All Forum Posts by: Brian Orr

Oh that's unfortunate @Bill Gulley. I've done some searching on BP but all I found were posts regarding investors receiving seller financing in order to purchase. I'll keep plugging around to find more information as well as search the dodd-frank. and of course, continue the conversation with my lawyer and accountant.

Thanks for the updated information!

Ah ok so this could be a beneficial strategy! Thanks again for the input I'll talk to my team and see if we can put this together. 

Thanks @Account Closed... I'm not sure if I expressed myself correctly. I'm talking about after I purchase and rehab the house, as an option for me (as the owner) to finance to the new buyer. that said, I haven't looked into it as a financing option to get myself into more properties - so I will most definitely look into that further.

Hey all,

Curious if anybody has experience or advice on this. I'm wondering if I should consider a rent-to-own strategy, or maybe an owner finance strategy for my post-renovation properties. Are these dangerous waters to wade through? Or could I possibly be setting myself up for higher returns in the long run?

Great information Russell, thank you! Yes if you wouldn't mind, I'd love to see what all this is you're talking about. Considering I have no idea what a Schedule E is! I somehow made it through accounting at university but this real world application is way more difficult! ha

@Russell M.

And taxes!!

I'm developing my strengths in estimating and budgeting, but I am so bad at keeping track of everything! Spending more time with my accountant trying to figure last year than I am working on any deals this month.

Any advice or tools, spreadsheets, anything that can get me and keep me on track?

Here's my thinking and I'll just tell you the numbers to make sense;

Purchase - 50k

ARV (total flip) - 165k in 2-3 years with 55k rehab (50k profit plus rental cashflow)

ARV (facelift) - 115k this year with 35k rehab (10k profit but much less risk)

What I'm saying is, this property is in an emerging neighborhood. I need to rent it for 1-2 years in order to see top dollar after some nearby renovations and neighborhood improvements. I'm concerned about doing the major high end rehab and having the tenants mess it up - or basically way overdoing the house when that expected 2 year resale  is delayed or never comes!

What I'm asking is - would you renovate the house to make it "rent-ready" and go back in 2 years and give it the complete finish job when you know the resale value would warrant it? 

Or any other suggestions?

@James Ritter Roughly 40k on the high end including a 10% margin. Waiting on a couple of quotes but I think I'm about 35k. I will handle all the demo and some smaller bonus projects myself too.

@Vinod Sirimallethank you!