All Forum Posts by: Pramod Prasad

Thanks - this is a very helpful perspective. I think this is a wholesaler because of clause #2.

Looking for advice from this forum. I got a good offer for the property I am selling but the buyer sent a purchase contract that appears to be heavily skewed in their favor. Some concerns I saw were: 

1) Buyer-Friendly Inspection Clause: The buyer can cancel unilaterally within the inspection window, and I must accept that without dispute. 

2) Assignment Without my Consent: The buyer can reassign the contract to a third party without additional approval from me. 

3) No Title Policy Requirement if Buyer Cancels Escrow: If the buyer chooses to not use the escrow agent, I am no longer required to provide a standard title policy. 

4) Memorandum Recording: The buyer may record a memorandum of the contract in the county records. Will this cloud title until the contract is formally canceled or closed?

5) One-Sided Remedies: If I breach, the buyer can sue me. But if the buyer breaches, I agree to keep the only EMD as my sole remedy.

Would appreciate help on any advice you have. In addition, are there recommendations for a lawyer who i can have to review this contract? 

I suppose walking away is an option if this is very concerning but as of now I am considering this offer because they bid the highest.

Thanks @Jeremy Taggart very helpful to get your perspective. 

My only pause in considering this is to set up the new equipment in the house.- appliance, water heater, hvac for which I will get the insurance claim back. But without electricity they wont be hooked up. Assume that this would not matter to an investor buyer. 

Hi BP members, 

I have appreciated the help that I have received from this forum as I go through my horror story of issues at my first house purchase. After a one year long eviction process my tenants left the house fairly vandalized. Now my insurance does not cover most of the damages - it covers maybe 25% which includes only the big ticket items - appliance, water heater and hvac. 

I have decided to sell the property (at a loss - it's been a bad investment and I'd rather get out than handle more headaches here) but only do the repairs that are covered by insurance (around $10K) so that I can get some of this value back. When the work started the contractor noted that the electrical can and mast are also broken and need to be fixed before there can be any electricity in the house - this is another $4K expense. My question to the forum is: will i lose value in a sale if I do not fix the mast and can (so basically no electricity in the house) but only install the new items - how will a buyer perceive this? (the buyer will likely be a investor or wholesaler and additional rehabs needs to be done before you can put a tenant here). 

Please DM me or respond here. Appreciate any help in navigating this situation. 

Thanks for the response, Alex. 

Its a single family house located in the 64130 area. 

Hi All, 

This is my first time using a GC to do some light renovation work to fix up a property in Kansas City MO. 

My GC found that the Electrical mast and can were damaged and need to be replaced. I found his estimate to be pretty high - $4200 including his PM fee. Is this even in the right range? Given I have no prior experience in this, would like to hear any advice. THanks. 

Thanks Nick - super helpful! 

Thank you. This is very helpful! 

First time using a contractor to fix a few issues at my property before putting it in the market. Need to install a water heater, new hvac, fix/replace the front door and install new appliances. Would appreciate anyone with insights on answering these few questions. 

1. What is the typical PM fee (%) for such a job for the GC? I wont be able to manage this on my own. 

2. What questions (critical) do I need to ask the GC? 

3. Any recommendations in KC, Missouri for a reliable GC- looking for someone who can operate in 64130 area. 

Hi team, 

I am a relatively new investor (own 5 out of state rentals) who has identified a potential value add property. I say potential because it is definitely significantly below market value in a great neighborhood and I would not mind making this a primary residence. 

However, the house needs a major rehab - think full renovation including fixing some foundation issues. The house is also 100 years old and may require some other upgrades. I don't have any prior rehab experience but given this is a available at a good price, is right in my backyard in an area where I can make it my primary, I do not mind going in for it. 

Would like to know if BP community here can recommend some good GCs that can take these on. Need someone who is reliable, and timely and not necessarily the lowest cost. My agent estimates that this will cost $200-300K overall for the rehab.

Anything else that I need to be cognizant of / think about before I place an offer? My idea is to get a couple of bids, see what is costs, check the ARV and then place an offer that is at least 70% ARV - Rehab costs.