All Forum Posts by: Jason James

Thanks everyone. Jamie (newbie) did a great job! He put tons of work in this place. Hopefully if all goes well he will make a nice little payday as well...

I know it has been a while but I decided after starting this project to allow my newbie to run the show with guidance from myself. I wanted him to get a real world experience and not just a guided tour of how to do a flip. At the beginning he wanted to have contractors do 99% of the work but as we moved along he wanted to actually learn how to do some of the work so he would have a better understanding on future jobs. So we took ALOT more time than we should have but he got to learn how to do some of the trades. Keep in mind this guy works a full time job as well so his progress was very slow. He learned a TON and now knows what to expect from his subs. This was a fun project and very rewarding for me. I enjoyed very much educating him on the process. I also learned a thing or two during the process. As I stated before he will do just fine in this business. I think more people like myself who have been doing this for a long time should slow down sometimes and learn to enjoy the business all over again. I know I did. Very exciting…

Here are some pictures of the before and the finished product. We can’t get any outside pics as we have a crap load of snow on the ground still. We are meeting my realtor today to list the property so we will see what she thinks we should be listed at. Today will be another teachable moment for Jamie (newbie).

Once we have it listed and sold I will update the post with actual numbers. 

The problem isn't finding the GC it's finding a quality GC at a fair price. In our business it’s all about the budget/time and from my experience in the big city of Louisville (not really) the GC's here can make much more money working with retail clients (home owners) were the budgets aren’t as tight and timelines are flexible. I have found in Louisville that most GC's here go for the big fish (top pay) jobs and stay pretty busy doing those. The mid-level so called GC's are not really GC's but guys that "could" be if they would quit drinking.... I have been doing this over 15 years and have went through many so called GC's and have found that I get my deals done better, faster and cheaper if I kind of GC the projects. This means I usually have a guy that is almost a GC but just doesn’t have it all together and I manage him.

That said I LOVE having a GC that can just take the job and run with it but again most of those guys are busy and don’t understand our business. I have always said if someone in this city wanted to take over and dominate the flip/rental rehab market as a GC they could do so pretty easy as there just isn’t anyone working this niche. Sorry I can’t really help with a GC but I thought I’d throw out my experience in Louisville. Like you guys I am always looking for a GOOD, FAIR PRICED, QUALITY GC! If you find one please share as I will do the same. 

I agree... It feels like no one really tackles this market. I am always looking to buy but their doesn't seem to be many wholesalers in our area. Or atleast they aren't reaching out to me. I have cash burning a hole in my pocket right now... Bring me a deal. 

Maybe I should wholesale... HMMMMM??? 

@Ramon Jenkins Purchased as is. I did the inspections. I will try and get a couple photos up. Thanks 

@Mark Freeman Thanks... It's a great little deal. I have landed a few deals this year from good old Craigslist. You just have to be consistent and look look look every day. 

Looking forward to 2015! 

Just wanted to post my last deal of the year... Pretty good deal really!

PVA (Property Value Administration) says value is $54,300. That’s about right...

Has newer roof, vinyl, furnace and water heater. Some updated plumbing. B- to C+ area.

My cost $15,500

Rents for $600 per month

Needs general clean up and some minor repairs roughly $500 - $800.

Purchased from a motivated seller via Craigslist. Part of my daily routine is to skim the Craigslist ads in my area. So for all you newbies and vets the smallest things can sometimes fetch you a pretty good deal. Stay focused and do the little things that most other investors won’t take the time to do.

Have a safe and happy new year! 

@Michael Seeker "Even with a buy-and-hold property you should consider your exit options."

As I mentioned above... Once again well said Michael..

You "WILL" one day want to unload the headache properties. I think its ok to build a good cash flow portfolio of lower priced homes and use them as a stepping stone but you "MUST" have an exit plan. Even if that exit plan is to buy more lower priced homes and hire a PM. You just have to always think a few steps ahead. 

@Michael Seeker "but you better not have anything else to do with your time."

What you said is my exact point... Well said. 

@Pavel Reyes Valdes No problem...

I buy in that area as well but again you have to be very picky... Some of the streets are really really nice for the area but others are all bad! I have a few properties in that area and they rent for $600 - $650 for 2 bedrooms. Most of the nicer areas are where home owners have lived for years. All in all good rental area but there are a lot of rentals in the area so you have to keep that in mind. Hope that helps.