This will be my personal journal to document my failures and successes during my real estate experiences in Arizona. All stories, thoughts, and successes will be documented..
Thursday, September 29, 2005
Open house for House #1
Wow! Getting some good responses form my marketing. I decided to have a open house this Saturday from 10:00 to 11:00AM I have about 7 people that say they want to see the mobile not including the gal from last week thats interested. I expect at least 4 families to show up.
I'm doing this for two reasons. 1) Save time! 2) Generate competition and get this thing sold!
Actually, I've pulled more calls off my street signs than my ad that ran Wednesday. I'll be interested to see the responses on Sunday. I decided to spend the $106 to get the snow birds with cash!
So far, I've had over 20 people call me. We'll see what shakes out.
Bginvestor, 8:49 PM
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Wednesday, September 28, 2005
House #1 Double wide waiting to be sold..
Even though I was getting some responses to my signs, I think I should have started my marketing more aggresively.
Its been sitting there waiting to be sold for several days now. In my calculations, I have given a month to sell, so I need my marketing to be in place.
Right now, I have custom made directional signs, signs on the mobile, listing on craigs site, listing on retirement website, and will have a ad running in the paper starting this morning. In Tucson, it costs $106 dollars to run an ad for only 3 days. Damn!
I have been getting calls which is a good sign, however, most have been mexicans that have been tire kickers. Nothing wrong with mexicans, however, some will have a hard time qualifying for the park.
I do have a nice lady that is seriously interest. This Saturday will be her third time looking at it. We'll talk details, and hopefully she'll be the one.
Bginvestor, 6:56 AM
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Sunday, September 25, 2005
Rehab on House#1 Complete!
Today I finished the double wide. It took a week longer than expected, but turned out nice! I spent approximately 8 solid days from start to finish, however, the project started Sept 1st. It took almost a month since I have a full time job.
I invited a local mobile home broker to check out the place. He liked it, and said it should pull in about 14k-18k. I'm asking 14k cash or 15k w/ seller financing. I hope I sell it through seller financing because my profit will double and it will give me a chance to work out the details of carry back a note.
I think my market will be 80% snow birds. I timed this right because they are now getting interested in a winter home. Unfortinately, I will probably need to spend $$ to place a ad. Its real expensive in Tucson.
Anyway, I'm tired. I worked on the double wide 3 days straight. I did a lot of new things this time around like installing valve stops, sticky tile, painting with a sprayer, painting cement, replacing subflooring, and making my own directional signs.
I need to post some updated pictures. Anyway, if anybody is looking for a sharp 24X41 double-wide, I've got one!
Bginvestor, 6:08 PM
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Tuesday, September 20, 2005
Problems with the residents already! Hosue #2
I got a call from my resident ( a local attorney said its better to call them residents versus tenants) and he told me the water was turned off today! What!
Turns out the previous owner never made a water bill payment and owes over $600!
To make a long story short, I transfer my name to the property, no I don't take ownership of her bill, and the resident may not get his water turned on until tomorrow. So I left 10 gallons of water for toilets and showers at his house.. What else can I do!
The water/sewer fell through the cracks on the closing.. It just occurred to me that I didn't account for water in the cash flow calculations, so take off $100-$150 a month for the tri-plex. Ouch!
Bginvestor, 5:15 PM
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Sunday, September 18, 2005
Before and After for House#1
Here's a good before and after picture of the living room of the double-wide!
Bginvestor, 9:24 PM
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What a difference! The place cleaned up nicely. There's still more work needed to complete the flooring. To make it look much cleaner, I should install the trim molding. I power washed the curtains which made a huge difference in appearance.
I have scheduled the cleaning lady to come in and do her thing. Get this, she is only going to charge me $50 to clean the whole house!
I'm 70% done with the vinyl tiling. I got a little off track when I noticed that there was a hole next to the toilet flange. Since I dodn't want anybody to fall through the floor when sitting on the thrown, I cut out a section of flooring and replaced it. Stuff to do is: install electrical sockets, molding for the floors, power washing (outside), and painting the covered porch. I see light at the end of the tunnel.
Maybe I'll take a PTO day and get everything done by this weekend.
On the tri-plex, I worked a 12 hour day that included: Removing an old toilet flange, removing drywall in three rooms, removed counter tops (both units), removed all the carpet wood strips where tile is being installed, got two more bids, pulled out some appliances, measuring doors to order, relocated trash, install new R-19 insulation in a bedroom where the guys installed the new roof, removed some popcorn ceilings at certain locations, and sweep every room for two units.
Its been a long weekend! Time to go to the J.O.B. and get some rest.
Bginvestor, 8:24 PM
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Wednesday, September 14, 2005
It was a good day for House #2
First thing I did today was put on the new locks! What a great feeling feeling..
My three contractors came in today to finalize the game plan. The roofer turned out to be a good plumber and he replaced a valve stop for me for FREE. This was really convenient because this valve stop did not work so I couldn't take off the toilet to inspect. He will also replace the toilet flange which I was really concerned about. This is the one with the roots coming out! Its not a big deal anymore! He won't charge me much to replace the flange.
I got the drywall torn out in the hallway and bedroom so its now ready for my roofer and dry wall guy.
One contractor is going to put up the dry wall , texture every wall, and paint including materials for two units for $2500.00 This also includes the ceilings that are being replaced and he will spray the doors for free!
I have a roof guy replacing 3 or 4 sheets of wood and re-roofing and coating a large section for $600.
I have a great guy that will put in new ductwork and install new coolers for a good price as well. If I could give advice, I would spend a lot of time making sure you get good quotes! The guys I went with are by far the cheapest, however, they come recommended and I used these guys before so the risk is low. Using these guys, I will save thousands of dollars!
Based on all the work being done, I estimate it will take a solid month. This is longer than I wanted, however, it will be just in time for November 1st tenants. My goal is to have all three units filled by Nov 1st!
My tri-plex is in a area which is over 50 percent rentals. Unfortunately, almost every street has for rent signs, this makes me nervous!
Bginvestor, 8:43 PM
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Tuesday, September 13, 2005
House #2 is closing today!!!
The deed is being filed as we speak. I think its safe to say that I own this property!
I'm excited and nervous at the same time. I need to do a full rehab and make sure I have three tenants by Nov 1st! I need to post pictures.
I will take PTO tomorrow and start working on it. I have 4 contractors coming out to either start work or give me quotes. I found a guy that will do my dry wall, texture, and paint for $2500 for both units. Thats a good deal..
I've been so busy that I haven't been able to post as much as I want. The double wide is over half done already. I have an offer of 15k with 6k down. There's a few issues with qualifying with the park manager, but maybe this one will work. It would be great to get this sold before even completing the work!
Bginvestor, 2:50 PM
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Friday, September 09, 2005
Can you paint a kitchen in 5 hours?
I painted the kitchen in the double wide today. It looks ok, I used the left over taupe paint from another project. It was nice because it was a darker taupe so it covers the ugly wall paper in one coating. The yellowish counter tops don't make a great combination, however, the park manager and my wife thought it looked good. You have to listen to women when it comes to kitchens!
It was hard getting work done today! A lot of people came by, my sign guy, the carpet guys, the park manager, and a couple of interested parties that wanted to look at the house.
To my amazement, there was a couple that wanted to talk serious numbers with me this weekend. They said they were interested in giving me 5k down, and take a 10k carry back! Cool! They were concerned with the interest rate, so we will talk this weekend. They walked through when there are no floors and junk everywhere, but they seemed very interested.
In addition, the park manager said that there's three people interested in my double wide. I told her that I would give her $100 referral, and shes doing a good job. Theres one guy that spent the $40 bucks to get park approval. So, I have a feeling that things are going to work well with this investment!
Bginvestor, 9:26 PM
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Thursday, September 08, 2005
House #2 Tri-plex set to close next week!
Besides a small issue that needs a addendum, we are set to close next week! I've talked to both title and lender yesterday and theres no issues.
I've got most of my bids in, so I'm ready and set to get things going!
Bginvestor, 11:33 AM
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Wednesday, September 07, 2005
Status on double wide
I had a solid 4 days during the labor day weekend to work on the mobile to get it done, but turned out that my best friend came in from Cali and my wife's friends came from Phoenix so I only had about two days of work! Thats ok, it was fun to play golf!
I will send pics soon, but there's a quite a few things to do. So, far its working out. I'll summarize the work done and things need to be done.
Work done last weekend:
- Replaced a 7'X4' panel in the hallway. Added trim molding in several areas.
- Ripped out carpet.
- The walls were about 80% textured. I finished texturing two walls and the new panel. We used a "hawk and drowel" texture hopefully will look appealing to buyers. The existing panels were definitely out dated. This will give it updated look. This is done only in the hall way, and living room. Not the bedrooms
- Spray painted the Evap vent and cleaned up the others. I need to buy a few floor heater vents.
- Masked off the entire rooms including 5 windows.
- I got the living room, hallway, ceilings, and dining room completely painted! I bought a wagner spray painter for $200. THIS was a life saver.. This saved me hours and hours of priming and painting. The doors came out excellent.
Work to do: (Sigh..)
- Need to paint the kitchen. I should have sprayed it, but I will need to roll it. I will take advantage and try and use some left over paint.
- The carpet guy will put in new carpet in the bed rooms. I wasn't planning on doing this, but I'm glad my wife insisted. This was the right move..
- Replace 6 electrical plugs
- Install laminate flooring in living room and dining room. I dimensioned this such that it will install easy. Instead of running the laminate in the hallway (time consuming), I'll use sticky tile.
- Install trim for flooring.
- Install sticky tile in the bathroom, kitchen, and hallway.
- Paint the patio cement gray.
- Power wash the outside walls.
- Power wash the curtains ;-)
- Paint a spot of the evap cooler.
I think thats it!? I will run over budget since the carpet is being installed now, but the numbers still look good. I will say I need at least 4 solid days of work to get this done. I will have to focus and work hard.
This double wide has made my life more complex because of the tri-plex. Its difficult to hire the work out on the double wide because my profit margins would drop significantly, but I need to get it done since I HAVE to do some work on the tri-plex. I estimate I will be doing about 20% on the tri-plex, but things need to get done before the contractors start.
Bginvestor, 8:02 AM
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Thursday, September 01, 2005
House #1 Double wide..
Ok, house #1 is officially here! I bought the double wide today. Sometimes I make the right decisions. Asking the seller to come with me to the DMV was a good one. Turns out that the title has a couple of issues (no liens) and it took over 2 hours to straighten them out. They almost made us get another signature from the husband that lives in Texas! After talking to the manager, we were able to get it done.
They said just because you get a signed title doesn't mean you automatically own it.
This is great because I now have 3 days to work on it. I hope to finish it and get it sold in two to three weeks.
I plan to paint the living kitchen and do the flooring.
I 've had the for sign on the mobile only 4 hours and already got a call.
The bummer part is I need more laminate flooring and the wharehouse is out, so my project will be incomplete up to two weeks.
I'll send pictures soon so you guys can check it out.
Bginvestor, 3:35 PM
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