All Forum Posts by: Crystal Smith

@Davon Lowery We're available in Chicago.  Also licensed in Georgia.

@Tony Santos I'd do some more due diligence on this.  If he owes $27K in back taxes chances are there may be other liens on the property.  

If he owns the property free & clear w/ the exception of the back taxes then an "out of the box" approach (Using your words- It's really not out of the box) is to make the property owner a partner.  Reach an agreement to pay off his taxes.  In exchange for paying off his taxes you agree to renovate the property & share some of the proceeds from the sale w/ him.  If he agrees you could potentially reduce the amount of cash you need to execute the project.  The incentive for the owner- He could potentially walk away w/ more profit than your current offer.  For this to work you'll have to get security in the property with the owner; a solid joint venture agreement & the owner may have to move.    We've done this a couple of times over the years.  All they can do is say no.

@Nic Bernier Our "momentum" is driven by financial numbers directly tied to Cash flow, cash in the bank, ROI,.... These type of metrics drive our momentum & strategies.

@Damiano Malfeo You don't need software to create an LLC. You can create your LLC directly on line w/ the Illinois Secretary of State office. or use an agency such as Corp Net to create the LLC, provide you w/ your operating documents and act as your registered agent.  You could also use a lawyer.  We've used Corp Net.

@Francisco J Delgado We purchase property from wholesalers. We also sell properties. We're not buying in DFW @ this time but when we did we always passed on deals when we couldn't find enough comparables to support the ARV. Bottom line for us: 2 sold properties does not make for a good assessment of the ARV & your September ARV will soon be unuseable so there may only be one comp. I'd do some more work trying to find some more comparables before meeting w/ the seller.

If the property is already occupied w/ a paying tenant then you may want to consider forgetting about the ARV and focus on the As Is Value. Do you have enough comparables to support the As Is Value. You should have that before you meet w/ the seller. Also you're eventual end buyer may not care about the ARV & only care about current as is.

@Jahmar Childs Hello Jahmar.  Since you're active duty one of the things you may want to consider is to network with other active duty investors.  Some who you will find here on BP.  We're actually working with some active & retired veteran investors in Chicago.  

@DL Martin Who's the HVAC supplier in Chicago?

 We outsource everything 100%.  The most we've ever done is act as our own GC;  i.e. contract direct to licensed tradesmen; hired handymen for work that does not require license & used the big box stores for flooring.  

@Maria Scott Title Insurance is for your protection.  It's not mandatory but highly recommended.  If there are any defects in your title found after you close then title insurance will cover the cost.  Title companies will issue insurance only after doing a title search for any liens against the property.  You can call the title company for the estimate of the cost or  use the 1st American Title Calculator to estimate the cost.

@Dan Sieg Here's the bottom line. You could potentially loose credibility for future deals with the agent or other agents in the area if you provide a bogus POF. If you have a buyer lined up they should provide you w/ a POF. If your buyer can't provide a POF then you really don't have a buyer.