All Forum Posts by: Kevin Fletcher

Hilarious!!

@Adam Moehn Potential tenants definitely give me the run around every time that I'm trying to rent my units. Many times they are no-shows for appointments, wasting time and energy. Even the tenants who take an applications seem to follow up only half of the time. If you ask anyone on bigger pocket what the problem is, 9 out of 10 will say you probably need to lower the rent in this situation. I typically wait for for a few weeks before I settle on lowering the rent, but the market generally dictates what you can rent it for. The fact that you have had 8 people contact you in 5 weeks probably means the rent is too high. A simple "For Rent" sign outside of my apartments tend to give me upwards of 6-10 calls a day (Its in a desirable area). You need to do something to advertise more the unit for rent. A good way (not Perfect) to know is by using www.rentometer.com to see if your current rates are competitive.

You just have to be honest about the condition of the house and present different options on what the buyer could do with the land. You can get a contractors opinion for rehab and a demolition price estimate. But it seems that in general if superior homes to the one you talking about are being sold at only 120-136K, there doesn't seem to be a lot of meat on the bone to wholesale it. I don't know the specific numbers of your deal, but if the ARV is 120k or less and the purchase price is 80. And if there is substantial rehab, it doesn't seem like there's enough cushion to make it a viable deal for all the people involved. Maybe its worth just buying , doing a demolition and selling?

A few examples of basic demolition projects:

• Demolition of a 750 square foot (25×30) 2 car detached garage could cost from $2.00-$5.00 per square foot making the price range from $1,500-$3,750.
• Demolition of a 1500 square foot residential house could cost from $2.00-$6.00 per sq. ft. making the price range from $3,000-$9,000.
• Demolition of a 10,000 sq. ft. warehouse or office building could cost from $4.00-$8.00 per sq. ft. making the price range from $40,000-$80,000. Interior Demolition of the same 10,000 sq. ft. warehouse could cost from $2.00-$6.00 per sq. ft. making the price range from $20,000-$60,000.

Congratulations!!! I wish I could buy houses for that amount in Denver.

Welcome to Biggerpockets! I'm from Denver as well

@Cal C.

Good Idea, Ill have to try that

@Jeremy Sanders Just a Thought - I think a better strategy would be to do as much research as you can on bigger pockets in the areas your interested in learning. As you learn and participate in the forums and you will inevitably meet people who can teach you the in's-and-out's of Investing In RE. Build a re pore and relationships with people and they may be more likely to respond to such a request. There is no way for someone reading your post to really know or have interest in helping you if there is no personal element. And for starters listen to as many of the podcasts as you can. As you listen to them, you will start to familiarize yourself with all of the strategies and your basic knowledge on investing with become clearer. Then you can have questions that are more specific and less general (saving a mentor's time). Good luck

@Jordan Kenyon

It all depends on what resources you have and what market your in.

Wholesale- Do you have the money and resources to do direct mail, drive for dollars? Would you be confident talking to motivated sellers and helping them solve their problems? Do you have buyers to sell the deals to? Knowledge of contracts, llc's, and contract assignment?

Buy-and-Hold - Do you have money for a down payment? Do you have a job or reported income for the last two years? What are the cap rates in your area? What are the market trends in your area (are people coming or going). Would you be able to deal with leasing and contracts? Would you be able to handle bad tenants?

Flip - Do you have cash? Do you have access to cash from a private or hard money lender? Do you know Contractors, Agents, Wholesalers? Can you manage people and projects? Are there opportunities on the MLS for flips? Are there other ways to buy at 60-70% percent of ARV (After Repair Value) - repair costs?

You have to answer all these basic questions, and I'm sure I left out a lot. If you can answer more questions on one of these investment strategies, maybe that'd be the place to start in your research.

I am not an expert either, but I have learned here that its not as much as what you write but the fact that you just do it. Many wholesalers will start with 2 types of letter or postcard and see which gets the best response. As you continue to mail you will see patterns and you can tweak your strategy as you go. You will benefit from multiple mailing to the same list anyway, So you might as well try different approaches.

@Marcia Maynard Noted!

https://www.biggerpockets.com/forums/52-rental-property-questions-landlording-issues/topics/123858-small-claims-court

;)