We got an offer on the Evansville HUD last night for more than asking price. WOO HOO! They are asking for a lot in return but it is a more than generous offer, in my opinion. Of course there is 1 sticking point (it can never, ever be easy!)... the buyer is pre-qualified with a broker. Soo, we're in the process of determining if there will be seasoning issues. I told my realtor to just have the buyer get pre-approved through a local bank and it would be a non-issue. She is talking with the buyers agents to get things straightened out. Hopefully the buyer is easily qualifiable (is that a word?)! We also have a rural direct loan that this home would qualify for. IF all goes well we will be closing the end of March and numbers will be pretty good!
Re Furnace: Since we have a pseudo-accepted offer on the property we are probably just going to replace the furnace. We have a lot of wiggle room in our profit to just make the buyers move nice and easy. I don't want her to have a problem in the next year or two if we just replace the heat exchanger. Karma baby... what goes around, comes around.
Finally, Steph put the link to our interview on her blog over at www.flipthiswholesaler.net. Exciting stuff!!!
Friday, February 26, 2010
Thursday, February 25, 2010
Interview, closing and problems!!
Hey all! Last week Steph over at http://www.flipthiswholesaler.net/ asked me do an interview for her "Flip this Success Story" series. I was thrilled that she thought of me and immediately said yes! This is a new addition to her already awesome sight and it will be a great motivator for new and experienced investors alike. We did the interview on Saturday and I should be able to post it here in the next day or so. We basically went over how I got started, the type of deals I do, how I close them, how I find my buyers, how they are funded and a description of my last deal. It was a lot of fun and I look forward to hearing the interview back and also hearing more success stories moving forward.
On to my updates... we closed on our Evansville HUD property this past Tuesday. Yeah! My lender had to get an appraisal of the property and it came back VERY low. BOO! We bought the property (4br/2ba/2ca garage) for $55k and it appraised out at $65k - WHAT!?!?! The most recent sales are in the $130k's. Late last year there were 2 houses that sold for low prices - 1 for $24.5k (that was a POS, literally) and the other sold for $68k. Okay, he should not have even included the $24.5k property in his analysis and if he added the $68k to the $130k's properties were looked at $99k which is what I would have expected. Hell, even $85k would have been acceptable but $65k?!?!? Oh, he also calculated in my purchase price, I think. I just hope this isn't a problem when we go to sell the house.
Making me more nervous about this property is the fact that we had the furnace guy out there and the furnace is a POS. Well maybe not a total POS, the heat exchanger is cracked and the blow motor (or something) "doesn't sound right" as he put it. He is suggesting we replace the whole furnace but, of course, I don't want to replace the whole furnace. Side note: I just did a search on http://www.flippinghomes.com/ and found that if the heat exchanger is cracked the furnace should be replaced... CRAP! So this will dig in to our profits by about $2.5k unless we can get one of our friends up to replace it. I know there is a government tax credit out there too that I just may take advantage of... IF I can. I always find that those credits don't apply to me : )
UUURRRHHH!!
On a brighter note, we did have a showing this morning. Will be interesting to hear what they have to say!
Will keep you all updated!! Have a good rest of the day.
On to my updates... we closed on our Evansville HUD property this past Tuesday. Yeah! My lender had to get an appraisal of the property and it came back VERY low. BOO! We bought the property (4br/2ba/2ca garage) for $55k and it appraised out at $65k - WHAT!?!?! The most recent sales are in the $130k's. Late last year there were 2 houses that sold for low prices - 1 for $24.5k (that was a POS, literally) and the other sold for $68k. Okay, he should not have even included the $24.5k property in his analysis and if he added the $68k to the $130k's properties were looked at $99k which is what I would have expected. Hell, even $85k would have been acceptable but $65k?!?!? Oh, he also calculated in my purchase price, I think. I just hope this isn't a problem when we go to sell the house.
Making me more nervous about this property is the fact that we had the furnace guy out there and the furnace is a POS. Well maybe not a total POS, the heat exchanger is cracked and the blow motor (or something) "doesn't sound right" as he put it. He is suggesting we replace the whole furnace but, of course, I don't want to replace the whole furnace. Side note: I just did a search on http://www.flippinghomes.com/ and found that if the heat exchanger is cracked the furnace should be replaced... CRAP! So this will dig in to our profits by about $2.5k unless we can get one of our friends up to replace it. I know there is a government tax credit out there too that I just may take advantage of... IF I can. I always find that those credits don't apply to me : )
UUURRRHHH!!
On a brighter note, we did have a showing this morning. Will be interesting to hear what they have to say!
Will keep you all updated!! Have a good rest of the day.
Friday, February 12, 2010
Purchase/updates
The waterpark was great fun last weekend. My 5 year old went on ALL the watersides except 2. I was very proud of her. She loved the "roller coaster" waterslide that goes very, very fast. She'll be on all of them next year. My 3 year old just wanted to hang out in the baby pool. She didn't want anything to do with the waterslides.... she didn't like the water in her eyes : )
Anyhoo, finally got an email back from my first potential private money guy and, basically, he wasn't interested. I'm sure I went about it all wrong but I'm proud of myself for even putting it out there! I ordered the private money blueprint system today. It took me a couple of weeks to swallow the price but I KNOW it is what I need. I'm getting shot down right and left by the banks for more reasons than one (I don't have the energy to go through them right now). Since I already have 3 HUD's in the pipeline I cannot bid on anymore. Why? Because no one else will provide a custom HUD pre-approval letter for me. Frustrating. Soooo, I need to get some private funds lined up so I can start really moving along. I'm hoping to have the system before next weekend so I can have some idea how this works. My mom is coming up to visit and I wanted to talk about it with her a little, even though I know she'll tell me to talk to my dad. She is then going down to FLA to visit friends and I want her to put the bug in their ears too. Again, not sure about the approach but... I want to get moving.
I have been thinking about who I know with money and, surprisingly, I think there are quite a few people I know with some extra cashola. The main reason why I'm a little gunshy about asking family is b/c my brother had people invest in a couple of his ideas and they lost money. A lot of money. I know they will not lose money with me but I'll have to convince them, I'm sure!
This weekend we are going to see 2 REO's (non HUD). Both are priced extremely well so we need to check out their condition. I figure I can just use a basic pre-approval for these and hopefully have them sold prior to closing. What a concept!!
The HUD we are closing 2/23 has a few very interested parties. Three people from Craigslist want to go through and one of my buyers just called again today about it. Hopefully we'll have a buyer on this one quickly!
Looking to buy Sean Stephensons book for Steph's book of the month. I have not gotten around to it yet. It's on my "to do" list.
Okay, gotta run. You all have a great weekend!!
Anyhoo, finally got an email back from my first potential private money guy and, basically, he wasn't interested. I'm sure I went about it all wrong but I'm proud of myself for even putting it out there! I ordered the private money blueprint system today. It took me a couple of weeks to swallow the price but I KNOW it is what I need. I'm getting shot down right and left by the banks for more reasons than one (I don't have the energy to go through them right now). Since I already have 3 HUD's in the pipeline I cannot bid on anymore. Why? Because no one else will provide a custom HUD pre-approval letter for me. Frustrating. Soooo, I need to get some private funds lined up so I can start really moving along. I'm hoping to have the system before next weekend so I can have some idea how this works. My mom is coming up to visit and I wanted to talk about it with her a little, even though I know she'll tell me to talk to my dad. She is then going down to FLA to visit friends and I want her to put the bug in their ears too. Again, not sure about the approach but... I want to get moving.
I have been thinking about who I know with money and, surprisingly, I think there are quite a few people I know with some extra cashola. The main reason why I'm a little gunshy about asking family is b/c my brother had people invest in a couple of his ideas and they lost money. A lot of money. I know they will not lose money with me but I'll have to convince them, I'm sure!
This weekend we are going to see 2 REO's (non HUD). Both are priced extremely well so we need to check out their condition. I figure I can just use a basic pre-approval for these and hopefully have them sold prior to closing. What a concept!!
The HUD we are closing 2/23 has a few very interested parties. Three people from Craigslist want to go through and one of my buyers just called again today about it. Hopefully we'll have a buyer on this one quickly!
Looking to buy Sean Stephensons book for Steph's book of the month. I have not gotten around to it yet. It's on my "to do" list.
Okay, gotta run. You all have a great weekend!!
Friday, February 5, 2010
Interesting week...
So, I didn't hear back from the private money inquiry email as of today Friday, 2/5 @ 10:15 : ) I sent a follow up email to see if he had any questions/concerns so hopefully he'll send something back! I'm actually surprised he didn't respond b/c he almost always responds to every email I send out, even to just say he's not interested. Don't know? I also didn't hear back from the other guy at all. That's also interesting as he almost always sends some type of response back too. I hope my email isn't screwing up!
This week was pretty tough for me at my real job. I was just in a funk all week, crabby, hating being there (even though I don't hate my job), etc... It's really hard to go to work when you, at times, despise it so much. It's like I'm bitter at my JOB because I have to work. Isn't that pathetic? Like it's my jobs fault that I have to work?! ha, ha. It sounds pretty funny when I type it out though! In the end I'm always very thankful that I even have a job in these times and I know it will pass (which is what I told myself all week). Still, it's hard...
Real estate front... HUD delayed my Feb 11th closing 2 weeks. Yeah, someone forgot to pay a bill and closing is now delayed. This is going to totally SCREW up my timing for all my other closings. Urrrgh. Seriously? You've had 45 days to pay the bills?!?! Of course, that really pissed me off too.
Another HUD came back on the market last week that I totally wanted a month or two ago. This is the property I thought I had in my back pocket but it ended up being sold in the 1st day open to investors to an o/o. It looked like there was a type of bidding war in the o/o week so I didn't even have a chance. Anyhoo, it's back and I can bid on Monday. I'm hoping I have a shot at it this time since it wasn't re-sent out in the mls. It was just re-listed on their website. We'll see, I don't have my hopes up but it would be a phenomonal deal!
The BIGGEST thing that happened occurred yesterday. I sent my realtors broker an email with the FIRST sentence saying I hadn't discussed the following with Michelle yet. I basically said that I took my realtors test, didn't send in the paperwork yet and IF I decided to send it in could I hang my license at his brokerage? Pause: I didn't go to Michelle's broker to go around her back in any way I just wanted to get his thoughts before discussing with Michelle. It was very hard for me to bring it up to her b/c I enjoyed working with her so much AND I know I made her a lot of money... consistantly (or semi-consistantly). Continue: He sent me an email saying he discussed it with Michelle, no hard feelings and he wants to have a meeting with me next week. My first reaction was, "WHAT?! You asshole, I wanted to tell her I was getting my licese!" Why? Because I didn't want HER to think I was going around her back. At any rate, I know I'm rambling, everything is fine between everyone and I have a meeting with her broker next Thursday. Hopefully all will turn out well since I'll still want her to list most of my properties for sale.
We are headed to the Wisconsin Dells this weekend for a long indoor waterpark "getaway". I soooooo need it! I can't wait to spend some quality time with my husband and kids! I'm leaving work today at noon and taking Monday off - WOO HOO!
Everyone have a great weekend and we'll talk next week : )
This week was pretty tough for me at my real job. I was just in a funk all week, crabby, hating being there (even though I don't hate my job), etc... It's really hard to go to work when you, at times, despise it so much. It's like I'm bitter at my JOB because I have to work. Isn't that pathetic? Like it's my jobs fault that I have to work?! ha, ha. It sounds pretty funny when I type it out though! In the end I'm always very thankful that I even have a job in these times and I know it will pass (which is what I told myself all week). Still, it's hard...
Real estate front... HUD delayed my Feb 11th closing 2 weeks. Yeah, someone forgot to pay a bill and closing is now delayed. This is going to totally SCREW up my timing for all my other closings. Urrrgh. Seriously? You've had 45 days to pay the bills?!?! Of course, that really pissed me off too.
Another HUD came back on the market last week that I totally wanted a month or two ago. This is the property I thought I had in my back pocket but it ended up being sold in the 1st day open to investors to an o/o. It looked like there was a type of bidding war in the o/o week so I didn't even have a chance. Anyhoo, it's back and I can bid on Monday. I'm hoping I have a shot at it this time since it wasn't re-sent out in the mls. It was just re-listed on their website. We'll see, I don't have my hopes up but it would be a phenomonal deal!
The BIGGEST thing that happened occurred yesterday. I sent my realtors broker an email with the FIRST sentence saying I hadn't discussed the following with Michelle yet. I basically said that I took my realtors test, didn't send in the paperwork yet and IF I decided to send it in could I hang my license at his brokerage? Pause: I didn't go to Michelle's broker to go around her back in any way I just wanted to get his thoughts before discussing with Michelle. It was very hard for me to bring it up to her b/c I enjoyed working with her so much AND I know I made her a lot of money... consistantly (or semi-consistantly). Continue: He sent me an email saying he discussed it with Michelle, no hard feelings and he wants to have a meeting with me next week. My first reaction was, "WHAT?! You asshole, I wanted to tell her I was getting my licese!" Why? Because I didn't want HER to think I was going around her back. At any rate, I know I'm rambling, everything is fine between everyone and I have a meeting with her broker next Thursday. Hopefully all will turn out well since I'll still want her to list most of my properties for sale.
We are headed to the Wisconsin Dells this weekend for a long indoor waterpark "getaway". I soooooo need it! I can't wait to spend some quality time with my husband and kids! I'm leaving work today at noon and taking Monday off - WOO HOO!
Everyone have a great weekend and we'll talk next week : )
Subscribe to:
Posts (Atom)