All Forum Posts by: Ritch Bonisa

I'm in Indianapolis.  This market is very active right now.  I know some great wholesalers & contractors in Indianapolis, Cincinnati, & a few in Charlotte, NC - if you need to build a team of people that frequently works with remote investors.   

I see this alot.  1 bathrooms, 2 kitchen, 3 increase closet space if/when possible (pre 1990 homes)

Can't answer the whole question.  Just make sure the estimated rehab costs are accurate.  I see all the time where brokers, agents, wholesalers, etc. give you a rehab cost that has nothing to do with real construction costs.  When someone is trying to sell, many times the estimated rehab cost is a lowball number.  Building codes and older homes can change the equation as well.

Flipping at a distance can provide the opportunity to take advantage of some very profitable markets.  I'm in project management, I find the appropriate contractors and then manage projects, use technology to its fullest, and help with team building, etc.  I get emails and calls every day from investors that need help with team building.  Team building and finding trusted contractor(s) seem to be big factors.  Also, having about 3 good wholesalers who are trustworthy can be very important too - they can guide you neighborhood by neighborhood and keep their eyes open for good deals.  The problem is - there are many ways of doing business for wholesalers.  You have to find a wholesaler that fits what you need.  There are wholesalers who specialize in working with foreign, out of state, and remote flippers and they want to work with you over and over again.  You definitely want to build a team of people who want to work with you over and over again.  Beware of those who want to make all their money on 1 deal.  I would also add some great advice I have gotten over the years.  Find a good deal, don't try to make a deal work.  Remote flipping works great when you can identify the right properties, have a good team in place, and you receive constant progress updates and documentation on rehab projects.

PM me, I have a few that I refer and always hear good things about them.

I am in Indianapolis.  I am in project management and work a lot with remote flippers, so I get those questions about crime and the best areas.  Right now Indianapolis is a great market.  I know it's good because the same investors are completing projects with me and then looking for properties to start new ones.  This is happening over and over again.  Most of the crime is happening on the near East side of Indianapolis, with some on the near West side and an area just North of downtown.   They are fairly confined areas.  I don't think locals would characterize it as a dangerous place to invest or live.  The market is popping, wholesalers generally are having great deals.  The contractors I know are very good and it seems rehabbed properties are selling quickly.  

That's a great story.  My background is project management as well.  90% of my clients are remote investors.  Usually they are in need of a local team in the city they want to invest in.  This is a common issue for remote investors.  Having a team is a major part of the equation.  I like what was said about communication.  I focus a lot on communication, documentation, and the use of technology and a cloud-based platform.  When all of those parts are used, it allows people to take advantage of profitable markets that they otherwise wouldn't have the ability to participate in.  Congratulations on your great story!  You are blazing the trail for many others to follow.  

Sounds like you need to find someone who knows the local building codes.  You probably also need to have a way to understand what the true scope of work would be and associated costs.  Many times you will get  low numbers from someone trying to sell you a property.  Maybe they are being unethical or probably they have no real construction background and are uneducated in this area.  I see this happen all the time and when 5 estimates come in that are way above the scope cost - it probably tells you that it's a bad scope.  Obviously the key is to understand these costs before you ink the deal.  When you do go to the estimate phase - make sure the estimate reflects the scope of work.  Find an independent general contractor that you trust and ask for a scope with cost ranges. You may or may not have to pay for this scope. Many times good accurate scope/costs are the missing link in determining if it is a good deal or not. If the scope doesn't fit into your ROI model - pass on the property. You may already know all of this through your own experience. I just find that there are a lot of investors who don't account for this.

Sometimes I work with investors doing their first few flips and they get an emotional attachment to the property and this can cause them problems. The seasoned pros never do this. It is just an investment to them and they are geared to evaluate, buy, rehab, sell. I am not an expert in this area, but I have been told - it doesn't have to be the nicest house on the block, but should fit in and be a fresh looking property. Again, the selling price must fit into your model and work with your ROI. If not - pass on it. I have been told - Investors who find good deals, make money. Investors who try to "make a deal work", don't last very long.

I have a few wholesalers I can put you in contact with in that Cincinnati area and maybe one in the Dayton area.  Sent you a PM - hit me back if you want to get some contact info for them. 

I'm in Indianapolis.  What I mainly see is the same investors doing fix & flips and repeating the process over and over again.  I thought it would slow down, but it seems to be picking up pace through January.  The wholesalers we work with are really moving properties and the contractors are busy as well. I am receiving so many requests to connect investors with lenders, wholesalers, investor friendly realtors and contractors.  This tells me that Indianapolis is a very good market right now.