OfflineWe have found The NEW DEAL, THANKS to another DG'er that contacted me about helping him with an assignment. We decided to make it our next flip. We are getting it from the DG'er for $60k, he is paying $50k, well, he isn't doing anything, I am dealing with the owner and buying from him for $50k and then paying the DG'er $10k for bringing us the deal. The guy selling it has gotten power of attorney done but its not filed yet. His mom owns the house but now lives with him. The house is trashed! I mean, disgusting trashed! Can not turn on plumbing or electrical due to another son going nuts in the house and tearing everything up. The house is filled with stuff, maybe half hoarders, not the full one. I have had 2 GC's out to the property and both say it will take about $60k to rehab and comps show FMV of over $160k. Both GC's say I am shooting LOW saying $160k. The one GC is thinking I had to probably pay $100k for it and the other one I did tell him the deal and he said I got a gold mine. We'll see. Once the power of attorney is done, hopefully in the next day or two, I will be giving him $1k with the sales contract and then we'll get the title search done and get everything set up. My realtor wants me to put a for sale sign in the yard right off the bat while we clean it out and see if we can profit without putting anything into it, BUT, I think this is the one that could really help us get known in the REI group here in the city. I'll keep you all posted.
SEMPER FI
GET SOME!
Wow, what a journey! We feel like we have been in school the past 8 months, but we have learned so much. We have built some great relationships with GC's, subs, and other investors. We have friends and folks that we have met at the REIA wanting to partner with us now. They have some money but don't know anything about flipping and have seen our 2 flips, and want us to show them how to do it. We have 5 offers going in tomorrow and hoping to pick up at least 3 asap!
And just to go with the past 8 months of bumps and bruises, today was a little stressful. Got a call from my realtor saying the buyer was not happy with 2 things done on the list they wanted completed. I called my GC and everyone went back and fourth for the day until my GC finally went back out to the house tonight and met with the guy. After everything was explained to the buyer he was fine with how it was but my GC told him he would come back for this one thing tonight because he knew I want everything perfect for the buyer.
Not bragging with this next part, but we knocked this out of the park. Its IMPORTANT to do things RIGHT! The compliments on this flip have been amazing. I was out watering the plants the other day and had another GC/investor stop and tell me he was impressed and said he never sees any investors put this much into a flip and really just DO IT RIGHT. He said it over and over that we did more on this flip then any he has seen in years. Not over as far as to much money, but over as far as in doing it the RIGHT WAY and not trying to cheat or cut corners. We learned from my buddy that you need to be THE BEST at the price range, period, end of story, you need to be top notch and there WILL BE a buyer. We went into both flips with this frame of mind and its worked out. We were in a seminar the other day and the person giving it said the same thing, put the extra effort into it to make it the best at that price range. Alot of folks worry about profit and end up cutting corners, doing something half right, or not doing things that should of been done, but we are fine with making less profit but having a reputation out there as doing a top notch flip. Maybe thats why we have 6 people asking to partner with us now?! Anyway, figures will be posted tomorrow after everything is signed, sealed, and delivered.
THANKS DEAN and everyone else on this site that has answered questions, taken phones calls, posted encouraging stuff during the past 8 months that this beast took. It really is awesome belonging to this community of folks. NOW, how am I going to get myself to go to sleep tonight?
SEMPER FI
GET SOME!
We are so excited, its been a long process but SO worth it! Here's the deal:
$50,000 price of house
+$10,000 wholesalers fee
+$92,000 rehab cost
_______
=$152,000 total cost of project
$214,500 sale price
-$152,000 total cost of project
- $17,321 realtor fees/closing fees/$5000 towards buyers closing cost
________
= $45,170 PROFIT!! Thats right at 30% on our money invested.
Before and after pics are on my facebook, if interested find me out there and check them out!
Working on next deals as we speak!
SEMPER FI
GET SOME!
GREAT JOB.IT WAS SIMPLY AN AMAZING DEAL.I WISH EVERYONE COULD HAVE SEEN THIS HOUSE BEFORE HE STARTED, IT WAS INCREDIBLE. BUT JUST WANTED TO SAY AGAIN HOW AMAZING THE FINISHED PRODUCT LOOKED.
NOW MY JOB IS TO FIND YOU SOME MORE,LOOKS LIKE WITH OTHER REAL ESTATE INVESTORS WANTING TO WORK WITH YOU, THAT YOU CAN PROBABLY HANDLE 2-3 AT A TIME.
TAKE CARE AND TALK WITH YOU SOON.
CURTIS FILLERS
(CHARLOTTE,NC)
I bet we will be talking soon, I still owe you $5k from the $10k wholesale fee! I had conversation with another investor this evening that is wanting to partner on a house. And also talked to the guy that has been mentoring me, he might have one, possibly two of those BIG FLIPS coming that he would want to partner on. Things are looking up bro! Send some deals our way!
SEMPER FI
GET SOME!
I bet we will be talking soon, I still owe you $5k from the $10k wholesale fee! I had conversation with another investor this evening that is wanting to partner on a house. And also talked to the guy that has been mentoring me, he might have one, possibly two of those BIG FLIPS coming that he would want to partner on. Things are looking up bro! Send some deals our way!
SEMPER FI
GET SOME!
Great job man. Very happy for you. Keep up the good work.
Semper Fi
Bro
Steve.
Steve and Veronica
Steve and Veronica's Journal.
http://www.deangraziosi.com/real-estate-forums/investing-journals/58073/...
http://www.deangraziosi.com/real-estate-forums/totally-fulfilled/72344/d...
Getting it done bro!!
SEMPER FI
GET SOME!