This was great. Honestly this is amazing sharing the loses so we can learn from our mistakes. I respect that!
@mytuberforyou
Жыл бұрын
As a contractor, I can tell you this: We didn't start charging more money for the hell of it, your costs went up because we are paying 20-30 percent more for materials alone, insurance went up, and labor HAD to go up because they can't pay thier bills with the crazy inflation. THEY live in houses too, and as soon as housing market went up, rents went up. If you think you are going to collect increased rents and "renegotiate" with your contractor I've got some bad news for you- you are going to be dealing with inferior contractors, that have very unhappy workers who can't pay their bills. If you want to control your costs, write to comapanies like GP and Weyerhauser and Burill and tell them to open their lumber mills back up, and get stuff out to distributors. Supply IS the choke point, not the contractors.
@florianewu7256
Жыл бұрын
Appreciate the transparency and honesty. Wisdom and success is learning from our mistakes. We own it, so we can do way better next time! 💪🏻
@DanKohan
Жыл бұрын
Thanks for sharing your experience in the real estate market. It's tough when things don't go as planned, but it happens to all of us. Your advice about being careful with construction costs and knowing your strengths is really helpful. Keep sharing your insights!
@davidfritsch3303
Жыл бұрын
There will always be properties that need to be rehabbed. The problem right now is that sellers want too much for properties that need a full rehab. The need to wake up.
@kendigjl
Жыл бұрын
Just bought a 1BR $45K house with 1/3 acre property in the heart of Indianapolis. I'll be living in it until I build another house next door, which will be paid for by renting out the 1BR. Flipping is nice - but growing exponentially is nice too. It's just a matter of finding a big enough lot with a small enough house in a strong enough rental market.
@eddiemalvin
Жыл бұрын
It all depends on location, as usual. You can still buy rental-ready (or nearly ready) homes in our college town then rent out individual bedrooms for a decent profit. Probably still better to wait it out.
@ThisIsMrMcGregor
Жыл бұрын
yes. yes it is. it’s over.
@Dam1911
Жыл бұрын
I’m still flipping left and right
@gtcam723
Жыл бұрын
Meanwhile, my friend’s house in Puyallup sold in 3 days about a month ago Also, what dictated the need for the basement work? Also, you’re right in my area
@kkp4297
Жыл бұрын
Ben Mallah said commercial property rental is not cash flowing enough right now. real estate sounds tough right now
@marceliarakoski6394
Жыл бұрын
Very helpful video ❤
@orlandocestona9044
Жыл бұрын
Thanks Tarl, excellent video
@user-pe8ir4iy1e
Жыл бұрын
ADU's is where the money is right now. Sell them to anyone who has a grandma
@happyslave6783
Жыл бұрын
What are those national and regional statistics charts all about, that show most renovations lose money? Especially kitchens and bathrooms. Does house flipping only work in a strong up market?
@AJweathersby
Жыл бұрын
I’ve seen big pocket flippers be able to buy damaged homes in high end areas, fix them, and sell at a profit. But yeah, the small cosmetic flips are dead. I just bought a house for 200k, and once the 30k in renovations are done, it should theoretically be worth 270-300k. But with current interest rates, I doubt anyone will buy at that price. I plan to just keep it as a LTR anyway.
@itsmebedazzle
Жыл бұрын
You have 2 options: 1. Offer to buy down the interest rate or do seller's financing. Ask for 10% -20% down-payment with 6% interest rate. Give them 2 years to refinance or you are able to foreclose on them. You don't have to worry about being a landlord. Just collect the PITI as a regular mortgage company/bank would.
@dhowto3005
Жыл бұрын
Sorry to hear you lost money on these two properties.
@mike12585
Жыл бұрын
Found the Kirkland property, purchase price 940k with 150k rehab and you sold it for 1.2mm did a miss something how you lost 80k?
@tarlyarber
Жыл бұрын
Property was $965k due to 25k assignment fee which isn’t disclosed publicly, so you won’t see that. Add 2pts for lending, holding costs, resale costs, etc as well. 965k + 158k rehab to be exact = 1,123,000 Add lender fees, monthly interest costs, plus resale costs and WA state 1.78% excise tax plus seller concessions…there you go. Just for perspective, the selling costs alone on this with concessions to buyer was $109,120 Hope that helps put things in perspective
@mike12585
Жыл бұрын
Looks like notes on concessions says 31k. Your reply gives more context, appreciate that. Going to need a lot of meat on the bones to get a successful fix and flip out here.@@tarlyarber
@pinkribbonskies5731
Жыл бұрын
Not over by a long shot. No signs of crashing what this guy talking about lol
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