Contractor looking for Partners - LA Area
Hi Everyone!
I'm new here to BP but I wanted to throw a line out and see if there is anyone in the Los Angeles area interested in working on some deals together. My business partner is a contractor and I'm a project manager. We don't know how to get started in REI so we've just been educating ourselves as much as possible and looking for a way to get started. Here's what we're looking to bring to the table:
We are looking to work within 15-30 minutes from Reseda on fix and flips. We'd take care of all the fixing on the property and cover the costs of it (up to 50k to start). Depending on the project we can negotiate how the returns are divided up. As your partner we'd be willing to do scopes of work on projects as well if that's needed before the property is purchased.
I figure this is a better way for us to get started that way someone with more experience can find the properties and line up financing for them. While we cover the financing for the rehab through our own equity and time.
I received no replies from this post - So I'm just curious if anyone could enlighten me if this is a bad offer to make? Or perhaps is the geographical area? Any insight would be very helpful. It just seems so daunting to start REI in my area and I'm not confident enough to do work out of state as the main thing I have to offer is on the ground project management and rehab work.
Thoughts?
Carey,
I think you presented a good offer and should give it a bit more time to find the right match.
Don't forget that you are looking for someone who has the $ to buy the house to begin with. Also dont forget that someone who has the cash typically already has a team they go to as it is, so you need to find someone who is unhappy with their current contractors or is new to the game and doesn't have any loyalty to one team or another.
So your offer is good, but your potential market is "small", relative to the size of readership of the Marketplace forums...
What might help kick start your foray in real estate is to actually try and find a deal on a house first (even though you dont have much experience), then look for $$$ partner.
If you can present the deal with a house potentially bought right (good price, good area, enough room for rehab, and good profit) with the fact that you can handle the entire rehab process and "all" they need to do is front the cash for the house...
Use the fact that you will be investing your own cash in the rehab costs (labor/materials) as your portion of "skin in the game".
Maybe some of your contractor buddies or acquaintances have some leads on heavily distressed properties in SFV that you can steal.
Everyone is always scared of heavily distressed properties, but both you and I know that they are typically "easy" fixes.
