All Forum Posts by: Kristopher Kyzar

Anyone ever do a Joint Venture with a seller? I'm considering it as an option for my latest lead that came in.

@Brian Beck Here is a short article that helps explain it.  Subject to Article

@Stephanie DeLeo subject to means that I purchased the property with the existing mortgage in place.  I took over payments on the existing mortgage after closing instead of getting new financing.  This allows me to save the origination fees, and the other fees and delays associated with financing.  I purchased the house using a land trust with my company as beneficiary, and the title to the property was transferred to the land trust.  Subject to Article.

@Dan V. I recently started generating my own off-market leads through Facebook ads.  I pay a company to run the process, and I'm generating 20-30 leads per month.

Investment Info:

Townhouse fix & flip investment in Virginia Bch.

Purchase price: $119,282
Cash invested: $30,000
Sale price: $181,000

Contributors:
Taylor Hudgins

Bought this 3 Bed, 2.5 Bath townhouse off-market deal. I paid all buyer closing costs. The $21,000 rehab took 3 weeks to complete. The SOW was complete flooring replacement throughout, scrape popcorn ceilings, replace countertops, reconfigure the stairs, patch a hole in the 1/2 bath wall, replace all lighting fixtures, service the HVAC, paint, clean the back yard, haul off all items left by seller, replace a bathroom sink/countertop and general cleaning.

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

I was able to purchase subject to the existing mortgage, so very little out of pocket up front.

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

I knew the owner, and knew what they needed to make the deal work.

How did you finance this deal?

Subject to existing mortgage plus $10,000.

How did you add value to the deal?

All new floors, countertops, reconfigured the stairs, fresh paint, scraped the popcorn ceilings.

What was the outcome?

House was on the market on a Friday. By Sunday, we had 21 showings and 6 offers. Sold for $1K above asking with no CCA.

Lessons learned? Challenges?

Subject to financing is amazing. I wish they all could be like that. There was a lot of stuff left behind that needed to be cleared out.

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

Taylor was the best agent to work with. She goes above and beyond, and is a pleasure to work with.

Investment Info:

Townhouse fix & flip investment in Virginia Bch.

Purchase price: $119,282
Cash invested: $30,000
Sale price: $181,000

Contributors:
Taylor Hudgins

Bought this 3 Bed, 2.5 Bath townhouse subject to the existing mortgage of $109,282 plus $10,000. It was an off-market deal, I paid all buyer closing costs. The $21,000 rehab took 3 weeks to complete. The property was placed on the market on a Friday and by Sunday I had 21 showings and 6 offers. The offer that I accepted was for $1k above asking with no CCA and the buyer had a pre-approval letter submitted with the offer. During the pre-close inspection, I fixed another $2k worth of repair items and a $500 allowance for a new dishwasher. The SOW was complete flooring replacement throughout, scrape popcorn ceilings, replace countertops, reconfigure the stairs, patch a hole in the 1/2 bath wall, replace all lighting fixtures, service the HVAC, paint, clean the back yard, haul off all items left by seller, replace a bathroom sink/countertop and general cleaning.

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

I was able to purchase subject to the existing mortgage, so very little out of pocket up front.

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

I knew the owner, and knew what they needed to make the deal work.

How did you finance this deal?

Subject to existing mortgage plus $10,000.

How did you add value to the deal?

All new floors, countertops, reconfigured the stairs, fresh paint, scraped the popcorn ceilings.

What was the outcome?

House was on the market on a Friday. By Sunday, we had 21 showings and 6 offers. Sold for $1K above asking with no CCA.

Lessons learned? Challenges?

Subject to financing is amazing. I wish they all could be like that. There was a lot of stuff left behind that needed to be cleared out.

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

Taylor was the best agent to work with. She goes above and beyond, and is a pleasure to work with.

@Alex Bekeza Great job breaking your analysis paralysis, and you did it long distance to boot.  It's a fantastic feeling getting started.  Just need to keep the steam going now.

I have a media manager that does it for me, so I wouldn’t be able to help you there. I’m a technodoofus. 

@Amy H. I need an acquisition manager. 

@Brian Ellwood everything is coming from facebook ads right now.  Averaging about 20 leads per month.