Sorry I have been so long between posts! The family and I took a much needed “stay cation” and I promised my wife I wouldn’t work much during the time together. Well now it’s back to work!
Lime Green Carpet House
Well I knew things were going too smoothly! As you recall from my last update, we were in the final stretch of the getting this house on the market. Unfortunately, we ran into several snags. Once the team began to install the finish electrical (lights, plugs, and switches), the discovered a large portion of the house wasn’t working. A week of trouble shooting later and they fixed the problem, but uncovered a larger problem. The electrical panel was a Federal Pacific panel! It wasn’t caught because someone replaced the door, it wasn’t until the door was removed that it was discovered the origins of the panel. Federal Pacific panels are notorious for causing home fires (see a summary of issues here: https://inspectapedia.com/fpe/FPE_Stab_Lok_Hazards.php). So the whole panel will need to be replaced. This is going to add money to an already strained budget, but at this point I just need to get this one on the market.
Other than that “minor” issue, everything is going as planned and we should be done enough to do a reveal this week or next!
Little Big House
Last blog I talked about signing a contract for the little big house. This will be a quick fix and flip in Cleveland Heights and should be an easy layup. (I know I know, they never are J ). So there has been a little closing drama involved with the Point of Sale (POS) inspection. The previous owners are selling because of financial issues, they just bought the place 10 months ago. Well in Cleveland Heights there is an extensive POS and the sellers assumed all of the violations and fixed them. However they never scheduled the re-inspection, so in typical government fashion, inefficiency abounds. The city had to re-inspect the POS from last time, then come out SEPARATELY to initiate a NEW POS inspection for this sale. That inspection should occur on Thursday June 29th. While this is a delay, it should give me a clean POS to work from which is always a good thing! I feel comfortable enough to show you the first before pictures of the home. I will only share an exterior photo though. Let us know what you think.
Other Houses in Mix
Here are the other houses I am evaluating (details will be vague until everything is under contract) :
- I have a property in University Heights that I will more than likely purchase. This was bought to me by my wholesaler. The issue is there are tenants in place for the next 2 months. I need to wait until the lease expires before I go forward.
- I looked at a large house on the far West side today. This would be a 3000sq ft beauty. I am currently working with a wholesaler to see if we can come to a deal. The challenge is the foundation issue that is big risk. This is the perfect example of Big Risk, Big Reward.
- I have a townhome in Euclid under contract. I have a few other investors that are interested in that and I will more than likely assign it. I was going to close on it myself, but as I talked to more investors I realized it was a better fit for other people. Stay tuned on this one.