How Do I Successfully Flip and Invest in Michigan Real Estate? – Bradley LaBrie
On this episode of The Closing Table, we sat down with Bradley LaBrie!
To watch the full episode, check it out on YouTube below. In the meantime, here’s a summary of the conversation…
Here’s what you missed from Bradley LaBrie…
The conversation began with a fill in the blank ice breaker on what makes a neighborhood more valuable, recommended down payment, and more. Bradley serves the Davison, Michigan area where his brokerage is located. The city is known for its investment in the school district and its impressive sports program.
When it comes to appealing to the Board of Review of Richfield Township to get your taxable value or property taxes adjusted, there are certain arguments that tend to be successful. Bradley explains that many people come in feeling frustrated that their taxes have gone up, but the reality is that the assessor may be unaware of the current condition of your home or may believe that it is undervalued based on surrounding properties. It’s important to understand that the board’s role is complex and involves more than just providing a check and balance to the assessor.
Next, Kevin brought up a statement from Lawrence Yun, Chief Economist at NAR, that says; it is crucial to increase the housing supply in order to meet the growing demand. However, as a developer, there are a number of obstacles that must be overcome in order to build more new construction homes. Bradley pointed out the cost of construction as one of the biggest factors, with the aim of building high-quality homes at an affordable price point proving increasingly difficult due to the rising costs of materials and labor. Buyers looking to purchase new construction homes also face obstacles, as the cost of bundling is often passed on to them.
Moving on to the topic of investment properties, in 2019 rental investment advisor Mashvisor named Belleville, Detroit, Manistique, and St. Helen as the best cities in Michigan for both traditional and Airbnb investment properties. However, Bradley notes that he is more focused on the county he serves and is not an expert in these other areas. He also shares his personal experience investing in rental properties in Davison.
When it comes to flipping condemned homes, Bradley has seen some truly appalling situations, such as squatters or even dead animals inside. However, the typical process of rehabbing and flipping a condemned home is not overly complicated. After the city has condemned the property and issued a certificate, permits for building, plumbing, electrical, and mechanical work are obtained. Then, the property is gutted and brought up to code, with inspections taking place along the way. Finally, the house is ready for sale.
Of course, there are challenges that arise during this process, but Bradley stresses the importance of being solution-oriented and adaptable. Assessing the potential profitability of a condemned home rehab project involves taking a number of factors into account, such as rehab costs, square footage, labor, and other requirements. Ultimately, it comes down to a cost-benefit analysis to determine if the project will be worth it. Bradley notes that experience plays a big role in getting better at assessing these factors over time.
The conversation wraps up with the two talking about Bradley’s podcast platform called House Hacking Success, where he and his team have had the opportunity to meet a lot of incredible people. It is primarily focused on discussing different ways to get into real estate and is designed for anyone who is interested in learning more about the industry.
Check out Bradley LaBrie:
https://www.facebook.com/bradley.labrie
https://www.facebook.com/SoldbyLaBrie
https://www.instagram.com/bradleylabrie/
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