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Posts:
1
Registered:
9/5/07
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(26 of 26)
Re: Advice for young flipper would be greatly appreciated
Sep 5, 2007 10:09 PM
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Always have good data. Get with a good attorney/title company and get educated on the legal side of the biz.
www.realforeclosurereports.com
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Posts:
6
From:
Orlando, fl
Registered:
8/22/07
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(25 of 26)
Re: Advice for young flipper would be greatly appreciated
Aug 22, 2007 3:52 AM
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> I too am trying to get started in the flipping house
> market but need some advice to help me get started in
> this im like most people i got the house stuff off
> line and lost alot of money on the stuff and got
> scamed on the courses and to get help from them i
> need to pay more and more money to them to get
> started so i would be glade if some body out there
> can help if it dosent cost me my arms and legs and
> kids to get the help to do this i have 5 kids and
> want to try to get this going so they dont have to
> work as hard as i did i have been working cents i was
> 14 and dont have jack to show for it i dont have a
> lot of money to invest im not rich and not set well
> off i have nobody to help with money nor do i have
> good credit my credit is only 569 score
Hard Money is something that you could look into to get some acquisition money. The draw back is that its short term..typically 6-12 months..and its expensive 12%-18% plus points. The benefit is that they will lend on properties that a traditional bank would not and that they have fewer requirements traditionally.
Although REI groups have a bad reputation, I still say that you should try to get involved with one. I have met contractors, fellow investors and most important, a couple of private lenders (people with money to give to you to invest). These private lenders may be your way into your first flip.
LAST....while I am a Realtor, my advice is to stay away from them. Get lists of pre-foreclosures, NODs, out of area owners, bankruptcies, divorces, etc.. and use direct mail and the telephone to get to them. Direct mail can be expensive, but in the end, the saved 6-7% commision can make or break a deal.
Think of it this way..you do a 300 letter mailing that costs you paper, envelopes, ink, and $143 in postage...you get just one good deal. The cost of the deal is then about $175, right? Using a Realtor a home that you could have gotten for $100k now costs $107,000, just so that the seller can pay the commission. That would cost you an extra $7,000.
I hope that helped. Take care and good luck!
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Posts:
2
From:
Tampa, Fl
Registered:
7/12/07
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(24 of 26)
Re: Advice for young flipper would be greatly appreciated
Jul 12, 2007 5:36 PM
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I don't have pretty credit and i know about hard money. I have studied this business for three years, and I'm ready to jump in the water. I have a hard money lender, but no deposit money, which everyone seems to want if you're not using their lender which i rarely qualify for due to my credit. Anyone who can help me would be appreciated. Also any other tips you can provide to a starter would help too.
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Posts:
19
From:
Allentown, PA
Registered:
6/8/07
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(23 of 26)
Re: Advice for young flipper would be greatly appreciated
Jun 8, 2007 10:30 PM
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You should check out www.ThanandPaul.com those guys from New Haven have created a website of all information on the flipping business. I learned quite a bit reading articles, not to mention they have before & after pics with Scopes of Work of previous projecets
Check it out www.ThanandPaul.com
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Posts:
3
From:
East Atlanta
Registered:
6/6/07
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(22 of 26)
Re: Advice for young flipper would be greatly appreciated
Jun 6, 2007 2:05 PM
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ok great! I'm going to email you.
I walked through the Stallings house yesterday. It's beautiful. I also walked through the house on Van Epps... it's hard to tell what's it's going to look like at this point since there are no walls up yet. I'm SOOO happy to see all this work being done in my neighborhood 
--
Edited by ATL_native at 06/06/2007 11:13 AM
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Posts:
1
From:
Atlanta
Registered:
6/6/07
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(21 of 26)
Re: Advice for young flipper would be greatly appreciated
Jun 6, 2007 11:01 AM
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Atl Native
I did the redesign plans for the house on Stallings Ave & for a future house for the show located on Van Epps Street. I specialize in all types of single family renovations and new construction. I would be more than willing to speak with you regarding your desire to bgin flipping houses and lend you my services and knowledge. You can e-mail me at lobrown74@hotmail.com
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Posts:
3
From:
East Atlanta
Registered:
6/6/07
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(20 of 26)
Re: Advice for young flipper would be greatly appreciated
Jun 6, 2007 3:27 AM
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I'm looking into flipping also. We actually we were under contract on a foreclosure but backed out b/c of extensive termite demage. We are trying to start small with minimal work... like under 15k.
We found another one today so we are putting an offer in tomorrow. It seems even better than the last. There are sooo many foreclosures which is a bit scary.
Flip this house is actually filming beyond the house I'm closing on next month. It's already appreciated 25k in just a few months and i've done nothing to it yet. the Atl FTH team has bought 3 house on my street to flip and the Stalling House is less than a mile from my house.... so there is a lot of flipping going on around here and people seem to be making a lot of money if they do it right. Trendy location & quality renovation seems to be the key.
We plan to do only cosmetic changes... opening up the kitchen, retiling the bathroom, painting. I hope it works out for me and all of you other first time flippers.
Sorry I didn't answer any of your questions. I've been doing a lot of networking, reading a lot, and observing my neighbors. I also bought a flipped house and I'm happy so far.
Good Luck!
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Posts:
1
From:
Austin, TX
Registered:
6/3/07
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(19 of 26)
Re: Advice for young flipper would be greatly appreciated
Jun 3, 2007 2:00 AM
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I've been trying to get into flipping in Texas and every realtor has told me that since the show started airing, the number of flippers moving to Texas from California has increased 50 fold. Everyone thinks Texas is the place to buy and sell homes, right? Wrong. Besides the million flippers we already have, there are 2 million that have come here from California. I'm not kidding. Every foreclosure I bid on, there are 250 people from California bidding crazy amounts and driving the prices up here. There are so many wannabee flippers that have nearly gone bankrupt and had to get a real job because Texas wasn't as easy as they thought it was going to be. I'm not just saying that to keep you guys from coming here, I'm looking to move somewhere that isn't so competitive. The South is always a good bet but I think Colorado and Utah are prime right now.
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Posts:
1
From:
Midway Arkansas
Registered:
6/2/07
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(18 of 26)
Re: Advice for young flipper would be greatly appreciated
Jun 2, 2007 1:44 PM
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I too am trying to get started in the flipping house market but need some advice to help me get started in this im like most people i got the house stuff off line and lost alot of money on the stuff and got scamed on the courses and to get help from them i need to pay more and more money to them to get started so i would be glade if some body out there can help if it dosent cost me my arms and legs and kids to get the help to do this i have 5 kids and want to try to get this going so they dont have to work as hard as i did i have been working cents i was 14 and dont have jack to show for it i dont have a lot of money to invest im not rich and not set well off i have nobody to help with money nor do i have good credit my credit is only 569 score
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Posts:
3
From:
Los Alamitos
Registered:
5/29/07
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(17 of 26)
Re: Advice for young flipper would be greatly appreciated
May 29, 2007 3:16 AM
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I have gain lots of interest in flipping houses. I have investment properties in Vegas and AZ but I really want to learn to flip houses.
KRS24 and SCB52 -- I am in the Los Alamitos area which is close to LB. I would like to communicate with you two to share advice on flipping.
The only thing I can offer is mortgage advice. I have been in the mortgage industry for 8 years. Currently working for a wholesale lender. I can offer advice or answer any questions anyone may have.
I have a question for everyone. It's easy to get financing on homes that are in good conditions. But what about houses that are in bad condition that lenders simply would not lend on. Should I look into getting a personal loan? Any advise would help. thanks.
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Posts:
2
From:
CO
Registered:
3/16/07
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(16 of 26)
Re: Advice for young flipper would be greatly appreciated
Mar 16, 2007 12:15 PM
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A great way to check out an area before you buy a house to flip is to drive around with your cell phone and text addresses to HOUSE. This free service then will text back property stats including value, sq ft, # beds/baths, etc. And you also get area trends. It seems pretty accurate based on my experiences.
Hope it helps.
Jill
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Posts:
4
From:
Long Beach, CA
Registered:
1/18/07
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(15 of 26)
Re: Advice for young flipper would be greatly appreciated
Feb 13, 2007 11:30 PM
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Hey WBHarrion and SCB...............how is everything going? Did you find potential properties to flip?
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Posts:
26
Registered:
12/31/06
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(14 of 26)
Re: Advice for young flipper would be greatly appreciated
Feb 1, 2007 5:34 PM
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This is what a RE book I have says...
Real estate investment clubs should provide a setting where like-minded people can gather and share ideas, information, resources, and experiences...
but more than 51% of them are instead, places where members are inundated w/ sales pitches from the numerous RE carnies who travel the RE invest. club circuit and make their living from selling everything from $150. books, to $250. DVD's, to $1,500. courses, to $10,000. seminars...
then there are the local sharks who view new members as fresh meat and try to unload their overpriced properties on the unsuspecting beginners...
or the club meetings are nothing more than a place where experienced, full of themself investors, tell RE war stories to an audience of gullible wannabes...
1. Never bring your credit cards to a meeting.
2. Attend at least 3 meetings before buying an annual membership.
3. Avoid doing business w/ the local sharks who regularly attend monthly meetings.
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Posts:
4
From:
Long Beach, CA
Registered:
1/18/07
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(13 of 26)
Re: Advice for young flipper would be greatly appreciated
Feb 1, 2007 1:36 PM
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Hey WBHarrison79 and SCB52! I would be happy to communicate more with both of you about flipping, feel free to email me at: ksvenson@hotmail.com. I don't mind talking on the phone either, but I am more confortable giving out my phone number through email instead of on this discussion board. And SCB52, that is great that you live in Long Beach, maybe I can assist you in finding a good property to flip.
WBHarrison, that is great that your dad is offering to help you purchase a property to flip! And having friends that are experienced in different areas of home improvement will be a good resource for you. As far as the "good areas" of San Diego, I really can't help you out too much there......I am not very familiar with San Diego. However, I would still focus on the neighborhoods where homes are selling quicker........the hot neighborhoods where everyone wants to live. You want to look for the worst house in the best neighborhood. Keep in mind that when you find a fixer property in a very desirable neighborhood, you need to move FAST! There will most likely be several other offers coming in if it is that good of a deal (yes, multiple offers are still happening, even in this market!) Here are some other things to look for in a potential flip: 1. It should be a single-family home, not a condo. Condos are tougher to sell. 2. Make sure it is on a safe street, not a main road. 3. I would look for a minimum of 3 bedrooms, 2 baths. Buyers (especially families) expect more than 2 bedrooms and 1 bath if they are paying over half a million dollars for a house. 4. Focus on the kitchen and bathrooms, these are the rooms that sell a house. 5. Do not "over-improve" for the neighborhood........remember who your target buyer is. For example, if your flip is in a neighborhood of mostly first-time buyers and young families, you don't need travertine floors and Viking appliances. Save those for your higher-end flips.
I know I mentioned that you should "start small".....I'm sorry that was vague. What I meant by that is to not take on a major project for a first flip. I would focus on finding a reasonable sized house (probably under 2000 sq ft) that is priced in the 500s or 600s. It should NOT have structural problems, it needs to have good bones. Fixing a roof, foundation, other structural damage or major plumbing problems is going to cost way too much. You want to try to find a "cosmetic" fixer..........something that needs new flooring, new kitchen or bath, new paint. You don't want to overwhelm yourself on your first flip!
As far as your realtor goes........does she currently have listings that are fixers? If she is representing the seller, and you, the buyer, then she may be willing to reduce her commission. However, if she works for a large and well-known brokerage (like I do), the managers may not allow her to cut the commission down too much. Mine won't. And remember that as a buyer, you are not really paying her the commission anyway.
Hope that helped. Email me anytime if you have further questions!
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Posts:
20
From:
chicago
Registered:
12/16/06
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(12 of 26)
Re: Advice for young flipper would be greatly appreciated
Feb 1, 2007 10:58 AM
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The last guy is absolutely right. I went to a 4 day seminar over the weekend in Chicago and when each speaker was done they were selling their products for $3000 and the people attending were literally running with their checkbooks to the back to drop $3000. I work for and investment company that offers all of our inventory and most people think we are to good to be true. They are not afraid to spend $3000 on books that will collect dust on the shelf or they will spend the time reading and never doing anything about it. My company offers free seminars and training. We never pressure anyone to buy anything and we never sell programs. And still after they wasted $3000 they are still afraid to pull the trigger. We have the solution but I guess people aren't looking for that they are still looking to spend $10,000 on books. Don't get me wrong "Knowledge is power" and I strongly believe that you should not pursue this business unless your a very knowledgeable and have your team in place. But don't study for the rest of your life without pulling the trigger. Teach yourself and get your feet wet.
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