Flipping America

FAR 048 Hey if you are looking to get your deal funded I’ve got great news. Whitestone Capital Solutions is offering loans as low as 4 points and 8%. Friends, if you are in the real estate investment business it’s hard to find money any cheaper than this. I know because I’ve looked around. All you have to do is go to www.whitestonecapitalsolutions.com, click “apply now” and fill out the quick and easy form. One of our team members will be in touch with you quickly and get you headed toward closing on that deal. We are loaning in all 50 states. Apply today. News: New Report: the Top 20 Zip Codes in the US for Real Estate Investing 16 Cities where income can’t keep up with housing costs: meaning - don’t invest there. Santa Ana, CA Newark, NJ Bloomington, IN Los Angeles, CA Lynnwood, CA Garden Grove, CA Hialeah, FL Westminster, CA Inglewood, CA El Monte, CA Paterson, NJ Baldwin Park, CA Davis, CA west of Sacramento Hawthorne, CA Miami, FL Passaic, NJ Commercial real estate has been placed on the Feds official “worry list” according to Business Insider online.   Investor Uh-OHs: “Sue” bought a house from a wholesaler. The price was 140k. The wholesaler had told her the rehab would be 60k and the ARV is 300k. Sounds great and by our formula she could be all in at 210 and still be doing well. She proceeded to put the property under contract. AFTER closing, the best estimate she could get for the work was 78k. Well, that’s a little over budget, but we will still make money. She got the work done for 81k (found a few extra problems) and listed the property. Her realtor said that the best she would get is 280k. She wanted / needed more so they tried a listing at 285k. They ended up reducing over a month to 275 and eventually accepted 270k. If you’ve been doing the math, she was all in at 221 and selling for 270 so she’s ok right? Let’s see… Commission: $16,200 Taxes: $1,548 Insurance: $750 Cost of funds: $24,375 Total additional costs: $42,873 Selling price: $270,000 Less purchase and rehab: $221,000 $49,000 - additional costs: $42,873 = 6,127   Annualized ROI is 5% - You would be better off putting your cash into an indexed fund. What you just got for your money was a $40,000 course in the Real Estate Investing school of hard knocks.   Lessons:

1. DON’T trust a wholesaler’s numbers.
2. DO get a real contractor bid during DD.
3. DO NOT compromise on your 30% margin.
4. DO get your realtors’ opinion of ARV before entering into agreement to purchase
5. DO find a way to contain costs without treating your buyers poorly.

  Emails: Questions from College Reunion: “How can I tell if my town is a good place to invest in real estate?” -Are people moving there? Population growing? -Employment opportunities (preferably from more than one major employer) -Are there areas of revitalization/renewal? -Look for the rare below market gems in the best parts of town.   Bennie from Boston: “I’m thinking about coming to Atlanta for your one day course. What are you going to cover?” Find Fund Fix Flip Create a Plan for your Business Show you the path to a full-time career (if you want that).

FAR 049 Hey if you are looking to get your deal funded I've got great news. Whitestone Capital Solutions is offering loans as low as 4 points and 8%. Friends, if you are in the real estate investment business it's hard to find money any cheaper than this. I know because I've looked around. All you have to do is go to www.whitestonecapitalsolutions.com, click "apply now" and fill out the quick and easy form. One of our team members will be in touch with you quickly and get you headed toward closing on that deal. We are loaning in all 50 states. Apply today. Translating Income Target into Daily activities. News: Steph Curry loses money in Bay Area Real Estate. Emails: Martin from Long Beach California, "I heard you on your last show talking about buying rentals in my area and I agree - it's tough to find a property here that you can rent with any kind of decent return. I'm thinking about investing in recreational or resort properties and renting them through AirBnB or VRBO or something. What are your thoughts about this strategy? Kelvin from Atlanta, "I am thinking of buying a condo in Panama City as an investment. My family would enjoy the ability to get down there several times a year plus we could make some money renting it out. What's your opinion on this?"

FAR 049 Hey if you are looking to get your deal funded I’ve got great news. Whitestone Capital Solutions is offering loans as low as 4 points and 8%. Friends, if you are in the real estate investment business it’s hard to find money any cheaper than this. I know because I’ve looked around. All you have to do is go to www.whitestonecapitalsolutions.com, click “apply now” and fill out the quick and easy form. One of our team members will be in touch with you quickly and get you headed toward closing on that deal. We are loaning in all 50 states. Apply today. Translating Income Target into Daily activities. News: Steph Curry loses money in Bay Area Real Estate. Emails: Martin from Long Beach California, “I heard you on your last show talking about buying rentals in my area and I agree - it’s tough to find a property here that you can rent with any kind of decent return. I’m thinking about investing in recreational or resort properties and renting them through AirBnB or VRBO or something. What are your thoughts about this strategy? Kelvin from Atlanta, “I am thinking of buying a condo in Panama City as an investment. My family would enjoy the ability to get down there several times a year plus we could make some money renting it out. What’s your opinion on this?”

FAR 050 Topics: THURSDAY THURSDAY! Hey if you are looking to get your deal funded I've got great news. Whitestone Capital Solutions is offering loans as low as 4 points and 8%. Friends, if you are in the real estate investment business it's hard to find money any cheaper than this. I know because I've looked around. All you have to do is go to www.whitestonecapitalsolutions.com, click "apply now" and fill out the quick and easy form. One of our team members will be in touch with you quickly and get you headed toward closing on that deal. We are loaning in all 50 states. Apply today. Trends Watch price increases in your area. Let me know what you are seeing. What to do with malls: Technology Center Business incubator Local community college - or satellite campus Convert to housing Scrape and build something new How do we prepare for technology trends in today's market. What are the trends? *Ride sharing, including car sharing. When ride sharing costs less than car ownership, Urban parking garages will have excess inventory. What can you do with surplus garage space? If you're investing in a REIT, perhaps consider warehouse space over garage space. *Online shopping, including groceries Secure package delivery. Build this into your next flip project and make it a part of your marketing. *Electric vehicles. Make sure you have a place to plug the car in! Baby Boomers are heading toward Senior Living Facilities -- Biz Times calls it "Silver Tsunami" Independent living in senior neighborhoods Assisted living in retirement communities Today's residents, mostly born in the 1930's. The Boomers are coming. There will be employment opportunities. And those employees need to live somewhere. Healthcare may be heading toward single payer. Rationing, long wait times. - Invest in medical office space in the Caribbean - for the wealthy who can and will afford to seek needed treatment elsewhere. Emails: Virginia from Ocala, FL. "I'm recently retired, but don't want to just stop everything. I'm thinking seriously about flipping a house like they do on TV. I know I need to consider the cost of the remodeling work and how much I'm going to sell it for. What other costs am I going to run into on the project?" Costs Associated with the Purchase: Closing costs Utility Deposits Insurance Holding Costs Utilities Maintenance (primarily lawn) Insurance HOA Costs Associated with the Sale Commissions RE Taxes Transfer Taxes Possible share of closing costs Cost of Money Origination fee (points) Interest Angela from Pittsburgh, "I have some money I want to invest in real estate but I don't want to flip a house. That seems too complicated. I DO like the whole process though and the profits seem pretty good and I want a better return than I'm seeing with REITs. Is there a way to invest in a project someone else is flipping and make a good return on my money?" Obviously yes. You need to do some research: Know the property and the process. Know the person doing the work. Or BOTH. Get your interest protected. Encumber the title. Brent from Denver, CO, "What is dual agency? I saw on a website that it's a scam, but I don't understand it." Phil from Long Beach, CA "I'm a new listener. I want to get started flipping houses. I'm thinking about signing up for some training. I went to an event where they wanted more than $30,000 to show me how to do this. I can go to a local group and get the same training for about $500. Or is it the same? I don't really know what I need -- please help. Erik from Tampa: "What's the difference between a mortgage and a Deed of Trust? I want to sell a property myself using owner financing and want to make sure I protect myself in the right way."

FAR 050   Topics: THURSDAY THURSDAY!   Hey if you are looking to get your deal funded I’ve got great news. Whitestone Capital Solutions is offering loans as low as 4 points and 8%. Friends, if you are in the real estate investment business it’s hard to find money any cheaper than this. I know because I’ve looked around. All you have to do is go to www.whitestonecapitalsolutions.com, click “apply now” and fill out the quick and easy form. One of our team members will be in touch with you quickly and get you headed toward closing on that deal. We are loaning in all 50 states. Apply today.   Trends Watch price increases in your area. Let me know what you are seeing.   What to do with malls: Technology Center Business incubator Local community college - or satellite campus Convert to housing Scrape and build something new   How do we prepare for technology trends in today’s market. What are the trends? *Ride sharing, including car sharing. When ride sharing costs less than car ownership, Urban parking garages will have excess inventory. What can you do with surplus garage space? If you’re investing in a REIT, perhaps consider warehouse space over garage space. *Online shopping, including groceries Secure package delivery. Build this into your next flip project and make it a part of your marketing. *Electric vehicles. Make sure you have a place to plug the car in!   Baby Boomers are heading toward Senior Living Facilities -- Biz Times calls it “Silver Tsunami” Independent living in senior neighborhoods Assisted living in retirement communities Today’s residents, mostly born in the 1930’s. The Boomers are coming. There will be employment opportunities. And those employees need to live somewhere.   Healthcare may be heading toward single payer. Rationing, long wait times. - Invest in medical office space in the Caribbean - for the wealthy who can and will afford to seek needed treatment elsewhere.   Emails: Virginia from Ocala, FL. “I’m recently retired, but don’t want to just stop everything. I’m thinking seriously about flipping a house like they do on TV. I know I need to consider the cost of the remodeling work and how much I’m going to sell it for. What other costs am I going to run into on the project?” Costs Associated with the Purchase: Closing costs Utility Deposits Insurance Holding Costs Utilities Maintenance (primarily lawn) Insurance HOA Costs Associated with the Sale Commissions RE Taxes Transfer Taxes Possible share of closing costs Cost of Money Origination fee (points) Interest Angela from Pittsburgh, “I have some money I want to invest in real estate but I don’t want to flip a house. That seems too complicated. I DO like the whole process though and the profits seem pretty good and I want a better return than I’m seeing with REITs. Is there a way to invest in a project someone else is flipping and make a good return on my money?” Obviously yes. You need to do some research: Know the property and the process. Know the person doing the work. Or BOTH. Get your interest protected. Encumber the title. Brent from Denver, CO, “What is dual agency? I saw on a website that it’s a scam, but I don’t understand it.” Phil from Long Beach, CA “I’m a new listener. I want to get started flipping houses. I’m thinking about signing up for some training. I went to an event where they wanted more than $30,000 to show me how to do this. I can go to a local group and get the same training for about $500. Or is it the same? I don’t really know what I need -- please help.   Erik from Tampa: “What’s the difference between a mortgage and a Deed of Trust? I want to sell a property myself using owner financing and want to make sure I protect myself in the right way.”

FAR 051 Topics: THURSDAY THURSDAY! Hey if you are looking to get your deal funded I've got great news. Whitestone Capital Solutions is offering loans as low as 4 points and 8%. Friends, if you are in the real estate investment business it's hard to find money any cheaper than this. I know because I've looked around. All you have to do is go to www.whitestonecapitalsolutions.com, click "apply now" and fill out the quick and easy form. One of our team members will be in touch with you quickly and get you headed toward closing on that deal. We are loaning in all 50 states. Apply today. Two rules you should ALWAYS follow when investing in someone else's project News: Zillow and Redfin going at it: Zillow says, "Redfin is a threat to organized real estate." Something I saw for the first time: an owner occupant going to networking meetings to find a property. Story in Bloomberg. Note the headline and sub-head Billionaires in a mobile home park? Emails: [email protected] Tell us where you're from!

• Angela from Pittsburgh, "I have some money I want to invest in real estate but I don't want to flip a house. That seems too complicated. I DO like the whole process though and the profits seem pretty good and I want a better return than I'm seeing with REITs. Is there a way to invest in a project someone else is flipping and make a good return on my money?"
  • Obviously yes.
  • You need to do some research:
  • Know the property and the process.
  • Know the person doing the work.
  • Or BOTH.
  • Get your interest protected. Encumber the title.
• Keith, from Anaheim, CA, "I want to follow up on the question about investing in someone else's flip. Tell me more about how it works and what kind of return I could expect. Also, can you provide a sample of the paperwork I would need?"
• Phil from Long Beach, CA "I'm a new listener. I want to get started flipping houses. I'm thinking about signing up for some training. I went to an event where they wanted more than $30,000 to show me how to do this. I can go to a local group and get the same training for about $500. Or is it the same? I don't really know what I need -- please help.
• Erik from Tampa: "What's the difference between a mortgage and a Deed of Trust? I want to sell a property myself using owner financing and want to make sure I protect myself in the right way."

FAR 051 Topics: THURSDAY THURSDAY! Hey if you are looking to get your deal funded I’ve got great news. Whitestone Capital Solutions is offering loans as low as 4 points and 8%. Friends, if you are in the real estate investment business it’s hard to find money any cheaper than this. I know because I’ve looked around. All you have to do is go to www.whitestonecapitalsolutions.com, click “apply now” and fill out the quick and easy form. One of our team members will be in touch with you quickly and get you headed toward closing on that deal. We are loaning in all 50 states. Apply today. Two rules you should ALWAYS follow when investing in someone else’s project News: Zillow and Redfin going at it: Zillow says, “Redfin is a threat to organized real estate.” Something I saw for the first time: an owner occupant going to networking meetings to find a property. Story in Bloomberg. Note the headline and sub-head Billionaires in a mobile home park? Emails: [email protected] Tell us where you’re from!

• Angela from Pittsburgh, “I have some money I want to invest in real estate but I don’t want to flip a house. That seems too complicated. I DO like the whole process though and the profits seem pretty good and I want a better return than I’m seeing with REITs. Is there a way to invest in a project someone else is flipping and make a good return on my money?”
  • Obviously yes.
  • You need to do some research:
  • Know the property and the process.
  • Know the person doing the work.
  • Or BOTH.
  • Get your interest protected. Encumber the title.
• Keith, from Anaheim, CA, “I want to follow up on the question about investing in someone else’s flip. Tell me more about how it works and what kind of return I could expect. Also, can you provide a sample of the paperwork I would need?”
• Phil from Long Beach, CA “I’m a new listener. I want to get started flipping houses. I’m thinking about signing up for some training. I went to an event where they wanted more than $30,000 to show me how to do this. I can go to a local group and get the same training for about $500. Or is it the same? I don’t really know what I need -- please help.
• Erik from Tampa: “What’s the difference between a mortgage and a Deed of Trust? I want to sell a property myself using owner financing and want to make sure I protect myself in the right way.”

FAR 042 Topics: Hiring and Managing Contractors Interview Guests: Stacy Rosetti - LIVE at Flipping Atlanta

FAR 042 Topics: Hiring and Managing Contractors Interview Guests: Stacy Rosetti - LIVE at Flipping Atlanta

FAR 052 Live from Flipping Atlanta! Interview Guests: Stacy Rosetti: "Hiring and Managing Contractors, Part 2"