All Forum Posts by: Kuba F.

@Derrick E.

To find comps I'd start with Redfin, and to get the most accurate valuation you'd also want to adjust your comps (similar to what an appraiser would do) for features and amenities. As you already discovered, valuation between 3br and 4br can be a lot. 

I wrote a BiggerPockets blog post on how to find comps and calculate ARV that you may find helpful:

https://www.biggerpockets.com/blogs/8814/68395-how-to-find-real-estate-comps-and-calculate-after-repair-value

Keep in mind the comps should reflect what your BRRRR will look like after rehab. To figure out to what extent you should renovate, the type of flooring to use, and what landscaping is common, I'd highly recommend using those property sites to look at pictures of many similar properties. This will above all show you what renters are expecting in the area.

Feel free to reach out if I can help with anything.

@Gustavo Cuero, Welcome to BP!

Tax appraisals should not be used when calculating ARV.

Do not rely on automated valuations for quite a number of reasons, not the least of which that the valuation algorithms can't "see" inside pictures for the condition of the house. 

It's always best to find ARV for yourself, using recently sold properties, or comps, and adjusting those comps for features and amenities such as beds, baths, garages and pools. Find comps that:

• have sold within the previous 3-6 months;
• are within the neighborhood geographic boundaries;
• have similar features;
• are approximately the same square footage

Remember that the condition of the comps needs to reflect what the potential subject property will look like after rehab.

I wrote a biggerpockets blog post on how to find comps and calculate ARV which may be helpful:

https://www.biggerpockets.com/blogs/8814/68395-how-to-find-real-estate-comps-and-calculate-after-repair-value

Reach out if I can help with anything.

Hey Everyone,

Kuba Fietkiewicz here, founder of real estate investment software REIkit.com based out of Los Angeles.

Here on Biggerpockets you see questions from the community such as, "what is the biggest mistake you've ever made in investing?” People want to know what actions they can take to not make the same mistakes.

On my first flip, which was a complete disaster, there were a number of events that went wrong that I could have foreseen. As a matter of fact, when I look back on it today, I can clearly see that I never should have purchased the property in the first place.

One of the main reasons why the flip failed is because, when calculating the ARV of the property I wanted to buy, I did not adjust my comps for features.

Features can be bedrooms, bathrooms, garages, pools, and so on, and in order to get the most accurate ARV you must account for differences between the comps and the subject property.

If I had taken just an extra 30 minutes to compare the features, I would have discovered that my property just didn't have features that all of the other comps did, erasing $10,000 dollars of my expected profit.

My frustrated experiences led me to create REIkit.com. One of the first tools I built is a free ARV calculator, and a comps adjustment tool, to help others avoid the same outcome.

Do you have 30 minutes to avoid a nightmare flip? 

The free ARV Calculator and Comps Adjustment tools on the site should be a part of your daily due diligence on potential properties.

Click here to try it out: https://tools.reikit.com/comps

Any questions or feedback, I'd love to hear it in the comments below or chat on the site.

Cheers!

Kuba

@Daniel Vasilyuk Looks like you're well acquainted with the site already, and doing a great job of preparing for investing.

BP has a great list of REI groups here: https://www.biggerpockets.com/rei/real-estate-clubs/

The best way to get over analysis paralysis is to be analyzing properties continually, so that you're comfortable with the numbers and ready to strike immediately when you find a good one.

I wrote a biggerpockets blog on the major metrics to understand when analyzing income properties as well as their formulas that may be helpful: https://www.biggerpockets.com/blogs/8814/73755-18-essential-metrics-to-a-complete-real-estate-investment-analysis

As far as how to find deals, there are many, many sources for properties:

Let everyone around you know that you're looking for a property: https://www.biggerpockets.com/blogs/8814/72664-35-relationships-to-help-you-find-more-houses-to-flip-or-wholesale

Find deals on the internet: https://www.biggerpockets.com/blogs/8814/72016-55-resources-to-find-real-estate-deals-online

And find deals off the internet: https://www.biggerpockets.com/blogs/8814/71506-27-ways-to-find-off-market-and-wholesale-real-estate-deals-offline

Feel free to reach out if you need anything. 

Generally white unless it calls for something less or upgraded.  

It's not a bad idea to have an inspector on your team that can be your second set of eyes, to understand what your buyer's inspector will be looking for.  You can pretty easily learn what they look for, but I personally like the second pair of eyes that's not close to the project.  

Just don't use an inspector to come up with your scope of work for you.

@Nathan Ignatovskiy

Closing costs are very location specific.  Some places you can get away with 2% of purchase price all in for closing costs, other places such as where you have a large amount for transfer fees, you could go as high as 10%.  

You should get with a local title company to give you an idea of your local costs.

• Do you live in California?  Yes • Have you lived in California in the past 5 years? Yes • If so, where? Los Angeles • Will you be staying or leaving?  No plans to leave • Why? Quality of life. Opportunity. Culture. Food. • What is your full time income producing job?   REIkit.com, Realtor, Technology Advisor, Investor

Hi Everyone,

My name is Kuba and I run my real estate investment software company REIkit.com, out of Los Angeles. I wanted to let you know about a feature in REIkit that will allow you to send beautiful wholesale marketing reports in minutes to your buyer’s list.

After entering in the property details, REIkit's online interface creates a detailed property page that you can download, print, or share with anyone.

Here’s what your property marketing page can look like in just a few steps:

https://tools.reikit.com/properties/8a10533a

Stop by and try out the wholesale marketing report tool here: https://www.reikit.com

I'd love to hear from you what you think, so please leave a comment below or you'll find me on chat at the site.

Cheers!

Kuba

Hi Everyone,

Kuba Fietkiewicz here, founder of REIkit.com real estate investment software, based out of Los Angeles.

Real estate flippers and wholesalers today know that finding deals is not as easy as it was just a few years ago, but one thing remains true: real estate is still very much a relationship-based business. 

So while you're driving for dollars, hustling with bandit signs, or setting up lead generation online, you still need to build those relationships. In this post I highlight 35 real estate business relationships you should build to maximize the number of leads you get:

35 Relationships To Help You Find More Houses To Flip or Wholesale

Let me know if I missed any on the site or in the comments below.

Cheers!

Kuba