Bimal's Journal

our day is coming buddy our day is coming... way to hang in there......

Even if this deal you have been working on falls through, you have learned SO much! I'm sure that it has given you much more confidence, also! That will be invaluable!

Always wishing you the best!

Karen

Yes Karen, I have learnt a lot with this deal on contract, that was education at no cost.
Karen I have to again start doing the. 16 second visualization technique you had posted in my journal.

Walt, definitely it will happen for us, it is matter of time. haven't heard from you in awhile and do not see you in the IE chats either.
Hope all is well.

Regards,
Bimal

My Bandit sign already started yielding results.

Got a call from a seller.

2 to 3 bedroom house.
Needs Repairs.
No Mortgage
Seller 4K behind property tax payment.
Property not vacant.
Oil Heat
Does not know the size of his property.

The seller wants me to fist look at the house.
While I was talking on the phone, he got company so my conversation stopped half way.

Will go look at the house on Monday.

Bimal

Yesterday I went to go and look at a house seriously destroyed by fire.
This requires full gut rehab.

The lead for this house was through bandit signs. The owner owns few gas stations he lives somewhere else. I tried to get history on the property but did not find when the owner purchased it and for how much.

Anyways the owner wants to sell the house for the price of land, the size is
15,000 sqft of land. The hiuse has 3 bed, 1.5 bath, separate laundry room and an office space. 15K sqft. Colonial, 2 stories. I have to research how to arrive at the price of land.

Will require heavy cleanup of the house, in and around the house, landscaping
furnace and water heater looked great. Still smells of fire. Nothing can be salvaged.

I am itching to offer 5K for the land but need knowledge to support my numbers.

Basically 100K in rehab, ARV around 200K based on the houses sold recently.

By the way already got 5 phone calls from the Bandit signs I had put over the weekend, contacted three of them, will contact the remaining two, both of them are buyers.

My Bandit signs are working bringing in calls but not too many.
I did not make an on the house mentioned previously as Ii could not find enough comps.
Yesterday I went to look at a house 5 bed 3.5 baths asking , 550k, spoke with both the owner and the realtor as this house is listed.
The agent send me comps all 4 bedrooms and one 5 BR comp. so again not sufficient comps. I cannot just figure out the ARV arbitrarily .
The whole house needs paint including doors and window, there couple of leak stains, need to know from the owner what those are.
I am still working to get comps.

Got a call from another owner , a fire damaged house, this guy has bought and sold many houses, but this one is owns it and is not living on the house but living elsewhere. , he is asking 200k, the houses in that area sells for around 250k, if the rehab cost is estimated at 50k, there is no money to be made and I have to bring the owner to reality, he also sounded bit rude, but do I care.

Any ways Bandit signs are helping me, it is a matter of time where I know I will get properties with enough comps and will be able to assign it. But day after day I am learning and of late there are so many informational posting on DG site, especially Tammy's that I am learning a lot and staying motivated.

I must also admit that I have lost some steam, but that is temporary.

I loved Valerie's post with analogy to German team that won the World Cup.

Eager to post my success story soon,

Bimal

I understand I had lost my steam too since i went to mex & got depressed & exhausted & indecisive about my marriage but anyways we MUST go on right, I sympathize with you believe me. I too was inspired & provoked to jelousy by Tammy that I too can do this & because I am in So Cal, San Diego.

Well also on the comps you can use the 4 bed one's, maybe that hm is an odd one the only 5 bed, but you can still use the other comps just add more value to your arv when you get it, say well I don't know what area you are in, here in San Diego I would add prob about 40-50k per bed, in Kansas City I would add about 20k-30k depending on the area of course. So you can be flexible, if your comps don't have a garage for example then I add more value to my arv or take away if my subject property has 4 bed & my comps have 5bed's, ok. God bless.

PS yes you are right about that 200k house, no deal & NEXT!

Tony, Thank you for the suggestion, advise and some inspiring words.

My best wishes to you too and want you to succeed in RE. This is all about focus ad perseverance. Atleast we realized we slacked and YES we MUST go on. These are obstacles and everybody faces them.

Yes there are many 4 BR that were sold, there are 5 BR homes but people do not move out quickly from those houses.

Now given the fact the house is on market for 40 days tells me that is high priced in its present condition.
The day of my visit was on an OPEN HOUSE day while I was there were aleast three family that showed up not a bad foot traffic.

I am estimating 25K in repairs, which includes interior whole house painting, costing @ $2/sqft, the painting itself will be $7500/-, Also all the doors and windows needs to be painted, add additional $2500/-, add leak repair, garage cleaning and paint job, possible roof repair, landscaping, add $10000, because landscaping could get expensive.

If kitchen remodelling is required add additional $30K. overall 55K in repairs.

So if consider this medium rehad and multiple the house sqft(3746 sqft) by $15/- it
comes to approx. 56K which is close to my estimate.

As per Tony's advise I will use 4 BR' for COMPS.

I will keep you posted what ARV I came up with what offer did I make.

Bimal

1) the property which I have on Contract since April is still active. While the seller does not want to bear all the expense of putting in the new septic tank, I have told them time and again that if they want to sell on their own it is fine with me and I never got any response to that.

The owner put a UV light filter to purify the water, and also ordered engineering design and survey, which will occur next week.

2) Tomorrow I am going to work numbers on another property which the 5 BR and 3.5 bath property.

3) Another realtor sent me a list of properties which are either in fore closures or bank owned, I am going to work on the numbers on few of those properties and will send in offers. Without looking I am going to estimate 25k in repairs to the ARV I determine on those properties.

I am getting little nervous as I am nowhere near to making a deal, at the same time I understand this is a marathon.
I have digressed but every time I come back to DG site I start gaining speed.

Bimal

Bimal, I hear you again yes it is tough sometimes but when we take action then the momentum starts to build, I am going to edit what i said & maybe I was too generous with the discounting of a bedroom, let's say then 20k here in San Diego (if its a starter home more or less) & in KC 10k so as not to be too liberal & overestimate, of course always be careful with the comps.

If there are no real comps there Bimal, not may solds then who are you wholesaling this too? a flipper or a buy n holder to rent out? If a flipper I do't think this is a good area to flip, of course always having the end buyer in mind is the main thing-are they going to want this hm, & did you say youv'e had this under contract since April? If it's looking not good I would move on so you don't lose getting another prop by concentrating on this one too much like I did before.

OK my friend you are taking action can't wait to hear about any deal you get!

I have many properties coming my way. Then when I sit down and run COMPS to get the ARV , nothing seems to fall in place.

There are atleast 5 properties that I am thinking to put an offer , No COMPS , no offers , I am am where I was a year a ago. meaning No Deals.

I ask my realtor to send me COMPS never get what I ask, I end up spending time getting comps but always invariably no enough COMPS.. Some of these leads comes through Bandit Sign. Then I think what is the point even if 10 people call me andI do not get COMPS..

I have to think a little different to getting COMPS. I am NOT giving up.

Today a cleaning person called me offering cleaning service on tithe rehabbed houses. She also marketed he husbands skills as a Mason and sent me pictures. The masonry work is superb, I am going to call him to give a quote on repair work on my house.

Dean talked to write our three wins And to feed the subconscious mind with positivity . I am doing that tonight .

Regards
Bimal

I nothing much to share l started the 5. Minutes exercise that Deans mentioned I the blog this week.
Hope it helps to keep me on right trick

But here are my three wins for today

1) Watered my vegetable garden.
2) learnt something knew from bigger pockets, how to price vacant land.
3) Attended Joe and Stacey's chat on Multi family investment.

Bimal

I am becoming increasingly aware that the RE business is not easy though simple and only way to success in this field is persistence, knowledge and action.

Slight miss and you are left way far behind. What I am doing now is not with full focus but I can term it as dabbling. So to get to greatness in this business drastic changes needs to be in order otherwise every year I will be saying my goal for next year is xyz, but will never materialize if I continue the way I am now.

I read some post of today's DG RE heroes and when they started they too had the same questions and confusion as we all have now. But what set them apart to achieve success is the burning desire and to do whatever it takes.

They made FEAR their friend, in this business you cannot play safe, you have to step out and face the wind, snow, rain and whatever it is.

By the way.

I got a call from an elder persons friend saying that his friend wants to sell the house as she is too old to take care of the house, rather than pouncing on this opportunity, I asked if his friend had tried the conventional way of selling and if not to try that first. I told him I am a flipper who buys the house and sells it to another buyer for a profit.
Next I asked him the detail about the house but he sounded hesitant so I let got that and ended the conversation asking him to call his friend to find it she would be interested in selling to a flipper, I am awaiting for their reply.

I again had my Bandit sign put today for the weekend so let see what happens.

I will prevail.

Bimal my friend, for me I had lots of fear and sometimes I still do. Don't quit don't stop everyday take one step forward. I cried many nights wondering why I could do it? Why wasn't I good enough. Stay focused Bimal like a lazer!
I wanted to tell something.. I do not want to offend you . So the old lady,s house. You could have saved them a lot of time and money. What even they try to sell the house for they will have to pay 6% in commission. Not everyone wants full value for their property. You have to figure out what their problem is and then fix it. So tell why was she selling? Is the house in disrepair? Is she upside down? What does she need?
Propel know that investors don't pay full price because that is how we make a living.
Hang in there Bimal you are getting closer everyday

Thank You for some words of wisdom and inspiration.

You comments are well meaning so I did not get offended but in fact I am happy that you expressed interest. And thanks for that.

The reason for the house put on sell is the owner is old and the daughter and the son are looking after the upkeep of the house which a bother to both of them.

The house is all paid off, no lien, clear title.

The daughter wants us to share the expense of installing the septic, but in doing so the profitability of my buyer is hurting and he does not want pay more then we have agreed. We are awaiting result of engineering design,soil log and property survey and this will determine what needs to be installed and what would that cost and what we agree on. If I can provide a solution to make it happen I will do that. Will let go a portion of my fee to make it win win for all.

Bimal

Good luck with your deals.

WALT

Good luck with your deals.

WALT

Walt my friend,

Thanks for the good wishes. I do not see you on dginsider, whats happening?

Regards,
Bimal

Yea buddy we have to swallow hard and go forward n yes treat this like a business if we are to succeed. Also if no comps then it is not a hot area to flip but to rent so go after landlords for buyers

That's ok if u dont have a lot of comps at least if u have 1 per prop or use totalview real estate.com to get comps. It super close Bimal u will have a deal ssoon if u dont give up

Tony,

There is no point of me giving up, I have spent lots of time and effort. there is no turning back.

Yes things are challenging but it is for us to find ways and move forward, Ofcourse I do feel down with not much happening, but there is a reason to it and I have to work on it, no one to blame but need to work on effective use of time.

Well I got a call from my Bandit sign and I am going out and looking at the property on Thursday. It is 3/1 property needs repair, I am working on determining the ARV.

More later,

yes my friend I am happy to hear you are not giving up! Neither am I, many many do. But not us right! Tons of people give up but look at it this way, I know I do with myself. I have & I think you too have, 4 yrs of experience at this, have made over a thousand offers, burned thru 100 agents or more. Attended 2 Edge's, attended 1 VIP, been interviewed by Dean. Have been on IE for 2yrs now, watched prob about 30 webinars.

With all this experience we can get deals soon. We are ready, we are primed, we just have to follow the formula, buyers, sellers, put them together, that's it. The buyers will tell us where to make offers(where they are buying prop's) what their criteria for houses is, of condos etc. Then we just go find it, MLS 25:1, bandit signs, mailers, flyers, calling for rent ads, calling craigslist ads & networking with othere wholesalers & doing deals with them. Anyways thank you Bimal I love your pereserverence & patience that is how all the successful & great men & women have made it!

Tony, thanks for stopping by, with all the knwoledge and education you acquired I know you will make it, so at this time for us is to keep the momentum, have come what may attitude and keep doing what we are doing and add some more.

I am going to look at the house today and carrying my camera to take pictures of the property, I will try to estimate the cost of repairs, and run comps tonight and make an offer by weekend. This lead came through my bandit signs,

There other three ways we can generate leads which I read somewhere:

1) Door Knocking
2) Cold Calling
3) Drive Bys.

My confidence abounds to do all the above three, need to find time.

I also got one lead from the lady I am currently having a property on contract with and this could be a rental property, and yes the engineers are going to her property today for the survey, design and soil log.

I already took out home equity for 95K, with that if I can buy the renatal property, fix it and 6 months down get a HELOC against that property(to satisfy the seasoning requirement if a community banks require it) and get my money back from the HELOC I used against my house.

G'day,
Bimal

The owner is an old lady and wants to move out in September.
Property details:

1) 3/1, YB 1900, 1202 sqft, 6k property tax
2) nice , quiet neighborhood.
3) needs about 40K in repairs, remodel bath, kitchen, popcorn ceiling needs to be replaced,
4) House needs central A/C.
5) Needs Gas connection
6) Currently heat and hot water is provided through a common furnace.
So needs a hot water heater, a tankless heater is an option.
7) cooking is electric
All the windows needs replacement.
9) Interior exterior paint.
10) Well kept yard and landscaping which is minimal.
11) oil heating.

I will run my numbers and will make an offer over the weekend.
Next time I will go with a contractor to get the repair estimate, so tomorrow will call some contractors.

The guy who is currently fixing my A/C said he an put an AC for 10k, all windows will cost around 300 each.

Will right more tomorrow.

Bimal

I dont' recommend you buy a property & less with going in to debt. they told us at the edge remember that we should not buy n hold props until we had 100k in the bank, but to wholesale & generate cash like that. What happens too if you cannot refinance & now you are in debt & your tenant doesn't pay the rent & trashes your hm then you will be in an even more difficult spot.

I will buy n hold after I have 100k in the bank & in the next down market, just hold on Bimal until we have the cash reserves to do that. That's my opinion & I just think wholesaling is the way to go since it is no risk but buying n holding is risky. God bless you brother

I had totally forgotten about the 100k in liquid cash. Thanks for reminding.
But I will definitely go and take a look today.

Working on numbers on the 3/1 house.

Regards,
Bimal

Bimal your patience and commitment is apparently clear through all the efforts you have made..... and I am very glad to see you sticking to real estate investing.....

Tony wow in the weeks I have not been on DG I have been observing everyone I am so glad you are not only participating on I E but on DG .com I am slowly making my way to everyone's journal but I really like the energy/information/encouragement you continue to contribute.....

Bimal your patience and commitment is apparently clear through all the efforts you have made..... and I am very glad to see you sticking to real estate investing.....

Tony wow in the weeks I have not been on DG I have been observing everyone I am so glad you are not only participating on I E but on DG .com I am slowly making my way to everyone's journal but I really like the energy/information/encouragement you continue to contribute.....

Thanks Joel for stopping by. Missed you for a while, good that you are back now. How is it going with you on the

The name of the game is to continue doing whatever you are doing, and be unconcerned about the fruits.

I am aware of my positon and working to improve upon it.

--- My Bandit Signs are working atleast I get couple of calls.
--- Meeting with a cash buyer on Sunday he is interested in SF and MF.
wants 70% off AOR - repair. Made things simple for me.
--- Today I am going with a contractor to give me a ball park repair estimate
on the 3/1 property I am looking. The per sqft came to aroud 201/sqft for
the house based on recent SOLDS, I am reworking as I do not see ARV to be
that high.
--- I have still to figure out the offer price for a 2unit and 4unit house.
--- Got to take a look at a rental property.
--- The soil log was done, awaiting the engineering design on the spetic tank
on the house that is under contract. Already have a buyer for this
property, numbers needs to work out for both the buyer and the seller.

Thats great Bimal just remember andrea & chips 1 percent rule since now you have a potential landlord buyer

Figure out his cash on cash return and this all is great experience

As in regards to me well I list everything on my journal: but I know your busy so I will just point out the highlights

1. I started my LLC
2. Went to a Rei Club meeting
3.went to a Business Expo
4.I went on vacation
5.I am now at gold member level at I.E. looking at those resources
6 love to hear hpw you, tony and all other DGer's are progressing
In your Real Estate Investing

so I went with the contractor to provide me a repair estimate, he will let me know after couple of days.
Bye the way the seller wants to sell the house ASAP.

She is very smart and asks me lots of questions , probably she wanted to find out if I am rehabbing myself or I am going to assign, I told her it all depends upon the rebar costs.

Also came in contact with one more contractor today and he does rehabbing work and has a team of people who do everything soup to nuts. Great find.

Joel ,
The buyer I spoke about wants 1.5% in rent of the purchase price.
It feels great to know that somebody is interested in our progress in REI. just hoping to get out first deal.

Bimal