Mentorlynx: Ray's and Wanye's Rehab Project

Mentorlynx is excited to blog about Ray and Wayne! Mentorlynx CEO Cliff Gager recently taught the pair at a 3-day mentoring real estate investment class in early April of this year. Within one month they started a rehab project in Hemet, California. This is their story.

We commend Ray and Wayne for sharing their experience. We hope that their story serves as a case study and learning tool for those who follow it. Their adventure into real estate investing also highlights the benefits of taking one of Cliff’s mentoring classes.

We can tell you how excellent Cliff is at teaching real estate investment strategies but we’ll let you decide for yourself. This is a true story by two students that Cliff taught. We plan to follow their rehab project from start to finish and update everyone via blogger and YouTube.

Ray Woll: steele823 at aol.com Cell: 909-534-98644
Wayne Hlebasko: whlebasko at aol.com Cell: 626-485-6811

(To protect their emails from auto spam, we used “at” instead of the @ symbol, simply substitute “at” for “@” when emailing either Ray or Wayne)

Here is the beginning of their story. We encourage you to follow and become a part of the adventure.

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Mentorlynx’s Interview with Ray Woll

JT: Describe your guys’ background.

Ray: We are new to rehab projects. I say new, but that is just in investing and rehabbing. Wayne is a licensed Contractor and I am a licensed Real Estate Broker.
We both have extensive backgrounds in construction; Wayne in residential and Ray in commercial.

JT: Describe your relationship with Wayne.

Ray: My second son Ryan married Wayne’s oldest daughter Ann. We have been pretty close since we met. Wayne worked on some of my projects in commercial construction and Ryan and I did some cabinetry work on some of Wayne’s projects. We both got laid off due to the decline in construction. We talked about the possibility of starting our own company and went ahead with the idea. We started in March of this year.

JT: When did you and Wayne attend a real estate investing mentoring class with Cliff Gager as the instructor?

Ray: Wayne and I attended Cliff’s class the end of March, first of April.

JT: Which part of the class did you enjoy the most and why?

Ray: Wayne and I feel the tour of houses was most beneficial. We saw what was there and heard what Cliff would do. We also feel the spreadsheet that Cliff gave us is very valuable. The notebook with the parts and fixtures listed is a great tool as well.

JT: How did you go about finding this specific property?

Ray: Cliff told us about foreclosure.co m. We started using this every day. We used the analyzer and started submitting offers at 50% after repair value. This was not going well as Fannie Mae had become very partial to first time home buyers. While using the site, we became aware of REDC and an auction they were going to hold on May 8th in Ontario, California. Wayne and I decided on a list of 12 properties out of the 62 that would be up for auction. We ran them on Cliff’s spreadsheet and went to the properties. By the time we went to the auction, we had a list of 6 properties we were interested in.

JT: How did the auction go?

Ray: The Hemet property was first up and it went for $82,500 real fast. That was our primary target. We sat waiting for another one of our target properties to come up. About two-thirds of the way through the properties, the Hemet property came back up. We had a ceiling of $70,000 based on our analyzer sheet. We won the bid at $70,000. We had found the value to be between $140,000 and $150,000. Thus, a maximum bid of $70,000.

JT: What are your plans for the rehab project?

Ray: We will be removing all fixtures, cabinets, doors, carpet, and tile. We will retexture the walls and ceilings; replace all doors, cabinets, restroom fixtures, and kitchen fixtures. The inside and outside will be repainted, and new carpet and tile installed. We will also replace the landscape with grass, trees, and shrubs. The fencing will be repaired.

JT: Any obstacles yet?

Ray: We purchased the property on a two week escrow, but Fannie Mae is not so quick in signing documents. We are still waiting for escrow instructions to be returned to escrow. We are anxious to get going. We have another property under contract, but we are pushing it back, as we can only do one at a time.

JT: Any other information for those following your guys’ rehab project?

Ray: We have elected to do the work ourselves on these first properties for the sake of firsthand experience and to build up the bank account.

JT: Did Cliff’s real estate investment training help you?

Ray: Wayne and I were not sure we could make this happen, but after attending Cliff’s 3-day seminar, we were certain that we could do it if we worked hard. Having Cliff come and look at the Hemet house was very important to us, as we then realized that we had made the right plans for the work to be done. Thank you.

JT: No thank you Ray!

Here’s the first update on YouTube. Stay tuned for more blogs and videos on Ray and Wayne’s’ rehab project.