All Forum Posts by: Mario Martinez

I recently completed 5 fix and flips in Philadelphia Pa. I am from New York city so that drive has become extremely taxing on me. I am looking for something in the east orange region of new jersey or upstate New York around orange county. My family is growing so my next fix potentially can be somewhere I can live. Is anyone familiar with anything in east orange new jersey section or upstate around Middletown? I can close in 30 days or less with my lender.

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Upstate New York, New York

thank you all for the response!

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Philadelphia, Pennsylvania

Quote from @Stuart Udis:

While I do not know the specifics of the purchase or exact location, I understand the Philadelphia market well enough to place this property in a lower tier neighborhood based on the ARV Mario shared. I hope Mario can mitigage his losses by selling the property quickly to stop the bleeding, or re-tenant and refinance to less expensive debt but this serves as a case study on the perils of investing in lower tier neighborhoods.

The amount of people on the internet and social media selling the false narrative of how easy it is to create wealth through investing in real estate, specifically these lower tier neighborhoods is upsetting. Truth be told, the only easy part is the actual purchase where there are no barriers of entry. I am particulalry concerned for those who spend hard earned money on courses and mentorship where they are taught to use credit card debt to fund the downpayments and/or improvements and the ease of funding deals when in actuality the only funding available is high interest alternative lenders.

yes West Philly, you are 100% right social media be lying!

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Philadelphia, Pennsylvania

HELLO BP FAMILY!

I COMPLETED MY SECOUND FIX AND FLIP FOUR MONTHS AGO, BUT AFTER NOT SELLING AFTER TWO MONTHS I DECIDED TO RENT. MY TENANT LOST THEIR JOB IN THE FIRST MONTH, AND I HAD TO EVICT THEM. I PURCHASED THE PROPETEY AT 125 AND INVESTED 50,000. MY BREAK EVEN POINT RIGHT NOW WILL BE 210 BUT I DO NOT THINK I CAN GET THAT. MOST COMPS NOW ARE COMING IN AT 180 WHICH WILL PUT ME IN THE HOLE ABOUT 30K. SHOULD I JUST TAKE THE LOST OR DOES ANYONE HAVE ANY OTHER RECOMMONDATIONS? I TRIED TO PITCH IT TO FRIENDS AND FAMILY TO BUY AND HOLD, BUT THE INTREST RATES ARE SCARYING OFF MANY POTENTIAL BUYERS. AT THIS POINT I JUST WANT TO GET RID OF THE HOME. HELP! IM USING HARD MONEY SO THOSE MONTHLY INTREST ONLY PAYMENTS ARE KILLING ME ASWELL

3 Votes

Philadelphia, Pennsylvania

Hello BP family!

has anyone had success with leads via social media? If so, how do you market that you buy distress properties and fix them! also what social media platform has been the most successful for you? thank you for reading and responding!

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Quote from @Kevin Paulk:

@Mario Martinez

I agree with @Bob Stevens. A daily rate would not be in my contract agreement. What's the incentive for him completing the project on time? Also as you do more renovation work you are going to realize that there are going to be some small delays, It just comes with the business so a daily rate wouldn't work in your favor.

Take it from a fellow New Yorker who also rehabs in Philly.

Thanks for the advise bro

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Philadelphia, Pennsylvania

Hello BP family!

I recently completed my first flip in the Philadelphia area and learned many valuable lessons! I am on to my second one but my question for any out of state investors are what advise you can give on getting the most value out of your contractors. I have a good contractor right now who kind of acts as a project manger since I am over 100 miles away and only have time to check on the project two times a week. I pay him a daily rate but there are times during the project where I feel things stall ( waiting paint to dry, framing) Would any recommend outsourcing different projects for more value and quicker turn around?

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Philadelphia, Pennsylvania

Originally posted by @Dave Foster:

@Mario Martinez, like kind really just means any type of investment property. You can sell any type and buy any other type as long as it is held for investment. The other half of your question is yes also. The number of replacements doesn't matter As long a you purchase at least as much as you sell you'll defer all tax.

A sale of a more expensive property followed by a purchase of several smaller fixer uppers is a classic 1031 strategy commonly called a diversification exchange.

And it can be anywhere in the US and a couple of US territories (most notably Guam and the USVI).

Wow, great help! Thank you Dave!

1 Vote

Originally posted by @Frank Chin:

@Mario Martinez

Is that a home you live in? Then NO, can only do 1031 if it's a rental. See: 1031 Qualifications

no i do not live in home

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Good day Bigger Pockets family!

I want to take advantage of this booming market and put one property up for sale. Since I have owned home for less than two years I want to avoid hefty tax bill and sell with 1031 exhange. I have a couple questions, I know properties have to be like kind and exceed my selling number but can it be a few fixer uppers? also can new property be in a different state from where I am going to currently sell. Any other advise on 1031 will be immensely appreciated.

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All Forum Posts by: Mario Martinez

Mario Martinez has started 11 posts and replied 22 times.

Post: Buying In East Orange Or Upstate

Post: Fix And Flip Gone Wrong

Post: Fix And Flip Gone Wrong

Post: Fix And Flip Gone Wrong

Post: social media leads

Post: Long distance flipping

Post: Long distance flipping

Post: 1031 exchange question

Post: 1031 exchange question

Post: 1031 exchange question