All Forum Posts by: Stephen Chatto

 We meet the 1st Wednesday of each month.  So the next meetup is 4/1.   

Here is a link to our next meetup: http://www.biggerpockets.com/forums/521/topics/183354-how-to-break-down-barriers-to-help-you-10x-your-business---mercer-county-nj

If you're local, we are having our monthly meetup in Trenton, New Jersey on Wednesday 4/1/2015 @ 6:45pm.

Do not miss this opportunity to hear Frank Tritini from Eye Star Consultants present. At this meetup, Frank will help you identify and break through your self imposed barriers to success, so that you can 10x your business.

Here is a link to the Meetup: Meetup.com/MercerCountyInvestors

Frank will give people information on how to contact him if they want to learn more or sign up for one of his courses at a later time, but this will not be a pitchfest and you will receive tremendous value for your business if you come.  

I just did a deal with an agent.   Here is what we worked out.

I was asking 199k.   I got my 10k and agent got $3,700

So buyer paid $198,700 for the deal.  

My contract was 185k. 10k to me, Buyer to pay 2% commission (on the 185,000)

She is also happy because she gets to list it after fixed up.  

 You should be able to get a blank state contract from your agent.  Make sure your read it and understand it and tweak it for your use.  Consult a lawyer.

 I am no attorney...  but I would venture to say a Michigan state contract would be a great place to start.  Ask you agent for a blank copy for you to review.  

 Agreed!   Use a state contract for best results.   When you wholesale you are selling contracts not houses.   State contract is more sale-able and worth more!  

You should be able to get a copy of your state contract from an agent.  

Your contract should be assignable and have an inspection clause.

Your contract should disclose you are intending to profit

You should seek the advice of a local lawyer, and talk to wholesalers at your local REIA

I am not a lawyer and this is not legal advise.  Just my uneducated opinion :)

#1)  Get the paper and see if someone is already advertising there.

#2)  Find out how much to run the add for a few months.

#3)  Determine if you have enough marketing money to see what the results are

#4)  Report back here and share what you have learned.

You can do an assignment with a financed buyer.   If it is traditional financing the lender may shut it down.  

Also if your contract doesn't have a financing contingency and your buyer has a financing condition...  it may get hairy.

Don't over complicate repairs.   Whatever number you get from one GC will be hugely different from another.   And the number your end buyer uses will be completely different then the 1st two.  Plus you don't know if they will be doing an addition, or knocking down walls, or what they plan on doing.  

When I advertise my deals that are fix and flip I say:

-Kitchen is 10 years old
-Bathroom is 5 years old
-Furnace is gas, forced hot air, and 25 years old
-Roof is 7 years old

Etc Etc Etc...   Let the buyer determine their own costs.  

In my mind, as a general rule of thumb I think in 10k guesstimates.