Dane:
All right, fellow real estate investors, friends,
family, rehabbers, landlords, everyone out
there. I hope you guys have been watching
some of my vlogs, staying on top of what I
got going on. Just to keep things a little
bit simple, I am trying to start grouping
things up by the week because every single
day is different in the life of a real estate
investor.
Dane:
Today it is Monday afternoon. I am outside
of a property here in Lake Sarasota. It's
going to be a rehab, and what I wanted to
do is just give you guys a quick walkthrough.
Our guys started just doing some of the demo
work last Thursday. I just wanted to swing
in, stop by here late on a Monday, and see
what's actually happened in about a 48-hour
span. I wasn't sure if they actually got started
that day. I wanted to get over here and just
check it out for myself now that we'd officially
closed on the property, and just see where
we're at. Let's walk in. Let's show you guys
what's been going on. I'll get you guys some
exterior shots here in the near future as
things progress, so you guys can see the actual
outside of this, is a three bedroom, two bath
house.
Dane:
Again, we're in Lake Sarasota. What I like
about a lot of these houses is they're your
pretty conventional standard Florida homes
where you got your main living area. We got
our kitchen, we got a split floor plan. We've
got some nice vaulted ceilings. I don't know
if that's a normal Florida house. Turn this
around so you guys can see what's going on.
We walk right in. We've got our living room.
You can see they've already started ripping
down the popcorn ceilings, at least in the
living room. We still got it in the hallway
areas here, but we never keep popcorn ceilings.
It is very, very rare that that's something
that we would keep. One thing I want to make
sure I do is not bore you guys to death with
these videos, and to do that, I think we got
to speed up some of this content.
Dane:
I'm showing you guys the kitchen right now.
Kitchen has already been ripped out. There
was the front door that we walked in. You
can see they got, I'm going to call that bamboo
flooring. Out here, we got our garage and
it is stuffed to the brim, which I like to
see. It means everybody is working. Demo is
in full force, but here's our air conditioner.
This AC should be able to stay here. I know
I said that at our property on 13th, and that
was not the case, but this bad boy is running.
I've already had my HVAC guy check this out,
and we're going to be able to just get some
new grills up, I think do a little bit of
patching to some duct work, and we should
be good to go. Same thing with the hot water
heater there. Same thing with the roof on
this house.
Dane:
What's really nice is this house has a lot
of the major components intact right now.
That's not a big expense. Most of our expense
is going to be on what you see, which is the
large square footage and just all the cosmetics
on this house. There's our outside lanai.
One thing I really loved about this house
was that lanai and that ceiling. It's got
a nice back yard. You got neighbors with a
nice tall eight foot vinyl fence, and then
you got this half moon pool. Not crazy about
that design, but hey, it's a pool. When you
think about the summer heat we've had, it's
been brutal out there. Here's one of our three
bedrooms, again, where it's a split floor
plan. Here's our shared guest bath right there.
It's got a tub, tile surround. That'll be
getting redone.
Dane:
Then I know this is really dark in here, not
sure is we got our ... Yeah, lights aren't
on right now. I'm sure the bulbs are already
taken out since we already have all the light
fixtures, everything wrapped. The reason they're
doing that is because of the popcorn, and
the knockdown, and getting that all taken
out. Let's walk back over here. We'll show
you guys the master real quick. I have not
even been in here yet, so I wasn't sure what
to expect.
Dane:
It looks like we already have the popcorn
taken down out of here. We got ourselves some
French doors. We got one closet right here.
Then we got our linen closet in the master,
and then you got another closet in the bathroom
as well. There's no walk in closet in this
master, but that's not a big deal since you
do have what we can call a his and hers, but
this one, no tub, just the standing shower
with tile surround, which is always nice in
the master. I really like that. We got some
lighting up there. That's an interesting lighting.
Pretty cool. I'm not sure if that's staying,
highly doubt it. Normally, on a project like
this, we're ripping everything out.
Dane:
All right, so on a property like this, time
is money. If you guys know anything about
me right now, it's that we like to move quick
on these properties. Whatever vlog number
this is, which I don't know which one. We're
probably around six or seven at this point.
Let's start tracking these. From this blog,
count out four or maybe five vlogs, and hopefully
I'm bringing you guys a finished product that's
staged and ready to get listed. You guys will
be able to ask me questions, if there's anything
along the lines of how to streamline the process
or how to make sure that everything is churning
and going just the way that you want it to.
Dane:
Until the next checkup on this, I got plenty,
more videos to bring you guys. We got that
other rehab going on down in the Osprey area
here that I'm going to be able to keep you
guys updated on as well. Both these projects
are getting started within about a week of
each other. It'll be interesting to see with
two nice houses like this, how quickly our
crews are keeping on top of everything with
what's going on right now in our environment.
Not that real estate has really been that
affected by it. If anything it's been for
the better.
Dane:
Anyways, I got to get my ass over to the celery
fields, which is a place where we actually
have a little bit of what we could call a
hill here in Florida because I have committed
to a hike up in North Carolina here beginning
of August, so that's exciting. I'm going to
get my ass over there, meet my buddy. We're
going to do some jogging, and running up a
hill, and work on those calves and legs, and
get them up to speed so that we don't die
up on this mountain. Anyways, till next time.
You guys keep it real.
Dane:
I had to just swing by up here in West Bradenton.
This is a property. I'm not sure if you guys
recognize this one, just from a video or two
ago. This is one that we threw up on the market,
and within 48 hours we had an active contract
or an executed contract, I should say. We
got this one under contract quickly. We are
actually now out of our inspection period.
The nice thing is with this buyer, they were
pretty easy going. Their report came back
and it showed items, but they looked at the
bigger picture, and they knew they were buying
a property as is. It seems they didn't really
want to push us too hard with the repairs,
and they actually ended up coming back with
us, having one request. That one request was
removing a tree, and I'm not even having to
get out of the car, but there was a big tree
right there, hanging somewhat over the house.
Dane:
It was going to be an insurance related issue,
so the pest control company guy, when he came
out to look at the property, noticed that
there was actually quite a bit of termite
damage within the tree. About half of the
lower part of the trunk had been eaten or
riddled by termites. Being that this tree
was somewhat leaning over the house, everyone
was looking at that as that could be a major
insurance issue. The insurance company wanted
to have that tree removed. The buyer just
came to us saying, "This isn't something I
want to pay for after closing," which is something
I'm going to mention, is insurance companies.
Dane:
If they call out a red flag on a property
sometimes, like for instance, say the electric
panel is a functioning electric panel, but
they'd like to see it updated or upgraded,
they will give buyers somewhat of a forgiveness
period of usually maybe up to 30 days after
closing or once insurance is bound to correct
a problem that's on the property. That could
be something, say there's some broken shingles,
and they're not going to really give you a
higher premium because of that, but they're
telling you for us not to raise your premium,
we're going to need to see this item repaired.
Dane:
This tree happened to be one of those items
where the insurance company said, "Well, you
guys are going to need to get that tree removed."
Sometimes insurance companies will have you
make sure the branches are at least, say,
10 feet over top of the roof, so there's nothing
just drooping right on top of it. Regardless,
this one so far has been going smoothly. As
long as everything goes good with the lender
with the buyer of this property, we're going
to get this one wrapped up nice and quick
here. We had the tree removed.
Dane:
Next thing is we're actually replacing the
roof for this buyer. It was something that
in our listing, we actually mentioned that
roof would get replaced with an accepted offer.
Once we accepted this contract, we knew that
our responsibility was going to be to replace
the roof. Our roofer is actually working on
that roof down there in Osprey on the rehab.
That one's first just because we have tarps
on the roof. There are active leaks going
on, creating mold, so that roof is getting
replaced first. After that roof is replaced,
this one's next. Now that our tree is removed,
we can have this roof get going. We did not
want to have a tree removed while a brand
new roof had just got put on just in the chance
that something were to fall from the tree,
create a puncture in the roof or something
like that. Don't want that happening on a
brand new roof. We're just wrapping up here
on the 10th street property. Now let's move
on to the next one.
Marc:
Not like this. Yeah, not full of algae.
Dane:
Yeah, not like this.
Marc:
Just hit it with white. grout, paint inside,
new kitchen. Paint the porch. New kitchen
and new bathroom except for the toilet. New
kitchen, new bathroom. Closet doors. The doors
are fine. I'm thinking we can even leave this
closet door here.
Dane:
That one is basically just hiding the air
handler.
Marc:
This is not even hardly working.
Dane:
I know. The thing about these closet doors
is they're the taller style. They're a little
bit more custom. Yeah, I was putting some
force into that.
Marc:
It won't open.
Dane:
I know. I feel like somebody wedged it shut
just because the AC right there, like it's
dead space anyway.
Marc:
Somebody has got to fix this. [inaudible 00:10:19]
the door, new fan. See what his bid is, and
then we'll make the determination of ... because
I don't think we're really going to get $210,000
for this.
Dane:
I think we can list it at $205,000.
Marc:
I think we can list it at $204,777 and probably
end up at about $195,000. If I spend $15,000,
I'm going to be able to make a little bit
more than that back. Okay, got me?
Dane:
All right. What's going on everyone? We are
here at a property in the Eastwood neighborhood
in Sarasota. This property is actually going
through the demo phase right now, so this
makes three properties that we're going through
that demo process right now to get to the
point where we can actually just start doing
the actual rehab. Not that demo is not considered
rehab work, but we have permits not in place
fully yet, but applied for on this property
so that our contractor can do what's got to
be done on this house, which is actually adding
an entire master suite.
Dane:
We are going to be adding a true master bedroom,
a true master bathroom to this house that
was actually already a three bedroom, one
bath. If I take you over here, you're going
to see that one of the bathrooms ... We've
got some brightness going on here. This room
right here is actually really tiny. I'm going
to spin this around so you guys can see it.
It's actually, if you asked me it would be
more of an office room, even though there
a closet, but we are limited on the space.
The nice thing is we have got the three bedrooms
here. We got the one bathroom here.
Dane:
Where we have this utility room behind me,
back beyond there is actually where we're
going to have our master suite. It's going
to be accessible from back around from the
kitchen area, and then also you're going to
be able to access it through the laundry room,
which I get it. It's a little bit weird, but
you come through here and what's behind me,
this is going to be all master bathrooms.
We're going to have a huge master bath, a
nice size walk-in closet, and then you come
back here, and this is where we're going to
have the actual master suite, so this whole
section here. We're going to have some wall
removal happening, but there's going to be
a nice large, I want to say, about 25 feet
by 12 feet are going to be the dimensions
of this master, so a really nice size. Pass
through the master area. This is where we
have our enclosed lanai.
Dane:
Then back through here is where we have our
dining area in our large kitchen. This is
a neat project. It's actually got a nice lot
behind here as well, a lot of permitted work
going on here. This is going to be one of
our main contractors who's taken on this project.
This is going to make for three projects that
we have going on right now, three different
crews on each project, which is nice. It should
help us stick to that four to five week timeframe
that we look for, but this project is going
to attempt to go a couple weeks beyond that.
We're probably looking at more like two months
on this project just because of the permitting
process that has to get done through a lot
of this house because we're increasing the
square footage, and we're adding bathroom
and bedroom to this house. I'm going to keep
you guys posted. Hope you guys are enjoying
some of this content and onto the next property.
Marc:
I'm going to put you together with Catherine.
Dane:
This is a really neat property. If you look
behind me, you can see we got the house right
here. This is actually a two bedroom, two
bath that's right behind me with two main
living areas, so it's a really nice size house.
Then right over there in the distance, you
can see there's actually a little one-one
on the property as well. It is zoned a multifamily,
which is really awesome. The one-one, actually,
does not have a kitchen though, so there would
need to be a little kitchenette or something
like that installed, but the property is zoned
to multifamily. That should not be an issue,
but we're here. We're showing the property
to some people, getting our first tour and
look at the property. Let's bring you guys
inside and just show you guys some clips of
what we got going on here, some of the knowledge.
Bob:
The roof on this is in pretty good shape too.
See what he's got going on. The whole floor
is done in there. The guy is a stonemason.
He's a tall guy. He's done a great job with
the floor.
Marc:
He has? You had the roof checked?
Bob:
Roof is in good shape.
Marc:
You checked it with a roofer?
Bob:
No.
Marc:
Property with a student right here in Sarasota.
Just back in town, and it's a cool property.
A two-two house, another one bedroom studio.
We've got a garage on a great piece of land
that maybe it could be subdivided, but did
you already check out? It cannot be divided.
Bob:
It can't be divided unless you take the house
down.
Marc:
Okay, so it could be two lots. It could be
two lots, but not the way it is right now.
You found this by a for sale by owner?
Bob:
For sale by owner.
Marc:
By calling the sign?
Bob:
Yeah.
Marc:
The sign is no longer there.
Bob:
Or over there.
Marc:
The sign over there, so that's a good thing.
Did you take it out?
Bob:
I called them and asked them to take it out.
Marc:
Okay. All right, let's go ahead inside and
see what we got here. Is there one meter or
two, one meter?
Bob:
One meter. That's the problem. That's one
of the problems.
Marc:
Even if it doesn't go anywhere, you got your
first one on the contract. We're out looking
at something together and evaluate it.
Bob:
Right. This one here needs a lot of work.
This part of the house needs some work.
Marc:
Not much you can do here anyways. You can
put a shower in. You don't even have a kitchen
thing.
Bob:
I think doing something with the closet, Marc,
maybe putting a small closet in over here
and a kitchenette right here beause you get
your plumbing right here going on.
Marc:
$150,000 is the price.
Bob:
For this?
Marc:
Yeah. Dane, what do you think?
Dane:
I want to see this.
Marc:
Dan, you want to get some pictures?
Dane:
No, I [crosstalk 00:16:09] see anything.
Marc:
You want to get some pictures to put out on
ours?
Dane:
Yeah.
Marc:
You want to do that now?
Dane:
I can take pictures.
Marc:
Yeah.
Dane:
The question is going to be people that are
calling in. What are we going to do about
showings? You want to set up like a day or
two each week where ...?
Bob:
I think that's going to be the best thing.
Dane:
[crosstalk 00:16:22].
Marc:
I remember when we gutted it, I was happy
at how much we got.
Dane:
It could be a thirteen hundred.
Marc:
Anyway, this should be at least thirteen hundred.
Bob:
That's what I'm thinking.
Marc:
At least 13, and that should be 700, 2,000
here.
Bob:
Right.
Marc:
Find out who's alive and who's not alive.
You should have got the answers to questions.
Do you have a sheet that you fill out when
you're taking the name, so who they are? Then
when you get your first deal or any of your
deals, if you really want to integrate and
get to know people, you pick up the phone.
Hey, I got one. I've thought about you. Why
don't we meet at the property? Then you've
got another touch. Now you've built phone
rapport. Remember, I've always told you building
rapport is the most important thing you can
have.
Bob:
Right.
Marc:
Even though when you get the hottest deal
going, it doesn't matter. You don't have to
have any rapport. I could hate you, but you
show me a deal, I'm still going to buy from
you. You could have screwed me before, but
if you got a deal, I'm still going to buy
you.
Bob:
Right.
Marc:
The end game in this is building relationships
and cultivating partnerships. You got your
first house. You got your list of 30 or 40
people, your new list started of buyers. You
start calling them, because why? That gets
them familiar with you, and you start to build
rapport with them. Then the ones that you
can get to come see, you know are really active
buyers because they're going to take time
out of their day to come look at a house,
and then you have some time to interact, and
then you find out more about them.
Bob:
Right.
Marc:
This is part of building the strategy, building
your network, making things happen for yourself,
getting to know some people. Roofers, the
air condition, everybody I could see, let
them know what I do. Cultivating, cultivating.
Bob:
Constantly.
Marc:
Bringing people into the circle until one
day it will happen. Your phone rings and somebody's
handing you a deal. We live for.
Bob:
Absolutely.
Marc:
We got to work to get to that place.
Bob:
Absolutely.
Dane:
All right, so we're back at it. We're actually
just swinging over to a house I just got sent
over to us. It's a lead from another wholesaler,
at least I think this is a wholesaler that
sent this one to us. It could just be another
agent, but I was actually right in the area.
so I wanted to run over, check out this property
as soon as possible. That is something that
you should do. If you've got people that are
sending you properties, you tell them that
you're a buyer. You should be checking out
the property, vetting it, getting all the
questions you can knock out, and get them
an answer as soon as possible. Even if that's
just a, no, we're not buying right now, it's
something that they're going to appreciate,
the more of their time that you free up by
just giving them a straight answer.
Dane:
Something I wanted to show you. I'm not going
to give you guys a walk through this whole
house. What I did want to do was actually
show you this electric panel. I opened up
this panel and it was something that I know
I have not shown anybody yet, if you guys
run into this. What we got there is an old
fuse style panel. This is something that you
will have to replace if you're rehabbing houses,
so that was something I just wanted to show
you guys. It's something that you're familiar
with, that if you see that out there, you
know that you need to probably throw at least
$2,000 into your budget. We know we're going
to have to replace the panel.
Dane:
It's something to take into consideration
when you're looking at these houses. There's
little things like that we don't have to call
them red flags, but they're things that we
know are going to be major expenses that are
going to pop up and are probably not going
to be unavoidable. Make sure you guys check
your fuse panels, those electric panels, and
avoid that unexpected cost. All right, onward.
Dane:
What's up, everyone? We're here. We're at
our last segment of the day. No more recording
after. Well, I'm never going to say never,
but anyways. What do you guys see over my
shoulder here? Well, let's put that in focus
so you guys can see that. That is the road
that I have just adopted. Florida House Buying,
which is one of my companies just adopted
a section of North Lockwood Ridge here between
17th and University Parkway, so that's really
exciting. I'm going to be able to offer students
some volunteer hours, and just get some other
people to come out here, and help me clean
up this two and a half mile stretch of property
that's right here in Sarasota County.
Dane:
Really excited. I'm happy that I can be given
back in a small way, which is by just doing
some simple trash pick up along the roads
that I'm always around. Excited to be doing
that, and that's just something I wanted to
share, is that I was able to adopt a road
here in Sarasota County and help keep these
roads clean. Me giving back a little bit,
but wanted to just show you guys that sign.
It's pretty neat. They throw a sign like that
at the beginning of the road where you start
that clean up and at the end, so I've got
that sign here at the end of University Parkway
and Lockwood Ridge and also at 17th.
Dane:
Wanted to get you guys that update. Hopefully.
I got some more cool content like that to
share. I'll probably end up throwing a section
up on my actual website, so people can just
see some pictures, videos, and just see some
of the cleanup that we're actually doing.
Knowing myself and knowing that this is a
street that's walking, jogging distance from
my own house, I'm going to be cleaning up
this road all the time, not just on specific
days. If you have any interest or you're in
the Southwest Florida area, and you want to
see when the next cleanup is going to be,
or come out and join us, help out with that,
please. I'll have a link here shortly where
you guys will be able to check that out and
see what we have going on elsewhere in the
community as well.
Dane:
All right, till next time, I hope you guys
got some good information today. I know it
was a little chaotic, but hopefully there
was a gem or two that you guys got out of
this content today. Until next time, get out
there, hustle, go find some deals, flip some
houses, sell some houses, or buy some houses,
but keep it real estate. I'll talk to you
guys later.
