All Forum Posts by: Manuel A.

Although very small, I do consider a couple of things a success for me:

- I actually put in an offer on a house. And then another, and another! This is huge to me. It is 100% proof to myself that I'm prepared to get into this. I'm one of the what? 1% that looked into this and took a step into it. Sure, I never got a deal accepted this year, but I'm 10,000% ready to keep going!

- All the new skills I've developed to estimate house repairs. Maybe not the best, but I'm really conservative so I know if anything, my estimates are high. Sometimes I feel too high... But I'm learning.

- I put together my own personal game plan (which I'm revising) that I'm going to share with the BP community as soon as I land my first deal.

- All the little steps I've taken so far!

Perhaps most people here will think no big deal, but it's a huge deal to me :D

As for 2013...

I have some stuff going for me that I believe will happen. It's kind of speculation so I don't want to indulge but I'll be sharing my story as things progress.

But goals wise for 2013; I want to flip 2 houses on the west side of town, with a purchase price ranging from $60k-$90k and an ARV between $90-$140k. I want at least $28k in profit, in total.

We'll see!

Manuel

J Scott Perfect answer! Thanks a ton!

Thanks J Scott, Andy Chu, and Tony Salazar and everyone else who contributes.

I see a couple of adjustments to be made for myself so far... If you don't mind though, can someone give me their thought process in putting a 0 day inspection contingency cause here's what makes me afraid of it:

What if, I go check everything, and it's good. Great foundation, I know my repair costs, and I think I know the scope of the job. But then... What if I don't find something like pipe problems, or electrical, or furnace problems because the utilities are off and I can't really check them and I'm stuck with the house?

Is it that you're not afraid as you have plenty of room for unexpected costs like this in your offer? Cause I want to put 0 days so I can have a stronger offer, but I'm hesitant from my thoughts above.

Thanks!

I'm going to try and keep this short, as I always write way too much. I just have 5 questions so I can rethink my game plan as I don't feel I'm doing enough.

1. Would you ALWAYS put out a bid on anything and everything? Even if you know the chances are small? Like offering 55% of asking? What does it take to make you say, "Putting in a bid is useless."? I've been going by, if my offer is below 80% of asking, I don't offer...

2. How much EMD would you put on a $60k - $100k house? I put $3k currently...

3. When estimating the repairs, do you add an extra "cushion" amount for safety? If so, how much?

4. Do you bid on, "lipstick" jobs? Is there too good of a condition that you won't bid on? Like if you see a house, and it's in mint condition, move in ready, and it's foreclosed and they're asking 90% of FMV, do you still bid on it? I know this question is kind of similar to 1 but I wanted to make a distinction.

5. What is your due diligence period? Mine is 5 days... Do you have any other contingencies? I don't...

Your answers will help me rethink my game plan. Thank you very much!

-Manuel

I heard of that story, back in like 2006 right?

Either way, I actually think your idea sounds interesting. I can't see an issue legally with it, but I'm also not experienced doing any kind of deal in RE yet...

But I think it would be possible, all be it, probably really slow. I'd read the blog of whoever pulled it off! Who knows?

-Manuel

Not exactly sure what A, B, C, and D would fully imply but I'll take a shot. I'll rate the house as if I had unlimited funds, and was buying the house for my personal pleasure. I'm in the south. East of Arizona and west of Texas.

Most Expensive House on Market: $7,000,000 - It's an amazing place to me, I've seen it in person: http://www.realtor.com/realestateandhomes-detail/Los-Ranchos-De-Abq_NM_87107_M11268-11451

A+ - $850,000+ - This would mean top of the line finishes everywhere. Flagstone exterior walls, marble throughout, huge ceilings, huge backyard, fountains, etc...

A - $350,000 to $700,000 - I'll leave between A+ and an A as a grey area, but this would be really big and nice houses just without the extras like flagstone everywhere, gigantic backyards, and stuff.

B - $250,000 to $350,000 - These are still super nice houses I'd gladly live in, but when you have to compare them to the others...

C - $140,000 - $250,000 - Median sales price in my city is about $160,000. These are all also nice houses I'd love to live in.

D - $90,000 - $140,000 - Average house, in an average area of town at this price. Neighbors can be anyone from drug dealers, to school teachers, to college students.

F - $45,000 - $90,000 - As cheap as you can go. Starts mixing with mobile homes and houses. Houses are in bad areas of town. Warzones, and the really ghetto parts that you will get robbed in if you try walking around with anything nice (like my cousin).

Some people only give like a $10 deposit. Even $100, but I know that it's hard to "let go" of that if you don't have much. But $10 should be fine yeah?

But I'm not sure if you can just totally skip it and still be valid.

Looks like a real advanced job on your blog, hope you're having fun with your vision of this house coming true! Seems like it's going to turn out beautifully!

Are all Realtors allowed to tell you the current bid? Cause mine doesn't... It'd be helpful to know so I can just ask him what the current bid is then not have to sign papers to put in a offer that has no chance of being accepted. I feel that's all I do, every time, so far...

Will Barnard - And I'm ready to go out and take it!!!

Richard Evans How's everything going so far?