All Forum Posts by: Account Closed

Quote from @Caleb Brown:

I don't see it anytime soon. With no inventory and a surplus of buyers in my area it's not getting any better. We'll see how this year plays out with the rates

My area is the same way, very little inventory. I'd bet on rates going higher but higher rates will continue to keep potential sellers locked into their 3% mortgages and will also bog down new construction which is keeping inventory low.

When do you think this bubble will burst?

A week after selling my second flip I quit my old job by saying F#@% YOU I quit! to the ops manager.

Locked in the third flip two days later then turned down a different job offer before closing on the flip. I wanted to focus 100% on flipping. 

Important to note: This was a big gamble but a very calculated risk. I had enough money saved to buy the 3rd deal cash, gut it and make the repairs without taking a loan.

I wouldn't recommend this strategy but I'm 37 and have completed many more deals than I would have been able to as a weekend warrior. Income is now 3X the old job, net worth has skyrocketed and quality of life is 100% better. I work a lot but I truly enjoy what I do.

If the market tanked tomorrow I could at least flip burgers at Wendy's and would still be way ahead on paper. 

Do what you want in life, just have a plan and know your numbers!!!

You have to be able to find real deals, there is no question about it. Lots of people say that you make OR lose the money when you buy the property. I agree with that for the most part.

You also need the ability and focus to get the work completed on time and budget. Everyone from contractors to brokers will be looking to take your money and time.

Finding real deals and managing the process to get profit is very important. Focus on both.

Walk the land and see if it looks dry then check with the town planning department and figure out what they will allow. Also see if they have any survey/wetland information for the lot at the town office. If you make an offer for the land then make it contingent on due diligence for a wetlands check, survey work, and town approvals. Keep in mind that the road will be your biggest cost so try to get 3 or 4 ballpark estimates on that to verify the numbers will work.

Always avoid buying land that is wet or has steep slopes unless you can work around it.

Read your local zoning rules to find the highest and best use for the land. Find the maximum units the town will allow and sell that idea to buyers. Most people don't spend money on plans unless they're building it out since a majority of buyers will want to keep their options open. 

When you list it for sale just show homes that are possible based on the frontprint/setbacks but again no need to purchase the plans.

Save the $8,800 for money to put down on a loan. If you have great credit and cash then focus on finding the correct deal in your area.

Anyone asking for $8,800 to "Mentor" should be avoided! 

Still Purchasing properties to flip but I'm taking my foot off the gas somewhat due to interest rates. In a perfect world I will close on my next deal after the debt ceiling is settled and rates will hopefully tick down over the summer.

Eventually I want to pick up or build more to hold for the portfolio.

To answer your question a cautious combo of Acquisition/Exit/Repeat

You could work with a project manager or work with a broker that is also an investor that way you have a solid understanding of the costs after walking through each property.

Reach out directly if you want more information. 

What is the size of the floor for the VP install? I usually get a few different quotes but most of those numbers look ok, the carpet removal should only take you 30 minutes with a razor knife so you might want to do that portion of the job.

It would also be helpful to know how many windows are being replaced but overall it looks about right.