Posted by Laure on March 28, 1999 at 20:27:45:
I would love to let him sink or swim. I am going to have to just look the other way. He makes me nuts ! A hard head like his mother ! LOL Enuf said.
Laure 
should I ? - Posted by Laure
Posted by Laure on March 28, 1999 at 07:57:31:
Yesterday, my carpet lady calls and tells me a friend of hers NEEDS to sell a house badly. In trouble with gambling debt, and might lose his tavern too. Has dropped the price of his house to 10,000. It’s in an OLD area of town and retail is probably topped out at 25k and will never go up. This would be a good CASH COW. So, I send my son over to look at it. He drove by and reported back that the house doesn’t look bad, but needs work. DUH ! I kinda figured that ! (I am learning patience with the kid, ok?) I am taking a drive by today. Thinking of offering him 5 or 6k cash, close on Tuesday… that is, if the house is habitable. Son said it’s “not the kind of Tenant you’re used to, Mom.”
Should I take this one in the C corporation to protect my better properties? I might flip this to another investor, once I find one ! LOL… HEY ! Maybe my son would buy it for 25,ooo… Naw… I couldn’t do that to him ! LOL
Laure
Re: should I ? - Posted by Terry (Dallas)
Posted by Terry (Dallas) on March 28, 1999 at 09:57:09:
One thing that I learned at the convention is creating and presenting the right package.
If you have all the ducks on the table:
cost to buy, itemized repairs (very specific and leave room for missed items) holding costs, comps of the area, FMV after repairs, and the profit (GOTTA HAVE THAT) that you expect, then an investor that you flip to will know going in what their profit will be after paying you off.
Jackie suggests that you ensure that the rehabber can fully fund this flip so that you will make your profit.
So work with someone you know will finish the deal.
Make sure the contract has “15 days to inspect and approve” or another out.
You could do what LeGrand says and put up a Handy man special Rescue Me type sign or ad and see what happens.
Good luck.
Terry
how much? - Posted by Laure
Posted by Laure on March 28, 1999 at 08:04:52:
assuming I want to sell this “little gem”, and also assuming I get it for 6,000. How much should I try to sell it for? I mean to another investor. And don’t say “as much as you can get” ! LOL (retail 25k)
Laure
Re: should I ? - Posted by Laure
Posted by Laure on March 28, 1999 at 11:24:01:
I just got a call on the house…he said, MAKE ME AN OFFER NOW ! I’ll let you guys know !
Laure
Depends on… - Posted by Dirk Roach
Posted by Dirk Roach on March 28, 1999 at 11:30:32:
what your personal philosophy is. I have seen several different business (investing) philosophies out in the world.
Personally what I like is Volume. As most know I am a Lonnie Student, who has branched out to other areas. Although I stay focused on my Lonnie Deals as they are really my bread and butter.
In flip scenario’s (and I am talking mobile homes involving another investor) sure I put a little coin in my pocket, but at the same time I keep the deal skinny enough where they (the other investor) can make a buck too. So they only make 30% yield as opposed to 80%. Still good enough and it has been working for me.
I make it up in dealing in volume.
Also on an additional note, Laure, I have read several of your postings and have picked up an overview on your son etc. In my opinion (and that is all it is as I have no children of my own, and respect the fact that my thinking may be a little skewed on a parenting perspective) I would entertain the sink or swim idea. You can lead a horse to water but it is difficult to make him drink.
I myself was a somewhat bright kid growing up, but lacked a lot of horse sense. I dropped out of school when I was 16 and moved out, thinking that school was a hindrance to my social schedule and I pretty much knew all there was to know anyhow. Although I later went back and finished up the schooling thing, My real world education (reinforced by hunger) was a real eye opener. The biggest lesson that I learned is accountability, and dependability. No one is accountable for anything in my life but
me, and in the same vein when it hits the fan, I know that I can depend on one person me.
Fortunately I have finally found someone in my life who I can delegate some of the dependability aspect too, but I feel that comes with maturity.
Of course you want to help and protect your son, but until his hand is burned once or twice he won’t know that the stove is hot.
I myself have also been one to try to make things happen as far as career and a couple of little businesses growing up. However my parents (bless them) were supportive (emotionally) they pretty much let me fall when I needed to and cheered when I got back up.
Anyhow I didn’t mean to rant and such, just thought I’d throw in my two cents.
Dirk Roach