Zoom Call 8.30.22 Pat Starnes Flip That House

By
Real Estate Agent with Mapleridge Realty, CT 203-206-0754 REB.0759001

Zoom Call  8.30.22 Pat Starnes Flip That House

ActiveRain member, Pat Starnes from Brandon, MS and Front Gate Realty was the presenter this week and offered her story as to how she became a flipper and what has worked to make her successful.

She offered up a brief synopsis of her entry into the business of flipping as a second step to her entry into the market as an investor looking to create a portfolio of rental properties that would eventually be her retirement portfolio.  This was altered when hurricane Katrina tore through the gulf states and holding real taste long-term didn't seem like the best investment in that ar. 

She also became frustrated with the constant maintenance of the properties whenever a tenant moved out and she had to clean up their mess.

She decided to venture into the side of buying, fixing and selling for a profit, although each property presented a different scenario.

She believes that not all investors/flippers are seeking the same result, and the market they work will decide what is best for them. Be it a condo or a residential property in a highly urban area and whether the choice is to buy and hold long term.

If a decision has been made as to type of property, then the next step is to confirm source of funds and have sufficient value to not only cover the cost of the seen issues but also for unknown repairs that may not be openly obvious.

Another part of the process is to make sure the last art of the process such as closing costs and tax ramifications have also been properly researched.

Pat believes that the best profit would come from doing research into the community where the property is located. Profit potential needs to be achievable, but also not over fixing is important so that it is not the best house on the street, but another comparable property.

Buying a property that needs very little and has just sat on the market is not a wise investment. The more work that needs to be done, the higher the potential for greater return.

Taking a personal approach to the refurbishment and being creative can also help.  If you cannot do the work yourself, find contractors and workers that meet your criteria, and you can trust to do their jobs properly and within the budget you have created. Cost overruns will suck all the profit out of the project.

Pat discussed a particular flip she had done on a modest neighborhood and how she was approached by several of the neighbors to compliment her on the job but also point out a distressed home at the end of the street that could have potential.

The owner was an elderly person and also somewhat of a hoarder. She couldn't maintain the house but was very reluctant to allow people onto the property due to the issues and her embarrassment. Pat suggested she evaluate the property and offer a fair market price allowing for the clutter to be removed and the fixing that needed to be done.

This was an acceptable solution and Pat began the task of refurbishing this fixer-upper.

This home offered a great upside potential as it was a rare home with a 3-car garage. Once inside, it was a large challenge as there were major mechanical issues that had been ignored for years as well as cosmetic issues that were just ghastly.

The contour of the home also presented issues as it had a large rear sloping lot that presented challenges both for cleaning up the exterior of the house as well as accessing the yard itself.

The foyer of the house was high, and the walls were covered with a wallpaper which was actually brown paper bags glued to the walls to create an "only a blind person could appreciate" look.

Using her creativity and the desire to spend a reasonable amount of money and time to remediate.  After giving it reasonable time, she decided the best action to clean it u was to jus cover it all up with board and batten materials and give it a fresh clean look with reasonable expense and labor. She also had the railings and spindles replaced and cleaned and refinished the stairs herself. The look was very appealing when she was done.

The outside entryway to the property was a challenge for the deterioration to the doors and neglect. She cleaned up and re-stained the doors.

To get this completed, new columns were installed, and Pat was the painter that stained and refinished the entryway.

There was also the unforeseen expense of a rotted tree on the property 

This required a tree trimming company to come in and take down and remove as well as a few other trees and trimming back some of the overgrown ones as well. This was an unforeseen expense of $3,000 that came out of the budget

Due to the sever slope of the lot, a lift was brought in to paint the exterior.

The interior of the house had the kitchen redone, as well as cleaning the fireplace and installing a new mantle, The bathrooms were redone, and a large room was made into a possible additional bedroom by the addition of a large walk-in closet which could either be a closet for the bedroom or storage for whatever the purpose of the room as well. All the interior rooms were repainted to make the house as well.

The rear of the yard had a sever slope so to make it easier to access there were stairs and decking repaired and installed.

The work was done right, and the house was sold to allow for her to make a better than reasonable profit.

Zoom Call  8.30.22 Pat Starnes Flip That House

 

Posted by

 

Edward (Ed) Silva
Broker Associate

Serving Central Connecticut Sellers and Buyers

My Blog
Email Me
EdSilvaCTRealtor.com


C:  203-206-0754
Call or Text

O:  203-758-6440

 

Do you know anyone who is behind on their mortgage and doesn't know what to do? I may be able to help them. I am an experienced Short Sale Broker

Short Sales in Connecticut

 

Search all active Connecticut listings

 

 

Comments (24)

George Souto
George Souto NMLS #65149 FHA, CHFA, VA Mortgages - Middletown, CT
Your Connecticut Mortgage Expert

Ed I have never had a desire to be a landlord, but under the right conditions flipping properties would be something I would consider.  So Pats presentation spoke to those like me.

Sep 01, 2022 12:47 PM
Pat Starnes-Front Gate Realty
Front Gate Real Estate - Brandon, MS
601-991-2900 Office; 601-278-4513 Cell

Thanks for the review, Ed. I was nervous as public speaking is not my forte'. But the love of fixer uppers keep me going.

Sep 01, 2022 01:10 PM
Anna Banana Kruchten Phoenix Broker

You did great Pat Starnes-Front Gate Realty !  You're knowledge and love of your passion showed up big time!  You rock!

Sep 01, 2022 04:32 PM
Kat Palmiotti
406-270-3667, kat@thehousekat.com, Broker/REALTOR® - Kalispell, MT
Helping your Montana dreams take root

This was such an interesting presentation - I loved the before/afters and it gave me a lot of ideas....

 

Sep 01, 2022 01:38 PM
Anna Banana Kruchten Phoenix Broker
HomeSmart Real Estate - Phoenix, AZ
602-380-4886

Ed really great recap of Pat Starnes-Front Gate Realty!  I really enjoyed the whole presentation!  I've done many of these type of homes so I could so relate to what she was saying.

Sep 01, 2022 04:35 PM
Jeff Dowler, CRS
eXp Realty of California, Inc. - Carlsbad, CA
The Southern California Relocation Dude

Thanks for a great recap of Pat's presentation, Ed. I'm sorry I missed it. he clearly shared lots of good information, valuable lessons and terrific photos.

Jeff

Sep 01, 2022 04:53 PM
Dorie Dillard Austin TX
Coldwell Banker Realty ~ 512.750.6899 - Austin, TX
NW Austin ~ Canyon Creek and Spicewood/Balcones

Good evening Ed,

I'm sorry I missed the Zoom meeting so thank you for the re-cap of Pat Starnes-Front Gate Realty presentation. Love the photos and it sure sounded like everyone thought it was awesome!

Sep 01, 2022 05:12 PM
Kathy Streib
Cypress, TX
Home Stager/Redesign

Hi Ed- thank you for another great recap of Tuesday's Zoom presentation. I loved hearing what Pat Starnes-Front Gate Realty had to say and seeing her Before and After photos!!!   She definitely knows what she's doing. 

Sep 01, 2022 06:14 PM
Myrl Jeffcoat
Sacramento, CA
Greater Sacramento Realtor - Retired

I am certain all who were able to attend Tuesday's Zoom call benefitted from their attendance.

Sep 01, 2022 07:03 PM
Myrl Jeffcoat
Sacramento, CA
Greater Sacramento Realtor - Retired

CONGRATULATIONS Ed, on having this blog FEATURED in the Old Farts Club group!  

Sep 01, 2022 07:04 PM
Nina Hollander, Broker
Coldwell Banker Realty - Charlotte, NC
Your Greater Charlotte Realtor

Good morning, Ed... I was sorry to miss this presentation but after reading your post feel like I actually was there. Flipping homes is not for the feint of heart... and I have a lot of respect for people like Pat Starnes-Front Gate Realty who do this successfully.

Sep 02, 2022 04:51 AM
Brian England
Arizona Focus Realty - Gilbert, AZ
MBA, GRI, REALTOR® Real Estate in East Valley AZ

Your summaries are always appreciated since I have not been able to attend many of the zoom meetings recently, thank you!!!

Sep 02, 2022 07:35 AM
Ed Silva
Mapleridge Realty, CT 203-206-0754 - Waterbury, CT
Central CT Real Estate Broker Serving all equally

Jan Green - Scottsdale, AZ  It was an excellent presentation and the before and after photos told a great story.

George Souto   She showed that it is more than just a buy, clean and sell but the resources needed are extensive

Sep 02, 2022 08:39 AM
Ed Silva
Mapleridge Realty, CT 203-206-0754 - Waterbury, CT
Central CT Real Estate Broker Serving all equally

Pat Starnes-Front Gate Realty   You did a fine job and not once was there a waiver in your voice or a quiver of your lips.

Kat Palmiotti   You have already demonstrated that big challenges are nothing new to you so this could fit you well

Sep 02, 2022 08:41 AM
Ed Silva
Mapleridge Realty, CT 203-206-0754 - Waterbury, CT
Central CT Real Estate Broker Serving all equally

Anna Banana Kruchten CRS, Phoenix Broker   She did wonderful and as she noted there are types that work well and others that need to just be a no.

Jeff Dowler, CRS Her photos were very helpful and I didn't include all of them for the length of the recap

Sep 02, 2022 08:44 AM
Anna Banana Kruchten Phoenix Broker

Ed loved that you included as many photos as you did!  Really helps tell Pat's story.

Sep 02, 2022 09:51 AM
Ed Silva
Mapleridge Realty, CT 203-206-0754 - Waterbury, CT
Central CT Real Estate Broker Serving all equally

Dorie Dillard Austin TX   It was a very informative presentation and she presented it well. 

Kathy Streib   She gave wonderful insight into how she approaches her flips and her details were very helpful.

Sep 02, 2022 08:46 AM
Ed Silva
Mapleridge Realty, CT 203-206-0754 - Waterbury, CT
Central CT Real Estate Broker Serving all equally

Myrl Jeffcoat   It was a good meeting for those that attended. Alsos, thanks for the recognition.

Nina Hollander, Broker   I have seen Flis where it as little more than a bit of lipstick. She showed how it should be done properly

Sep 02, 2022 08:48 AM
Ed Silva
Mapleridge Realty, CT 203-206-0754 - Waterbury, CT
Central CT Real Estate Broker Serving all equally

Brian England   Thank you, I do the best I can but cannot get them up same day

Sep 02, 2022 08:49 AM
Sheri Sperry - MCNE®
Coldwell Banker Realty - Sedona, AZ
(928) 274-7355 ~ YOUR Solutions REALTOR®

Hi Ed Silva - another great summation of a call that I couldn't be on.  The Tuesday calls pose a real challenge for me.  We have office meetings that day at the same time.

Sep 02, 2022 12:52 PM
Laura Cerrano
Feng Shui Manhattan Long Island - Locust Valley, NY
Certified Feng Shui Expert, Speaker & Researcher

There’s a lot to be said abou flipping a house and having that be the art onto it self

Sep 02, 2022 10:29 PM
Lawrence "Larry" & Sheila Agranoff. Cell: 631-805-4400
The Top Team @ Charles Rutenberg Realty 255 Executive Dr, Plainview NY 11803 - Plainview, NY
Long Island Condo and Home Specialists

I was not able to attend, but appreciate your recap Ed. Including her photos does tell lots of the story involved in these investments!

Sep 03, 2022 12:12 PM