Have you ever made a mistake? Of course…we all have! Have you ever made the same or similar mistake more than once? Me too, and here’s the story of the $12,000 mistake which was served to make our business stronger.
One Snowy Day in Lansdale…
This is going back about 3 years when I used to go look at properties with my Realtor (before my wife got her license) to estimate the repairs. Man, talk about time-consuming!
My process back then wasn’t all that sophisticated: I’d draft an email to myself and list the work that needed to get done, which was based on my quick walk-through. Not exactly a fool-proof process!
It Gets Worse…
As if simply writing down the repairs that I noticed wasn’t sloppy enough, my “process” for calculating offers was pretty archaic, too!
I’d do the math in my head to identify the cost for each repair item, and then I’d add the 20% misc. Not too bad, but it gets worse…
Then…I’d calculate all the other hidden costs (insurance, financing, closing, commissions, maintenance, utilities, etc.) by-hand!
After about 20 minutes of number-crunching, I’d have arrived at a solid purchase price. Well…as “solid” as you can get when you’ve done everything by hand!
The Last Straw
You’ve heard about the “last piece of straw that broke the camel’s back” rifght? Well, my “last straw” was on this snowy day in Lansdale at 512 Poplar Street.
I forgot the HVAC!
Now, you’re probably thinking to yourself, “Gosh Jim, I’d never forget something like that!” Well, if you’re making 10-20 offers per week, calculating everything by-hand with no checklist, you will, sooner or later.
“Necessity is the Mother of all Invention”
Well, there was no doubt that I needed a system! The first and most important piece of this system was this property inspection checklist that I created for myself, so that I’d never miss another big (or small) repair item on any potential rehab!
How the Magic Checklist Transformed Our Business…
Now, I have other people (field agents) go look at houses for us, even if they have minimal real estate experience! With this checklist, literally anyone can go take a look at a property and be confident that you’re not missing any needed repairs!
Click HERE to Get Your FREE Copy of the Property Inspection Checklist.
I hope it helps you out a lot and keeps you from making the same $12,000 mistake that I made in Lansdale!
To YOUR Success,
P.S. – On tomorrow’s blog, you’ll learn how I not only used the checklist but also automated the offer-calculating process, too!