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All Forum Posts by: Matt Groth

Matt Groth has started 1 posts and replied 242 times.

Post: Partially Built House - Estimating completion costs

Matt GrothPosted
  • Contractor
  • Grand Marais, MN
  • Posts 249
  • Votes 417

Why did they stop? We have had a couple of those come up in my area. I was never able to get the numbers to work. The owner wants what they have into it, but that does not match actual value. At the right price, I think it is fine. The roof is already almost 20 years old! Be careful, and overestimate what you think it will cost to finish. The early part of construction is impressive.....lots happens, and walls appear from nowhere. The problem is, the expensive stuff hasn't happened yet. Good luck.

Post: Hey mister can you spare a dime, ahh quarter ahh dollar

Matt GrothPosted
  • Contractor
  • Grand Marais, MN
  • Posts 249
  • Votes 417
Originally posted by @Kirk R.:

if it's a really good deal why they give it to you? 

Why would home depot sell building supplies when they could just build the houses? Figure out what the cashflow is, then calculate the agents commission. How many months of risk do you have to equal their commission? They sell deals because that is their business model! If it is an amazing deal, they probably will call London term clients first, but who cares? You have to start somewhere,  and you will need help. Prove you are ready to do a deal, do your own analysis, and pull the trigger when it's time.

Post: Agent, Flipper, Landlord

Matt GrothPosted
  • Contractor
  • Grand Marais, MN
  • Posts 249
  • Votes 417
Originally posted by @Mark Weinstein:

@Matt Groth Appreciate the advice Matt. Thank you!

1 more thing...you can make a lot of money being exceptional at any one of them. 

Post: Agent, Flipper, Landlord

Matt GrothPosted
  • Contractor
  • Grand Marais, MN
  • Posts 249
  • Votes 417

You can do all 3,  but that is different from being good at all 3. If you only flipped, you would be better than if it was a third of your time spent on it. It can look easy at times, and it cam be, but all 3 have difficulties. If you have to make a choice between closing a deal, solving a tenant issue, or meeting a contractor to make decisions on a flip, what do you pick? It WILL happen that way. I would start with 1, get very proficient, and reevaluate often. More of what is working, less of what isn't. 

Post: Scattered Lots of Land that nobody wants

Matt GrothPosted
  • Contractor
  • Grand Marais, MN
  • Posts 249
  • Votes 417
Originally posted by @Timothy Douglas:
Originally posted by @Aaron K.:

@Timothy Douglas are the lots landlocked or not?  

If not you could probably sell them on the open market without much difficulty, if they are landlocked, then they are of pretty much no use to anyone unless one of the neighbors wants to give you an easement for access or they want to buy it themselves.

What do you mean landlocked? 

 No access.  Surrounded by other properties

Post: You have 6 months to liquidate your assets

Matt GrothPosted
  • Contractor
  • Grand Marais, MN
  • Posts 249
  • Votes 417
Agreed. If we cant get it fast, with no pain, we don't want it. We will tax the rich to get what we want, and we can lay on the couch. I've been thinking about this recently. When was the last time America as a whole really sacrificed? As near as I can tell, imo, WWII. Rationing, war bonds, Rosie the riveter, being a soldier....now, it's easy. Why work through school? We have loans! Pandemic? We will print trillions! As a thought experiment, if we got to vote on it, and we knew for sure we can stop corona in 1 month if we either a) printed trillions we don't have, or b) give up our cell phones for 1 month....what would the final tally be? 

Originally posted by @James Hamling:
Originally posted by @Tony Blasioli:
Originally posted by @Shane Ussery:

@James Hamling me and a buddy had it out the other day over communism Socialism the other day. I finally got so mad I told him if u want to be a communist go live their. Then I told him I was going to take his property and he would be executed he looked at me strange then I said that’s what they did in China when the communist took over. Point being people please know what your voting for.

How can anyone be so dense as to look at the many times socialism has been tried.... and failed EVERY time? Yet, there they are, still blind as bats, running about screaming the virtues of socialism. Book a vacay to Venezuela. Let us know how it works out. It's a swell place for anyone trying to lose weight.

I have discussed this with friends and associates from Eastern Europe, those who experienced socialism first hand. 

First, socialism has a good sales pitch, it really does. Everyone will have all the "necessities" of life taken care of, all you gotta worry about is living your life, everyone gets along, ohhh all your problems are those big bad billionaires and we'll get them it's all there fault. It's a sales tactic that has worked well over the decades, give people a scape goat then sell the cure and the cure is always "just give us all the power and control, don't worry we are good guys, we only want to take care of you". It gives lazy minds a lazy solution. 

Second, we have bread a lazy self-righteous entitled American society, we did it from a place of love wanting our kids to have things better and not to go through the sacrifices we suffered or those we grew up hearing but we actually made them spoiled litter temper tantrum monsters. Is it any surprise how they stomp there feet yelling "but I want it". They are arrogant and ignorant, the most dangerous deadly combination. 

Put those 2 together, and here we are. 

 *For those of you who are thinking "f this guy, socialism is..." just do me this 1 favor before replying. Take a moment to think this math thru; socialism says everyone will be equal, sounds good right, but how, just stop and think on that for a moment how would you make everyone equal because there is only 1 way. You can't force people to be smarter, or to work harder, to put more focus and desire then they want, so you will never elevate lower people up to higher ones, logical impossibility. So, the only 1 way is to, lower everyone else to the level of the lowest common denominator. That is the truth and reality of socialism, surf's and royals. That is parasitic, the fundamental goal and bedrock of socialism is parasitic. 

Post: Changing gears from a flip to a house to live in?

Matt GrothPosted
  • Contractor
  • Grand Marais, MN
  • Posts 249
  • Votes 417

How unprofitable is the project house? Your best bet is to probably just take the loss and get rid of it. By holding on to it, you still have the loss, it just isn't realized. I understand your thinking, but a lot has to go right to make it work.  Waiting for inflation to turn a bad deal profitable isn't the goal.  

Post: Owner-builder advice please!

Matt GrothPosted
  • Contractor
  • Grand Marais, MN
  • Posts 249
  • Votes 417

Consulting may be tough. A good gc will want to know you can pull it off before putting his name on it. I'm sure you can find SOMEONE who would take your money, but are they actually benefitting you? Is the area at least stable? Location is really important. 

Post: Owner-builder advice please!

Matt GrothPosted
  • Contractor
  • Grand Marais, MN
  • Posts 249
  • Votes 417

I like the idea. Go over the project with someone experienced. The 1st one may be more expensive with infrastructure. I  am completing a new build right now as a rental. Renters move in next week. I am a gc, and built the bulk of it by myself. It doesn't work nearly as well if I had to hire me....

Post: Going to Refinance, but should I pay off my rental property?

Matt GrothPosted
  • Contractor
  • Grand Marais, MN
  • Posts 249
  • Votes 417

What Joe said....he has a nose for these types of posts. Listen to him. The downside is, if things go poorly, you lose your primary. Loss of job, illness.....do you have the risk tolerance for it? It isn't a horrible idea, but don't pay off the rental, use it for a downpayment on another one. Just make sure it is a VERY good deal.