All Forum Posts by: John Horner

I am very curious what niche market of renters are willing to pay 15% higher rents?

... also not trying to burst your bubble at all, I think literally every investor starts out asking this question, they just don't all have the balls to ask it publicly, good for you, that's what BP is for! You're taking steps in the right direction!

So we've agreed creative financing is the way to go, how do you plan on finding these deals???

Every investor I know agrees that seller financing is the Holy Grail of financing... and they're all looking for it!

I have only been wholesaling for a few months now but I have talked to hundreds of leads in that time. I have wholesaled a couple of them, but ultimately exactly ONE was willing to do a lease option or subject to because they were so distressed.

I spent about $1200 on internet marketing and direct mail in my first couple months to find these deals, so there is a cost even to find motivated sellers.

It's not like you can hop on the MLS and find a deal like this, and anything from a wholesaler will require some sort of assignment fee and closing costs.

Way to take action, don't be discouraged, Christmas is tough.

Listen to Michael, he knows what he's talking about. I sent 600 postcards out to a very similar list 2 months ago and I got about 8 returns after 3 weeks, the other 7 returns I picked up today. That goes to show that half of the letters took more then 3 weeks to delivery.

It seems odd that the owner set this up not long ago and is now ready to throw $43k out the window, that doesn't sound like a smart investor, or they have ulterior motives.

I would dig a little deeper to find out his motivation.

I think for a rehab this big it's most important to have very accurate numbers. Get multiple quotes from contractors to get a good idea of where you should be. $80k-$100k is a big difference.

Nail down the numbers and if the profit is worth the risk, go for it!

Thanks @Steven Hamilton II , I appreciate the detail.

I am currently marketing for motivated sellers and wholesaling the properties that I put in contract.

My future goals are to keep as many rental as possible. Ideally I would pay cash, do any repairs, and refi shortly after at 80%, or wait a full year and refi for 100%.

I started this feed because I still have a full time job and have a substantial sum in my 401k. I have taken small 401k loans before so I know how they work. I have considered this as well!

Thanks @Jon Holdman , I don't know what I don't know :)

Has anyone ever encountered a institution that would secure a line of credit using a current 401k as collateral?

I am considering a 401k loan or transferring to a SDIRA, but my goal is to purchase cash and refi shortly thereafter, so a line of credit is all the short term financing I would need.

Has anyone in the Columbus, Ohio area talked to any small local banks or credit unions who are offering less then 20% down on rental properties?