Entrepreneur of the Week - Post 4 So it's time to introduce Dor. I decided to make a questionnaire with Dor and ask Dov…
This week's entrepreneur - post 4
So it's time to introduce Dor.
I decided to make a questionnaire with Dor and ask things that interest me and hope it will interest you too. Dor is responsible for finding the deals, analyzing the deals, buying, managing all the employees under him (foreman, electrician, renovators, plumber, etc.), working in front of the municipality, and handling the sale / together with a real estate agent of course.
I think a lot of people are interested in the following questions, you can tell us about: How did you get into the field? What did you do before the first flip?
- Before I moved to New York and started flipping in New Jersey I was a contractor in California.
Tell us about the first deal: I know it was a single family in southern New Jersey about 1500 square feet. How did you find the property?
- I studied the area, traveled a lot in the field and studied the structure of the houses and how many are sold, it took several months until I understood the area to a level where I knew exactly how much the house I was buying was worth and how much it would sell at the end of the process.
How did you know the house was right for investment?
- High certainty in the amount of sale, this cookie cutter (identical to other houses in the neighborhood) The condition was relatively good and the house is relatively new in 1990 so the likelihood of complications is relatively low. And the kind of professionals he needed were not complicated to find.
Were you either feeling or just about numbers you analyzed?
- The numbers were not amazing, but the certainty was high and that was what was important to me.
What went into the deal?
- Within five weeks the house was ready, so most things in the deal worked out quite smoothly.
What was the hardest?
- It was most difficult to find professionals in the area.
How did you find the right professionals?
- Walking around the area and stopping near other construction sites.
What did you feel when you sold the house and made a profit?
- Numbers are a measure that determines the level of performance throughout the process, the feeling should not get a place neither good nor bad, otherwise it affects judgment and causes errors. So the short answer is: nothing.
What did you learn from the first transaction you implemented in the second transaction?
- The second deal was a burnt house, the risk keeps other entrepreneurs away and creates an opportunity, the process is completely different, so there was not much to implement from the first deal.
What tip can you give someone who wants to make their first flip?
— to attach to someone who is already doing it, to work with him even for very little money. Starting alone is very complicated and mistakes cost a lot.
After reading Dor's questions and answers I think it will be interesting to do another questionnaire with Dor about the second house he made - the burnt house. A much more complex deal and understanding what he learned from the deal, which is exactly what we will do in the next post!
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