All Forum Posts by: Tucker Cummings

Just reiterating what everyone else is saying, I think there’s just a lack of integrity, intent and ability in the wholesale space.

I don’t have any issue with it, because I’m thankful whenever a wholesaler brings me a deal. But 90% of the wholesale deals that come through are just some kid that heard about wholesaling on YT and thought they could make a quick buck and get some life changing money. That kind of quick buck attitude brings in a lot of bad with it.

In my experience, the best wholesalers are the ones that are also investors themselves. Much like our best agents, contractors, lenders, etc are also investors, the same is true for wholesalers. These wholesalers know the kinds of things to look for, can give a more trustworthy assessment of the property, and know both buying and selling sides of a transaction.

I’m saying all this because when I’m talking with wholesalers, I like to ask how many properties they own. If they own a few, I at least know that I’m dealing with someone who can guide us through the transaction. If it’s none, then I tread very lightly. Also if they say none, I know there could be legal issues if it’s not handled correctly.

I’m currently buying an off market property. I’m paying cash so I thought this would be a quick transaction. It’s taken 4 weeks to run title and now that title has come back it turns out the ex wife is on title and we have to figure out how to contact her.

On another deal I did (didn’t end up going through) when title came back it showed a 17k tax lien against he property and it stopped the deal.

I’ve been relying on wholesalers to bring me deals and title doesn’t happen until it gets to the attorneys office. I’d like to know how I can run title in house so I can expedite the process and avoid unwanted surprises.

Anybody have experience in this area? I’m based in NC if that’s an important factor.

Thank you!

I don't have any experience in Boone so I can't say for sure what it might be like. But I know App State is there, so maybe if you find a deal you could rent by room to students, if you're open & willing to do that. 

Keep it as a rental. In order to maximize cash flow and have capital of needed, have you looked into a HELOC? You can hold it outright in cash to maximize cash flow, then deploy the funds when an opportunity comes along and only make payments then. If you go down that route, I advise only use the credit line for BRRRR strategies so you can refinance and pay yourself back.

Sounds like you’ll be able to pull out about 120k or more in a credit line.

Such an inspiration. So excited to be at that level one day!

Honestly, NC is so great for REI that you kind of have to "try" in order lose money here. Some places are better than others, but you really can't go wrong in most.

Raleigh and Charlotte (the two main cities) are tougher cash flow markets, but might be great for flipping. Pretty much everywhere else (minus the really rural areas, but hey maybe you could pick up some sweet farmland) is good for cash flow.

I live in Raleigh, invest in Fayetteville, NC. About an hour and a half south of Raleigh. I like it because Ft. Bragg is there and I rent by the room to soldiers and get a premium on cash flow. It’s been a great strategy.

There’s been mention of wholesaling and then the question of if it can be done on a more personal level.

If you’re looking at it from that perspective, it might be a good idea to find somebody to partner with who can bring the funding as long as you find the deal.

The issue you might run into with this is that you’re just limiting your own potential. If I’m really good at finding deals, I don’t want to just send them all to one person. I’d want to send the deal to several people, see who wants to fund it, then keep it for myself as a rental. If it’s not something I want for myself, then I’d assign it for the finders fee.

I think if you’re just trying to work with one specific person, you’re limiting your potential.

In the most simple terms I can provide, I just look at if the opportunity will beat the market.

Investing in the stock market can get an 8-10% growth per year over long term. If I pick specific stocks that have been beaten down or are undervalued, I can get closer to a 20% return in a year, give or take.

With real estate, I'm aiming for a minimum COCR of 20%. The monthly cash flow doesn't matter as much to me as the return on money invested. Having said that, the cash flow needs to be good enough that it excites me. Juice has to be worth the squeeze.

@Jon S. Cash out Refi banks are all over the place, might just have to get in at a more local level rather than the big banks. Try credit unions too, as they’re more flexible. You could also look into using a mortgage broker, who might have connections to several banks and available loan products.

That’s a no for me dawg.

Just say “we’ve reviewed your application and completed background screening, unfortunately you do not meet our requirements for placement.” I wouldn’t refund the application fee either.