All Forum Posts by: Peter Mckernan

I would go off what you know for example, the place that I invest a lot in is the market I grew up in (I do not live there anymore). I know the market, a property comes up, I know it is a deal and not a deal. If you do not want to do this, then I would say pick an area that you travel a lot to (i.e. have friends in areas, or family in areas you want to invest in). Narrow in on 5 areas that do deep dive on and then from the 5 go to 2 areas, and then you can settle on the best one. 

The most I would pay 30% upfront, and that is typically still high. Usually I do 10% on contract signing then 30% the first week when the project is underway with a contract I use a lot. If it is someone new that I have not used, 10% and then weekly check ins on the site. 

 @Joe Homs has a good thing going for lower pricing on stuff through his brokerage

I would have an A&B company setup. One for all the time and the other company/contractor for when you get slammed you can put them in. Kind of like basketball, if there is too much work for someone for too long you can sub someone in! 

 Then I would look at local meetups and who runs them and message them directly to see about networking with people in your market.. The people that run those meetups probably have solid contacts for that

Buying right is always subjective, as someone that has seen some people buy bad deals from others. The buying right comes down to knowing the calculation in comps/rehab. There are a lot of people out there that give comps to a buyer just to sell the deal they have right now, those people selling do not realize this a relationship business.. The point is, the person selling you/the investor a deal might be someone giving bad comps to the buyer which turns out to be a bad ARV and they are buying the deal for the wrong price. Working with someone that knows the ins-outs of the market is what you need to do when doing flips, what are the comps, what is going on with that HOA that could cause to decrease the sales price, what the actual model match or close to it sold for... And the list goes on for buying right.

I would search up at the top of BP for people talking about South NH in the search bar, and the next move I would make is going to as many investor meetups in that area as possible! That is something you really want to do is go to those and network with people that are truly doing the work that you are doing that you can partner with for project management help, money help, and next finding deals! 

If you can give detail on build costs verse rehab costs that would really help! The thing about build verse rehab is what is the cost verse what it will be worth in the end. Just like a flip, the numbers count, and knowing that then we can give an educated answer. 

 Check above on toolbar, AGENTS or Property Manager... Those people will help you in your area! 

Really just look at the lead quality when getting into a lead source, but typically it's not the lead quality. Unless you are getting leads that are a 25 year person renting and do not own property, the lead quality is not the problem. For most, it is the follow up. You need to follow up and follow more. I listened to a direct mail marketing owner on stage about 6 months ago, he said, we can mail to all the people you want with the best script, but if you do not follow up you are going to lose money and never be profitable. 

So, you need to try them all, see what works in your area by putting systems into place to follow up and actually convert leads. Oh, and create the skills to convert leads too. 

The three ways you need to convert the leads from a lead source.

1. System to follow up

2. Skills to sell 

3. Follow up by the system you created