Okay, so I’m about to call Michael. I just went to see his house. Terrible, terrible condition. I just sent him a text message about the photos from the property to show him that, you know, I saw a lot worse, we’re gonna have this discussion. He just wants an offer. I’m not just wanting to make a quick offer and get off the phone. I’m trying to figure out how we can structure a deal, I’ll probably offer 307 That’s a no, you know, looking at three of seven might have to go lower than that. So 304 gets us a 10% return on this property. If it takes us six months to rehab it. Man, this house is bad. Okay, I’m going to call them. And this is the kind of guy that’s going to try to get your offer out to you immediately. I’m gonna try my best to not just make my offer immediately. Let’s see how I do. I can talk a big game. But this guy, this guy’s a freakin bull. Hey, Michael, how are you?
Good, thanks, how you doing?
Who? You know, it’s a good day, it was a it was quite the property you got there. Once I got down there and saw it. I’m pretty hesitant to make my cash offer just because I know it’s a lot, probably a lot lower than what we initially discussed, just without me seeing it. But it seems like you want a cash offer
a 1031 exchange. So okay,
so like doing a sell, like if I were to buy it on terms and you finance me on the flip where I could pay a little bit more money? Are you saying that? Maybe not? That wouldn’t be as intriguing to the numbers? I mean, okay. Okay. It all depends on what you’re getting out of it. Are you open potentially, to, you know, partnering up with me on this flip? Where, you know, you bring in some of the money and I do I get the rehab going and we flip it together? Would that be something you’re interested in? Or not necessarily?
I mean, if I was gonna do that, why would I need you? I’m not gonna pay someone a lot of money with no risk to call a few people to come in and put new flooring in? Of course,
yeah. And I understand that. It wouldn’t necessarily be like, Hey, you do you pay for everything. And you know, there’s no risk. On my end, I’m just, you know, I’m exploring option,because after running
if you want to put up the money for the rehab, I’m open to that, but I’m not putting up. I’m gonna do the rehab and put up all the money. I’ll just
do it myself. Right. No, no, I told you make some money. That’s fine. Yeah, you know, because again, I want to I’m exploring options on this one. Because yeah, I think if I were just to come at you with a cash offer, it would, I wouldn’t want to offend you in this one. After looking, just tell
me what the cash offer is, you’re not gonna send me okay. So for cost of my house thrill,
for instance, you’re saying and that’s what I’m thinking after running the numbers you got four ad is the rafter repair value of what I think I can sell this for, if I fix it, the landscaping to complete rehab on the house, I have my hard money costs. And I think it would take six months in total to rehab and list. And since I’m, you know, I have connections with agents, I don’t pay to list my properties. I just have to pay for a buyer’s agent. So I got closing costs $85,000 rehab, after everything’s said and done, I’d make about 47k, you know, 304? Is that? Is that something you’re open to? Or is that completely like not something you’re not interested in? Oh, it’s not even close. Okay, then then we kind of explore the different options of like the terms, you know, where I basically go in there, and I can make your payments, fix up the property. And it would be cheaper than me getting hard money, right? And then I list it and sell it when it’s ready. That’s a potential option, or we partner on it. And we figure out, you know, how much money I bring to it, if we split it, or if I do the whole thing, you know, how much you would walk away with? And would we split the profit above what we give you? You know, those are the options that I can see at the moment. And the best option?
I mean, I would consider some sort of seller financing potentially, you know, initial numbers 304. I mean, I’ve got offers for 10 cash. Yeah. So I mean, for me to carry it for a year, I’d have to be at least 450 to make it to make sense
in which I understand completely. Well, if you got for 10. I would love to just be I guess be be available in chat, I would have to come up obviously off of three or four. But other than the cash offer, I know you’re probably just going to explore what what those other guys offer because they’re much higher. But if we were to flip it together, and I brought the rehab, if I brought the money, how would that look like to you? Like would you be able to continue to make the mortgage payments and I just do the rehab, and we kind of wish I
could do something like that. Okay, run your numbers on this and then get back to me. We’ll go from there. Sounds good. Is
could do something like that. Okay, run your numbers on this and then get back to me. We’ll go from there. Sounds good. Is
there any other scenarios or anything else you want to run by me? So I can, you know, put
these out there. That would be the I mean, the cash house would probably offer doesn’t make sense because I’ve got better offers on the table already. But as far as the maybe the rehab that like that sense.
Okay, and last thing before I let you go if we were, if I come back and it makes sense to do the rehab, would you prefer doing that over cash offer for 10? If we were able to rehab it together, or would you rather go with the cash? And that would
be I mean, again, it depends on the numbers. What’s the potential? You know? As opposed? I mean, if I can make an extra $2,000 No. I can make an extra 20,000. Yeah. Then that’s something to look at. Does that make sense? 100%
Yeah, you’re businessman. What makes sense? Okay. Okay, I run your numbers. Be in touch and we’ll go from there.
I appreciate your time. Thank you.
No, I appreciate yours. Thank you.
I want decent. So, pretty much what we have here is the cash offer doesn’t work. Novation doesn’t work.
But he is potentially open to partnering. We’ll see I gotta run the numbers. See how it goes.
