All Forum Posts by: Shelby Van Horn

Hello,

My partner and I are looking for the right realtor to help us find our first flip in the Atlanta area. We have started the process of working with two other realtors, and it doesn't feel like it has been the right fit. Qualities that are the most important to be are being highly knowledgeable in fix and flips, being able to help estimate rehab cost, familiar with the 70% rule and what our maximum offer should be, responsive, and happy to work with a couple who is brand new to this and eager to get started. We are already prequalified through our HML and have a proof of funds letter. Time is of the essence for us, and we are looking for someone who is ready to start searching and showing properties yesterday.

Please reach out if you would be interested!

Thank you.

Thank you all so much for your input!  We pulled out of the deal.  I'm glad this learning experience didn't end up costing us tens of thousands of dollars.

Hi there,

My partner and I are trying to find our first flip.  Although I have been following and learning from BP for years, we are both brand new to this, and I think we may be about to pull the trigger on a mistake, and I was hoping to get advice here before I cancel our offer.

The property is in the 30349 area of Atlanta.  

It is a four bedroom, two bathroom, split level house needing approximately $20-30k of repairs.

The purchase price is $177,500.  We tried to get it for closer to $160, and the seller wouldn't budge more than ~ $2,500.

Our realtor sent comps and has been assuring us that relisting for a minimum of $250k is realistic and creates a good profit margin.  Our offer was accepted yesterday, and our five day due diligence is supposed to start tomorrow.

From what I have thoroughly studied on the comps, they do sell within a decent time frame and for much higher than the purchase price, although the majority of comps are slightly larger in sqft. (They are all selling in the $260-285k range).

I'm sitting here trying to learn and absorb everything, and working on the rehab budget.  While we plan on doing a lot of the work ourselves, we are realistic with our limits and will need to hire much of it out.  After using a couple of deal analysis tools, I feel sick to my stomach that this may be a big mistake.  

We are using a hard money loan at 9.9%.  After analyzing the deal further, estimating holding costs, realtor fees, monthly costs on hard money, estimating the worst case scenario of it taking three months to sell (average time here is 43 days), rehab costs, insurance, etc., I am pretty sure we need to pull out.  I feel stupid for not realizing this in the first place, because if I did the 70% rule correctly, we would have to be *negative* $2,500 in repair costs to make it fit.

Am I missing something here?  Is this somehow a good deal and I am messing up the numbers, or should we run?

Thank you.

 Thank you for the welcome!  This will be my first investment.  I wanted to get started in California, but it just never worked out.  Definitely excited to utilize some of the knowledge I gained there from working in a real estate office and my license to help with investments here.  

Hey everyone,

I'm Shelby, and I'm excited to be back on the Bigger Pockets forum.  I spent a lot of time here before, but the time was just never right to get started, but things seem to be falling into place now.  My partner and I are diving into real estate investing in Atlanta, and we can't wait to get started.

I've been soaking up knowledge from this community for years while living in California, where I had my realtor license and worked as a listing manager. Now, we're in Georgia and ready to tackle our first flip project.

We're here to learn, share, and connect with fellow investors. 

Looking forward to getting to know you all!

Cheers, 

Shelby

Hello,

My partner and I are looking to do our first real estate transaction, and we are going to start out by doing a fix and flip. We are looking for a real estate agent to help us find the right property. I have studied Bigger Pockets for years and have a decent amount of knowledge about REI for someone who hasn't actually done a project yet, and I am also a licensed Realtor in California, but I am looking to find a Realtor who is comfortable with doing some hand holding as we navigate our first deal, and who is excited and enthusiastic about fix and flips. We are in the Atlanta area, and an ideal location for our first project would be somewhere in the Fayetteville or Newnan area, but we are willing to go wherever makes sense. I am looking to get connected with potential Realtors ASAP, so please feel free to reach out if you are interested or know someone who may be.

Thank you,

Shelby