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Flip Houses: The Numbers Involved

 
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Old 12-31-2015, 12:14 AM   #21
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Re: Flip Houses: The Numbers Involved


Hi Christina!
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Old 12-31-2015, 12:51 AM   #22
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Re: Flip Houses: The Numbers Involved


Some do really well. I did the work on a 2 bed 1 bath 1 car garage for my brother here this year. It was a foreclosure that had a living room fire. I billed about $8,000 for the repairs. He paid $5,500 for the house. It sold at auction, which is a common way to sell here for $47,500


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Old 12-31-2015, 07:10 AM   #23
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Re: Flip Houses: The Numbers Involved


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Originally Posted by DiamondHouse View Post
I appreciate the comments. This was actually my first post. Big fan of this site, I have used it for years. My initial post was a little immature because I wanted to rile somebody up enough to create a response and the result is plenty of professional opinions.

Knaveman. I agree with your comments.
And several others.

Jaws, totally. But it's been difficult to find a "legit" crew. I didn't grow up here, so it's all Craigslisting gigs. Lots of guys are on drugs, or don't pay at all. I just worked for JW Construction, found out that guy was on the KVUE news!!! For fraud and investigating his unfinished projects and unpaid workers.

Austin is booming, it's true that houses will sell after being on the market for 2 days!!!
This is where it's at, but that 30% Capital Gains is a whopper.

Unfortunately I cannot obtain a mortgage on my own, but that's something to work on.
And here is where developing a business comes into play... Private Money or Hard Money Lenders will still loan to those who have trouble getting traditional mortgages, but they require a solid deal and cash for skin in the game....

So your goal should be to work on the reasons you can't obtain a mortgage (i.e. - cash, credit, incorporating)... when you have a few deals under your belt and cash in the bank, you'll find it much easier to get the financing you need as you now have a track record of making money...

You can actually find Private Money lenders who just charge interest and no points (individuals looking to bolster retirement) but you have to actively search them out... get involved in your local Real Estate Investment club... go to your county courthouse and find out who is buying distressed properties and contact them and develop a relationship... if they are buying, they have the cash or the sources to do so...

Dive into places like...

www.reiclub.com
www.creonline.com
www.biggerpockets.com

... and ask LOTS of questions of actual experienced and newbie investors and people in the finance game (they need to make a living too)... there are many others, but the above are geared to what you are looking to do and have been around a long time...

Get out of the mindset of "getting rich quick" and focus on building a business first... one of the biggest mistakes I see contractors make (and did myself) was thinking if they can run a construction business they can flip... on the surface that seems a no-brainer, but there is so much more to it (i.e. - finance, tax strategy, marketing, etc.)...

Hopefully a New Year for a new course in your life of moving beyond $15/hour and building a business...

Best of luck... 8^)
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Old 01-01-2016, 05:33 PM   #24
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Re: Flip Houses: The Numbers Involved


You are focusing on all the wrong things here and I apologize up front if this turns into a rant. Your first focus should be on you and your skills. Are you worth more than 15 an hour to anybody? I have had guys making me money at 35 and other guys loosing me money at 10. Or let me put it another way how much of the investor/ contractor's money do you think you are entitled to and for doing what?

I had a guy that used to work for me who gave all the new kids the same lecture. The main point was, you are useless until you lean something. After that it is important to pay attention, keep learning, do a good job and acquire the skills to become indispensable to your employer.

Are you indispensable?

You have the cart WAY before the horse here.

Find a reputable guy to work for (you probably won't find him on craigslist or the home depot) pay attention to everything he does and learn everything you can from him.

Until you change your perspective, you will be stuck at 10-15 per hour.
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Old 01-01-2016, 07:28 PM   #25
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Re: Flip Houses: The Numbers Involved


wow that you hooked up with the JW Construction guy, I would bet he was paying peanuts!
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Old 01-02-2016, 08:04 AM   #26
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Re: Flip Houses: The Numbers Involved


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There is nothing irritating with Christina


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I disagree. That woman has the MOST irritating voice I've ever heard from a tv host. It's kind of 1980s Valley Girl with a dash of whining dullard thrown in.

Ick.
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Old 01-02-2016, 08:37 AM   #27
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Re: Flip Houses: The Numbers Involved


I didn't even realize she talked.
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Old 01-03-2016, 08:35 AM   #28
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Re: Flip Houses: The Numbers Involved


You seem a little too worried about how much someone else is making. It doesn't matter if they make $100,000 per house. I'm sure if they loose money on a project, you won't take a loss.

House flippers are going to pay as little as possible. If they think they can find somebody cheaper, they will hire them.

You need to look for a different line of customers.
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Old 01-04-2016, 02:32 AM   #29
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Re: Flip Houses: The Numbers Involved


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There are very few house flippers I would work for. Why do you? These days many markets are getting very competitive and there are less deals to be had. Some will take on deals with lower profit margins and then it becomes even harder to make a buck.
I work for 4 of them and they are my best customers.
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Old 01-04-2016, 02:34 AM   #30
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Re: Flip Houses: The Numbers Involved


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You seem a little too worried about how much someone else is making. It doesn't matter if they make $100,000 per house. I'm sure if they loose money on a project, you won't take a loss.

House flippers are going to pay as little as possible. If they think they can find somebody cheaper, they will hire them.

You need to look for a different line of customers.
Of course that he would take loss, they would declare bankruptcy. As judge said to me in 11/2014 flippers and investors are pioneers and we have to share loses. However we never share profits.
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Old 01-04-2016, 07:23 AM   #31
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Re: Flip Houses: The Numbers Involved


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I work for 4 of them and they are my best customers.
They are your best customers? In previous posts you complained because nobody wanted to pay a decent wage for your quality work.

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