All Forum Posts by: Keith W.

@Erin Johnson Thanks for the clarification!

We are trying to wrap our heads around this report. 

My hard money lender is giving us a 12% and 2 points loan. 

We expect to hold the money for max 8 months. Where is the total interest paid reflected in this report? 

The report says $7,464.60 in holding costs. None of the numbers in here add up to this. 

The report says we would have infinite cash return but when I subtract the amount from the refinance against the amount owed on the loan, the is $16,000. My down payment was $28,000. The report says I have no money left in the deal. Please help me see this. 

The purchase price is $140K

Closing cost $3,500

Estimated repairs $95,000

20% downpayment of $28K

Why does it say I need $126K at purchase? Why not my $28K and the lender's $122K? 

I would love to put an offer in on this house but I'm not sure I'm using this calculator correctly. 

View report

*This link comes directly from our calculators, based on information input by the member who posted.

@Wyatt Franta Thanks for that. Very helpful. 

Sorry, I must have not been clear in my question. 

This is the scenario:

I’m purchasing a house by putting down 20% on the purchase price. A Hard Money lender will cover the 80% of the purchase and 100% of rehab. 

In an effort to use other people’s money, we have some people willing to invest in our project. We could have them cover the 20% downpayment or the monkey carrying costs. At the end of the project we will pay these investors 12% interest. 

In my presentation to these investors, I’m wondering how much info do they need to receive about the property and how do I handle their prying questions. How much we paid, how much we selling for etc.  

Hey @Wayne Phillpots. Thanks for the quick response but I couldn’t understand what you wrote. Typos. 

Hello All - 

I am working on a written presentation to show potential investors why they should invest in our business. I wanted to create an "Investment Sheet" that will outline the details of the investment. 

The obvious items such as the address, sq.footage, and intended renovations will be included. 

My question, however, is should I include intimate details such as the purchase price of the property. Should I disclose how much we intend to sell the property for, or other costs pertaining to rehabbing the property?  

How do you handle it when those questions arise? "How much did I pay, how much will I sell for, what did other investors invest? 

How much information is reasonable to provide to investors? 

The utilities is for during the rehab time? 

@Tim Herman - okay, so that explains why there is negative ROI years on the chart.

There's a good spread between ARV and asking. Either my rehab numbers are off or they need to pay me take it off their hands! Lol

@Jaysen Medhurst

Yes it’s a multi family full renovation. 3 family 2 bed each unit. 

You're correct about the numbers for BRRR. Because using the 70% rule the answer is a negative number.

The ARV verses the asking price 55%.

Maybe my repair estimates are too high? 

@Tim Herman I don’t see where I have $119k locked up. I’ll be putting down 15%