Dwelling Rescue LLC

…and with the home on Libby. the answer was a quick clean up and then get it back up on the market.

With this investment, I was toiling with the value of rehab – replacing the flooring and remodeling the kitchen. But in the end, I let market conditions in the neighborhood weigh more heavily.  Although the home comp’d easily at $113K as it sat, a complete remodel would have only brought up it’s value marginally. Probably only slightly over the expense of the remodel itself.  The jump in sales price would have extended the days on market and..we should all know this…time is money. In addition to rehabbing thoughts there is a short sale listing across the street for $89K, with its sales price dropping weekly – this home gave me some anxiety because it had a pool, a recent remodel and nicer floors than mine. That home is scheduled to go up for auction on December 13th…maybe I’ll get that one as well!!!

How did this project go? I’m glad you asked.

First day, I called my handy locksmith to get access to the property and he was out in 3 hours. Not to shabby. He picked the locks quickly and we were in. On the messy scale of one to ten, I’d have given it a seven…bathrooms a complete ten. How can people live like that? Absolutely disgusting. Other than junk laying around, marks and smudges covering the walls and a funky smell the place looked okay. It looked like the previous owners were contemplating steeling the dishwasher because it was unhooked and partially pulled out. Trash was everywhere inside. In back there was a gazebo around an old jacuzzi and an above ground pool. Neither had been used in perhaps years and both would have to go. That gazebo was about to crash down a huge liability issue. There were also some rose bushes that were way out of control. Junk everywhere.

Kitchen cabinets were a mess and it would take a special person to be able to see past that on the market. I was certain they would need to be replaced. But when I attempted to clean up the first door, most of the grime came off with a little effort. There was some lemon oil left by the previous occupants. [Side note: It's very interesting to see what people leave behind. Next project, I'm going to list some of the more interesting items.] A splash of lemon oil and that cabinet, although not great, or even good for that matter, would be okay to keep. I was starting to think, get in and get out of this property as quickly as possible.

It took about a week to get water and power connected. My first attack? I took a wonderful day to go after that gazebo with my sawzall. You know, demolition can be very therapeutic…especially after getting divorced.  The smell of fresh cut wood, the crashing of a 3lb hammer, the throwing of waste materials – it’s all good for the soul. I slept like a baby that night.

Clean-up on the inside took about a week, and I hired my trusted landscaper to clean up the front and back yards, remove the pool and the pile of gazebo I made.

Inside, I matched the paint in the kitchen and living rooms because they were definitely needing some tough-ups. The two extra bedrooms were going to need to be completely painted. One was pink and the other was just covered in crayon and marker and who knows what else.

With this home I was less methodical. I’d just show up and do what ever needed to get done or more accurate whatever I felt like doing that day. I put it off until the water was turned on but one of the first things that got done after the water was on was get those bathrooms cleaned. Way, way, way over the top gross. Next time, I’m hiring someone to clean the place before I start. Painting took a few days because that project kept growing and growing. Next time, I may hire a painter too.I just don’t like painting that much.

More to come…

What did you do for lunch?

It was the perfect end to a great lunch. My friend, Matt, is currently writing a book and he was filling me in on some of the details over lunch at the California Pizza Kitchen. I got the call from my bidder, Keith, as we were finishing up lunch. I didn’t have real high hopes of getting any properties today. The other two homes I was looking at were in less-than-desirable neighborhoods. Libby was the only one I was putting in a bid for and I was really low balling it.

My phone rang…I answered after seeing who it was on caller ID. “Hey Keith.”

“Libby’s up…what was your top”

I had my figures with me and told him. I overheard him tell the auctioneer “plus one” adding a single dollar to the opening bid…nothing else.

“Hey, Darin. Looks like you’ve got it for a dollar over!”

NICE!

Matt and I drove out to Libby to see the property and I called to have a locksmith come and change the locks.

I love this job!!!

Pictures to follow in subsequent posts.

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Booyah, it’s SOLD!!!

18017 N 41st Place closed on Friday!!!

FHA and mortgage company hang-up drug out the closing almost 4 weeks. FHA regulated double appraisers also cost me some cash but that’s all water under the bridge.  A profitable out-of-the-gate start and I learned as much as I earned. This game is not for the squeamish or weak at heart.  There’s a lot of money on the line and the clock is ticking.  And with flipping homes, time really is money – lots of money.

On to the next property.

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Wow! I’m really excited about getting this Phoenix home on the market.

The rehab went extremely well and I’m only slightly over budget with the landscaping and appliances running a little over. Other than that, this project has gone very smooth. I’m still praying over this one because the project’s not over ’til we close escrow.

The kitchen – was a complete wreck and is now a model home kitchen perfect for entertaining. Everything is new and if I don’t say so myself, it turned out nice.

I wish this was my kitchen.

Demolition was almost nonexistent since the previous owner only placed the cabinets into the kitchen after stealing the ones that were there. Ha! I’m thankful he turned the water off before he stole the water heater and sink…Grr! As angry as I was about the appliances and cabinets, having the cabinets he put into the kitchen just sitting there made removing them as easy as picking them up and moving them into the garage for selling on Craigslist.

(continue reading…)

The end of the week finished strong with granite counter top installers, landscapers and my son and I all making huge progress on the home.  I will say however, Saturday I didn’t get much time to work on the home. We were celebrating a barmitzvaha with some great friends of ours.  It was nice to finally get out of the house to be honest.

Kitchen is nearing completion with cabinets and granite counters installed, the travertine back splash almost completed and the appliances being delivered on Monday. The granite counter tops look better than I had anticipated.  The “wow” is definitely showing through and this Phoenix home is really shaping up. I’m beginning to wish I had installed under cabinet lighting to further highlight the natural stone.

The front of the home is coming along nicely with what used to be a dirt parking lot being transformed into a beautiful desert wash complete with river bed, a couple mesquite trees, sage and yucca plants.  A drip system needed to be installed of course.  Estimated completion of the landscaping is Tuesday…I gave the guys the day off today.

The ice cream van is still in the back but the old owner said he would have it hauled away.  I’ve gone to MVD to get an abandon vehicle report to get that rolling as well just in case he doesn’t follow through. This could be a 30 day process of getting the title so I’m getting that rolling on Monday.

With the vast majority of the trash removed, sold or stowed in the ice cream truck, we’re definitely in the home stretches.  The home was purchased at the trustee sale on the April 16th, and I was able to get the occupants out by the 20th without legal action or cash for keys.  I was fortunate.  There are too many stories of occupants taking weeks to get out and doing malicious damage to the homes.

Purchased home in North East Phoenix two weeks ago.  It was in fair condition with projected rehab in the range of $15,000.  I’m in the process of replacing the kitchen and have done plenty of pluming repairs.I’m looking for adding as much WOW as possible.

Clean-up in this home the inside was minimal but the garage, shed and back was rather extreme. I was contemplating on renting a dumpster to get rid of the trash.  Some of the items left behind did get sold on Craigslist…just love Craigslist. There were some lighting fistures stolen as well as the entire kitchen and water heater.

The kitchen cabinets have been installed and the granite counter tops get installed on Friday with the appliances being installed on Monday. It will be great to have the kitchen behind me.

What’s left??? 
Landscaping is an important measure because curb-appeal plays such a large part in resale of residential real estate. A home must look great to bring in top dollar.  I’ve contacted a friend for a bid and am getting another bid as well. The landscaping should only take a few days tom complete.

Back Yard clean-up is almost finished.  This home is on over one half an acre…the back yard is huge and in Phoenix that is a blank canvas for swimming pools and other landscaping features. I’m getting some landscaping and pool companies to put together some designs to place on the home for potential buyers to consider.

Sell This House!!!

Although today’s foreclosure auction list was large enough, there weren’t many properties to pursue.  The only ones of interest to me were one home in Scottsdale and another home in Cave Creek.  Both were occupied…

Why Dwelling Rescue?

I purchase foreclosing homes in Phoenix and the surrounding areas, fix them up (in most cases they definitely need it) and then sell them at or slightly below market value.  It’s an opportunity to improve neighborhoods, supply working opportunities to local sub-contractors and hopefully provide reasonable compensation for myself.