Ditto what kdhastedt said. I live and invest in Houston my CPA owns about 50 units in Houston but he is expanding in San Antonio for the reasons kdhastedt stated. In San Antonio houses that need some work are cheap and fix up is also cheap. San Antonio also has a really good market for really clean low priced homes (there is a shortage). You can pick up some really cheap houses with not that much rehab needed (dollar wise) In fact in San Antonio if you put $10k into a 1200 sqft house you really have a new property. These houses sell for around $80 to $90k and they can be bought for under $50k. My CPA has already bought 20 of them.
Here you go everyone…your favorite part of the show:
http://www.montelongohousebuyers.com/images/VeronicaBioPic2.jpg
“Wowweewa”
Oh lordy. LOL!!! She is pretty, that’s for sure. Maybe that’s one reason A&E chose the Montelongo’s…they’re a good looking group. Both of those guy’s wives are 10 on a scale of 1-10…and they’ve had kids even!!!
yea they are cute…but dont seem to be the brightest sometimes
Sometimes? :
We were watching these two the other night and my wife made me turn the channel…it had NOTHING to do with properties, investing, flipping – it was just about whether they could effectively abuse an “intern”…
Keith
Intern was their code for we are too cheap to hire even cheap labor so we found a sucker to work for free.
Yeah, but you get what you pay for…the idiot didn’t even know how to put a tailgate back on hte pickup when he smashed it of…
Keith
I don’t know what their problem on hiring out stuff like backyard cleanup was…in TX the day laborers are CHEAP. Good luck finding anyone to work that cheap in CT, our minimum wage is around $7.50 an hour and people cleaning up the yard might even get over $10/hr.
I do watch FTH for entertainment and tips. The Montelongo’s seem to be really cheap with their rehabs. I know that is the name of the game for some, but spend a little extra and give your future buyers a great home that they can be proud of.
On the flipside of the coin I think they are mostly going after relatively low income, you don’t want to overbuild for your buyer. But don’t underbuild either…
Spending a day cleaning the mess would have cost him probably about $100…and it would have added thousands to the value. Plus. I’m gonna guess that there was a tow-truck bill to get his sorry butt pulled out of the muck because he’s an idiot…plus the cost of new Italian leather loafers…
He probably got his shoes at Payless.
I find myself yelling at the TV when I watch these clowns. Not only did the problem of the house sinking have little to do with the backyard, but it wasn’t even eroding away as it was not on a hill.
They tried to remedy the situation by putting mulch over the dirt to stop a house from sinking??? They could of planted grass (or anything with roots) to keep the soil from moving around.
The lack of support piers was the real issue. By spreading the weight of the house over a larger ground surface area, they reduce the weight per square inch on each support pier. Think about how many pounds of pressure it would take to sink a nail in the dirt, not much. Now how many pounds of pressure would it take to sink a 4x8 sheet of plywood laying flat into the ground? A LOT more.
I especially like opening credits when the main character is wearing his clean clothes and designer sunglasses standing behind people who work for a living giving the “Rally” hand signal and saying “Let’s go, Let’s go, Let’s go!!” Definitely shows what kind of person he is…
I’ve bought and sold many properties even when we under priced a house in a hot market selling so many houses in one day i find hard to beleive. and many new investors who watch some the other episodes of flip this house they leave out alot of expenses i’'ll give you an example. someone buys a house on one episode in southern cali. for $300’000 they put $40’000 into it and sell it for $400,000 they say we made a profit of $60,000 they toke a mortgage out to buy,they spent closing costs of about $5,000 when you sell they always leave out commision of 6% they dont sell on there own they even show the realitor in the show when most buyers are working with a realitor because its free for the buyer. and even if you sell in the first week you would still have 1 mortgage payment of about $2,300 therefor the accual profit on a hgouse like this is $28,700 an some states also have a reality transfer fee when you sell which would make the profit less.
And of that $28,700 they owe ordinary income taxes of say 30% plus both sides of social security which is about 15% and any state income tax which leaves $15,700 you can actually spend.
I just recently saw the episode where they auctioned of the house. It made me laugh knowing that a lot of the people standing there holdings numbers were “extras”. Melina had put an ad up on Craigslist to get people to show up and stand there.
I’ve been trying to figure out what Armando thinks he’s teaching the intern by having him fill in the sinking area with mulch. I found it hypocritical because Armando never actually does any physical labor. He’s not teaching the kid anything other than how to cheap out.
That same episode they “painted” the lawn green. :-X
<<[b]I’ve been trying to figure out what Armando thinks he’s teaching the intern by having him fill in the sinking area with mulch. I found it hypocritical because Armando never actually does any physical labor. He’s not teaching the kid anything other than how to cheap out.
That same episode they “painted” the lawn green.[/b]>>
He’s teaching him to be sleazy…when I get done watching the shows with the Montelongo family, I feel a strong need to wash my hands (if you follow me)…
Keith
I think the Montelongos are brilliant! They have what it takes to be successful in their house rehabbing profession. I wish I could do that.
TKC