Have contractors sign agreement, scoop of work, w9, licenses, drivers license (so know where they live and they are who they say they are. He got defrauded by a contractor.
- J. scott says make sure they pulled permits on previous jobs
Josh takes pic of babysitter’s drivers license
He did a business plan to contact lenders & find deals. Like a road map to get you from point a to point c & it shows lenders that you are serious about the business. Includes acquisition strategy, marketing, exit strategy(how we’re goona sell), rehab type, demographics and statistics of rehab area.
His wifes a r.e agent so he would scrape the MLS (can’t sort equity) for criteria: absentee owners, sq. ft, bd/bth, style: all of that is based upon my research on what sells the absolute best in my area.
He started w/pen and legal pad…
Later he did a mail merge on the computer (hand written font and print it out).
“Hi, my name is Kelly. I saw you own the property on 123 main st. I would like to buy it, gimme a call.
Hire a V.A to help you w/calling people back.
Wholesale assigning to another investor or a home owner.
Contract: “The buyer is Sold4UHouses &/or assigns.
Assign Cntrct: “I’m assigning this to End Buyer, they’re taking over contract, they’re goona step into my shoes and from here on out the seller is going to be dealing w/them.
He don’t have to actually close on the deal (cause he has 2 contracts), so he is on Hud showing his assignment fee. At close he gets paid. He has his attorney close the deal, so Mike understands the property and the situation. He understands assignments and can actually close the deal.
Investor could go around him but would probably get a bad name and no one would want to work w/him.
Calls sellers during his commute to work. Evenings lining up time/money for this week and next week.
He formed 2 llc’s for different geographic locations and has 50/50 partners in the llc’s, like project managers to manage his rehabs.
Figure out ARV range. In his area most buyers are buying at medium price range.
His rehabs have been fire damage, hoarder and mold.
Notices: (maybe Leader online
…uses a scaping tool to collect information from the web on those
The two partnerships that I’m involved with are structured a bit differently, however, both are 50/50 profit splits. One of my partners brings a lot of capital to the deal and manages the rehab, while I find the deal, create the budget, decide on the rehab and finishes, deal with the back office tasks and manage the sale end.
My other partner will bring some of the deals, he manages the rehab, and will manage the sale end, while I bring the capital, deal with the back office work, and create the budget. We both decide on the rehab and finishes. Over the last year, I’ve been getting much more involved on the rehab side so one of my partners may step into more of a project manager role rather than an equity partner.
You can use bank financing through an LLC but you’ll have to use a commercial product. If your talking to someone who says this can’t be done, Ask them to speak to a commercial lending officer at the bank. I’ve had the best luck with smaller banks who offer portfolio loans. These are loans that the bank keeps on their books instead of packaging them up and selling them as a security. These banks are usually more lenient on how they qualify someone for a loan.
I do direct contractors who I meet at networking events to my site. I have a 3 step screening process for contractors.
Step 1 – I initially talk to them to ensure they are properly licensed, have worked with investors before, can work with my budgets, have the crew to fulfill my needs, can work with deadlines, etc.
Step 2 – I’ll invite them to bid on a project and have them provide references and copies of licenses.
Step 3 – If the pricing seems reasonable, I’ll ask them to have their insurance company send me a copy of their policy with my company as an additional insured. Once I have all this information, I’ll call references, try to go out to see one of their projects and I now call the insurance companies directly to make sure the policy is active. I’ll also google them and check the BBB and my state’s company directory to make sure their company is in good standing. If all that checks out, I’ll hire them and have them sign an independent contractor agreement, scope of work and complete a W-9. Yes, the two contracts were reviewed by my attorney. I actually offer both for free on my blog under the resources tab. Always have your attorney review though. What works in my state may not work in yours. Thanks. When forming partnerships I always look for someone who has different skills or resources than I do so we can leverage off each other.
I’ll preface my answer by saying that web scraping is illegal on some websites and that you should always check the website. A web scraping tool is a program that will automatically pull any information off a website/webpage instead of having to do it manually. So, for instance, if your public records has a page that lists all their probates, the program will go through all the records and pull the information that you specify (ie., deceased name, address, etc.). As you can imagine, this is very helpful when you have a lot of records to go through. It will cut your time down from hours to seconds.
I hired the VA off onlinejobs.ph but I posted on odesk and elance as well. I actually wrote about all the information you’re asking about on a blog post here – http://www.thebostoninvestor.com/hiring-a-virtual-assistant/ Feel free to let me know if you have any additional questions. Regarding my farm area, I market to about 32 towns in 2 counties. All towns are within a 45 minute drive from my house.
Track leads: http://www.thebostoninvestor.com/creating-a-lead-database/
– explains how he uses excel
2 sheets. The first is a summary page that displays the number of leads I have in each city and for each lead type (ie., Absentee, Equity, Driving for $, etc.), the last time I updated lead information, timing of my mailing campaigns, how many mailers went out with each campaign and which type of mailer I used. Most of the information on this tab is formula based so it automatically updates as I add more leads. This is great because the page always presents real time data.
The second sheet is where each of my leads are stored. This sheet also allows me to run mail merges for direct mail, and track who has called me, who wants to be taken off my mailing list, and which mailing campaign each lead is a part of. Here’s all the information that I enter for each lead:
- Seller’s Name
- Property Address, City, State, Zip Code
- Mailing Address, City, State, Zip Code
- Lead Type (ie, Absentee, Equity, Driving for $, etc.)
- Lead Group
- Phone Number
- Do Not Call List
- Date’s Mailed
It took me the better part of a year to get this database to the point where I’m able to track everything I need and can easily export the information so my mailing house can perform a mail merge for my mailers. So far it has been working well for me. I should mention that I’m also using Zoho CRM to assist with capturing lead information, tracking follow ups and marketing campaigns.