exactly like a guy I know that is perpetually friendzoned by women even though he has a great career and by all objective marks should be great boyfriend material. Just reading your post here you already rubbed the wrong way because it feels like you are coming from a place of entitlement with the presumption that your big expensive education is worth something, and I'm not saying it's not, but flaunting it around while simultaneously admitting you can get the same education for free right here on BP just didn't feel right. Like I say to my buddy that blames women for not liking him, maybe the problem isn't them...

Probably the right decision in case

Thanks for the responses and insight into liens​!

Pretty sure the rule is to never fix a property you don't​ own. Maybe contract your labor out to the seller so you at least get paid for your time if the deal falls through. Could always waive your fees in the purchase agreement.

Say a property has a lien on it, now everybody collectively say "don't buy it", but jokes aside if a seller can sell a property with a lien on it then what real threat or problem does a lien pose? If I can buy it with a lien on it then can't I just turn around and sell it while ignoring the lien too? I don't have a property in mind, it's just a thought I was pondering and couldn't figure out what a lien actually does.

So was anything actually wrong with it other than being a little bent out of shape?

It sounds to me like you know your stuff, so if you know they spent less than 50k fixing the place up then my question becomes:

Did they get a deal on the property when they bought it?

If it's a $130,000 property that they got for a steal at a hundred grand, dumped say $40,000 on, and its present market value is $150,000 then I would agree $145 is a fair price for a turnkey ready property as long as you literally have to do nothing to it but turn the key and move your stuff in. But it's still a rose in a vegetable garden. I'd like to buy a wilting tomato plant and nurse it back to health, in a rose garden preferably.

( this analogy being A class neighborhoods are rose gardens & B class neighborhoods are vegetable gardens, both good gardens.)

Could it be divided into a duplex? If I could live in half and rent the other half out to complete strangers that would be a selling point. I'm not a big fan of communal living personally, but to each their own.

Regardless, get someone you trust and with experience to check over your numbers before you submit the offer and be sure to have good "subject to" clauses in your offer in case they accept it and you need to back out later. Things like ability to obtain financing, business partner's approval, cat's approval, etc sorry, been reading too much Robert Kiyosaki lately

Regardless of what the owners want to imagine it is worth, your job as an investor is to assess what it is actually worth with hard numbers and offer accordingly. It is entirely possible to spend $50,000 on updates to a house and end up with a house that is worth the same price or less than you paid for it.

My cousins for example bought the house I live in today around twenty years ago for $90,000, fixed it up fixed it up, added a bathroom, rented it out for a decade, and last year I bought it off them for $90,000. It's only worth what people are willing to pay, which is why your house here has been on market so long.

If you are absolutely in love with it then snatch it up, love isn't logical and you must act on impulse if it's really love, but if you want to make an investment then run the numbers. 

Based on what you told us so far it's just an expensive house in an otherwise reasonably affordable neighborhood in a college town.