More information here: https://investfourmore.com/2013/11/21/rental-property-number-8-purchased/
This is my 8th rental property. Purchased for ,500 with seller paying ,000 in seller paid closing costs. The home was rented for ,400 a month after a ,000 rehab. This was a Fannie Mae Homepath purchase.
I am now up to 16 rentals and this was one of my better deals. The house is now worth close to 0,000 three years later thanks to getting a great deal and our crazy market in Colorado.
Here is a video of the home after it was trashed a few years later: https://www.youtube.com/watch?v=mPGqtfBeUqY&t=14s Video Rating: / 5
My 11th rental property after the rehab. The cost was about ,000 to fix up and it is now rented for ,400 a month. The home was bought for 9,152. Full write up on the house and how I found it here. http://investfourmore.com/2014/11/05/rental-property-number-11-is-rented-for-1400-purchased-for-109000/
You can see the before video here: https://www.youtube.com/watch?v=cjEtxwX5ld8 Video Rating: / 5
Wonder how I purchased a 4 plex at a BIG discount in the hottest market in the country – Las Vegas, NV? I was able to purchase this property nearly k off the market value by being persistent, patient, and convincing a seller to use seller financing to sell the property to me.
If you want the full details of the story, you can read the story here: https://frugaltofearless.com/my-first-4plex
If you’re a beginner and haven’t been able to land a deal yet, hopefully this video will show you that sometimes you need to be really persistent when pursuing your first investment property.
*** How I Found the Deal ***
I purchased a list from ListSource of small multi family owners in Las Vegas.
I wrote handwritten mailers multiple times to every owner.
A few owners called me from my mailers.
One owner owned the property 100% and was open to seller financing
*** Seller Financing ***
Seller provides the financing instead of a bank or traditional lender
I offered him the option of holding a note of 0k, 5% interest, amortized over 30 years, no balloon
*** The Deal ***
My first deal will hopefully be my worst. This is my first 4 plex investment property and I made a lot of mistakes. This deal taught me how to buy real estate investment property. The property likely will be break even or slightly negative cash flow. Finding and closing on this 4 plex investment property was a great real estate crash course for a beginner and I learned a lot. I’m hoping this deal will help me land future 4 plex investment properties in better areas.
Here’s a deal Joey & Natalie did with their partners in Round Rock using Investmark Mortgage.
Purchase Price: ,000
Monthly cashflow: 0
Cash-on-cash return: 29.8%
Lifestyles Unlimited’s calculation for unrealized capital gain: 68%
Some of the repairs included:
►General cosmetic rehab with 2 tone paint, partial new flooring (Harmonics brand laminate from Costco), etc
► remove weird 2nd back door
► new blinds throughout
► replace lighting
► replace stove & fridge and install new microwave
► Convert back the garage
► Install new ceiling fans
► Remodel master bathroom with new tile
► General landscaping
This video is the BEFORE rehab video. We will post the AFTER rehab video soon!
Apply for hard money today! It only takes 5 minutes. If you are approved for conventional refinance for a rental, you are AUTOMATICALLY approved for hard money with us! If you do not have a mortgage broker, we are happy to recommend one – https://www.investmarkmortgage.com/apply.php
Real Estate Investing | Home Improvement | Property Investment | Rehabbing houses
In this video I am showing you a house that was purchased by me that needed a lot of rehabbing (home improvement). The previous owner looks like they started remodeling the house and wanted to rehab/repair the house for a fix and flip. They had already begun removing the previous tile but then abruptly stopped working on the house. My guess is that they were working without a permit and the city caught them. Either that, or they had a disagreement with their contractor. Either way, they wanted to sell the property and when I purchased it there was a lien on the property from the city which had to be resolved. I purchased this property using a hard money loan from a private lender which covered both my purchase price and rehab. I have two exit strategies for this property. I can either keep it as a rental property (and refinance the hard money loan) or I can fix and flip the house by listing it on the MLS.
What was interesting about this property is that it was not even on the local MLS and would not have been found by realtors or investors that were searching the MLS. This house was listed on another out of area MLS, but because all MLS’s feed into realtor.com, it showed up on a realtor.com search. This is a great example of why I tell my students including students that are realtors to search realtor.com in addition to searching their local MLS. This specific property required buyers to bid on a site called Xome.com which is what my student who found this deal did. Once he had the house under contract, he offered to wholesale the deal to me, and I agreed to purchase the house and pay him his fee. I source a lot of deals like this from my students in my Partnership Program and also from other wholesalers. A good deal is a good deal and I don’t really care if I found the deal myself, if we found it from direct mail, or from a wholesaler or student of ours. If the numbers work that is the only thing that matters.
The profit potential numbers on this deal are as follows: I purchased the property for ,000 (including paying my student his fee). I am estimating that the house could be resold for 0,000 (maybe even 0,000). So there is a large spread in the deal. I factored in the permit situation and that I would be required to rectify that in to my purchase price. If the house requires ,000 in repairs which is what the general contractor quoted me plus another ,000 for permits and drawings then I should be able to be in this house for an all in price of 0,000. So if this house could be flipped for 0,000 to 0,000 then that represents a very nice profit.
If you would like to calculate profit potentials on fix and flips you can use our Rehab Property Calculator at https://www.lexlevinrad.com/rehab-property-calculator/
This Rehab Property Calculator is also available for free in the app store for both iTunes and Android (just type in “rehab property calculator”
If you want to learn how to fix and flip houses like this I have a fix and flip training webinar at this link which was mentioned in the video: https://www.lexlevinrad.com/fixandflipwebinar
If you are brand new to real estate and want to learn more about wholesaling real estate and how to wholesale real estate and flip houses then please register for the free wholesaling real estate training at this link below:
LINKED IN http://www.linkedin.com/in/lexlevinrad
GOOGLE PLUS https://plus.google.com/+LexLevinradrealestate
LISTEN TO MY PODCAST ON ITUNES:
DOWNLOAD A FREE COPY OF MY BOOK ON WHOLESALING
For more real estate tips about property investment, investing in real estate, and how to start wholesaling, download a FREE copy of my best selling book “Wholesaling Bank Owned Properties” at https://www.lexlevinrad.com Video Rating: / 5
I bought this property for 3,500 back in January. The property had three units rented and another vacant unit. We are working on the vacant unit and we just had another unit become vacant. The property was bringing in ,900 a month in rent with three units rented. We hope to rent the vacant unit for 0 to 0 a month once it is repaired. The other unit that just became vacant was rented for 0 a month. We think we could rent it for much more with a light rehab or rent it for about the same with minor touchups.
You can see the video of the property when I first bought it here. https://www.youtube.com/watch?v=UK9j_RR1QqI
Here is the unit after we remodeled it. https://www.youtube.com/watch?v=Q8l22Qn4vAo Video Rating: / 5
You can see all my rental properties here: https://investfourmore.com/resources/
I just bought this commercial property today for 1,250. The home was actually listed on Facebook for ,900 and one of my contractors told me about it. The owner had 7 offers and told me to submit my best offer. I figured it was worth 0,000 to me all day long and bid just a little higher to make sure I beat out someone they had to same idea. The property needs very little work and has a bout 1,600 square feet. I think it will rent from ,200 to ,600 with the tenant paying all expenses.
I will create a video of the work after it is done, so make sure you subscribe to get the notification. I got a loan with my local portfolio lender with 25 percent down, 15 year fixed at 5.8 percent interest. My payment will be 0 a month. Video Rating: / 5