All Forum Posts by: Justin S.

@Tom Nguyen - I sent you a PM. Thanks

I WILL MAKE AN OFFER IN THE NEXT 5 DAYS!

Based on just your numbers, I would do it with my business model. You will need to take in to account floor layout, year built, days on market, etc. Good luck with it!

@Kyle B.

17-18% percent profit in Phoenix would be phenomenal. I do get deals like that but only a couple per year. There are also a couple things to consider when looking at returns and why they are slim in phoenix.

1. Returns need a time factor applied to them. Are you making 17-18% in 3 months, 6 months, 9 months? We rarely if ever have weather delays. It rains 15 days a year and never snows. My flips average 80 days total hold time. That means I can turn my money over 4 times per year. And I can flip easily during all 4 seasons.

2. Our homes here are newer. An old home in Phoenix is built in the 1950s. Flipping in Phoenix is generally a lot easier because of this. We have a lot of paint, carpet, and granite jobs.

Just things to consider....

@Aaron Helmholdt - Last year I did ~40 flips and all of them were off the MLS. This year auctions have loosened up so I've purchased 2 from there but most of the deals are MLS deals.

I've never had much luck with direct mail marketing but I'm sure the spreads are much better than MLS deals, but I likely cannot produce 40-60 deals from direct mail per year.

@Barry Ratliff - Your returns are going to vary on how many deals you need to do a year. Flippers doing 25+ deals are getting 7-10% profit (based on sale price).

I've never worked with Direct Buy but you will want to get materials from stores that stock items. My breakdown is:

Hardware/Fixtures/Materials - Lowe's - Create a custom list of items of you want discounts on and ask them for pricing. (example door handles, fans, faucets, toilets, fixtures, etc.)

Granite/Cabinets - Local Guy

Flooring - Local Flooring Store

Appliances - Fergusons

Thanks

Justin

@Serge S. - Yes, the market has been slowing down since October of last year. I'm still buying but not as much I want to right now, I have 7 properties in various stages. If you need help buying let me know. As for a meetup, I'd be glad to meet with fellow investors.

I'm with Jscott. Don't de-stage until all contigencies are met and final walk thru is done.

If you are flipping and putting in tons of offers then I would get it. If you are doing buy and holds, then you can probably wait and see if you need it.