Contemplating building spec home out of state...
on some property that I own free and clear.
Can someone please give me some idea how to get started?
Do I send a request for bids to builders or what?
Thanks in advance, I guess.
Don
Yes I can help you out just email me at **Please See My Profile**
Okay, but what about everyone else who is interested in what you have say on the subject?
This initial post was featured in the most recent Creative Investor email that went out to all subscribers. I specifically went to only this subject in hopes of getting some good info.
Do you want everyone to email you?
PS
[quote]
On 2003-06-03 15:00, dheckel wrote:
Good point PS.
My experience has been that when someone has me email them regarding a question, I never get a reply.
This forum does not seem to have a lot of traffic, so I chalk up the lack of responses to that.
Its difficult to be patient though. We're all looking to make our fortunes, right. Time's a wastin'.
Don Heckel
Hello Don,
I am a loan officer / real estate investor and we offer short-term residential construction loans for almost any new construction project. There are 3 different construction loans provided and one of them is a spec house program. These loans are good for those folks that have been turned down by a bank.
If you are interested send me a email message **Please See My Profile**
I guess I should keep it simple here. Sorry for not being very clear in my post.
My question is not really a matter of financing (my credit is good and a number of builders I have found have competitive financing).
The issue is, I live in Wisconsin, my lots are in Florida. Would it be wise to undertake home construction on one or both lots without being down there? I have no true contacts that I trust in Florida so would have no one to "keep tabs" on the builder/contractor/etc. or...
Should I forego the spec. home idea and just aggressively market the lots for sale?
The point being, whatever I make from either scenario above can be used to jump start my rei up here in Wisconsin where I permanently reside.
FWIW, I think I could make more profit building the spec. home and selling.
Again, any input is greatly appreciated. Thanks all.
Don Heckel
Hey dheckel,
Tell you what, take a look at MY PROFILE, I'm a builder, in fact I'm building two spec. homes right now in Wisconsin..or at least my partner is handling that end while I creatively invest here in Dupage Co....
We have approx. 200 floor plans including some duplexes and townhome designs...all ranging from 888 - 4703 sq. ft.. we also do custom designs! Our largest to date is 7000 sq. ft. It's in No. Carolina, we build all over the country...
If you want to know how to get started, go to the 1st things 1st page in my Website. here's the link
http://www.ae-homes.com/BeforeYouStart.html#10%20steps
My home page for the site is in my profile...any questions...email me or send a private message..
Hope I can help you,
Clif [ Edited by pbodys on Date 06/05/2003 ]
Quote:
On 2003-06-05 10:57, dheckel wrote:
I guess I should keep it simple here. Sorry for not being very clear in my post.
My question is not really a matter of financing (my credit is good and a number of builders I have found have competitive financing).
The issue is, I live in Wisconsin, my lots are in Florida. Would it be wise to undertake home construction on one or both lots without being down there? I have no true contacts that I trust in Florida so would have no one to "keep tabs" on the builder/contractor/etc. or...
Should I forego the spec. home idea and just aggressively market the lots for sale?
The point being, whatever I make from either scenario above can be used to jump start my rei up here in Wisconsin where I permanently reside.
FWIW, I think I could make more profit building the spec. home and selling.
Again, any input is greatly appreciated. Thanks all.
Don Heckel
<IMG SRC="images/forum/smilies/icon_smile.gif">
Where in Florida are your lots? I will soon be in the same situation. I live in Oregon and own lots in Port St. Lucie, FL that I might want to build on later on in the year. I have a cousin close by who can help me to some extent but I will be risking all the money to make this happen.
I am afraid I cannot help you in FL, but if you come across any proyects in TX (Dallas area to be exact) I would love to bid your homes. I am a General Contractor in this area and willing to work with investors.
**Please See My Profile**
Most of us are investors who buy, hold, flip, retail, wholesale, etc.
Few of us are builders, developers, and contractors. I think you're looking for water in the desert. You'll have better luck finding websites that deal with your issue specifically.
As for the financing, you'll probably get a construction loan for 12 or so months and then sell it or refi. Go to yahoo and search for "construction loan" and you'll get all kinds of hits. Good luck.
Thanks for all the input folks!
FWIW, I am just going to hold these lots.
Don
Dheckle,
You have a good idea in the building spec's but if you want/need money to jump start your REI in wisconsin, why not sell the lots or lot. Couldn't you make more money in wisconsin in the time it takes build than going through the potential hassle of building out of state? Just a thought!
Blair
Quote:
On 2003-06-05 10:57, dheckel wrote:
I guess I should keep it simple here. Sorry for not being very clear in my post.
My question is not really a matter of financing (my credit is good and a number of builders I have found have competitive financing).
The issue is, I live in Wisconsin, my lots are in Florida. Would it be wise to undertake home construction on one or both lots without being down there? I have no true contacts that I trust in Florida so would have no one to "keep tabs" on the builder/contractor/etc. or...
Should I forego the spec. home idea and just aggressively market the lots for sale?
The point being, whatever I make from either scenario above can be used to jump start my rei up here in Wisconsin where I permanently reside.
FWIW, I think I could make more profit building the spec. home and selling.
Again, any input is greatly appreciated. Thanks all.
Don Heckel
<IMG SRC="images/forum/smilies/icon_smile.gif">
Blair - I don't know if you saw my additional post in the thread but what you mention iswas the crux of my issue.
However, I have to decided to hold the lots as they are free and clear and they are located in an area that is seriously booming right now. I keep getting offers that keep increasing. I am in a good situation right now and these lots will be part of my overall portfolio.
Secondly, the reason I don't need to sell them or build spec homes and sell is because I have a reliable hard money lender up here. This will allow me to get started wholesaling, flipping, rehabbing, etc. to build my cash reserves and build the business.
Right now, I am waiting on additional books to get my wholesaling/flipping started.
Things are looking up even though I haven't made my first deal, yet.
Thanks for the reply.
Don
Hi Don,
I'm in Florida. I build investment homes. First thing you should do is get the financing established. I use a lender who lends 80% LTV and allows us to use the 20% built in equity we have as our down payment, we pay closing. Roughly 6-7K out of pocket and your sitting with a brand new home with at least 20% equity ownership upon completion.
Second, find a builder who will openly work with you. Ones who will quote you a price and stick with it. Try to go with a popular floorplan at first, if you're wanting to sale upon completion. If you want to hold, say as a lease-option, nothing wrong with keeping it for appreciation value if you're in a active market like I'm in here.
Hope this was beneficial...
[addsig]
Hey dheckel, once again, I offer a step by step, detailed explaination of how to get started.
Tell you what, take a look at MY PROFILE, I'm a builder, in fact I'm building two spec. homes right now in Wisconsin..or at least my partner is handling that end while I creatively invest here in Dupage Co....
We have approx. 200 floor plans including some duplexes and townhome designs...all ranging from 888 - 4703 sq. ft.. we also do custom designs! Our largest to date is 7000 sq. ft. It's in No. Carolina, we build all over the country...
If you want to know how to get started, go to the 1st things 1st page in my Website. here's the link
http://www.ae-homes.com/BeforeYouStart.html#10%20steps
My home page for the site is in my profile...any questions...email me or send a private message..
Hope I can help you,
Clif
Hi, Mike T,
please send info on the 80% LTV and any other info you may have on new home construction or spec home building to
**Please See My Profile**
Thanks
Clif
Hi Don, I say stick with your idea to spec build, all this means is do your homework on retreiving a list of general contractor's check there back ground and plenty of references with pictures and of course. Work with a lawyer to bind the contracts.
Good Luck, I'm just learning myself
OOps!! LOL, gotta forgive the misspelling
Hello,
I am a realtor in Port st Lucie, I can help!!
sorry ,
I am the realtor you can reach me at 772-979-0586