All Forum Posts by: Joe Roberts

I'm in the middle of a BRRRR on a property in Lithia Springs, GA, just west of Atlanta. The renovations will be done in a couple weeks and it should be rented out beginning of August.

I purchased the property in June and I with all the marketplace uncertainty and the great rates I would like to find a lender who will do a cash-out refi without the Fannie/Freddie 6-month seasoning period.

Does anyone have a local lender in the Atlanta or Douglasville area that does this kind of lending? Or any national lenders that do?

What I am looking for:

75% or 80% LTV based off appraised value

25 or 30 yr amortization

No 6-month seasoning

Looking forward to it!

Thanks everybody! I've got offers in on two properties this weekend so hopefully I am starting #3 soon!

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $101,000
Cash invested: $45,000

3/2 1080sqft brick ranch right outside Wilmington, NC. Purchased for $101k, put $45k in repairs, and just appraised at $199k! Took out a commercial 20yr amortized loan at 3.75% for $140k. Tenant signed agreement and moved in today for $1425/month. Total time from purchase to tenant was 14 weeks. Cash flow will be $250/month

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

I wanted something in the Wilmington market that would be a good BRRRR deal but would also be easy to sell if I needed an out.

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

Found it on Facebook marketplace two days before Christmas. Drove down and walked it on Christmas Eve and put an offer in the day after Christmas. Wholesaler was asking 105k, I offered 100k and we settled at 101k.

How did you finance this deal?

Paid cash

How did you add value to the deal?

Added some new floor joists and concrete footers in the crawlspace, replaced all subflooring, added LVP throughout home, opened up two walls, new paint throughout, new everything in kitchen including granite countertops, converted half bath into a full bath by adding a shower, major landscaping/tree cleanup.

Lessons learned? Challenges?

Always get multiple quotes from contractors. If you want a deal show you are serious and jump at opportunity (e.g. seeing a house on Christmas Eve). Hold out for a top-notch tenant, even if you need to drop your rent a bit. Doing more than the bare minimum to get a house ready to rent often leads to much better appraisals, better rents, better tenants and a better exit strategy if you need it.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Donald Walton closing Attorney in Jacksonville, NC is the best! DM me for a fantastic contractor if you are in the Wilmington, NC area.

@Oscar Sosa

I'm a fellow active duty local investor here in NC, and if your in Sneads Ferry I am just up the road from you. DM me if you wanna chat about local investing here!

@Sean McDonnell

Are you saying you think it IS helpful for a “full-time Investor” to have their real estate license?

@Justin Brown

Check out Crawlspace Medic, locally owned business with some great guys, they’ve done good work for me and have very fair prices.

@James P. Hill

Great post! I am forging ahead looking for properties but I am looking only in the coastal areas of Onslow as well as in Pender and New Hanover. Although I recently bought a house in Jacksonville, I don’t like the long-term outlook for the market. I don’t like to be in markets so reliant on one employer. Especially an employer with known drawdowns coming and probably more than what has been advertised.

From 2007-2017 Jacksonville’s appreciation was -12%, good enough for a ranking of 379/381 US cities. A city with a huge amount of residents relatively unaffected by a recession with a steady government paycheck nonetheless had a terrible time weathering that recession. At the end of 2019 Wallethub did a study of 515 cities in the US on economic growth. Jacksonville ranked 440 overall, but in the Jobs and Growth category it ranked 506 (and this was before the USMC commandant announced force reductions in the coming years).

I love Wilmington and think that the city and the surrounding areas close enough for commuting distance are going to see a lot of growth in the coming years, but I am staying clear of Jacksonville and Richlands areas. Just my two cents!

@Gregory Schwartz, you know no matter what happens its better out there than where I am currently sitting (in Bldg AS4108) :D

But for real, it'll be alright, just pick up some more drill hours if you need to in the meantime. I think that when the economy breaks loose of its coronavirus bondage, it'll come roaring back. You've got the knowledge, drive and willingness to self-sacrifice...you're going to be successful regardless of what the next few months have in store. Plus you HAVE to succeed since I am following in your footsteps in one year from now!

Keep pushing brother. Semper Fi

-Jolt

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $120,000 (includes extra lot which will be separated for future development)
Estimated Rehab Costs: ~$120,000 

Estimated Sale Price: $365,000

Estimated Profit: $80,000 (after sale costs and holding costs)

Fix and Flip ongoing