NEVER Buy a House Without Knowing This...

[@kenbagwell8551]

I bought my current home as a foreclosure and have lived in it the past 25 years. It's worth at least 3x more than what I paid for. It was an older home and needed some repairs, but it's been the greatest investment I ever made.

[@Enoch1970]

This guy obviously has an agenda, he is in the real estate business. He does not want people doing business without paying his commissions.

[@legenddaughterrd]

yes it takes money to make money good for you!!!

[@TimeSurfer206]

You not only did your due diligence in your inspections... You also got awful damned lucky.

[@sbrazenor2]

I got mine 11 years ago, and it's 4X+ the value I paid for it. 😁

[@bobbg9041]

Personally rehab it. Then sell it or rent it out. When a house is empty its really ez to deal with flooring paint and other cosmetic problems, Redoing a kitchen and bath can be the biggest investment and you need to know what buyers are looking for and willing to pay. If its a rental then just a face lift. Any mechanical issues do research on repairs get permits ex.

[@dougl945]

I bought a foreclosure 10 years ago. I did all the work myself correctly. It’s worth 4x what I paid and it’s paid off. Best thing I’ve ever done. I live for almost free.

[@geigertec5921]

You're so wise! 😀

[@dc76384]

Almost bought a home from the parents of a childhood friend. Rented it for a while with the possibility to buy. They also said I could do any upgrades I wanted to do. After I got settled in I decided it might be a good idea to get the home inspected, things like evidence of water damage in the bathroom, fixtures that were original to the build of the home some 40 years ago, and a roof that was not in great shape. Once they found out I had the home inspected, they were very upset with me. I may have lost some close friends, but it's better than having bought a money pit.

[@captainsunbear5472]

lol "upset" some friend they are trying to screw you over. Good riddance i say. Those guys weren't friends at all.

[@joseph1150]

nobody who has problems with home inspections has good intentions.

[@maryschade1906]

Thats not a friend..not very nice parents either.

[@debbieprivett1880]

Shame on them.

[@Earth2McKay]

If you have common sense. You can just look around and inspect your own home. Everything inspection people point out is fairly obvious.

[@joseph1150]

There was a property in my old neighborhood that the deadbeat tenants had destroyed. The landlord was at his wits end on what to do, as the repairs would exceed what he would be willing to justify on the property. So he allowed the fire department to use it for training. They torched it, practiced rescue, put it out and had their arson investigators do their practice. He then bulldozed it and threw a cheap modular home onto the land and sold it off.

[@TuggzDem]

Smart

[@freddyhollingsworth5945]

A family member was angry at the bank due to them foreclosing. As they packed the last load he pulled up the far back toilet and dumped 4 bags of ready-mix concrete down the sewer. It was a slab house. The new owners had to spend $60,000 to have the floor jack hammered up and new pipes(per the old neighbor)..... so also consider damage from the previous owners being angry.... I know of one guy that poured 5 gallons of used motor oil down the well on a rent house he was being kicked out of.

[@GreenEarth20]

Ah the scorched earth retreat, can't say I blame em too much.

[@robertsquared2916]

The concrete trick is known section 8 trick, I will never be a landlord.

[@s0nnyburnett]

that's just plain evil. If you're mad at the bank take that concrete and mud up their doors and windows.

[@rbsmith3365]

Sometimes people set the house on fire to avoid lender to take it away. Crazy.

[@freddyhollingsworth5945]

@@s0nnyburnett yes, it doesn't hurt the bank, it hurts the little guy that buys it and discovers the damage after its too late...

[@xxhierophantxx]

As a home inspector, sunken floors are typically 1 of 4 things, none are inexpensive- Termite, Moisture, Mold, and Settling. Oftentimes, it's all four. Sinking typically indicates soil that is too wet, moisture content in cellulose over 20% makes a perfect snack for termites and is a minimum requirement for mold. Also, when you have a house set up on block and an open crawl space, the moisture is basically impossible to control and free access for rodents. Termites could cost as much as 3k to eliminate, mold can run upwards of 20k, your estimate for jacking up a house is right on- 10-30k, it really depends on if they have to drill down to bedrock, and in Louisiana I'm certain they would. Avoid crawlspace homes without closed foundations. On top of the moisture issues, it's going to be impossible to keep wildlife out.

[@markae0]

tear it down and start over is cheaper unless you have some stupid laws

[@septembersapphire347]

My house is not on a concrete slab nor is it a crawl space because you cannot get in it. It almost but not quite sits on the dirt ground. It was built in the 40's and to this day has had very little done to it, just a new entry door and the roof re-shingled. My living room floor is literally disappearing under the carpet. It's the only floor in the house with this issue, all the other floors are solid and sturdy. I know I'm going to have to get this taken care of but am terrified of pulling up the carpet to see what's under it. I'm at least glad my living room is small. My whole house is under 700 sq. ft.

[@markae0]

@@septembersapphire347 Plywood sheets come in four feet by eight feet dimensions. Throw some down if the beams underneath are good.. If the beam/frame and supports are gone, then you have to redo that first AND this must be checked FIRST. A simple living room floor could be re-framed in half a day.

[@ADrunkBassist]

That's a mobile home. The trailer probably just needs leveling.

[@mariusjenkins7294]

As someone who is not a home inspector, I would never buy a house on blocks like that just because I have common sense lol... As soon as dude walked outside and showed the crawlspace I was already imagining all the shit living under there and what damage they were probably doing to the house...

[@noreenebostick9593]

God bless homeowners who get foreclosed on and leave the foreclosed home in great shape. Why destroy a house just because of a negative relationship with a bank when a house can be a blessing to someone else. Walking away in peace makes for a peaceful future. Overcome evil with love. Smiles

[@ganggreen9012]

When I was house hunting one of the properties I looked at was a foreclosure. It needed a new roof and had serious water damage. The house smelled of mold. It was also full of abandoned personal stuff that would have taken multiple construction dumpsters to haul out. I could have gotten it for less than $60K and fully restored it would have been worth $150K+, but I would not have been able to do the work myself and I don't think everything that needed to be done could have been hired in for the $90K difference.

[@samtx5518]

Time to ask the bank for a 50% discount…!

[@SquirtlePWN]

Condition is already factored into the price… the bank won’t move more than 3% off their price.

[@satanicmonkey666]

We found the guy in the comment section asking for free cologne samples before he commits to buying the full bottle.

[@SCP-001DatabaseAdministrator]

@@satanicmonkey666 but they do give free samples....

[@williambell4576]

That's what I said 😅

[@MisterMikeTexas]

That's about as likely to happen as J.C. Dithers giving Dagwood Bumstead a raise! 😂 In fact, the banker might boot you on the butt like Dithers does Dagwood.

[@simoncameron4355]

First foreclosure I bought was for 30K, put 13K into it an a whole lot of work, now worth 140K, and the rent is 1k a month.

[@captainsunbear5472]

where the hell do you live where you can buy a house for only 140k?

[@simoncameron4355]

@@captainsunbear5472 Almost any town with 5,000 people or less.

[@gregorylyon1004]

My brother bought a foreclosure from the bank. He thought that he got a deal. Then after he bought it he found out what things really cost to fix. The electric lines were cut at the box by whomever lost the home. The well pump was missing. The siding was never finished on the back of the house. The only things that were good was the roof and the foundation. The house was a disaster overall. It cost him thousand of dollars over his budget to fix. And he didn't even finish all the repairs.

[@albertmarnell9976]

Always get an engineer's report. You seem like an honest realty person. They are very rare. You are correct about labor. I always check for a license and insurance. Rarely will I let someone do anything without a license and insurance. Great information. Most people don't do their homework. Lift the lid of the toilet tank and all of that kind of stuff. Don't just look at the room size. Look at what has to be replaced or soon to be repaired! Listen to this guy!!!

[@1331RECIPROCITY]

Thank you.. your one of the smartest most upfront honorable agents I've found....

[@TheRealWayneTurner]

Thank you!

[@ronaldmiller2740]

@@TheRealWayneTurner I AGREE!!!!!!!

[@wayofthekodiak3118]

"Labor is expensive" Tell that to my customers who want everything for free or almost free.😂

[@jimh2061]

Great advice! Im a GC and you are 100% correct. And this doesnt include the painting and bathroom remodeling or landscaping or patio and deckwork. Buying a house that needs a lot of work is kind of like trying to restore a classic car. Your always gonna put more money into it than you think. And in the end buying a house thats turn key ready can make lifeuch easier. But hey sometimes you just cant afford that turn key and dont mind doing the work yourself.

[@legenddaughterrd]

Nor necessarily unless you know people

[@Tim85-y2q]

The thing is, if you can't afford the turnkey, you probably can't afford to bring the fixer-upper up to scratch either. My dad was a contractor and I've seen way too many people do that and end up living in an absolute craphole forever because they never have the money to fix it up.

[@johnschnellbach986]

My son's house he bought was $7200 to get rid of the sagging foundation. Plus, they couldn't get all of it out. You still will have a sloping floor as well as all the cracks in the walls you'll have to fix

[@WORDversesWORLD]

I’ve seen brand new homes in need of work, not surprising at all for an old home needing it.

[@NicholasANappiNick]

Bought one 4 years ago,probably never again but for 161 it’s now worth 350.but I’m a retired contractor.if not forget it

[@wisenber]

A metal roof will last more than 25 years in the South. Most are warrantied for 50 years. If a metal roof fails before that, it was either under water or got hit by winds over 130 mph. Insurance companies will ask when a shingle roof was installed. They don't ask how old a metal roof is.

[@user-gz4ve8mw9l]

Metal roofs cost a fortune compared to an asphalt shingle roof. I just paid to have a new architectural shingle roof put on my house. Mine was 24 years old and in rough shape. I would've loved to put a metal roof on it. My house needs $150k worth of work to make livable. So I definitely couldn't afford to upgrade the new roof unfortunately.

[@wisenber]

@@user-gz4ve8mw9l Metal roofs are priced similar to asphalt. If they're not, you need to be talking to another roofing company. Shingle roofing companies bid metal out higher because they don't have roofers that know how to do metal roofs. I've enjoyed not having to worry about hail or winds since I moved to metal, and the savings on cooling bills has been an added bonus.

[@user-gz4ve8mw9l]

@@wisenber Interesting you might be right. All the roofers in my area were sky high on metal roofs. Google for what little its worth seemed to reinforce their prices. I called about a dozen reputable ones to give estimates. They all were coming in at 2-3x the price of an asphalt shingle roof. I found a local general contractor who installed my new roof for 30-60% less than the roofing contractors all offered. Came with a 15 year warranty for workmanship. Small house so only took them 1 13-14 hour day to replace it. Shouldn't need a new roof for another 25 years. As that was roughly the same age as the old roof that got replaced. So doubtful I'll get a metal roof at that point since I'll be dead before I'd need a 3rd new one.

[@wisenber]

@@user-gz4ve8mw9l I discovered hiring roofers as opposed to a roofing contractor saved me a ton. With both metal and oil being commodities, relative material prices vary. Labor for metal roofs should always be much lower, as the panels are cut before they're dropped off.

[@ma2perdue]

Anyone who prevents the lapidated or can dimmable housing from clogging up their town is doing good work. It's commendable and difficult dirty work sometimes, but I grew up in South Dallas and there are so many dangerous and unlivable properties that just sit there for decades.

[@321CatboxWA]

Prevents the Lapidated ? Dimmable housing clogging up the town ? I'm lost .

[@hungrycollegekid]

Dilapidated and condemned...think that's what he meant

[@hungrycollegekid]

​@@321CatboxWAdilapidated and condemned

[@bobbyhill1013]

That sloped floor sucks. 😂 you will have to remove the counter top before you level anything from underneath. And once you level that part of the house. You will have to adjust the rest of the house. I spent so much time under houses I promised myself I would build mine up so I could properly walk under it for repairs and maintenance. Best decision ever 👍

[@thegrim418]

My old man bought a house at Sheriff's Auction and the whole place was trashed. Got it for about 50 grand back in 2004 and that was the going rate for the land. Spent another 40 fixing it up with all free labor. He had friends that did home leveling/raising do the labor free, electrician friends help him out for a few cases of beer, those sorts of things. By 2006 it was a livable house and we're still in it today. Had he not knew so many friends who owed him favors he'd have been buried under the costs since it was site unseen.

[@gustav24-7-52]

That house looked pretty good. Most foreclosures are gutted. I'm amazed that the banks which own the properties don't go after the "owners" who skipped out on their mortgage and trash the place, stealing fixtures, plumbing, HVAC systems. They destroyed the bank's property. Surely that's a crime and the banks should go after them for damages.

[@pianokeyjoe]

Ya know? I have wondered about that too! In Puerto Rico there are MANY foreclosed homes since the rich outsiders have drove up the prices and what I always find is most homes are gutted. No arrests nor repairs made before going to market either. Its crazy! In FLA, same thing! I am thinking at least with older homes, banks are more interested in the LAND and the house, as long as it is still standing is a technicality? I do not know lol. I have wondered bout that though.. In my childhood days these foreclosed homes in PR and FLA were just called abandoned houses..

[@sbrazenor2]

Sometimes they get fucked up after the fact. Before I bought my house, someone had broken into it. Because they stole shit, my water heater was brand new when I walked in. (Paid for by the bank.) 😁👍

[@Koen75NL]

Looked pretty good? Wow... Just from this I see the moisture issue and what looks like moldy walls. Like he says at the end, he needs to get out. Dumpy little shack. 'Looked pretty good' lol

[@GregMoress]

The bank knows that those people have nothing to compensate for the damage they caused. It's called "Judgement proof", You can sue them, but they're broke, so what's the point? It's why so many people loot and destroy businesses so freely, cause they have nothing to lose. Put them in jail and you get called the R word.

[@PyrokineticFire1]

i'm not sure what crime they could be charged for... insurance fraud? it's probably a winning civil case, but the defendant just lost their biggest asset, there's rarely enough to take to make the lawsuit worthwhile.

[@richardavery2244]

You are 1000% correct, there only a few situations where you can get a bargain, like I did in 1993, I bought a foreclosure which was 1 year old and not lived in for 4 months build and sold in 1992, so the place was new. Even so the roof needed minor work and I needed termites treatment, all that said I paid $270,000.00 when it sold for $368,000 in 1992! Today it’s worth a lot more!

[@Passionate747]

I am writing to you today to share with you the best video ever made on KZbin about real estate. This video is an absolute must-see for anyone who is interested in buying, selling, or investing in real estate.

[@mellowmoods8393]

I bought my first home, a condo in a bank foreclosure in north San Diego County, California in 1995 for $26500; AND they gave me a 30-year mortgage on it which came out to $163 a month. As a 25-year-old kid delivering pizzas, I was in hog heaven! Now that same condo is listed for $475k, which a kid delivering pizzas could never afford. I should have held on to it. Shoulda, woulda, coulda,...

[@douglassequeira5419]

When you add up everything sometimes its just cheaper to just buy land cheap and build a house from the ground up.

[@kenbagwell8551]

I've GC'ed my own home and it's the hardest thing you will do in your life.

[@finned958]

That house can be a tear down. It usually costs thousands to hook up utilities and grade a new land. Design a new house around the current foundation.

[@BLB048]

Alright, I'm convinced. Time to burn it down and build new.

[@beerdrinker2001]

I didn't know Pierce Brosnan works in real estate & has a southern accent.

[@Official_R_P_A]

Remember that good construction is not cheap and quality is never cheap. That house has moisture damage that you cannot see, the ceiling fan blades warping down is a good indicator of the moisture level in the home being way to high. High moisture content requires the home to be dried out with dehumidifiers before any work is done. Otherwise you risk warping all of the structure (wood) by opening the walls up before drying it out. Remodel costs 1/3 = materials 2/3 = Labor New build 4/10 = materials 6/10 = Labor

[@dyates6380]

Outstanding video sir, and quite informative. My GF is a very handy person, and she purposely looked for a foreclosure and found one that needed a fair amount of work, but not quite as much as this. She put all new floors in throughout, fenced in the yard with privacy fencing, and totally finished the basement in addition to walling off a section for an extra bedroom. She did all that herself, but did have a new roof put on along with completely upgrading the electrical. She paid around 84 for it about eleven years ago and now it's easily worth close to two hundred. I am not so handy, but she has totally upgraded my house for me through the years. Unfortunately, my house is in a suburb of Cleveland that is pretty much mostly section 8, so although it did come up some in value the past several years, I bought at the WORST time, in 2004 when everything was way overpriced. Her on the other hand, lives in a lovely suburb of Cleveland. I would definitely look for a foreclosure in the future for rental property, which is what my house will be very shortly as I'm moving in with her. Thanks so much for this.

[@JohnSmith-cz9om]

And you thought living in a section 8 housing neighborhood was a profit enhancement?

[@hankhenderson7489]

I've purchased properties before and I've never ran into anything like what he is saying..."THANK GOD" but it's great information and knowledge for the future!!! I'll definitely be getting in contact with him soon!!! Thanks for the insight!!!

[@kingkush8201]

I'm currently looking at homes in Oklahoma, foreclosed. This has been an eye opener. Thank you 🙏

[@noneyea-mh4qr]

When buying a foreclosed house to flip or keep have at least 30,000 to 40,000 to remodel it new roof air conditioning kitchen bath etc having flipped homes I always went with complete remodel granite matching kitchen appliances cabinets

[@superdave8248]

$250 per window? Try closer to $350. Plus installation cost. The crazy thing is just 10 years ago when I replaced my windows in the house, it was right at $100 each.

[@terryhill4732]

Unless the window frames are bad it's alot cheaper to replace the glass and save a small fortune vs new windows even if they're insulated

[@lsieu]

So true. People in foreclosure are often nor their best selves when they leave it, and can be vindictive. A friend evicted a renter, and that renter poured concrete down every drain.

[@michaelcarroll543]

Many of these properties are called "Money Pits" for a very good reason.

[@agentsliftingagents]

SUCH truth here!! Great heads up for newbies!!👍

[@jacobhotaling8959]

Don't have to turn on the electric, you just got to borrow or rent a big fat generator and just tie it into the pannel and test stuff one at a time

[@merc340sr]

He does have a point. Repairs/renovations are extremely expensive. Be ready for this if you want to buy a fixer-upper or foreclosure. You need the cash flow.

[@acebrigade9586]

A licensed certified / inspector pulls the dead cover from main oanel & inspects the interior & some run a test on entire electric system. Foundation is far more costly than a roof.

[@yogib37]

I was thinking if you have a nice property like the 2 acres, wooded etc. and have a nice bank Roll, why not just bull doze the house down and build up from scratch. build a nice 2000+ sq foot home. But then i cant see the whole property.

[@supershrpy]

Quality content once again Wayne! Keep it up!!

[@povedafilms]

You’re the dad I wish I would’ve had

[@JUST_ONE_ID10T]

Those ceiling fans are showing high moisture with the way those blades are bending down.

[@MisterMikeTexas]

It is Louisiana!

[@NotTheWheel]

I feel like I just stopped by to have a pleasant conversation with a nice Man on the side of the road who just gave me important life advice for free. That's my favorite kind of advice!

[@michaelwaldmeier1601]

Some houses are best handled by tearing them down and starting over. However, the land looked great.

[@wilsi473]

I can feel the humidity

[@carloquinn5233]

Very true. I know a friend's brother who purchased what he thought was going to be an easy flip based on TV shows. What a disaster now trying to sell it as is. Got to have big $$$$ and time.

[@scrunchiiface]

The drainage around the house and the water damage visible on brick veneer...OMG! This is how the flippers make the $ just paint the brick and wood chips w/ pretty new flowers😂

[@dyates6380]

We just retired and would LOVE to find something in the country, but unfortunately, at least up here in NE Ohio, finding a place that isn't a dump and has a few acres of land - AND in my price range - is just about impossible. I totally understand that for a decent sized home they aren't just given away, but that's on the small side. I am not familiar with the priced down in Southern Louisiana, but they seem a bit expensive also, at least for that house. Probably due to two acres of land being part of it? Eleven hundred square feet for a hundred grand on a foreclosure? I guess I'm a bit out of the loop. It's been 19 years since I bought a house.

[@terryhill4732]

The single best thing you can have as a homeowner or flipping a house is having a thorough background in this trade as it will save you thousands of dollars over time, theirs so much more than getting a deal on a house and the biggest mistake that some people make is emotional buying and not considering structural related issues

[@gueto70]

I get the same call from new property investors all the time and it is the same story. "I have had 5+ previous contractors out to looked at the house but they never return my calls." The investor knows, for example, a window costs little over $100 so they say they need it replaced for under $250, so THEY can make a profit. More expensive old size window + labor + replace plaster sash + reflash and secure siding J mold is at a minimum twice what they are willing to pay assuming there is no rot. Take what you think supplies cost, multiply by 3 and you are closer to the bare minimum.

[@ronaldmiller2740]

HI WAYNE,,, WOW!!! YOUR GREAT AND HONEST.... THE OUTSIDE ON THE HOUSE IS DIRTY,, THE SHED DOORS ARE OFF AND THE DOG HOUSE IS FALLING A PART.. BUT DID YOU NOTICE THE BLUE CAR IN THE WOODS WHO IS GOING TO DRAG THAT AWAY!!!! THANK YOU!!! CHEERS..

[@SquirtlePWN]

Lol never heard of the buyer being allowed to turn on utilities. We sell foreclosures totally as-is at a steep discount because the buyer has to take that risk.

[@Btobebone]

when I bought a house, it was cold season up north. water was still on but the house was winterized. we were told we could test the water as long as we paid the few hundred dollars to re-winterize the system if we were not going to purchase

[@loginavoidence12]

what i learned the hard way is if you see those jutting seams on the drywall, they didn't install it right and you're gonna have massive cracks in a couple years.

[@jackparkes4766]

15-80K to fix the settlement issues would be very typical

[@tedjohnson64]

Very interesting video! Never would have thought that pipes would be winterized in the South.

[@jonathanmezzenga2501]

I’m a residential structural engineer and the part about fixing the sloping floors costing 15k-40k is quite high from what I’ve seen. My advice is hire a structural engineer to diagnose the exact problem and then have the engineer recommend some contractors. Fixing the slope involves simple sister and scab repairs to the floor joists, subfloor repairs, and maybe girder and beam reinforcement could only cost 2k-10k in most cases. The slope may never fully come out after the reinforcement so just come over top with leveling compound and install new flooring of your choice 👌🏽

[@occamsrazor9183]

I stumbled on to your channel, a wealth of information, especially the cheap land hazards like no idea if it has or had chemicals seeped into the ground.....

[@zzzcocopepe]

Yeah I'm planning on buying a USDA to purchase for my first house. That way hopefully it'll be very cheap. And not need a lot of work.

[@pumpkinpie7254]

Some thing caught my eye in this very short walk through is not so much that ceiling fan but it's blades. I'm far from any type of professional but the sagging blades may indicate water damage. Thank you for your video.

[@ConnerKirk433]

I really admire the front and back porch , just Lovely ❤

[@mrlaw711]

Wanye, I like your demeanor. Wish you were near us in AZ.

[@CareBear-og6pe]

Check the record of HOME INSPECTOR! some home inspectors are a joke.

[@TheRealWayneTurner]

Always do your due diligence!

[@michaelb.8953]

Completely accurate comment. About 27 years ago I bought my first home from a really nice elderly couple pushing 80 years old and they just couldn't take care of the house anymore in their older years. About a month after moving in I went in the crawl space for the first time on the split level home and was horrified to find hundreds of hypodermic needles strewn throughout the insulation and even balanced in crooks of the rafters with a few drops of blood still in the end of the syringe. Come to find this couple had a 40 something year old son that lived with them in the upper room of the home that was a drug addict that passed away in the hospital months before them selling. I would think that this would be something that may at the very least be verbally mentioned to me if not mentioned on the inspection report as it wasn't something that was a structural issue, but they just wanted that sale to go through at any cost. Once I got that mess cleaned up the house itself was an awesome home for a few years living there and then I turned it into a rental for a couple of years before I sold it.

[@asmongoldsmouth9839]

This is why the majority of people do their own labor and work. You just have an engineer come in and certify that you did the work to code. Done!! The cost of parts and the amount of time though, is incredible.

[@billp4]

What does a chalk drawing of a person laying on the floor mean?

[@mybackyardparrots9198]

🤷It means: Price is VERY, VERY negotiable!😃🎉🎉🎉

[@MisterMikeTexas]

It means Feet, don't fail me now! It means Run! Don't walk! Run away from it!

[@ABCEasyas--]

Just $250? I upgraded one window to a Millgard window is about $900. But the rest of the repairs are much more.

[@denalayman5299]

I remember my husband and I looked at foreclosure yrs ago. The former owners stripped the kitchen and took the A/C and hot water tank

[@desertwind306]

Excellent advice! Have you ever done a short sale, or video on a short sale? I learned a huge lesson on buying that way, and that was after it had passed inspection.

[@MrBlueivory]

No air vents on roof. Definite mold accumulation inside of that building.

[@HB-yq8gy]

Thanks Wayne great tips. I live in semi rural Hunderton,NJ. There is a foreclosure older large expansion ranch sat vacant for 15 plus years. Everything was overgrown large trees,hole in the roof some fool purchased it for $200,000!😮.they’re still working on it for the last eight -12 months. They must have spent total $400,000. They could’ve bought a brand new house in the area for a little bit more less work.

[@KPHVAC]

Pay attention to the mechanicals, insulation, windows, roof, crawl space and attic! If the furnace, AC, heat pump, or boiler is getting close to 20 years old it's going to need to be replaced. That could easily be $20,000!!

[@KPHVAC]

Great advice to have the HVAC and Electrical inspected. Plus the roof and the septic! The mechanicals are so important and everything is so expensive now!!

[@R1D9M8B4]

Thank you for educating me. These are gems. I know nothing and I am looking to flip my money into something, I sincerely need to understand as much as possible. Thank you for making these videos.

[@billycarpenter4740]

I was an agent for 31 years in Orlando, 25 years of that time I was a Broker/owner of an office. As an investor you due a financial repair cost that includes all acquisitions costs. An amount has to be considered for unexpected expenses. Some pay a home inspector to inspect before making your purchase offer. If you do your due diligence your offer should be close to before repairs fair value. In real estate you need to be close within $10's of thousands of dollars for your purchase offer. Investing in real estate is an art, more than a science.

[@maryschade1906]

Oh boy..We went to foreclosure homes to take pictures for assessment..what a mess.

[@MeltWithU]

Absolutely. On top of everything, you said, you have to make sure that worst case scenario if you had to put X amount of dollars into it…. What are the comparables in the area going for? If you have to put 30 or $40,000 into the Home, how much can you possibly get out of it by doing so? If that number is less than or close to what the home might be worth in decent condition… Are you willing to accept very little or no profit on a property and then get that money through rentals over many years? Also, what are the comparables in the area renting for? Just make sure it’s worth your time and energy and there is an upside in the future… Otherwise, you might as well just put all of your money in a pile and burn it to save yourself, the heartache and hassle.

[@DubYaJsWorld]

I want to get a foreclosure, I'm able to do 99% of the work myself. As long as it's standing I'm willing to gut it and redo everything. Because I am able to do a full remodel, it will cost me a fractions of the money it would someone else

[@monstersaint]

Great info, thanks Wayne!

[@JoshuaJulyCaRealtor]

Thank you for your input and sharing with us about the dangers and risks with abandoned property's

[@NotTheFlag1]

Wayne i absolutely appreciate this info more than you would believe! God Bless you man 👍

[@Skyview4me]

1st time viewer. Your video was spot on. Thank you

[@johnhess9443]

Unfortunately I live in Canada and even the foreclosures have become out of reach for regular people suddenly. Within the last 4 years. It's tragic. Otherwise I'd love to find one and do the work myself.

[@pinktamagotchi]

yikes i gotta ask is the housing market really that bad up there? does it depends on the province? because my dream is getting a house in canada with my gf but now idk bout that RIP it cant be worse than the housing market in the us...right?

[@johnhess9443]

@@pinktamagotchi it's quite a bit worse than the housing market in the US, unfortunately. I wish you guys the best, hope things change for all of us, and the dream of home ownership won't be so out of reach.. but I'm afraid an entirely new govt would be required for that. homes were that were 125k 4-5 years ago are now upwards of 500-600k (that may even be a low estimate), we had 6 recent interest rate hikes and our rent has sky rocketed as well. It's been an unbelievably quick decline for the lower and middle classes. We're being heavily exploited. ...and I hate to say it's all provinces, but it's all provinces. You need a 25% down payment to avoid additional monthly bank insurance fees as well, meaning it's almost essential to have over 125-150k at your disposal... close the former price of a normal house in most areas.

[@johnhess9443]

@@pinktamagotchi I should also add that rent has gone up near 200-300% in 4 or so years as well. Depending on area. Even rural areas have no availability for renters, landlords charge whatever they wish but people need to live somewhere. Average 1 bedroom, not a particularly nice 1 bedroom, goes for around $1800-2300. I used to rent for well under 1k, and paid on the higher end to live downtown in my area.. Credit card debt per household has risen 90% in just 2 years. Food bank usage is the highest in our country's history. It's not a great time for Canadians. ...but again, I hope you and your gf (and myself too) can all reach our dreams some day.

[@pinktamagotchi]

@@johnhess9443 wow thanks for the info and well wishes, i appreciate it. even rural areas to? and that downpayment...seriously its expensive to be poor. it would be more cost effective to create my own island at that point lol. i thought canada was better than us but it seems like we share a lot of problems, that sucks. i hope u find that perfect house to work on! thanks again for the info

[@adambrown3918]

Great advice! Thank you. 👍

[@DeyvsonMoutinhoCaliman]

But the good thing about foreclosures is that you already have the permission for the house and all the bureaucracy. And also you can do the work yourself. When I bought my house I did all the work myself, learned a lot. But it wasn't in a very bad state as well, it was reasonably well.

[@jeffcates1626]

Thanks for making it easy to understand!

[@Bloomyok]

Awesome video, Wayne. Great info

[@agustinmosqueda2400]

Good info thanks. Maybe future home owner im renting now

[@jonny-b4954]

0:26 Heck, that's ideal actually if labor and material line up evenly. That's more often than not, that's not what happens. Usually labor is almost double what materials comes too, for our lines of work. I mean, for like siding jobs, it's usually only 2-3 thousand in material but like 5 or 6, maybe even 7 thousand in just payroll/expenses for a 2 week job. Plus my profit.

[@plandl1]

At 3:56, did I see a "water line" on the brick from flooding?

[@richarddrummond1614]

these vids are super informarive but it makes me leary about ownin g property.

[@GameFuMaster]

tbh, so much can go wrong with owning property. If you're building, you might discover bad workmanship down the line (warranty only lasts so long) If you're buying an existing home, then even more things can go wrong, like unknown damages, non-permitted renovations and occasionally finding out other legal issues (Couple buy dream home and live there for five years - then find out they don't own it)

[@dramspringfeald]

Honestly at this point, its cheaper to demo and rebuild with modern materials and use those tax rebates

[@realname2158]

The reason labor costs have skyrocketed is because, and yes I have seen it too many times, labor makes their own rules on how fast they work and how much they plan on getting done in a day. Rarely do you get an honest flat job rate from anyone, it's always hourly estimated and the totals change constantly. AND if the company you are using as a contractor puts a bunch of Mexicans on the job site, let's face it and it's the blunt truth AND NOT RACIST, they aren't paying them the labor rate they are charging YOU to do the job. Add to that the still artificially inflated prices for materials like lumber which should have dropped in price dramatically from "pandemic" levels but lumber brokers and stores are still making huge profits off wood. Same with concrete. Concrete used to be dirt cheap. Those days are gone. I have Andersen doors in my house and wanted to replace one and Andersen wanted to charge me $3000.00 for a freaking door. And even the "cheap" Home Depot doors aren't cheap. Construction now is a goddamn money pit unless you do it all yourself with a buddy or two or family. Add variable usually rising tax rates nationwide and forget affordable property tax let alone insurance. The system is now designed to screw ANYONE who wants to own a home or already owns one. Goddamn I am so sick of this sh*t that happened to our country.

[@pogiboy3571]

as long as your foot doesn't go through the floor, it's all good.

[@andrewallen9993]

It's as easy to repair a floor as electrical or water systems.

[@kenbagwell8551]

Come on guys, it depends on the situation. Really bad floors could mean foundation repairs.

[@andrewallen9993]

@@kenbagwell8551 As someone who underpinned a foundation on a brick house when he was twelve I can say without fear of contradiction that foundation repairs are so easy even a child can do it!

[@rhymeandreasoning]

After watching the movie, Cold Creek Manor, foreclosed homes scare me now.

[@eamonnmckeown6770]

If I could tell my young self something it would be find the worst property and establish the homestead clock immediately. Spend two years fixing it up yourself then sell and move on to the next one. Call it ethical flipping almost.

[@tieoneon1614]

Unless you are a contractor yourself who can do 1 of the various trades, and have friends that can do the other for cheaper you should avoid foreclosures. You can be sure to account for around double the cost and time spent you planned fixing everything, cuz there is always suprises. If u are lucky the previous tenants didnt sabotage anything out of pettiness either.

[@dart336]

the best foreclosures are ether turn key perfect with min rehab or complete bulldozer bait on prime land at dirt cheap prices. I'm just the researcher not the trustee so i can't pull the trigger. I have seen some nice places sold at deals. 2.2 acre. 2B2B worth ~120K, won at 53K. all it needed was mow, paint job, maybe a new toilet and a dumpster for the hoarded junk. Worth 1100 as is rent. I wish we didn't miss out.

[@Mollikar]

Hah my dad always refused to spend money so he got a little yellow super cheap blind buy house in the early 90s with foundation problems. So it sank into the back yard. He always wanted me to help him fix the roof which of course was not possible since the roof kept getting bent again.

[@joebob7730]

That house is a tear down.