Got an email about 30 mins ago about a deal…Chris wasn’t too far away, so he drove by and then,
WATCH VIDEO TO SEE WHAT HAPPENED
Now, the Deal is Locked up, and most likely financing will be secured in the next hour…
This is how we do Real Estate my friends…
*Also wanted to add, that Full CMA is looking like we can push price and make this a Solid $25k Deal.
Brant: All right, guys. I’m going to fill you all in. Chris just FaceTime’d me about a potential deal that a wholesaler just sent out that I think they said the repairs were going to be about $50,000. Is that right Chris?
Chris: Yes sir.
Brant: All right, cool. Tell me what you got for the rehab job.
Chris: All right. This house was essentially gutted by a previous investor. Everything is exposed on the inside so it needs a full redo as far as all the flooring, all the interior, sheetrock, insulation. Then of course paint, light fixtures, plumbing fixtures, all the cabinetry is gone. It’s about 1,700 square feet. I would guesstimate that we’re in the 25 or $30 a square foot range for rehabbing.
Brant: This is like a 1960s construction home?
Chris: Yes sir. It doesn’t have any foundation issues. The roof is brand new. I think even the AC has been torn out.
Brant: We’re going to price this home around $300,000 ish. You said the foundation is okay?
Chris: Yes sir.
Brant: And the roof is okay?
Chris: Yeah, the roof is almost brand new. Here, you can take a look.
Brant: Yeah, let’s-
Chris: I think he actually put a brand new roof on it. It’s got a ridge vent and all the shingles look really clean and pretty new.
Brant: Tell me, we said roof, we said foundation we’re fine. They probably just did foundation, right? Because this was a rehab in progress that they didn’t finish?
Chris: Yeah. They went and gutted it.
Brant: Ok, It needs full AC, right?
Brant: Then is there anything else? Have you walked inside the house yet?
Brant: Let’s do a quick tour.
Chris: Actually I just did.
Brant: Are there any like birth defects? Anything we can’t fix? The layout’s okay as it is and everything?
Chris: It’s okay. I recommend some minor framing to make the master bath in the master bedroom a little more ideal. Other than that, the house was probably in a good layout. There’s probably one wall I’d like to nix but like I said, it’s just exposed two by fours now so it’d be pretty easy to do.
Brant: What did they say? I can’t remember what was the price point on this one?
Brant: I’m sorry. It was what?
Brant: 205. I think we can go around 315 on this one. We still have to confirm. You said 205?
Chris: Yes sir.
Brant: We came up with repairs being $47.5k. We’re going to add at least 10% on that so we’ll come out around, oops.
Brant: Yeah. We’ll say something like that. I know we have 10% and 1% private money available. We can go with a flat fee listing. Since it’s a gut job, there’s going to be some permits. We’re probably in the five to six month range for rehab. This is probably about an 18k deal not incredibly exciting except in this market, we’ll be hitting at, not exactly a prime time but an okay time and it is a seller’s market. It is a seller’s market. The deal flow is a little bit stymied right now as compared to the last previous years. Anything else with it? Can you do a quick walkthrough on the inside? I don’t know if there’s enough lighting or not.
Chris: I’ll do the best I can with the lighting we have.
Chris: I’m looking at the front door there. That’s probably the wall that I would remove, right there, just open up.
Brant: Yeah for sure.
Chris: You come in, this is your front door. Your garage is over here. Then your first guest bedroom is on the right side of the house with the closets like back-to-back, side-to-side for the guest rooms. You could probably leave this little wall here to give this hallway some separation.
Brant: Is the master bedroom on the other side of the house?
Chris: No, it’s in the back of the house where I walked in over. This is another bedroom.
Brant: There’s two bedrooms and?
Chris: This is your guest bathroom right here.
Brant: Is this like the Briarbend type floorplan?
Chris: No. It’s similar to it but it’s flipped. The house was reversed.
Brant: Like three bedrooms and two baths on one side, kitchen, living and dining hall on the other?
Chris: Yes sir, yeah. It’s the exact opposite. This is the master bedroom in the back right corner from the front door. Then this is your master bath right now which is pretty tiny. I believe it’s okay for this area. Basically what I’d suggest doing is there’s your shower right there. I would blow out this whole closet and blow out where this shower and tub is, and just consume all that into the master bathroom. You get to put your whole bathtub there, then your toilet and then your sink here. Then you capture all this space right here for a master bathroom. Then I’d probably make the entrance to the master bedroom right here. You’d capture this space as well.
Brant: Hard to tell on FaceTime but I think I got what you mean. We need to make the master bath bigger. Fortunately, we have the space to do that. That’s all that matters.
Chris: Yeah, yeah.
Brant: It’s three bedrooms, two bath. It’s two-car garage, right?
Chris: Yes sir.
Brant: Then what about the kitchen and does it have a utility room or is that in the garage?
Chris: This is where technically the kitchen would be. This is the front door. If you remember we walk in the front door, we nix this wall here. Then the kitchen sink is piped for right here.
Chris: I’m assuming it ran like in an L-shape here and then continued down along this wall. If we knock up this wall, I’d probably push the kitchen sink right here. Then just the kitchen like a Galley style kitchen right here.
Brant: Like Lindyann?
Chris: Yeah. Then on the far side, you’d have your breakfast eating whatever you want to use it for. Then out here would be all your living space.
Brant: Most likely-
Chris: You’ll have this. You’ve mixed up.
Brant: We’d probably cancel that door in the kitchen, right?
Chris: It goes to the garage.
Brant: Oh okay.
Chris: This one goes to the-
Brant: I thought it was … No, the other one.
Chris: We could move it a little bit down here.
Brant: I see. I see. I see, okay.
Chris: Yeah. I believe they were standing right there. The utility room is in the garage but you may be able to do something here to capture it into the house. If you did a wall here, you may be able to capture it into the house.
Brant: Let me see here. Also, tell me about the general neighborhood, street positioning and proximity to apartments and commercial, negative stuff basically.
Chris: It’s north of Westview which is where all the commercial is and it’s significantly north of Westview on Shadowdale which I don’t know if you know it but it’s Spring Branch. It splits in two. The good news is all the treats running off of it run like this. There are little U cul-de-sacs. We’re like right here almost on the end of the U cul-de-sac. It’s a pretty quality location. It’s further south of Long Point than Kevin D’s current deal. I know his deal is priced at like 260 to 270k. We’re closer to the middle school and high school. We’re a better layout and slightly with more square footage.
Brant: I think he’s pushing 300k on his price.
Chris: Yeah. That wouldn’t shock me. We’re in a slightly better location. We’re further south closer to I10. We’re about the same distance from the Beltway.
Brant: Okey-dokey. All right, man. I’m on my computer. I’ll make sure and see if we’re in a flood zone or not, most likely and not. If you want to contact the wholesaler and we’ll lock it up if you feel good with it. I feel good with it.
Chris: Yeah, I’m comfortable with it. I’d have to see. We’ll have to come up with some creative stuff for carpentry in here just because we’re missing … It’s probably 20 linear feet of lowers and 25 of uppers. Then obviously all the vanities and stuff like that. We might have to get a little creative on the way we do the kitchen. The gut job’s already been done for us, all the demo’s been done. It should just be a little bit of framing. Then everything else that’s included.
Brant: Yeah. We’ll probably go with some prefab cabinets on this too, save a few bucks.
Chris: I think we can get away with probably using that 8 millimeter laminate or Tile flooring as well as opposed to the engineered Wood in here.
Brant: For sure.
Chris: I don’t think we have to use wood.
Chris: All right, man.
Brant: You look beautiful as always.
Chris: Thank you.
Brant: Nice haircut man. I like it.
Brant: All right, cool.
Chris: All right. See you.