The New Deal FINALLY CLOSED IT!!

Proud owners of a "should be condemned house". Went out tonight to meet a guy that was taking the appliances for free. I guess he sells the metal. I don't care what he does with it, the fridge was full with whatever and hasn't been powered up for months and we never opened it and so was the washer, dirty water and clothes still in there. It took us an hour to dig a path in the house to get the washer, dryer, fridge, and stove out. They are coming back Sat for the dishwasher. Will be out there Sat with a crew cleaning out the house, figuring out what we can sell or giveaway, and tossing out the rest. Hope to be able to get through the whole house in 8-10 hours and be ready for the rehab! Now all we need to do is make it to the closing table on Sept 16th for our other flip so we have the money to get this one done.

Thank goodness, I was getting alittle nervous yesterday(Thurs) got your voice mail about 10:00pm last night,sounds like a plan. I will come by and see how its coming along on Saturday.Unless someone could actually see this house inside they would never believe the mess inside.Take care man and see ya Saturday.

Curtis Fillers
(Charlotte,NC)

One down bro, whats next for you? The house will look totally different tomorrow after 8 hours of cleaning out. We hope to have everything out and clean up the mess and get the carpet out, then we will put what we are keeping back in the house until we decide how to deal with it. We had a dumpster dropped off today and will have it filled to the brim in no time. See you tomorrow.

We were out at the house sorting through some of the stuff we put aside to possible keep and an investor stopped by. He started off asking who I was and what I had to do with the property. I told him I was the owner and thats when he said he was an investor and GC and how he has done 15 flips, most in this neighborhood and wish he had called the owners months ago now. We went through the house and he asked me what I would take for it now, told him I was not sure and asked him what he thought would be fair. I won't go into the pricing yet but we agreed on a price and he is going to think about it and get back with me. Lets just say that the day of cleanup might turn out to be well worth it!

Its been a busy couple of weeks, getting our other flip sold, closed today, talking with GC's and subs, trying to get things set up. Our original GC ended up in the hospital with a heart issue and was told by the doc to head out of town, if you pass go do not collect $200, get out of town and heal. He told me this on Mon and said he had a guy he would get to GC it now and that guy would call. No call yet so Mama Knucks talked to a GC in her BNI about the project and we are meeting her at the house tomorrow morning. We also met another GC at our REIA meeting last night that said he would run the project for us with our subs, he is an investor with a realtor license and also a GC. Our jack of all trades guy that is going to be doing everything in the house except electrical, plumbing, and ac is also meeting us at the house with his quote. We got him from a local REI, a 24 year old with 63 rentals, 2 flips under contract, and a $500k rehab going on that is mentoring us. He has really helped us with this project already and has sent this jack of all trades, electrician, and plumber to work with us. If anyone is reading this blog and does not belong to the local REIA and network like crazy with everyone that is in RE, go do it now! We have made such great contacts here, at the REIA, and another forum that I found local investors at. There are so many people out here and out in your area that will help you, you just need to ask.

We just got a phone call from the city, there was a petition on the house bedfore we purchased it and the city is just getting around to it. They noticed it changed hands, and rode by and saw the the overgrowth has been removed and work has been started, but said they need to come see the inside. They had been told about the outside of the house and holes on walls and other things and say they need to come in and inspect. We haven't started any work since I have had several GC's checking on pricing so I know I am getting a good deal. Was hoping to start demo in the next week or so, but we'll see what this inspector says on Tues. Thoughts on an inspector needing to come see the house? Should we be worried?

It sounds like you have a lot going on here. I hope the inspector does not hurt your efforts. So far we have been lucky no inspectors have ever came out to our properties. They have all been REOs so far for us. This was not a REO for you correct.

Take care Bro
Semper Fi

Steve.

No it wasn't a reo, it was an abandoned house that the son who had power of attorney for sold for his mom. We'll see how Tues goes.

whew!! you guys are really busy...good luck...hope all goes to completion.

WOW, its been another longer time then expected, to get moving along on this one. Demo was started yesterday and they say they should be done this evening. Expenses look good, a little more then expected but we did change a couple things from the original plan, so that is to be expected. It feels good to finally start it and know we are moving along. Mama Knucks met with the inspector for the petition on the house, on Tues. He had a trainee with him so they went over the house with a fine tooth comb. She said they were nice and had great attitudes and seemed to be on our side since we were rehabbing it and taking care of business. He pointed out some supports under the floor in the kitchen that need to be replaced, which we already knew due to the kitchen tilting down, and he mentioned another couple of things we didn't know about so it really did help us to have them in going over the place. So that along with actually starting this week has definitely eased my mind. The young investor that has been helping us along with stuff has been texting me and calling to make sure I am moving along. He sent me his ac guy and is also going to hook me up on cabinets. So now I a, using his plumber, electrician, hvac, and main guy who does most everything else. He told me he would be in touch in a couple of weeks and wanted to get together so I can see the projects he has going on and to also talk about how ours is going. The other investor/gc that wanted to buy the place before we did the rehab called yesterday when he rode by asking what our plans were. He made another offer 2 weeks ago along with a GC'ing the project offer. So I told him we moved forward with another group and I hoped they were there working, which then he told me he just drove by and saw work going on. Anyway, life is good, can't wait to go through this experience and learn and get ready for the next.

This should be a good week, plumbing rough is done, hvac rough should be done tomorrow, and electrical rough should be done by the end of the week and we hope to have all inspections done on those also, if not, then the beginning of next week. Should have the new windows installed as well as the outside paint completed.

Hope everyone is having a great week, and please remember to thank a veteran this week. We live in the greatest country in the world and sleep well every night due to the sacrafices of these men and women.

HAPPY 236th BIRTHDAY and SEMPER FI to my Marine buddies out there!

Haven't been out here in a while. Just haven't posted on here but have been reading some and also studying an apartment course and talking with local investors and networking a ton. Tons is getting done on the house, excited about the changes! Should have all first inspections, plumbing, hvac, and electrical completed the beginning of next week. The exterior should be complete this week, if not then the beginning of next week. New windows in tomorrow and Fri. We were out there the other night and a neighbor came over and asked if we'd be interested in buying his home in the Spring. He is older and has let the house go over the years and is ready to move into a senior living place in the Spring. ARE WE INTERESTED?! HA HA I'd say heck yeah! We are supposed to stop by and talk to him soon about the deal.

THANKS DEAN and everyone on this site for all you do! It truely is incredible the encouragement and help that is provided here. Life is good!

THANKS A VETERAN this week for your freedom to persue your dreams!

HAPPY BIRTHDAY MARINE

Steve
USMC
1980-84 3521-3522 MOS

What a great week with the house! Plumbing rough passed. Electrical and hvac inspections Mon. Outside is painted and new windows in. All changes to walls and stuff inside are done. I am told we are about 16 days out from being done. I was talking to my GC yesterday around 3 and he was leaving the house and laughing about the site. He said there were 14 people working inside and outside the house, getting things done. Its so important to work with a good team! I have a local investor that is mentoring me to thank for that. He shared his GC and subs with me. I found the HVAC guy but the rest came from him. I had interviewed and had quotes from people we found but then decided to roll with his after talking with him. Glad we did! LATER

I just read my last post and I don't even want to think about the timeline I thought we were on back then, I want to focus on just the positives. This has been a great experience where Mama Knucks and I have learned alot and are having a blast. We are about 2 weeks from being complete(this time I think its really that, so add another week or so probably, HAHA), mostly due to lack of communication on our part. The GC and subs have been great with helping us to learn how to do this rehab. We brought in the GC after we started and I guess we didn't communicate with where we were with ordering stuff and what all we needed them to do, but like I said, we are having a blast on this. The great news is, a rehab around the corner thats a little smaller but has great front appeal and nice back sunroon just sold for $224k. There is another investor around the corner from us that called me a couple days ago, he is almost done with his and he has about the same sq ft and he wants to get $245k+ and asked if we could meet to talk about our houses. I had told him we were looking at asking $215k to move it quickly, so we'll see. HVAC is done, electrical is done, cabinets going in Tues, plumbing finish Wed, finish hardwoods, put carpet in den, and then a few odds and ends. We blew our budget out, when we saw the prices start rising in the area right after we bought it, we decided to spend a little more money and add a few things, but we still look to clear a nice chunk. I know Curtis will be happy once its done and sold so he will get the other half of his wholesale fee! Other offers have gone in but have gotten shot down, countered a counter today, we are trying to get another house by the end of Feb so we can get going on our next flip. Hope all is well with everyone!

Thats what it's all about, making things happen.

Thanks for sharing the entire process, it really helps to figure out some of the details that goes along with the process.

All the best in your future endeavors.

Aileen

If so, that was one long tunnel and I am happy to see the light finally! I have off this Thur and Fri to make sure we are ready for Sat. We passed all 3 final inspections today! Power and gas need to be turned on, they say it can take 48 hours. I have the carpet folks coming Thur afternoon to install carpet, if there is no heat(need to have power and gas before HVAC can come get the system running) I will be using a portable heater in the room thats getting carpet because I found out you can't install carpet in cold conditions. The HVAC guy is on hold and is ready to jump through hoops when we call him to come to hook us up after we get gas and electric. Cleaning folks coming for a deep cleaning Fri, I'll be out picking weeds and doing other outside work Thur and Fri and we have OPEN HOUSE on Sat. HOLY SMOKES this has been a process. There has been some stressthroughout this whole process but this has been flat out incredible! We have met some great people through out this experience and now have possible partners on other deals, great subs, and other opportunities just from this one house. I can't tell you how many people I have sent to this site and lent my DG books out to over the past 6 months, but I have just wanted to give others the hope we are feeling right now. This isn't just some guy on the tv selling books and a program that doesn't work, this is the real deal! Hope to have some great pics to post out on the web so you can see the project from start to finish. I do have quite a bit on my faceb if you want to go check them out. Also have 1 offer we are going back and fourth with the bank on for another flip and another we are going back and fourth with the owner for a buy and hold. Life is good!

keep getting spam issue with trying to post my update

Would love to update but this spam is stopping everything I write.

How did your open house go?

congrats for seeing this through-what a great experience!

Tried to update you with open house results but this new spam crap on the site won't let squat go through. Hopefully they can get it fixed and I'll update.

Open house did't turn out to well, which is what I was told would happen. People say open houses don't work, not sure I fully agree, but its not like on the tv when they have open houses and people flock to the house. Alot of work was done that morning before also, 2 minutes before we were supposed to open up, the GC was backing out the front door on his hands and knees wiping down the hardwoods. The crew was finishing up the back paver patio also. We were not happy with the hardwoods so we had them stripped down and redone the next week, as well as another coat of paint outside. The house looks great now and we are ready to sell!

We lowered the price Fri night and the first person that went through the house on Sat made an offer. Their offer was $5k less and then another $5k for closing and 2 1/2 months until closing. We countered and now we have agreed to asking price minus $5k at closing and 6 weeks until closing. Waiting on the final contract but my realtor just told me we have 2 more showings that popped up for tonight so he is not in a hurry to get this signed until we hear about this evenings showings. WOOHOOOOOOOOOO!!

Seems like a great deal, can you let us know the numbers . How much did the repairs cost, what are you offering it at? Purchase price was 60k?

Looking at the numbers will give us an idea as to how to structure these deals.

Thanks
Maddy

Thanks for sharing this Jack! It's motivating and encouraging to read posts here that showcase how Dean's techniques put into action = results! (But of course there will be hurdles and bumps along the way! I'm going through that now, but I will keep on keeping on!)

Good luck!

Cris

To digress a bit .. with a tip.

You might want to try typing up your "update" or "forum post" on your computer's "Notepad" first and then just copy and paste it when you are ready to post it.

Cris

Its been a long haul with this one. but congrats on such a great rehab.Unless someone was actually there in person, they have No idea the condition of that house.
I know you and Michelle will be ready to move on to the next one. Take care and
great job on this one.

Curtis Fillers
(Charlotte,NC)

Please keep us informed and best of luck to you

I did but it wouldn't let me post it. I changed a word or paragraph and it wouldn't go, so after about 5 different tries I decided it wasn't going to work that night. So I tried again this evening and it worked.

Hey Maddy, I started to write out the whole deal but then thought I might jinx myself since its not a done deal yet. Closing is supposed to be April 23rd, once that happens, I will put all the details in here. There are to many things that could happen, buyer backs out, buy does something to lose financing, home doesn't appraise high enough, etc... No I don't think these will happen, but with how this one and the other one went, dates changing and all, I know its possible. I can tell you we went WAY over budget(3 different GC's told me about the same price, all were WAY off!), we took WAY to much time to complete, BUT prices also rose in the neighborhood, so we should be good to go. One good thing was that my realtor held off giving me the offer because we had 2 showings today, so once he gets the feedback tomorrow, I'll decide if I will take this one or maybe go into a multiple bid situation.