Break-ins on Rehab - Suggestions?

General Real Estate Investing
1

This is my first post here :slight_smile:

I’m working my first rehab and its out of state. The contractor has been good, but we have had the property broken into twice now. The first time, the delay lost us the close on a sale. I’m prepared to repair/replace this second time, but am wondering what I can do to get the property to closing.

Have you been in or seen this situation before? What do you recommend? We cannot post guard around the clock and I am not in a position to live in the property to guard it. The property is in a ‘rough’ neighborhood in Baltimore. All advice welcome.

  • GregB
2

“put a dog in the house”

Won’t work - no one there to feed the dog (unless he feeds on those who break in)

“Talk to the neighbors, have your contractor ask them to keep ane eye out.”

Hmm…I suspect the neighbors may be the problem. It’s NOT a good neighborhood!

“Put up some alarm signs”

Now, THAT I might do!

“put up some fake cameras.”

To go with the fake alarm signs!!! I like it!!!

“Make sure there is nothing of value inside”

Hmm…hard to do when they steal the toilet seat cover, seeing value in it.

Here’s one I came up with.

Bars on the ground floor windows and doors.

What say ye?

  • Greg
3

Greg

I dont understand . You say you cant get it to closing ?Do you own it and the rehab is done ?..you just cant get YOUR buyer to buy it ?

How do you do a rehab out of state?Is there enough of a spread to pay for contractors and your travel expense? If so how did you find the property soooooooo much below market? How do you show the property?How do you find reliable contractors?

4

“I dont understand . You say you cant get it to closing ?”

Correct. It has been broken into twice - both times after signing and before closing.

“Do you own it and the rehab is done ?”

Yes. Rehab is done, and then undone when people break in and take important things like the hot water heater.

“…you just cant get YOUR buyer to buy it ?”

Yep. I guess I have a talent for finding finicky buyers :::smile:::

“How do you do a rehab out of state?”

Contractors. You can do it from across the country if you wish. Just gotta trust who you are working with.

“Is there enough of a spread to pay for contractors and your travel expense?”

Um, yes. Its just the next state, so travel - if any - is cheap.

“If so how did you find the property soooooooo much below market? How do you show the property?How do you find reliable contractors?”

NOW your asking for trade secrets :wink:

  • GregB
5

I like to save the best for last ;D But I dind hear your answer Im sorry could you repaeat it again?

6

Greg,

Here are a couple of additional things that you can do. I personally do them and they work.

  1. Actually buy an alarm system and put up alarm signs. You can buy a wireless alarm system at Lowes or Radio Shack for $100 to $200. This same alarm system can be easily moved and therefore used on each house that you rehab.

  2. Leave a light on (with a timer if you like). Change the location of the light from time to time.

  3. Cover all the windows before starting the rehab so that people can’t see in. I use those $3.47 miniblinds from Lowes or WalMart.

  4. Leave a radio playing

I do this on all my rehabs and I’m constantly amazed at how many people ask me who is living in the house. It works!

Mike

7

Mike -

Thank you for the suggestions!!! I’'m on it!!!

Campbellgroup -

Luckily, this is a written forum, so I need not repeat myself in the same thread :slight_smile:

And to get the spreads, we bought CHEAP - like for pocket change - and the fixup work adds value at about a 1.5 to 1 rate. Hope that heps.

  • Greg
8

Circuit City has these wireless, battery operated, deterrent alarms. Like 25 bucks bucks for 3 windows, 25 for a door. They also have wireless battery operated motion detectors. Not a total solution, but maybe a deterrent. Google GE Smarthome or search alarm at CC.

www.x10.com also has some wirless remote security systems and cameras that are very cheap and portable and can be monitored remotely. Yeah it needs an internet connection to transmit but you’ll have to weigh that cost vs the cost of damage repair.

These are inexpensive portable options that you can use over and over.

Good luck

9

Jeff -

Thank you for the suggestions. Just want to get to closing on this one and will be choosier about the neighborhood next time.

  • Greg
10

Spoke with my contractor this AM and she suggests the simplist thing - leavve the lower level boarded up until closing. This neighborhood has several boarded up/vacant units, so no one will complain :slight_smile:

  • Greg
11

Greg-
go to mareia.com and post to get buyers that will actually close for you.