Monday, April 25, 2016

I Can Show You How To Flip A House [806-290-1920]

Pamela Madore
Keller Williams

My credentials?  I have done both .  There is a wide range of money you can make.  Just like any other goals in your life,  set a goal.

Let's first describe what "flipping" a house is.  There is really one word (flipping) that is used interchangeably for two kinds of flipping.






This can also be called "selling a contract".

Here it is how it is done.  You find a house.  There are many, many ways to find houses.  FSBO houses,  ask people, knock on doors, find old empty houses and a myriad of other ways.  These will generally be  "distressed" sales.  In other words, the seller must be in a position to have to sell the house and is willing to discount the sale.

Next you must determine what the house is going to be worth to your buyer.  Most times these houses will be in some sort of disarray.  That means that the normal buyer won't be able to buy the property because it won't be financeable.  Your buyer is probably going to be an investor.

Your will use the same formula as if you were going to "flip" (see Flipping #2).

Your next step will be to make the seller your offer and negotiate to a place that has to be in your favor.  Your profit is made now.

It would be in your best interest to have already done some homework on where to find Flipping #2 buyers.  At this point you will take your contract to one or more of your buyers and "sell your contract" t.o the new buyer  The property is never in your name.  What you make on the "Flip" is the difference between how much you have "bought" the contract for and then how much you "sell" it for.

Need money fast?  This is a good way to do it.  Search for houses endlessly.  They are out there.  If you work at it, you can find one in a week.   The most I ever make "selling a contract" was $12, 000.  that might not seem like much but it was pretty easy money


This type of Flip is really a rehab.  The process is that you buy the house,  do the repairs and then resell it.

You will need much more homework to be done on this type of flip.






The formula is something like this::


  • How much will the house sell for all fixed up nice and pretty
  • How much will it cost to repair the house to sell
  • How much it will it cost for carrying costs--payments on borrowed money, insurance
  • How much "oops" to you want to add to the account for things that went wrong or are not seen
  • How much will it cost to sell the house
  • How much profit to you make to make
  • How much will your closing costs be both when buying and selling
  • How much can you buy the house for in order to following your formula
Once you have completed that formula the answer will be how much can you pay for the house.

If you do or are doing some of the work yourself  you may be able to cut down on some labor repairs.  If you are a good shopper you may be able to find discounted materials. There are ways to save money if you work at it.  

This type of flipping is not for the faint of heart.  Especially the first one or two.  But once you get the hang of it and have a steady stream of houses that make a good profit you will be on your way to be called a "Flipper".

My husband and I flipped (rehabbed) a few houses.  The very first one I did all by myself I made $100,000 in pure profit.  That is the exception, not the rule.

Questions?  Call me.  I will help you find houses and I will be your Realtor to sell it in the fast way possible.  Time is money!

Panela Madore
Keller Williams Realty
3955 S. Soncy
Amarillo, TX 79119
806-290-1920








Wednesday, April 20, 2016

Are Foreclosures A Good Deal [Be Careful] #5

Pamela Madore
Keller Williams Realty
806-290-1920

Are Foreclosures A Good Deal?


Many people think that a foreclosure is a great deal.  That may or may not be true.

Recently, there was a really good house in the Tradewinds.  My client and I overbid.  We were a cash buyer.  We got the bid and closed in 8 days.  Later I found out that there were 4 bids behind us.





When HUD puts a foreclosure up for sale they have several levels of timeframes that you can place your bid.  The first one is a lottery.  This one is for government agencies and other silly things.

Note: Property available when this article was published. 

The next level is for owner occupied bids.  I have seen this window of opportunity be 10 days or
more.  During this time you can put in a bid but the bids won't be opened until after the opportunity ends.  To be clear, you could put in a bid the first day the property comes on the market but it will be 10 days or so before you know if you got the bid.

If no one gets their bid accepted during that time then it is open to the public specifically meaning investors.

What is a bid?  A bid is really nothing more than an offer.  For some reason the government decided to call it a bid.  I am a Registered HUD bid agent and can place your bid for your.  Very little information is needed to put in the bid but if it is accepted we have 48 hours to Fed Ex all of the documents they require, which is their contract, an approval letter from your bank and a copy of the escrow check.

What is an escrow check?  This is the amount of money that HUD requires you to put at the title company that will be used toward your down payment and closing costs.  If the property is less than $50,000 is it $500 and if over $50,000 it is generally $1000.

What about inspections?  Those can sometimes we tricky.  HUD leaves all of their houses with the utilities shut off.  If you want to do inspections, we have to get written permission and you have 48 hours to turn on and pay for  the utilities, have the inspection done and turn the utilities off again.  One thing to remember about this is that HUD always "winterizes" their properties. That means that they drain all of the pipes of water.  If they find a leak -- the most common is around the washer house--they will not let you turn on the utilities.

Sometimes foreclosures are good deals.  But sometimes the unknowns outweigh what you think you are getting.  Often times during the time the property is put on the market to the time it closes people break in and do damage.  The most common is to steal the air condition unit.  The problem with that is that HUD will fix nothing and will most often not adjust the price.

You will need someone that is very familiar with HUD foreclosures to be protected throughout this process..   I do many HUD foreclosure properties and will do my best to see that you are protected and get exactly what you want.

Call me for questions and find out what is available right now.  Their availability changes daily.


Pamela Madore
Keller Williams Realty
3955 S. Soncy
Amarillo, TX 79119
806-290-1920








Sell Your Amarillo House Fast--{2015 over 2016}i

Pamela Madore
Keller Williams Realty

A recent article written by Russell Anglin of the Amarillo Globe News has gathered statistics from different sources and has put together a pretty good summary of what is happening to houses that are selling and how that can also affect buyers.


Amarillo has 765 sales in the first quarter of 2016 which broke the 10 year record with the exclusion of 2008 when we had the housing boom.

The median house sale for 2015 to 2016 is up 6% from $141,750 to $150,000.  Median price is not the average price.  Median house sales is that the same amount of houses sold , in 2015 below  $141,750 and the same above $141,750.  In 2016 the number was $150,000/

What does that mean to you as a seller?  Priced right your house will sell very quickly.  If you are
looking for a bigger house in a high price range that also works because the interest rates are so low that you can buy a bigger house with the same payment.

For buyers, because of low interest rates and programs like the SETH programs, first time home buyers should especially be taking advantage of this boom.  Lenders have relaxed some of their underwriting guidelines which has make it easier to qualify.

Several incidences have happened to me personally recently.  A house that my clients were interested in, have 5 offers in the first 12 hours.  We didn't even have a chance to go look at it.


I listed a house and the fist showing was 2 hours after I put it in the MLS.  The third person that looked at it bought it.  In two days.

Want to sell your house fast?  Call me.  We will get the job done for you.











Pamela Madore
Keller Williams Realty
3955 S. Soncy
Amarillo, TX 79119
806-290-1920




Friday, April 15, 2016

1824 S. Milam, Amarillo TX {79109} New Listing By The Pamela Madore Group

Pamela Madore
Keller Williams Realty
806-290-1920

1824 S. Milam, Amarillo TX  {79109}  New Listing By The Pamela Madore Group

http://pamelamadore.kwrealty.com/listing/mlsid/439/propertyid/16-97766/



This is a great starter house.  The difference is that most starter houses require work.  This house on 1824 Milam is turn-key.  Bring your tooth brush. :-)

This is how the seller tells us about the new things she lovingly did to the house: 




"Newly remodeled, all new plumbing, electrical, wall insulation, doors, tile throughout, jacuzzi tub, A/C unit, water heater, water softener, water filtration, restored hardwood floors, newer appliances, roof and paint."



Is there anything to add?  Both bedrooms  have built-ins for closets, desk, and shelves.  The bathroom is to die for.  The tub and surround has new tastefully decorated tile that you will love.




As a bonus there is a one car oversized detached garage that houses the water softner and water filtration system.  

Pictures are worth a thousand words.  Take a look at this amazing kitchen with tons of extras.


Don't forget the new windows.  That is really a big deal!  Both front and back yards are cozy and with trees to add character.

http://pamelamadore.kwrealty.com/listing/mlsid/439/propertyid/16-97766/


You may look at the houses but in that list had better be this one.  You will kick yourself if you miss this house in a convenient and well kept neighborhood.

Call, Text, or Email for appt.

Pamela Madore
Keller Williams Realty
3955 S. Soncy
Amarillo, TX 79119
http://pinkhouseteam.com
806-290-1920





Friday, April 8, 2016

How To Buy A Money Pit [Did you see the movie]

Pamela Madore
Keller Williams Realty
806-290-1920

Did you see the movie? 


 Funny Scene from the movie "The Money Pit"

The story line goes something like this.  Young lovers Walter (Tom Hanks) and Anna (Shelley Long) get thrown out of their apartment and decide to buy a country estate.  It was at a very good price and the potential was enormous.  

It just sounded too good to be true and of course it was.  

After they bought it, doors started to fall off their hinges, the staircase falls in and a bathtub falls through the floor. Naturally, city slickers that they are, they hire all the wrong people to do the repairs and the whole deal turns into a nightmare.


The best way to buy a money pit is to:

  • Watch for suspiciously low priced houses
  • Take a quick look so you can buy it before anyone else does
  • Don't bother to look at the seller's disclosure
  • Do not have inspections
  • Don't notice the seller's smirk at closing

At this point you probably don't know you have a money pit.    It sure looks like your dream home from the outside.  

At the beginning things seems to be OK.  Home sweet home.

Suddenly you begin to notice little things like, for instance, all of the windows are painted shut.  The carpet has a faint smell to it so you decide to clean it.  The more you clean it the more these dark stains move to the top and by the time you are done it looks and smells worse than when you started.  Pet stains.

The kitchen cabinet doors won't shut correctly.  There is a big hole in the back yard and it has a suspiciously back small to it.  There is mold all around the hot water heater that works only half of the time.

You get it?  If your profession is to rehab houses then you would look at this in a different light.  However, if you are buying a home to live in you might turn into a rehabber by default.


If you want to buy a money pit, I will help you with that.  If, however, you would like to NOT buy a money pit then as a Realtor I have lots of checks and
balances to help you know that won't happen.  Nothing is ever 100% but with all of the back up support, we try to help you stay away from that MONEY PIT.

Call today, or text, or email.  Let me protect you from a money pit.





Pamela Madore
Keller Williams Realty
Executive Against Money Pits
3955 S. Soncy
Amarillo, TX 79119
806-290-1920

Wednesday, April 6, 2016

8 or 9 Random Thoughts. Beat that.

Pamela Madore
Pink House Team
Keller Williams Realty
806-290-1920


There is nothing any harder than trying to write creatively when your brain seems to be on vacation.  Fortunately, I am a Realtor and Realtors like bright, shiny things sometimes referred to as squirrels.  Because of that there are millions of things that randomly happen around you that you can write about.

 


Here are a few of my thoughts this week.


  • In Amarillo, we are right on I-40 east to west.  Why wouldn't that be west to east?  (You probably already knew that.)  One of the streets that has an overpass is Bell. (Knew that, too?).  Very often there is a motorcycle police on the overpass with raider and another one hiding down below.  Countless tickets have been given there.


  • As I was driving on  I-40 going beneath the underpass (If you are on top it is an overpass?  And if you below it is an underpass?)  I wondered how policemen  decide  how they chose to go to that particular spot.Is it just a random assignment.  "Hey let's go get some speeders on I-40 and Bell".  FB lights up in warning.

  • Why does it take 8 people to dig a whole when the other 7 just stand around and watch.? You know who I am talking about.

  • Why is Amarillo named yellow?

  • Why do men work out and then take their shirts off?  Oh, never mind.  I know that one.

  • Why does Coulter and Elmhurst have the traffic  camera?  You might be buzzing along and then you see Elmhurst looming near you.   What do you do?  Speed up?  Slow down?  What would happen if you got the yellow but couldn't quite make the stop and you end up in the middle of the intersection.  Do you get multiple pictures?   And multiple fines.  It is one of those auto click cameras like you get in one of those photo booths things.   You get 10 pictures of your plate before the light turns green?

  • Who can define the difference between a career and a job?

  • If you text does that mean you would rather communicate by text.  If you call do you want me to call back.  If you email do you want me to email back.  How do I know?

Just some random thoughts.  As a challenge, stop right now and write down 7 random thoughts.  It helps you stretch your brain and your thought process.  You may even come up with some brilliant idea you can patent and make a million dollars.
  • One last thought.  If you are thinking of buying a house, selling a house, or getting a real estate license, contact me.  

Pamela Madore
Keller Williams Realty
3955 S. Soncy
Amarillo, TX 79119
806-290-1920












Monday, April 4, 2016

On A Scale Of 1 To 10 How Difficult Is It To Buy A House 2016

Pamela Madore
The Pamela Madore Group
Keller Williams Realty


On A Scale Of One To Ten How Difficult Is It To Buy A House?



 
Yesterday I was having a conversation with this guy about houses.  And he said to me that it is really hard now to buy a house.  It is hard to get qualified and you need lots of money.  And he believed it.

There are a lot of misconceptions floating around about the difficulty of buying a house.  We hear lots of talk about credit scores.  As a matter of fact that is the #1 talked about subject.  What are your credit scores?



http://amarillo.rightstartmortgage.com/
Right Start Mortgage Amarillo



You may be surprised to know that you don't have to have perfect credit to buy a house.  If you have never paid anything on time in your entire life, you might have a problem.  We have all had circumstances and issues that may have affected our credit scores.  Credit scores constantly fluctuate.


FHA is probably the most popular financing program at the moment.  Their guidelines will let you have as low as 580 in credit scores.  Now not all banks that do FHA loans will go that low but contact me and I will send you in the right direction.

Do you need lots of money?  That is a relative question.  Define "lots".  On a conventional mortgage you need 5% down.  On an FHA mortgage you need 3.5% down.  On the SETH program you need probably nothing down.  On all of these programs you have closing costs in addition to your down payment.  The SETH program also can cover your closing costs.  Only you can decide what your resources are and what is a lot of money to you.

If you have 20% or more down payment then you can avoid PMI (private mortgage insurance).  PMI is expensive and you can save lots of money that way.  If you put less than 20% down you will have to pay the PMI until you reach that 20% equity mark.  At that point it drops off.  On an FHA it is there for the duration.

Each one of these factors play a part in getting qualified for a mortgage.  So on a scale of 1-10?  Only you and the right guidance can answer that question.

Pamela Madore 
The Pamela Madore Group
Pink House Team
Keller Williams Realty
7304 SW 34th
Amarillo, TX 79121
806-290-1920