All Forum Posts by: Ki Lee

@Jason D. Do you also do commercial financing like @Kenneth Garrett? If so, what are the requirements? Does the LLC need a bit of income/business history? I was planning on creating a separate LLC for each property, so each LLC would be new and have no history of income or business prior to the subject property.

When using BRRRR, if I acquire the property using LLC, I'd have trouble refinancing... I'd imagine that we'd have to get the property under personal name and then refinance. From acquiring the property to rehabbing and renting and selling, this process might take up to a year or more? Doesn't this leave the investor vulnerable to having the property under personal name Rather than in a protected entity like LLC? What are your thoughts? How do you guys do it?

How many of you had banks call note due on the loan when you transferred the rental property into LLC? I know it's supposed to be rare, but just wondering if it happened to anyone. And if so, what happened? Did you have to refinance at the current rate or just put the property back in your name? I have mortgage with one of the major banks. How often do big banks sell loans to another company where they find out about the transfer of interest?

Newbie flip investor here.

I would like any advice on how to research, screen, and interview GCs for rehab projects.  I was told to do background checks, but obviously only for 3 or 4 that I narrow it down to.  Besides referrals, Thumbtack or Angie's list reviews, what can I do to find a superstar contractor?  What research can I do online?  what questions should I ask?  Any terms that I need to clarify on the initial conversation?  I will have a property under contract soon(seller countered and we will most likely accept the counter) and now there is this massive pressure to find a hire a great GC.  Any help will be greatly appreciated!

Hello BP, 

New flip investor here.  I've heard from a lot of other investors that some of the hardest parts of flipping is finding and working with good GCs.  I've heard that they are few and far in between and that they can influence the outcome of a deal in a big way.  Can some of you more seasoned flipper impart some wisdom on screening and researching GC's?  How do I get them to take me seriously when I'm just starting out and don't have a property under contract yet?  What are some good questions to ask on the initial chat?  Should I wait until I have a property under contract to reach out to GC's?  Some of the biggest mistakes to watch out for when screening/dealing with GC's?

On J. Scott's "The book on flipping houses"  He mentioned that there are many services that can provide lists of absentee owners where the list can be filtered by location, amount of equity the owner has, and the amount of time the owner has held the property.  Where can I find this? 

Also, the same book mentioned using sites www.census.gov and www.bls.gov to look for population trends.  Specifically, I wasn't sure how to navigate www.census.gov site.  If I want to check the net migration of a particular city or neighborhood, where would I go in the site?

Thanks in advance

When considering a flip property, is a former meth lab an obvious red flag that should never even be considered?

If one were to do a total rehab, does it require any additional clean-up/services/inspection?  

It's my understanding that the subject property will have a public record of it once being a drug lab.  Will the buyers absolutely balk at this and thus lowering the sales price significantly??

What I'm trying to determine is if this is an issue that can be fixed and dealt with, or if this should be a total hands-off red flag? If it can be taken care of, what kinds of costs should I expect and what kind of price decreases should I expect when it goes on the market?

Oh wow, this is very helpful.  Thanks for letting me know about these trade ethics that may not be written black/white. Great to know.

@Jackson Pontsler, thank you.  Can you give examples of how unethical investors may leave a sour taste in realtors’ mouths? I want to know so that I don’t commit these “crimes.”  Thanks

I was talking to some realtors in SLC area for potential flip projects.  SLC seemed attractive due to - low DOM, influx of people moving in, growth of technology sector in the area, producing jobs, step appreciation, good schools, just to name a few.

However I got at least 3 realtors telling me that the inventory for potential flips houses are very few and far in between, and the competition is very fierce.  Anybody flip in Salt Lake City? Do you agree, or are the realtors being lazy/pessimistic?  

Do you suggest that I look elsewhere or try to kiss 100 frogs here?