What is the best way to find pre-foreclosures to buy and foreclosures to buy and then fix up a little bit and then flip? What are some of your alls strategies?
I used to check out the HUD and VA foreclosures but they are being used for flood relief housing here…
I buy cash, fix-up, rent out, and do a cash-out refi with a local lender to get my cash back out – rinse and repeat. Works for me!
Keith
how well you do monthly on average doing that if you dont mind me asking?
All of my properties have at least 20% in equity and at least a $200 per month cashflow.
Keith
Me and my partners have obtained two good properties so far in about our first 3 months in RE. When we gain more knowledge we will of course get more faster and do some flipping also. How long have you been doing it and how many properties have you obtained?
I have been buying and selling real estate for almost 30 years…I was in the Army for 20 years so curtailed activities during most of that time…I’ve been going again in earnest for about a year now…
I have “numerous” properties…
Keith
Do you use a property manager? Also, do you always put down 20%? The numbers you show in your post is what I’m looking for. I just bought my first investment home in Texas, DWF area.
I put 100% down…I buy the property outright…all cash/close in a week. You can usually leverage a good deal – Cash is king!
Then I rehab.
Then I get a VERY solid renter in.
Then I do an 80% cash-out refi based on, (1) the new appraisal and (2) the rental contract as income.
When the dust settles, I have 20% equity, a strong cashflow, and most of my capital back. I am usually at about 8-10% effective cash down.
I manage my own properties but work 7% property managment into my cashflow figures.
Keith