Tracybrian

My hole plan seems simple enough. I want to buy houses cheap, fix them up, and sell them for top value. One house every 3 months or so until I can get it going on to doing many projects at once!

The time frame for holding a house would be around 2-6 months! I have a stong grasp on the market here apprecation is fast right now as a bonus. But I think I could even make a profit in a slow market. One of the coolest things is my bro runs a construction crew that rehabs homes for a invester already. He will be involved in the rehabs I will do all the aquisition and sales. I am young and eager but I am cash short. What I want to do is look for delapitated homes in neiborhoods that have been experancing strong growth and offer the owners a quick close for cash with an apprasal and inspections of course. Then spend as little as possible tring to make the house marketable (carpets, landscaping, paint, roof, and what ever else. Then We will put the home on the market for market value in a few months hopefuly making 20k+ worst case. I know about taxes so we will try to roll profits into upcoming projects with a 1031 and pay ourselfs as contracters I guess. After that I propose to roll the money into the next project making a snowball effect. My hole goal now is to fix up my credit and also to find investors. I feel I have a good chance at making this work. I plan on finding homes and buying them at under market value then spruce them up for potential buyers and sell for a profit.

So as soon as my credit is clean I am ready to rock and roll. I just hope I dont miss out.
Has anyone used hard money loans to buy investments to flip?


Has anyone been in the rehab bussiness here?

Anyone want to be a silent partner?

Mr. Market

My suggestion would to be to purchase on a contract for deed. It can be done for very little down, then you save your capital for the rehab. Just remember that nothing is as easy as it seems on the outside. Best of luck.

Tracybrian

What dose purchase on contract for deed mean? Is that owner financing? I do understand the leverage concept and also owner financing wants usually a min of 5%. 5 points on 300k is 15k + closing costs = Im fucked.

I think that is my biggest block, is the funding. I have only 10k saved. Realisticly I think I would need to get some kind of loan for rehab. I think I am going to try to develope some kind of business plan that I could pitch to potental invester/partners. I want to focus on two areas of the market:

1/ rehab old turn of the century victorians into apartment buildings I think this is a great Idea because there are a lot of huge victorians in the Stockton area that are zoned Muli-res. you could turn out one of these vicks then get all units leased and sell to invester for top dollar
2/ Single family homes 1400-1700 that are 1970 or newer. more realistic and reproducible Idea.

I have to be creative and go through some kind of back door. All I know is I can do it somehow.

roderickpsu

There are MANY really good books out there that explain how to do this sort of thing in excruciating financial detail...go to your local bookstore and take a look.

sailor

One thing, and dont take this personally--learn how to write a bit better. It took me three times to understand all of that post, and if you are trying to get money, or even sell anything, if someone sees writing like that, they will run far, far away. I know I wouldnt buy from someone whose brochures/information/whatever were full of grammatical and spelling errors. Maybe its just because you are writing online and therefore not really thinking about it, but even so, you need to learn to express yourself a bit better.

__________________
"Good people do not need laws to tell them to act responsibly, while bad people will find a way around the laws."
--Plato

fryan5

I've not tried this....good luck and let us know how you do