Stl Bills Posted November 28, 2006 Posted November 28, 2006 Yeah I know the market isn't great for selling houses right now but its really not that bad here in Saint Louis. I'm going to buying foreclosed homes/estate sales and other cheap homes that need a little TLC and turning them over for profit. I'm been researching this for the last couple of months and think I'll be able to make a little money doing it (I have a ton of resources I can use...contractors, landscapers, inspectors etc.). Was wondering if anyone on here was involved in this and if there was any advice they could give me. Just trying to make sure I'm covering all the bases before I get started. Thanks in advance to all those who respond.
mead107 Posted November 28, 2006 Posted November 28, 2006 Yeah I know the market isn't great for selling houses right now but its really not that bad here in Saint Louis. I'm going to buying foreclosed homes/estate sales and other cheap homes that need a little TLC and turning them over for profit. I'm been researching this for the last couple of months and think I'll be able to make a little money doing it (I have a ton of resources I can use...contractors, landscapers, inspectors etc.). Was wondering if anyone on here was involved in this and if there was any advice they could give me. Just trying to make sure I'm covering all the bases before I get started. Thanks in advance to all those who respond. 850670[/snapback] i have a 10 unit apartment bldg. i will sell you in schenectady NY .
tennesseeboy Posted November 28, 2006 Posted November 28, 2006 Gotta have the personality for it. My son played hockey in college til his eligibility ran out and he and his girlfriend (now wife) dropped out and bought an old house redecorated it, rented it, bought another, and now have 28 properties in Albany, plus a large banquet house and just bought a restaurant in Saratoga. So much for staying in school! However they put a LOT of time in finding properties, fixing and maintaining them and dealing with tenants. They really like all the work that goes into it. I can't visit them without my son getting me into overalls to go paint apartments and do renovations. It can be VERY lucrative if you have the right personal skills to do it.
mead107 Posted November 28, 2006 Posted November 28, 2006 when i sell this bldg. i will be looking for properties to just fix up and sell . having tenants can be a pain in the ass .
Dr. Fong Posted November 28, 2006 Posted November 28, 2006 Yeah I know the market isn't great for selling houses right now but its really not that bad here in Saint Louis. I'm going to buying foreclosed homes/estate sales and other cheap homes that need a little TLC and turning them over for profit. I'm been researching this for the last couple of months and think I'll be able to make a little money doing it (I have a ton of resources I can use...contractors, landscapers, inspectors etc.). Was wondering if anyone on here was involved in this and if there was any advice they could give me. Just trying to make sure I'm covering all the bases before I get started. Thanks in advance to all those who respond. 850670[/snapback] Get a good land surveyor that you can work with. There's a variety of ways that you can get burned when buying property with the idea that you are going to make improvements to. Such as not knowing that you can't put a deck on the back because it would be into a building setback line, how easements would effect your property, etc. Also study www.municode.com which will have all of these requirements for your area. One good way that having a good surveyor could assist you is telling you possibilities for your property. For example my Father a couple of years ago purchased a house because he knew he could turn it into two lots. He sold the lot next to the house to a builder for almost what he paid for the whole thing and after a few years of renting the house finally sold the house as well. Made a nice profit on the whole thing.
smokinandjokin Posted November 28, 2006 Posted November 28, 2006 Yeah I know the market isn't great for selling houses right now but its really not that bad here in Saint Louis. I'm going to buying foreclosed homes/estate sales and other cheap homes that need a little TLC and turning them over for profit. I'm been researching this for the last couple of months and think I'll be able to make a little money doing it (I have a ton of resources I can use...contractors, landscapers, inspectors etc.). Was wondering if anyone on here was involved in this and if there was any advice they could give me. Just trying to make sure I'm covering all the bases before I get started. Thanks in advance to all those who respond. 850670[/snapback] I hope you are just understating things a bit, and you've done more than "a few months research and think I'll be able to make a little money." That doesn't sound like a well-thought out business case (not that you don't have one...just hoping that you do.) You should know going in what you can expect to lose and/or gain over 6 months, 1 year, 2 years, 5 years, and projected long term revenues. Always include projected short term and long term risks and have a contingency for worst-case scenario. Get anything and everything in signed contracts with your contractors and any other 'connections' you plan on using, as well as any partners you are lining up. Friendly arrangments and handshake agreements don't hold up when it comes time to collect money or pay bills. Be prepared to rent them after you fix them up, as they make take time to sell (especially if they are in less-desirable neighborhoods.) An empty house is opportunity cost; but realize that most tenants suck and will be a pain in your ass.
Stl Bills Posted November 28, 2006 Author Posted November 28, 2006 when i sell this bldg. i will be looking for properties to just fix up and sell . having tenants can be a pain in the ass . 850702[/snapback] I'm not really looking into rental properties right now....looking for a more immediate return on the investment. I'm looking to buy and sell.
Stl Bills Posted November 28, 2006 Author Posted November 28, 2006 Get a good land surveyor that you can work with. There's a variety of ways that you can get burned when buying property with the idea that you are going to make improvements to. Such as not knowing that you can't put a deck on the back because it would be into a building setback line, how easements would effect your property, etc. Also study www.municode.com which will have all of these requirements for your area. One good way that having a good surveyor could assist you is telling you possibilities for your property. For example my Father a couple of years ago purchased a house because he knew he could turn it into two lots. He sold the lot next to the house to a builder for almost what he paid for the whole thing and after a few years of renting the house finally sold the house as well. Made a nice profit on the whole thing. 850711[/snapback] I just filed for my LLC with 3 business partners and one of them is a certifed inspector so I have that apect more or less covered. But I agree there are plenty of ways you can get screwed when doing this.
Stl Bills Posted November 28, 2006 Author Posted November 28, 2006 I hope you are just understating things a bit, and you've done more than "a few months research and think I'll be able to make a little money." That doesn't sound like a well-thought out business case (not that you don't have one...just hoping that you do.) You should know going in what you can expect to lose and/or gain over 6 months, 1 year, 2 years, 5 years, and projected long term revenues. Always include projected short term and long term risks and have a contingency for worst-case scenario. Get anything and everything in signed contracts with your contractors and any other 'connections' you plan on using, as well as any partners you are lining up. Friendly arrangments and handshake agreements don't hold up when it comes time to collect money or pay bills. Be prepared to rent them after you fix them up, as they make take time to sell (especially if they are in less-desirable neighborhoods.) An empty house is opportunity cost; but realize that most tenants suck and will be a pain in your ass. 850712[/snapback] Good advice Smokin....all things I've considered but good advice none the less.
taterhill Posted November 28, 2006 Posted November 28, 2006 I have a 2 unit in South Buffalo..$875/mo in rents...fully rented...I ll send you the paperwork
mead107 Posted November 28, 2006 Posted November 28, 2006 I have a 2 unit in South Buffalo..$875/mo in rents...fully rented...I ll send you the paperwork 850743[/snapback] buffalo the next place for prices to skyrocket
taterhill Posted November 28, 2006 Posted November 28, 2006 buffalo the next place for prices to skyrocket 850745[/snapback] ill trade ya
\GoBillsInDallas/ Posted November 28, 2006 Posted November 28, 2006 I just filed for my LLC with 3 business partners and one of them is a certifed inspector so I have that apect more or less covered. But I agree there are plenty of ways you can get screwed when doing this. 850720[/snapback] Well, real estate has been good (financially) to me, so I hope that you have done your homework. The other poster is right - you definitely need to have a certain type of personality (read: heartless) in order to succeed. I would make the following recommendations: - Get a good real estate attorney. My attorney (female) is a real b!tch and damn proud of it. You definitely do not want to sit across the table from her. - Establish a succession plan for your partnership, including buyouts. What happens if one partner dies or no longer wants to be part of the plan. - Paperwork. You're going to find out about it early on, so you better get used to it.
Nixon Posted November 28, 2006 Posted November 28, 2006 buffalo the next place for prices to skyrocket 850745[/snapback] Funniest post of the year.
Dr. Fong Posted November 28, 2006 Posted November 28, 2006 I just filed for my LLC with 3 business partners and one of them is a certifed inspector so I have that apect more or less covered. But I agree there are plenty of ways you can get screwed when doing this. 850720[/snapback] Dude, an inspector is a WHOLE different thing.
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