All Forum Posts by: Kingsley Okwerekwu

@John Teachout

Very interesting!

2 things:

1: would you take the offer seriously if it had a walkthrough contingency and they were willing to see the space ASAP?

Or would you just look at it the same way you would would look at someone trying to view the space without an offer? Would you maybe take the person less seriously? Even if the number was higher than the listing price?

2. Is there a good list of repairs/ a spreadsheet that is used by you or bigger pockets that I could use as well? Any recommendations? As someone who has never walked with a GC or bought a property before, it can be very overwhelming. I also feel like it’s incredibly hard a first time flipper to negotiate with a contractor. I’m trying to be as knowledgeable as I can!

@Alex Heidenreich Alex, thanks for this response!

I’ve heard and seen many people say the same, don’t hesitate to offer, you gotta get in there- just use a walk thru contingency and inspection contingency.

My question is, are there any downsides to that? Is that annoying for a seller to deal with? What are the best strategies for using this contingency? I assume I should be prompt and try to see the listing as fast as possible after the offer?

Are there any other cons to this strategy? (Anything binding? Costs?)

@Brandie Lynn happy to help Brandie!

@Mike McCarthy

Thanks for the advice Mike!

For me, I have no investing experience and I live in Boston where it’s wildly expensive and have to invest about an hour out.

It sounds like you recommend that instead of making an offer when a listing pops up, make the extra effort to make the drive and see it first, correct? Because I don’t know the area super well (but I am studying it in detail) I should probably do this a few times again and again till I get a good feel for rehab costs in the area.

My fear is wasting a contractors time or getting rejected by a contractor to walk through the property with me because I am not certain that I want to buy the space.

Any thoughts or tips on these?

@Scott Passman thanks for the great advice Scott. I never thought of that exit strategy before but if possible, it would be an excellent one!

Yes, BRRRR is a great method as well and as someone looking to increase they're active income right now before passive, it would be great to have that cash out refinance option to take some equity out, and still have a cash flowing property.

@Bill Quigley thanks for your insight Bill! I never thought of actually give a contractor a CONTRACT! (Ironic isn’t it) I had always thought it was just by word.

Do you think a contract could get tricky because of all the things that could change and how more costs and expenses can arise? Or is that also part of the contract?

What would your contract consists of and what do you think is most important to include?

Do you you have an example of one of these?

@Jeremy Stanfield Thanks Jeremy! Incredibly helpful!!

@Patricia Steiner Patricia, thanks for such a detailed answer!

I've never heard of the idea of going to the appraisers website...do you mean like a national website or a local one for the area? And when you say, "check square footage" do you mean to double check what the actual square footage is on the property because the listing agent may have misrepresented it on MLS?

For violated codes, would that be with the intent of saving myself a step before inspection? Would that information that I look up with regards to codes, come up in inspections? Wouldn’t the seller be required to disclose these? Or would that be the inspectors job? Or no ones job, all on me as the buyer?

Also as a buyer, what do you mean by, I don’t pay a commission to the buyers agent? Last time I checked that was part of the closing process and what not, can you please elaborate?

Also, what information would the pulled permits tell me? What is valuable about hat information and how can I use that information to my advantage.

@Steve Morris

Hi Steve I agree with you in theory. The main reason why I ask is because when I am looking at properties I am always looking about an hour outside of where I live. I only look at fixer uppers and photos are usually poor, but I guess what I am asking is it okay to make offers from my computer, get them accepted (with a walk through contingency) and then estimate the costs then?

I’ll probably walk through with a general contractor.

Is it all in creating a margin of error and a really good deal? What are the best way to do that? Is it other things outside of the “numbers”?

I am a first time flipper and I am very confident in what I would like to do, but I am still scared shitless at the idea of beginning and making the stupidest mistake. I intend on private financing and using my friends and families money to help fund, and I would hate to displace they’re trust.

In other words, what would be the most useful tip you would tell your first time flipping self from the past?

Thank you!