All Forum Posts by: Vanessa Haw
Vanessa Haw has started 2 posts and replied 6 times.
Post: California Mobile Home Flipping Newbie Question
- Buena Park, CA
- Posts 6
- Votes 1
@Kirshna Koilada
The house is attached to land but land is not part of price. So the owner rents land.
Thank you for responding. I will follow up with property manager again next week and ask about storage agreement.
Post: California Mobile Home Flipping Newbie Question
- Buena Park, CA
- Posts 6
- Votes 1
So I unexpectedly ran into a motivated seller of a mobile home attached to land in Ontario, CA. He is selling for $20k cash and without going through an agent. He said his parents moved in with him and and dont want to keep paying rent on an empty property anymore and just wants to get rid of it asap. It is 1900sqft and comps show that similar properties have sold for $83-over $100k, depending on condition. This is a large mobile home park for 55 and up. Based on my walk through, it appears to need mostly cosmetic rehab work.
Main issue so far is with property manager. The property manager doesnt even know what “flipping” means. He said I can own the house but to live there, the lease has to be signed by a 55+ person. He said ok intially then changed mind and he said he will ask corporate. 1 week later, he said he hasnt heard from corporate. I dont think I will be going anywhere with the property manager. Corporate is Cabrillo Management. Not sure if anyone here is familiar with them.
My question is, is it possible to go through flip without property manager being aware? I can have an older person (parent) talk to manager about lease and buying a home there and if all goes well, have it leased by my parent?
This is my very first possible flip. I wasnt thinking about flipping but it seemed to be such a good deal. If purchasing without an agent, should I have real estate attorney do all the paperwork? Anything else I need to know?
Post: First Turnkey Purchase with Old Furnace
- Buena Park, CA
- Posts 6
- Votes 1
Originally posted by @Mike D'Arrigo:
@Vanessa Haw if there is an inspection contingency in your contract then you're entitle to your earnest money deposit back. Did your turn key company tell you what their rehab standards are and when they replace big ticket items like that? Most true turn key company have standards on when they replace HVAC systems and roofs. Manufacturers will say that a furnace will last 15-20 years, however, can often times last much longer. It all depends on how well it was maintained. We routinely replace furnaces that are that old.
When I first talked to the co owner, he mentioned that they replace anything that has less than 10years of life. So I decided to ask them to replace it but I havent heard back after following up on first request.
I am actually worried coz my own hvac started having problems in the 15+ year mark and so I decided to replace it.
Post: First Turnkey Purchase with Old Furnace
- Buena Park, CA
- Posts 6
- Votes 1
Originally posted by @Rachel H.:
@Vanessa Haw You may want to ask for a slight price reduction for the furnace. If you're already getting a good deal, it's probably just best to work it in your fix-up work for the property. Replacing it can be too much of a hassle for the seller. And it requires time. Try to see if you can negotiate some type of price reduction or monetary seller concession. Good luck!
I asked them if it can be replaced and it is taking a while for them to get back to me. If they wont budge, will take your suggestion. Thanks!
Post: First Turnkey Purchase with Old Furnace
- Buena Park, CA
- Posts 6
- Votes 1
Originally posted by @Lane Kawaoka:
@Vanessa Haw Its really hard to say. How good of a deal is it or what else is out there in comparison (Best alternative to a negotiated agreement) and what is sellers situation. Most turnkeys these days are around 1% RV. That said I would ask for 50% of the furnace at least in price reduction and frame it as a good faith effort to move the transaction forward. Most new buyers don't ask for anything or worse they are ridiculous in their request.
I’ve looked at turnkey deals from the more reputable turnkey companies and these days they are around the 0.8+%RV. This one is closer to 0.9%.
I asked flat out if it can be replaced. No response, so I followed up again and he said he was gonna look into it coz the hvac contractor was out last week and now no response again.I will try to negotiate price if they are willing to cut it down.
This is the more reputable turnkey, didnt see any negatives about them. So I am kinda disappointed that they left out capex that will need replacement soon. Chose them knowing they are a bit more expensive because reviews seem to talk about their high quality rehabs.
Post: First Turnkey Purchase with Old Furnace
- Buena Park, CA
- Posts 6
- Votes 1
Hi, I am in the process of buying my first turnkey investment in Kansas City. The issue I am having is that the inspection shows a 15year old furnace. Obviously it is nearing end of life. I will be asking them if they can replace this. Any suggestions if they wont budge? Do they usually give back earnest money?