All Forum Posts by: Robert Breen

As an agent myself I think Chaz is right on the mark. Develope a good relationship that benefits both you and the agent and you will find an agent you can trust. You don't always have to use the agent in buying a deal but there are times, such as when the property you may be interested in is already on the MLS you can use your own trusted agent to help with the deal. I know I would greatly appreciate a contact like Chaz in my market that sent me seller leads they couldn't use. I would be glad to work with them on properties they were considering.

Thank you for the explanation.  I really appreciate it!  

I guess I'm just naturally suspicious of something that sounds to good to be true.  How can we verify what you are offering?  The information we are asked to provide could be used by those who are less than scrupulous for identity theft.  Is there a way to verify wher this information is going?

Absooutely fantastic!  Love to see great stories like this.  

  There are pros and cons to the franchise vs non franchised real estate firm.  It all depends on your goals.  I know when I first got into real estate as an agent I worked for a no name real estate agency that a friend of mine was at.  She left that firm to join a RE/MAX agency and her business just skyrocketed.  I soon joined a different RE/MAX franchise and had the same experience. 

     People like a brand name when looking for a home or choosing an agent. It often is brand recognition that brings people to our door.  With the type of fix and flips you are doing it seems like a brand name may bring a bit more legitimacy to your projects.  Just as Joel said earlier, I don't think the discount brand is going to be for you for that reason.   

   I also wanted to add that I partnered with a few of our other agents and bought our RE/MAX franchise from the former owner two years ago.  We are small but building!  Here is a link to their website where you can get more information about opening a franchise if you want.  http://www.remax-franchise.com/fs/get-started/requ....  And no I don't get anything if you buy a RE/MAX franchise.  I just thought it may be useful information. 

Good luck to you!

Robb

I know that getting my license in Michigan was a good thing for my investing. A lot of good deals come through the office. However I also have the disadvantage of not being able to buy repos I list or bid on any HUD properties because of the conflict of interest with my brokerage.

       I would look at the costs in your area of being a Realtor. I know where I am at there are a few brokerages that offer discount fees to agents that mostly deal in their own buy sell tansactions.  (As low as $200 per transaction at some of them.) That could hep you.  You could also look into eventually being your own broker after you have some experience.  That of course would depend on what your state requires.  

HI Amber;

   I agree with Jay.  You need to make very sure you are looking at the whole picture.  Maintenance costs should be included because you always have them.  Will you self manage or hire that done?  Breaking everyhting down by the month is a better way to see the whole picture.  

 If I am reading your post correctly the purchase price is $130,000.  Your going to pay 15% down or $19,500 down. 

Expenses broken down monthly come to

$54 Taxes

$135 Insurance

$109 Garbage, Water, Sewer

Management usually runs 10-15% if you hire it out.  So that would be 160 a month. That would not include maintenance costs which should be explored. 

In that case you are looking at an expense of $1260 a month (not including maintenance) 

Rents are $1,600 a month if both units stay occupied always.  So that leaves $340  a month over and above expenses.  If maintenance costs run $100 a month then you are looking at $240.  

Using your downpayment of $19500 and a yearly before tax ROI of 2880 that brings you a $14.7% return on your money. That is if both units are occupied 100% all year. A simple 10% vacancy rate would reduce your annual ROI to 5%.

For me personally I think those look like some harsh numbers I would have to reconsider.  

Just some thoughts.  

I would definitely seek a buyer agent.  Even in commercial the selling agent has a duty to the seller.  While they may reprisent you as the buyer I'm not sure that's the best thing for you as a buyer especially since you are out of the country.   Just wondering how you got interested in the FL market as opposed to other areas.   Always curious to know why people look in what areas of the country.   There are a lot of good deals in  a lot of places. 

Sounds interesting.   Have to admit I am mostly a tire kicker right now but may be able to take advantage of the right opportunity.  I have connections in the Las Vegas area though so  I would like to know more about the property.  

  Do you have an estimate of what the rehab costs would be on this?  Looks kind of dated?  

Thanks

Hi Jeff;

   I'm a Realtor in Newaygo.  My office does a lot of business in Ravenna and Muskegon.  We work in a lot of other areas as well.  I work with several investors and do some investing myself.  Let me know if I can help you.