All Forum Posts by: Michael Kennedy

@Greg Steinbrecher I think that my numbers are still good on the deal after rehab. My question is more related to if you may have issues in the future in which interested buyers become less interested and suspicious a property is overvalued when they see a significant spike in the sale price over short period of time (the wholesaler's transaction). Particularly a buyer that may not be all too familiar with wholesaling.

I'm interested to hear some opinions on this, as I have browsed the forum and couldn't find a specifically related past discussion. I recently purchased a property wholesale which I am rehabbing. The seller did a double close rather than assigning his contract. My purchase was one month after that sale to the wholesaler. At the time I was uninformed on wholesaling strategy, but in retrospect I am realizing that now my property records show quite a large sale price differential over the span of a month which concerns me regarding my options for the property in the future. Note also, the sale price included escrow to cover improvements noted by the seller (obviously this is not transparent from the property record alone). Has anyone else experienced purchasing and eventually reselling a wholesale property after rehabbing? I am curious as to if you were met with any heavy suspicion by buying prospects particularly as these prospects would be looking at what is now a turnkey improved property.

Please see my other recent post for the content. Accidentally double posted and I am editing this one to redirect traffic for the other version of this post. Sorry for the confusion!

Victor Nelson I like the idea of explaining your needs financial to make it possible to satisfy the renters needs in the future. I think that strategy certainly engages a point of empathy on your renters and empathy is a necessity in winning a negotiation. I personally, think that giving a reason for the increase helps justify it in the renter's mind. Most renters are not thinking, "well, that 2% increase is just enough to account for annual inflation." When you explain it as basic logic, who could argue away from 2% increase worse case. I like to think of an example from the book "Influence: The Psychology of Persuasion" in which studies showed people were substantially more likely to let you cut them in line for a copying machine purely by using the word "because" in your request, even if the actual reason made no sense. People are programmed to respond more positively when given a reason.

This is more information I have received from reading and particularly BiggerPockets Podcast hosts rather than my personal experience, but it seems so true: if you find a great deal, money is there. You can easily find the money as long as the deal is good enough to pitch to a partner. Given that, I would say start doing analysis as you figure out the funding and you may be able to find deals good enough to make other potential investors sit up in their chair. Good luck!

@Account Closed For one, I was not aware of the BiggerPockets community until just before creating the deal, so I would say just being on here reading and talking to people is a huge advantage that I missed out on leveraging the first go 'round. I had read a significant amount but did not have the experience of talking with and hearing experiences in so many different markets or with different strategies.

I am in the rehab stage of my first BRRRR and I will definitely say it is worth making sure that you have your ARV correct and know very well what the rehab will cost upfront. I am wishing in retrospect that I not only had an inspection but also had my contractor view the property in the due diligence period. There were several small things I expected to do in the rehab that ultimately my contractor told me were infeasible and a change of plans was necessary. Just my two cents for my personal experience, although not 100% on topic. Good luck with it!

I second that! @Dan Mau please share are you wouldn't mind. 

I found my way to this page because I was considering creating a VBA Excel spreadsheet to click through my county property records GUI to copy, format, and paste all of the relevant data for each property in the county so that I could easily look up properties for varying purchase prices and dates of purchase as a means of quickly sorting and evaluating properties as is being discussed in this forum. Is anyone aware of a source for the information applicable to this type of tool, as it would save me some time? (My VBA is a little rusty...)