All Forum Posts by: Melissa Moore

Investment Info:

Single-family residence buy & hold investment in Youngstown.

Purchase price: $9,000
Cash invested: $15,000
Sale price: $13,000

3 bedroom and two car garage. Purchased from a realtor onsite.
Kitchen needed a full remodel. Bathroom needed updates: shower panel, hardware, vanity. Painted exterior of house "Crabby Apple" by SW.
Sadly, the bushes were dead and had to be cut down.
We have a family renting from area on Section 8 for $600 a month.
Renters moved in OCT 15 2018

How did you find this deal and how did you negotiate it?

on realtor.com and agent put offer in.

How did you finance this deal?

Through investor. Cash buyer.

Lessons learned? Challenges?

Challenges were contractor stole flooring material and payroll. Learned to see DAILY progress photos before payment. So you can really gage the outcome and time spent and money spent. Pay for project total, and in milestone payments.

Just spent 2k on labor and materials for a small bathroom repair and upgrade. What is your normal spend? 

Breakdown:

$100 tile

$300 for cement board, pvc, nails, grout etc.

$200 pedestal sink

$180 shower kit (claw foot conversion) 

$100 facet

Rest is in labor ....

LOVE the sage idea!! As someone who has rented a home that was haunted, I wish I would have done that!  

Backstory...So the house I rented used to belong to husband's mom who died in the home. I lived in that home for a  few years and experienced spirit activity (not seeing the ghost though). Saw things like, the door knob moving, lights coming on and off on their own...

Then we rented the house out and the renters said the same thing! 

I don't live there but my daughter may go to the Y for college next year. She is going to get her bachelor of music. If she does, I just bought a tri-plex near the university and she could live there rent free.

Hi Eusha,

I have two handymen that I use in Youngstown, Ohio that are both named Ed. I would be happy to share their contact information with you. I also have an excellent landscaper who manages my properties yards bi-weekly. 

@danielsanchez Hey Daniel. Actually my name is Chris. I am an associate of Melissa's she is letting me post on her account today to get my feet wet. I am LA based and would love any guidance help as I am completely brand new to this. 

Hi I am in the LA area and want to get into wholesaling? Was hoping there is someone I could work with in the area to help advise... Please email me at [email protected]

Thank You

@Shaun Lapsley  Dealing with that right now!

I asked for a home inspection for when tenant leaves (I have up to 10 days after) in contract. This gives me the option to walk away if I 'missed something' major that would throw off the numbers.  I have already factored in large dumpsters for estimates and new flooring.

@Faiz Khan  My two cents: 

#1 start researching your area for what houses are selling for. Go to open houses with your wife (listen to her as she talks about how she would paint and decorate them!) Pay attention to the details of the finishes etc.

In your free time or commuting time listen to audio books about real estate such as Rich Dad, Poor Dad and I am sure others can tell you their favorite.

#2 Now about money. You are getting closer with 6k! It looks like in your area houses are selling at $160,000+ and you need at min. enough to cover closing costs.

You can learn about creative financing, seller financing, FHA, 203 (k) loan (which lets you repair a home and purchase in one loan), all here on Bigger Pockets.

I really thought the advice to start wholesaling to earn more money for either paying down your student loan or adding to your own home fund is a great idea!

Happy house looking!

@Jon Moore  Your answer makes perfect sense! I will remember that in the future.Really like with Jon's response, how you can explain the formula to the tenants so they see how you are being fair and not "just trying to get new carpet out of them" as some maybe incorrectly assume.