Flipping America

FAR 133 Expected Air Date: 03/22/18 Opening Have you ever been on a job site and realized that you were short in some of your supplies? Perhaps you need another eight bags of quick-crete. Or the light fixtures weren’t included because someone forgot to order them? Trips back to the lumberyard or big box store are inevitable (in my case, MULTIPLE trips). So now you have some really expensive skilled laborers heading over to the store, losing 2-3 hours of productivity in the process, and throwing your schedule off place. Today’s guest is working on a solution to this problem. The company is TommyRun. They are like Uber Eats for contractors. Instead of delivering food, they deliver needed lumber and building materials - right to the job site. I think this is going to really help the process out. Our guest today, Jarr Strydom, is one of the founders of the company. How to Reach us www.flippingamericanetwork.com Facebook.com/flippingamericamedia Twitter and Instagram @FlippingAmerica YouTube: bit.ly/FlippingAmericaOnYouTube Linkedin: bit.ly/FlippingAmericaOnLinkedIn Call our National Comment Line: 404-369-1018, ext 1. Leave your message or your question. Announcements:

• My upcoming speaking engagements:
  • April 5, Chattanooga REIA
  • April 7, FlipStarter, Chattanooga
  • April 9, Savannah REIA
  • April 14, FlipStarter Savannah
  • April 21, FlipStarter Atlanta
• Details on the website and at FlipStarterEvent.com

News:

• https://www.digitaltrends.com/home/million-dollar-listing-features/
• https://www.forbes.com/sites/forbesrealestatecouncil/2018/03/15/why-real-estate-investors-should-borrow-the-checklist-strategy-from-doctors-and-pilots/#61cc80f4516b
• https://michiganavemag.com/real-estate-experts-weigh-in-on-the-latest-trends
• https://www.forbes.com/sites/ellenparis/2018/03/21/how-to-win-a-real-estate-bidding-war-advice-from-the-pros/#34007fe35463
• https://www.forbes.com/sites/forbesrealestatecouncil/2018/03/20/real-estate-pros-share-their-favorite-resource-for-market-trends/2/#678c6ee87a2c
• https://www.forbes.com/sites/jrose/2018/03/21/5-savvy-ways-to-invest/2/#a9f4b4474ec3

Special Guest

• Jarr Strydom, TommyRun

Emails: [email protected] Tell us where you’re from!

• Robert, Des Moine IA, “I’m new and diving in. Can you give me some ideas on where to find deals?”

FAR 132 Expected Air Date: 03/19/18 Opening Hello everyone. I am Roger Blankenship and I teach people how to make money in Real Estate. We bring you news, trends, markets, and we feature people who are getting it done in this industry. Today I have two guests for you, Jeff Schecter and Jack Gibson own a company called High Return Real Estate. They buy off market homes, remodel them and put them into service as rentals. They then sell them to outside investors as a turn-key product. I've seen this model before, but I've not seen it done this well with this type of return. I'm excited to introduce these two guys to you. How to Reach us www.flippingamericanetwork.com Facebook.com/flippingamericamedia Twitter and Instagram @FlippingAmerica YouTube: bit.ly/FlippingAmericaOnYouTube Linkedin: bit.ly/FlippingAmericaOnLinkedIn Call our National Comment Line: 404-369-1018, ext 1. Leave your message or your question. Announcements:

• My upcoming speaking engagements:
  • April 5, Chattanooga REIA
  • April 7, FlipStarter, Chattanooga
  • April 9, Savannah REIA
  • April 14, FlipStarter Savannah
  • April 21, FlipStarter Atlanta
• Details on the website and at FlipStarterEvent.com

Special Guests

• Jeff Schecter and Jack Gibson, High Return Real Estate

Motivational Thoughts for the day

• The answer to every un-asked question is the same.
• You never bought the house you didn't offer on.

FAR 132 Expected Air Date: 03/19/18 Opening Hello everyone. I am Roger Blankenship and I teach people how to make money in Real Estate. We bring you news, trends, markets, and we feature people who are getting it done in this industry. Today I have two guests for you, Jeff Schecter and Jack Gibson own a company called High Return Real Estate. They buy off market homes, remodel them and put them into service as rentals. They then sell them to outside investors as a turn-key product. I’ve seen this model before, but I’ve not seen it done this well with this type of return. I’m excited to introduce these two guys to you. How to Reach us www.flippingamericanetwork.com Facebook.com/flippingamericamedia Twitter and Instagram @FlippingAmerica YouTube: bit.ly/FlippingAmericaOnYouTube Linkedin: bit.ly/FlippingAmericaOnLinkedIn Call our National Comment Line: 404-369-1018, ext 1. Leave your message or your question. Announcements:

• My upcoming speaking engagements:
  • April 5, Chattanooga REIA
  • April 7, FlipStarter, Chattanooga
  • April 9, Savannah REIA
  • April 14, FlipStarter Savannah
  • April 21, FlipStarter Atlanta
• Details on the website and at FlipStarterEvent.com

Special Guests

• Jeff Schecter and Jack Gibson, High Return Real Estate

Motivational Thoughts for the day

• The answer to every un-asked question is the same.
• You never bought the house you didn’t offer on.

FAR 131 Expected Air Date: 03/17/18 Opening Hello everyone. I am Roger Blankenship and I teach people how to make money in Real Estate. We bring you news, trends, markets, and we feature people who are getting it done in this industry. Today our guest is Michael Braswell, founder of Braswell Capital Solutions. Michael has been in the financial sector his entire career although he did spend some time as a successful realtor as well. His experience in real estate, finance, and with investors has created in him the ideal person to provide financing for your real estate project. He will be with us in a few moments. How to Reach us www.flippingamericanetwork.com Facebook.com/flippingamericamedia Twitter and Instagram @FlippingAmerica YouTube: bit.ly/FlippingAmericaOnYouTube Linkedin: bit.ly/FlippingAmericaOnLinkedIn Call our National Comment Line: 404-369-1018, ext 1. Leave your message or your question. Announcements:

• My upcoming speaking engagements:
  • April 5, Chattanooga REIA
  • April 7, FlipStarter, Chattanooga
  • April 9, Savannah REIA
  • April 14, FlipStarter Savannah
  • April 21, FlipStarter Atlanta
• Details on the website and at FlipStarterEvent.com

Special Guest

• Michael Braswell

Motivational Thoughts for the day

• The answer to every un-asked question is the same.
• You never bought the house you didn't offer on.

Emails: [email protected] Tell us where you're from!

• Zach in Birmingham
• Farell in Las Vegas
• Eduardo, Tampa
• Cecil, Ocala
• Olivia, Pittsburgh
• Andrea, Milwaukee
• Andrew, Harrisburg
• I'm answering your questions and those of dozens of others regarding hard money lending.
• Kelsey, Los Angeles
• Ramon, Long Beach,
• Ernesto, Austin
• Camille, Chicago
• Rona, Memphis
• Fred, Louisville
• Antwon, Brooklyn
• Chris, Saginaw, MI
• You all have written in looking for information and sources for good cash flowing rental properties. Tune in on Monday for a show with a couple of guys who are cranking out turn-key rental properties everything month that yield a net return of 10% or more. That's right. Double digit returns on rental properties. Find out more on Monday.

Topic: Things you need to know when getting hard money loans

1. What are the loan qualifications?
   1. The deal itself. ARV, Purchase price, rehab budget
   2. Your experience. How many have you done, have you done this type of project?
   3. Credit score
2. What are the loan costs?
   1. Interest Rate
   2. Origination Fee
3. What is the loan term?
   1. Is there a pre-payment penalty (most do not)
   2. What if we need more time?
4. Translate this to the bottom line.
   1. Cash out of pocket to close
      1. Down payment
      2. Origination feed
   2. Interest payments
   3. Additional cash needed to finish repairs
5. Know the number of days you will hold the property
   1. Length of rehab
   2. Avg. Days on market
   3. Plus 45 days from contract to close

Shop around, sure, but stick with quality people who do what they say they will do. Vet your lender like any other part of your team. Lenders can hurt you by failing to close at the last minute or delaying draw money you need to pay your contractors. Check with others who have borrowed from a lender or broker. Check with the Better Business Bureau. Do they answer their phone? Do they return calls and messages? Understand what lenders are NOT here to do:

1. Waste their time on your ignorant fanny.
2. Teach you how to manage your project
3. Teach you how to run your business
4. Analyze your deals for you. They will analyze them of course, but you should only present deals to them that you have already confirmed are solid.

Like everyone else in this business they get paid when a product is delivered - in this case when a loan is closed. They will appreciate you NOT wasting their time and will be more interested in working with the investors that bring quality closeable deals to the table. I've said many times that if you know your ability to perform and you know your numbers, it doesn't matter too much what the loan costs are. Do your research, know your numbers, prepare for the worst, buy conservatively, and you will consistently do well. Keep your eyes open! Opportunities are everywhere.

FAR 131 Expected Air Date: 03/17/18 Opening Hello everyone. I am Roger Blankenship and I teach people how to make money in Real Estate. We bring you news, trends, markets, and we feature people who are getting it done in this industry. Today our guest is Michael Braswell, founder of Braswell Capital Solutions. Michael has been in the financial sector his entire career although he did spend some time as a successful realtor as well. His experience in real estate, finance, and with investors has created in him the ideal person to provide financing for your real estate project. He will be with us in a few moments. How to Reach us www.flippingamericanetwork.com Facebook.com/flippingamericamedia Twitter and Instagram @FlippingAmerica YouTube: bit.ly/FlippingAmericaOnYouTube Linkedin: bit.ly/FlippingAmericaOnLinkedIn Call our National Comment Line: 404-369-1018, ext 1. Leave your message or your question. Announcements:

• My upcoming speaking engagements:
  • April 5, Chattanooga REIA
  • April 7, FlipStarter, Chattanooga
  • April 9, Savannah REIA
  • April 14, FlipStarter Savannah
  • April 21, FlipStarter Atlanta
• Details on the website and at FlipStarterEvent.com

Special Guest

• Michael Braswell

Motivational Thoughts for the day

• The answer to every un-asked question is the same.
• You never bought the house you didn’t offer on.

Emails: [email protected] Tell us where you’re from!

• Zach in Birmingham
• Farell in Las Vegas
• Eduardo, Tampa
• Cecil, Ocala
• Olivia, Pittsburgh
• Andrea, Milwaukee
• Andrew, Harrisburg
• I’m answering your questions and those of dozens of others regarding hard money lending.
• Kelsey, Los Angeles
• Ramon, Long Beach,
• Ernesto, Austin
• Camille, Chicago
• Rona, Memphis
• Fred, Louisville
• Antwon, Brooklyn
• Chris, Saginaw, MI
• You all have written in looking for information and sources for good cash flowing rental properties. Tune in on Monday for a show with a couple of guys who are cranking out turn-key rental properties everything month that yield a net return of 10% or more. That’s right. Double digit returns on rental properties. Find out more on Monday.

Topic: Things you need to know when getting hard money loans

1. What are the loan qualifications?
   1. The deal itself. ARV, Purchase price, rehab budget
   2. Your experience. How many have you done, have you done this type of project?
   3. Credit score
2. What are the loan costs?
   1. Interest Rate
   2. Origination Fee
3. What is the loan term?
   1. Is there a pre-payment penalty (most do not)
   2. What if we need more time?
4. Translate this to the bottom line.
   1. Cash out of pocket to close
      1. Down payment
      2. Origination feed
   2. Interest payments
   3. Additional cash needed to finish repairs
5. Know the number of days you will hold the property
   1. Length of rehab
   2. Avg. Days on market
   3. Plus 45 days from contract to close

Shop around, sure, but stick with quality people who do what they say they will do. Vet your lender like any other part of your team. Lenders can hurt you by failing to close at the last minute or delaying draw money you need to pay your contractors. Check with others who have borrowed from a lender or broker. Check with the Better Business Bureau. Do they answer their phone? Do they return calls and messages? Understand what lenders are NOT here to do:

1. Waste their time on your ignorant fanny.
2. Teach you how to manage your project
3. Teach you how to run your business
4. Analyze your deals for you. They will analyze them of course, but you should only present deals to them that you have already confirmed are solid.

Like everyone else in this business they get paid when a product is delivered - in this case when a loan is closed. They will appreciate you NOT wasting their time and will be more interested in working with the investors that bring quality closeable deals to the table. I’ve said many times that if you know your ability to perform and you know your numbers, it doesn’t matter too much what the loan costs are. Do your research, know your numbers, prepare for the worst, buy conservatively, and you will consistently do well. Keep your eyes open! Opportunities are everywhere.  

FAR 114 Expected Air Date: 02/01/18 Opening: Hello everyone. I am Roger Blankenship and I teach people how to make money in Real Estate. Have you laid out your goals for 2018 yet? January is over and if you haven't, it's time to get cracking. We are going to talk about goals in just a few minutes. First a little housekeeping. Flipping Atlanta, Feb 8, Mike Cherwenka. Announcements:

• NEW NEW! www.flippingamericanetwork.com is LIVE
• Call in to our comments line! 404-369-1018, extension 1. Leave your message.
• [email protected] Tell us where you're from!
• Like us on Facebook. www.facebook.com/flippingamericamedia
• Check in with us every Tuesday for "Tuesdays at Two"
• Follow us on Twitter @FlippingAmerica
• IF WE READ YOUR QUESTION ON THE AIR, WE WILL SEND YOU A TICKET TO OUR NEXT FLIPSTARTER EVENT. THAT'S A $97 VALUE!

News:

• https://www.forbes.com/sites/elyrazin/2018/01/17/3-commercial-real-estate-trends-to-watch-in-2018/#20358eca612e
• https://www.forbes.com/sites/forbesrealestatecouncil/2018/01/29/five-real-estate-technology-predictions-for-2018/2/#2e436e443f82
• https://www.aspendailynews.com/news/robust-real-estate-market-still-steaming/article_1f266f6e-0700-11e8-b2ee-03d458c34391.html
• https://www.bloomberg.com/news/articles/2018-01-31/manhattan-townhouses-for-sale-are-lingering-on-real-estate-market
• https://www.forbes.com/sites/ellenparis/2018/01/31/traits-of-a-successful-real-estate-investor/#8e0708f3583e
• https://www.forbes.com/sites/forbesrealestatecouncil/2018/01/31/cash-flow-killers-to-your-real-estate-investment/#7ba023015b5c
• https://www.forbes.com/sites/ellenparis/2018/01/29/2018s-housing-market-looks-good-unless-youre-a-first-time-millennial-buyer/#422ef94d1885

Emails: [email protected] Tell us where you're from!

• Diego, Dallas, TX, "Thank you for sharing the buying formulas for rental properties. Please explain more about cash on cash return and capitalization rate. What's the difference?"
• Chip, Perry, GA, "I heard someone say that you should figure the cost of an apartment building based on the market cap rate. I didn't really follow but didn't want to admit that in the conversation. Please explain it to me."
• Esther, Milwaukee, WI "I went to a seminar where they were going to sell me turn-key rental properties and finance them to me at 12% for 15 years. The loan to value would be 60%. They assured me these were great below-market deals and I would make money. Can you tell me whether this is true?"

100k, 40k down payment. 1000/mon rent 12k year. 8400 NOI. PI $720. Payments 8640. Taxes and Insurance already considered in NOI. It SEEMS you have $280/mon cash flow, but in reality you lose about $20 per month. Cap rate: 8.4%. ConC return, -.002%

• Warren, Harrisburg, PA "Do you ever make exceptions to your 'all in for 70%' rule? If so, when?

Sub to, other creative deal structure, high end, 100% OPM,

• Dan, Birmingham, AL "I looked into buying foreclosures here at the courthouse auction and learned that there is a one year right of redemption for the properties. I'm told this is why very few Alabama properties are sold at these auctions. Someone told me they heard you had an idea on this. Care to share?"

Topics:

• Goals, Milestones, Steps

FAR 114 Expected Air Date: 02/01/18 Opening: Hello everyone. I am Roger Blankenship and I teach people how to make money in Real Estate. Have you laid out your goals for 2018 yet? January is over and if you haven’t, it’s time to get cracking. We are going to talk about goals in just a few minutes. First a little housekeeping. Flipping Atlanta, Feb 8, Mike Cherwenka. Announcements:

• NEW NEW! www.flippingamericanetwork.com is LIVE
• Call in to our comments line! 404-369-1018, extension 1. Leave your message.  
• [email protected] Tell us where you’re from!
• Like us on Facebook. www.facebook.com/flippingamericamedia
• Check in with us every Tuesday for “Tuesdays at Two”
• Follow us on Twitter @FlippingAmerica
• IF WE READ YOUR QUESTION ON THE AIR, WE WILL SEND YOU A TICKET TO OUR NEXT FLIPSTARTER EVENT. THAT’S A $97 VALUE!

News:

• https://www.forbes.com/sites/elyrazin/2018/01/17/3-commercial-real-estate-trends-to-watch-in-2018/#20358eca612e
• https://www.forbes.com/sites/forbesrealestatecouncil/2018/01/29/five-real-estate-technology-predictions-for-2018/2/#2e436e443f82
• https://www.aspendailynews.com/news/robust-real-estate-market-still-steaming/article_1f266f6e-0700-11e8-b2ee-03d458c34391.html
• https://www.bloomberg.com/news/articles/2018-01-31/manhattan-townhouses-for-sale-are-lingering-on-real-estate-market
• https://www.forbes.com/sites/ellenparis/2018/01/31/traits-of-a-successful-real-estate-investor/#8e0708f3583e
• https://www.forbes.com/sites/forbesrealestatecouncil/2018/01/31/cash-flow-killers-to-your-real-estate-investment/#7ba023015b5c
• https://www.forbes.com/sites/ellenparis/2018/01/29/2018s-housing-market-looks-good-unless-youre-a-first-time-millennial-buyer/#422ef94d1885

Emails: [email protected] Tell us where you’re from!

• Diego, Dallas, TX, “Thank you for sharing the buying formulas for rental properties. Please explain more about cash on cash return and capitalization rate. What’s the difference?”
• Chip, Perry, GA, “I heard someone say that you should figure the cost of an apartment building based on the market cap rate. I didn’t really follow but didn’t want to admit that in the conversation. Please explain it to me.”
• Esther, Milwaukee, WI “I went to a seminar where they were going to sell me turn-key rental properties and finance them to me at 12% for 15 years. The loan to value would be 60%. They assured me these were great below-market deals and I would make money. Can you tell me whether this is true?”

100k, 40k down payment. 1000/mon rent 12k year. 8400 NOI. PI $720. Payments 8640. Taxes and Insurance already considered in NOI. It SEEMS you have $280/mon cash flow, but in reality you lose about $20 per month. Cap rate: 8.4%. ConC return, -.002%

• Warren, Harrisburg, PA “Do you ever make exceptions to your ‘all in for 70%’ rule? If so, when?

Sub to, other creative deal structure, high end, 100% OPM,

• Dan, Birmingham, AL “I looked into buying foreclosures here at the courthouse auction and learned that there is a one year right of redemption for the properties. I’m told this is why very few Alabama properties are sold at these auctions. Someone told me they heard you had an idea on this. Care to share?”

Topics:

• Goals, Milestones, Steps

Emails: [email protected] Tell us where you're from!

• Constance, Milwaukee, WI "Can you recommend a good crowd-funding real estate site?"
• De'Andre, Atlanta, GA "What is co-wholesaling and is it even legal?"
• Phillip, Long Beach, CA "I have a property that I want to buy and flip with my self-directed IRA. I'm about 10k short of what I need to get it fixed. Can I use my own money to fill the gap?"
• Jeffrey, Anderson, IN "Someone told me I shouldn't have all my properties held by my corporation. I'm wondering why. Right now I have 8 rentals and I'm flipping 3 or 4 houses per year. I thought the corporate protection is all I needed."
• Carly, Cleveland, TN "I met you when you were speaking in Chattanooga, although you may not remember me. My husband just finished his first rehab and went over budget. It turns out that your formula nailed his budget exactly. But now we don't remember the formula."

Topics:

• Private Lending Q&A

Emails: [email protected] Tell us where you’re from!

• Constance, Milwaukee, WI “Can you recommend a good crowd-funding real estate site?”
• De’Andre, Atlanta, GA “What is co-wholesaling and is it even legal?”
• Phillip, Long Beach, CA “I have a property that I want to buy and flip with my self-directed IRA. I’m about 10k short of what I need to get it fixed. Can I use my own money to fill the gap?”
• Jeffrey, Anderson, IN “Someone told me I shouldn’t have all my properties held by my corporation. I’m wondering why. Right now I have 8 rentals and I’m flipping 3 or 4 houses per year. I thought the corporate protection is all I needed.”
• Carly, Cleveland, TN “I met you when you were speaking in Chattanooga, although you may not remember me. My husband just finished his first rehab and went over budget. It turns out that your formula nailed his budget exactly. But now we don’t remember the formula.”

Topics:

• Private Lending Q&A

FAR 112 Expected Air Date: 01/25/18 Opening: Hello everyone. I am Roger Blankenship and I teach people how to make money in Real Estate. Today we are going back to the basics. People seem to be coming out of the woodwork asking questions about getting started as active real estate investors. Today we are going to cover the basic buying rules. I've got a formula I've used for years in buying flips. If you've had any training at all on the subject, the formula may be familiar to you, but I'm going to explain the reasoning behind it and why you should not violate this rule - meaning pay too much for the property. Then I'm going to give you a couple of formulas for buying rentals and connect them to capitalization rate. All that is just ahead. Heads up! You can get this information in video form by subscribing to the Network! We are getting a ton of questions about private lending as well so we are going to cover that topic Saturday. And sandwiched in-between... If you're in the Atlanta area, plan to come out tomorrow morning to hear Roger Herring in person as he covers tax reform and its implications for us. I'm looking forward to being there. Send an email to [email protected] and Roger's assistant will send you what you need to get in. Announcements:

• NEW NEW! www.flippingamericanetwork.com is LIVE
• Call in to our comments line! 404-369-1018, extension 1. Leave your message.
• [email protected] Tell us where you're from!
• Like us on Facebook. www.facebook.com/flippingamericamedia
• Check in with us every Tuesday for "Tuesdays at Two"
• Follow us on Twitter @FlippingAmerica
• IF WE READ YOUR QUESTION ON THE AIR, WE WILL SEND YOU A TICKET TO OUR NEXT FLIPSTARTER EVENT. THAT'S A $97 VALUE!

News:

• https://www.benzinga.com/pressreleases/18/01/p11073843/global-wellness-institute-releases-landmark-report-build-well-to-live-
• https://www.fastcompany.com/40512467/utopic-wellness-communities-are-a-multibillion-dollar-real-estate-trend
• http://www.digitaljournal.com/pr/3632224
• https://www.cnbc.com/2018/01/23/enough-with-the-doom-and-gloom-retail-real-estate-has-bright-spots.html
• https://simplywall.st/stocks/sg/real-estate/sgx-c2pu/parkway-life-real-estate-investment-trust-shares/news/parkway-life-real-estate-investment-trust-sgxc2pu-is-a-real-dividend-rock-star-here-is-why/
• http://www.nreionline.com/finance-investment/new-tax-laws-likely-increase-hnw-investment-real-estate
• https://therealdeal.com/2018/01/25/hamptons-housing-market-ends-2017-on-a-high-note/
• https://www.pressherald.com/2018/01/24/maine-housing-market-continues-record-breaking-streak/

Emails: [email protected] Tell us where you're from!

• DeOnna, Columbia, SC "How much money will I need in order to buy a rental house?"
• Shawn, "Milwaukee, WI "I have a full-time job but want to get into this. How much time to I need to plan in order to pick up a few houses a year?"
• Angelina, Long Beach, CA "With my busy life, I don't know how to make time to become an investor but i want to. Please help me figure this out?"
• Errol, Little Rock Ak, "How do you find properties to keep your deal flow?"