All Forum Posts by: Shawn Gageby

@Aj Bowman, Aj an important thing to consider is that a GC in MD is required to have the MHIC License which has some protections built into it.  This would work for single family up to 4 units but anything bigger would not be covered by the Guarantee Fund.  If your project is just some quick touch up work then you might be able to handle that with a few phone calls but anything more I would suggest teaming up with a good GC.

@Brandon Hall, very inspiring. I look forward to seeing your next 1,000.

@Christine Nieva You could look at Lima One Capital.  They have some good programs and can do loans in the DMV area.

@Sean Myers There is usually a contingency amount that is held in addition to the cost of the repairs.  In my case we held out an additional 10%.  If the repairs come in less and the contingency is not used then the remaining balance can be put back on the principal.  I had some additional items that I wanted done once I got into the property which I paid for out of pocket. You will need to find a good general contractor to do the work and they are required to have their MHIC License to do the work.  I recommend getting 3 prices from qualified contractors.  The one that you select will have a stack of paperwork to fill out and you will need to develop a good and detailed scope of the work to be performed.

Also, @Steven Gesis 's advice to work with a lender that has experience is very accurate.  I started the process with a local 3 letter named bank that totally dropped the ball and forced me to run to another lender.  Fortunately I was able to get it done even when the first bank said that it was not possible. 

@Sean Myers I'm into the first 6 months of my 2 years of this process.  Getting the 203K set up did take extra time, but once you get to closing the seller walks away with their money then the construction process starts.  There is 2 different types of 203K (Full and Lite) the full is for amounts of work greater than 35K and requires hiring a  203k consultant for the project that ensures that the work is being done correctly.  They work as your advocate.  The lite version can be done without the consultant.  

My property appraised for about 20% above the loan. Still have to pay PMI though until I Refi it.

@Patrick Reilley, I will send you a colleague request.  I would be happy to talk to you about any construction needs that you have.

@Russell BrazilThanks for the tagging info. I will start using that. 

Shawn

Shayne,

I am mostly interested in South Central PA where my family is from and the Johnstown/Altoona Area for picking up additional rentals.  For the construction side I'm looking for investors that are flipping in the DMV area.  Are you currently working with any construction firms in DC?

Tamara,

I would love to speak more with you as you build your team.  DC has many great opportunities, just connect with me the next time you are closing in on a project.

Shawn

Donald,

Yes, we have some guys that live in Woodbridge which is half way.  But, I would say that we would not go much further than Fredericksburg.