Okay, everyone. I hear you. I am officially putting together a "how to build a home in Joshua Tree" program. Sign up for the waitlist here: robuiltchannel.com/joshuatree
You shouldn't make a course on how to do that. It may help you make money but it will potentially over-saturate the market and make it impossible for anyone else.
Hey I have a question. How much would be a decent starting amount to start investing with? I’ve never invested into a house, I actually still live with my parents at 23. But I have saved a lot of the last few years and I’m trying to get into real estate. My fathers a general contractor as well so it almost seems to good to not take up. But I don’t want to run into any problems. Like do I need $100,000? Is it common to invest in something at first thay might leave me in debt? Help!
I would LOVE a video on the the due diligence for picking the land/site. Not just in the jtree market, but across your portfolio. How to avoid gotchas with the city, utilities, easements, etc. For myself and many others the GC/build process is straightforward, but the beginning steps have less services for hand holding.
Agreed. I am a class A licensed contractor and by far my favorite is new builds. It only takes me 4-5 months to complete a new build. Material costs are starting to squeeze profits significantly though. I would not get into new builds right now if you haven’t been doing it for a while. Also to build specs to sell you need to be licensed and the licensing is not only academically challenging but you have to prove a net worth of $250k in order to obtain a Class A license which is absolutely required to build.
@@fivestarconstructionllc7430 I live in Richmond and am currently flipping a house and looking to do a lot more in the future. What’s your business name? Ill look it up.
What are your thought on building a house to live in? My wife saw a house in CO she loves but i feel we could build something just as good if not better for less than half.
Daughter of an immigrant here 🙌🏼 I too, would love a course on building in Joshua tree. As of now, I was thinking of jumping in by purchasing raw land ( in JT or 29palms) and doing an off-grid camper type-short term rental. I’m about 3 hours away, so, it’s drivable. I would like to follow it up with something on the grid, if all continues to go well for the area. I’m a RE appraiser, so, I have to switch hats to think like a short term invested/renter. Watching a channel like yours, really helps.
As a builder of 30 years, I’ve done track building, homes on mountains, and scatterlot building. Now , I m in high end remodels in Atlanta. Remodeling overall costs about 75-100% more depending on retrofitting. We do high rise condos, 20s bungalows, and now 90s traditionals. We work on fixed contracts unless insurance companies are involved. It takes very thick skin and temperament when people are living there. I’m currently into some Ltrs and now looking to go into strs. I love your strategy, and am looking to apply my high end builds to this market.Thanks.
Rob you’re living my dream dude!! So inspirational! I’m in the beginning stages of my journey in all this but I can’t tell you how helpful and informative this channel is. Keep up the awesome work
As others have commented , I was expecting rising construction costs to be mentioned in your video which seems like a big deterrent for many in building up right now. What are your thoughts on that , a video to shed some light on that would be great!
Your point is well taken with a few caveats: lumber costs have skyrocketed and there are a lot of shady builders who take so many shortcuts the integrity of the build will come into question.
I've done both remodels and new constructions for nearly 30 years. The new constructions are just easier on your constitution and you can get exactly what you want but in the end they are more expensive. They are worth more but usually (in my experience) not enough more to cover the cost.
Rob, I agree with the overall premise of your video. New construction is a great way to invest and turn a profit. Both for short term or long term rentals or even build to sell. But I have two big problems with your video that I will have to disagree with you based on my own experience as an architect/developer/investor who has done both buying existing homes for renting and new construction for renting. The first, is that you are all over the place with your language here. In one sentence you say its "impossible to go over budget" but then in another you say "you probably wont go over budget". In one sentence you say "you wont have any surprises with a new build" later on you say "minimize surprises". This makes you sound very inexperienced in the new construction industry though your trying to make it sound like your the expert. This is a pet peeve of mine with social media personalities. So just some constructive criticism to improve your videos. Second, you did a very good job at putting the white girl instagram filter on new construction. Man, you make it sounds like this is fantasy land where nothing can go wrong, no surprises every show up on new construction and its impossible to go over budget because you have a contract based on the GMP model (guaranteed maximum price). I work with clients, like yourself, and contractors on a daily basis as an architect. I've worked with contractors and subs as the owner/investor of new builds. I can tell you flat out, that your are dead wrong if you think that your GMP contract protects you 100% from not going over budget. I would kindly suggest you reread your contract with your GC and I can guarantee there are clauses in there that give them the ability to pass certain surprise expenses on to you. Just a couple examples: (1) GC is digging foundations and they find a massive boulder they have to blast out of the way. That expense will get past on to you. (2) Wood prices sky rocket beyond any reasonable about in a very short time (like what happened during the pandemic). At some point that will get passed on to you as well. There are clauses called "force majeure" that is a trump card for contractors to get around those typical cost restrictions. (3)There are also time delays. If you budgeted 9-12 months on a small build but because of material delays you get pushed out to 18+ months, where is all the money for the interest payments on that construction loan coming from? Last thing, the main reason most people think that the GMP method is the best way to reduce the risk (or eliminate the risk) of going over budget is because the GC purposefully OVER BIDS the project based on what they think the risk is of cost over runs. So basically you are paying for them to absorb any potential cost over runs before the project even starts. AND you then they get to keep a portion or, or sometimes all of, the difference between the actual build cost vs the contracted sum. So you just pre-paid your cost over runs before they even happened...if they even would've happen. I'm glad you have had an easy first couple builds but I can tell that you built those pre-pandemic and pre-crazy housing market. Those conditions are not the same now and wont be back to normal for at least several years. Obviously, every market is different in terms of total build cost. So no one should watch this video and think that they can build a house for $275k and sell for $650k a couple years later in any market. Please take this as the constructive criticism that it is intended to be an not me trying to bash what you are doing. You're doing a great job making these videos and investing. If you want to talk details on the contracts and what I've experienced in the construction and design industry for over 10 years feel free to DM me. Best of luck with the future new builds.
Thanks for bringing some industry knowledge into the mix. I was thinking most of these things during the video too, and it just goes to show that the GC is doing a good job negotiating the contract if the customer thinks they're getting a risk-free build. Also disregarding the effect the pandemic has had on both new construction and housing value is deceiving. Of course a new build from a few years ago is going to sell at an insane markup in the current housing market, but that is mostly down to fortunate timing.
Thank you, Rob, for sharing your knowledge and expertise! My wife and I are inspired, we’ve wanted to do this is Joshua Tree, and were so sad to hear that your consulting appointments were discontinued. YES, we would LOVE a Joshua Tree program - thank you!!
Hey Rob! I love your channel and I look forward to your uploads! Just wanted to say, I'm also the SON OF AN IMMIGRANT, and I couldn't be more proud of that! No matter what, never let the haters get under your skin! You're the best and your channel has given me inspiration to pursue a side hustle in glamping myself!
4:40 except when materials skyrocket in price, every is delayed or on back order, and you’re contractor refuses to eat that increase costs of time and materials on their margin or even have them loose money
We.had planned to build, but for half the price of building an 1800 sq ft home on property that we already own, we were able.to buy a home on 17 acres with a guest cabin on a lake!!! In the same area 20 minutes away for 1/2 of what we would have spent to build!!! It pays to compare!
@@LydiaTV were not sure the exact location yet. We were looking to build a tiny home to live in year round. Do you have Instagram or something we could DM on?
Reno project on an old 60s ranch. Found the old addition block foundation was installed on NO footers! The floor was 3 inches lower on one end. Definitely surprises with old fixer uppers
I agree. I'n building a container home now, and have a couple tiny home projects in the works. They should all end up with instant equity when I'm done. However, I don't think this is a good fit for everyone. I enjoy the process, but I think it would be incredibly stressful for some people. I'm making plenty of mistakes (and sharing videos abiut them), and not everyone is willing to fall on their face so often.
you're so right about your money going further on a new build vs buying right now. we are looking at buying land to build in So Cal as a winter home and airbnb. For our budget we can buy land with a view, put in a large pool, and a smaller (~1000 sq ft) all modern/mostly high-end home. That same budget on a bought house buys us a remodeled (but not to our tastes) double-wide manufactured home on land with a view-- no pool, spa, etc and no room to build one later. And that's asking price; the area we are looking at is booming right now so there would likely be a bidding war on a home we wouldn't even like to live in for part of the year. your vid just confirms our good decision making! as for construction time: we are looking into custom pre-fab steel framing to cut down on construction time and lifelong maintenance. Will likely be pricier for the materials, but the frame can go up in a couple of days instead of weeks or months which might save us money overall due to less labor-- or at least make it around the same cost as a timber build. I think it's the best of both worlds for pre-fab and stick built. It is still "traditionally built" which allows us to have complete control over the design and looks better to appraisers, but still cuts out time and money during construction (obviously not as much as a full pre-fab but still).
Yes agree. Homes last 200 years. Im a realtor. I advise my clients to buy new or fixers and reconstruct. Most California homes are around 70 years old. Eagerly waiting for your Joshua tree video as I have clients wanting to buy.
Keep in mind that certain contracts can go over cost for certain things. If the builder owns the lot and it is already excavated ,has a well, etc then you should be able to get a fairly straightforward contract. We are starting a build in the smoky mountains and our contract includes an allowance for excavation and drilling a well. Of course you have no idea how far you’re going to have to drill and if it goes over approximately 500 feet then you have to pay the additional cost. In the mountains, excavation could cost extra if they start hitting solid rock when they clear things out.Just wanted to say it really depends on the situation, but your contractor should tell you that upfront going in if that is the case. We knew about it going in and make sure to set aside extra money in case the worst happens and have to drill a 1500 foot well or something.
I am building a glamping village in California and taking investors right now for people looking to get into the market. I have been working on it since January. I want all of us small investors to get in together and start building our portfolios. I am looking to create a highly ethical business that aligns with ecotourism and giving back.
Hey Rob. I want to get into Real Estate and know "0" when it comes to real estate. I will be looking at your videos very seriously and so I appreciate them. Don't want to spend a lot of money...maybe just a down payment and have the renters/airbnb pay for my investments. Want to start with one. I don't have a big budget and will be going into this when I retire (2 years from now) I saw one of your glamping videos and am looking into it as a start. Love your casas. Muy bonito.
Dude I am LOVING the content! I've been considering buying a a new construction in Philadelphia for Airbnb. Biggest concern is proposed legislation change that could make STR's illegal, may be breakeven or even a slight loss if converted to a traditional rental... I'm continuing to do my research
Good stuff for sure, some people with zero experience will learn quickly just how steep of a learning curve building new can be. If and I do mean if you have done a few remodels, worked with lots of different trades and have great contacts that can help you when taking the next big step of building new. Finding a good contractor that doesn't try to come up with change orders on a new build even if you haven't changed anything is rare in my experience. Being the PM/ GC so you're very aware of the day to day of the project is a big help of what might come up and help you avoid those pit falls, but again this is not for a first time builder , that takes experience. Rob you have built more new home than me so I only speak from what I know in remodeling and a few new builds, so big props for putting this out there, keep doing the best you.
On one of my commercial properties I went to put in an electrical outlet into the wall and it revealed no insulation, then wood rot, then new windows, then the entire front of the building facade was structurally coming apart and needed to be rebuilt LOL! All from one electrical outlet
What has your experience been with rising building materiel costs? I'm fearful of building right now bc of the lack of availability of materiels and crews...
I FIRE'd last year, and sold out of all of my properties. For a while, we want to slow travel the world while our bodies and minds let us. But, man, someday I would love to build out a modern Mexico-style concrete and glass Dwell home. Love what you did.
Come on let’s get Rob to 100k subscribers! Great content dude. I am also in real estate as our primary income and have done very well but have never done Airs or shorts terms. Mainly in the areas of our current rentals, the short term renters have made parking and noise levels ridiculous. So I’m not to keen on short terms in regular home owner or even long term rental areas. We have lost good tenants due to these issues.
Yeah, cost of lumber and other materials are crazy, we’re in the middle of flipping, and the framing price is super high.. though we’ve heard from carpenters, that there is no shortage of lumber , it’s just artificial price inflation ... prices may go down by the end of the year, but I mean, what we suppose to do? Stop all the construction?
We had water damage in our bathroom and after ripping out the shower we discovered a fully powered electrical outlet. 😳 Here's the kicker, the previous owner was a electrician & had his own business! Ha! Needless to say we had the outlet turned around in the wall & properly closed off.
Have you noticed the increasing costs of wood/etc impacting building costs in your markets? The biggest downside with a new build is you have to pay for the new construction loan while the house is being built.
Hey rob im a new subscriber of you channel. Love the content. I’m in the process of building and trying to build 2 new projects right now. And I’m saying your lying or gaslighting but unless you can name the construction company you use and hey give them more business I say somebody is off. Cause every company I talk to about building they all keep telling me how expensive it is to build new construction now my thought process was the same as your but I can’t find one builder that’s affordable I’m in California like you. So if you see this if you’re not gaslighting. Put out the construction company you use so people can go through them cause apparently they got the best prices according to the other 10 contractors I’ve reach out to to build brand new.
Gentle nudge for you big Joshua tree development. Carbon negative housing technology is becoming increasingly commercially viable. Cool videos all over. Just something to think about. Love the channel btw!
As a home designer, I know exactly what you mean about seeing your vision come to life. No matter how many I build, it's always a head trip to see your building rise out of that ground. Like, that only existed in your mind a year ago. And now here it is, in the material world. Very gratifying.
i mean those older houses also do have electric, sewage lines, water already there not to mention the land is yours as well. if you are building a new home. you need to buy the land and add all that in on the price and the price to pour the concrete pad, unless the land already has the hook ups... people seems to forget those details. and those are expensive details to miss.
I love this way of thinking! I listen to a very popular real estate investing podcast *cough Bigger Pockets *cough and they rarely talk about building new construction for investments. I think it's also an obvious choice! I will be building my first rental property as soon as lumber prices cool down haha hopefully next spring!
You can grab yours here 😊 daughter-of-an-immigrant.myshopify.com/collections/shop-all/products/son-of-an-immigrant-sweatshirt-black?variant=32137409593433
Sorry, 5:55 into the video....I think in today's economic climate (May 2021) I would have several contingencies in my contract to protect me as the contractor. The crazy increase in across the board prices and lack of availability would bankrupt any Builder in today's market without contingencies in their contract. Lumber on an average home is now up $35,000. Cabinet orders are a minimum 14 weeks out. Appliances are in short supply if available at all. So a "Contractor " with any experience would include quotes at the current price and once under construction a preset % increase is met ( on agreed line items in the contract) the contract would put that increase on to the homeowner. Probably the safe bet is to wait until the construction market suppliers stabilizes an then build. Just my 2 cents.
100%. Realistically one can expect have a negative cash flow for ~2 years during building process which may continue to bleed cash if occupancy rates are off and the property can't generate enough $ as a full time rental. And then there's the economy....
The issue is that real estate isn't the only thing that's up... Lumber steel concrete and so on...... Basically everything also costs much more right now... And construction costs are up... A specially of high quality construction... Because a wood shake isn't the same obviously as a sturdy long lasting concrete house with quality thermal and acoustic and... Insulation
Have any idea what that house would cost to build today with the increase in lumber and construction materials? I will be interested in buying a program on how to permit in J tree, including ADUs for glampsites, as soon as crypto markets double or so again.
Good luck finding a contractor that will do a fixed price contract now. Builders are adding cost increase clauses into their contracts now, if they didn’t already have them. Materials historically would fluctuate a max of 25-30% which most builders would price in. In the past few months materials like lumber have gone up over 400%. On an average house that’s increasing lumber costs from $15-20,000 to $60-80,000.
HI really love your channel, I’m trying to get to the point your at and find following your journey really informative and inspirational. I was wondering what experience you’ve found with tax around building homes vs purchasing existing. Would love any advice from anyone whose also had similar experiences, much love
Hola, vi que tenés comentarios en español así que... como soy argentino, acá va. Tenés algún video de cómo encontrar un contractor confiable? Tips & tricks? Abrazo enorme Rob!
Are there investment groups where people can pool their money to invest in airbnb businesses? Im in Australia and the glamping rules are very restrictive but would be keen to invest in US projects
Yup, correct! We are raising money to create what's called a 506c fund for accredited investors. With that money, we'll build a small community of houses.
Really appreciate your content! Have you used architects, and construction companies, or kits, or pre-built? Esp impressive keeping it to 275k utilizing all those together for that price.
One of our flips we had to take the entire roof structure off the house (only thing left was walls and subfloor. When we went to buy it there was no attic access for us to discover the entire roof framing was failing.
I legit was so close to not watching the video after the intro, I hate that whispering ASMR-like voice, ugh😩. But I'm glad I listened through the whole thing.
Okay, everyone. I hear you. I am officially putting together a "how to build a home in Joshua Tree" program. Sign up for the waitlist here:
robuiltchannel.com/joshuatree
You shouldn't make a course on how to do that. It may help you make money but it will potentially over-saturate the market and make it impossible for anyone else.
Are you going to open up enrollment for access to the Glamp Camp program again at some point?
Hey I have a question. How much would be a decent starting amount to start investing with? I’ve never invested into a house, I actually still live with my parents at 23. But I have saved a lot of the last few years and I’m trying to get into real estate. My fathers a general contractor as well so it almost seems to good to not take up. But I don’t want to run into any problems. Like do I need $100,000? Is it common to invest in something at first thay might leave me in debt? Help!
Yesssss
Bro who do you use as your builder? Those are nice designs
I would LOVE a video on the the due diligence for picking the land/site. Not just in the jtree market, but across your portfolio. How to avoid gotchas with the city, utilities, easements, etc. For myself and many others the GC/build process is straightforward, but the beginning steps have less services for hand holding.
Agreed. I am a class A licensed contractor and by far my favorite is new builds. It only takes me 4-5 months to complete a new build. Material costs are starting to squeeze profits significantly though. I would not get into new builds right now if you haven’t been doing it for a while. Also to build specs to sell you need to be licensed and the licensing is not only academically challenging but you have to prove a net worth of $250k in order to obtain a Class A license which is absolutely required to build.
Where are you located?
@@lukem5962 Richmond Virginia
@@fivestarconstructionllc7430 I live in Richmond and am currently flipping a house and looking to do a lot more in the future. What’s your business name? Ill look it up.
What are your thought on building a house to live in? My wife saw a house in CO she loves but i feel we could build something just as good if not better for less than half.
Yea I would like to look you up as well ☝.
Daughter of an immigrant here 🙌🏼 I too, would love a course on building in Joshua tree. As of now, I was thinking of jumping in by purchasing raw land ( in JT or 29palms) and doing an off-grid camper type-short term rental. I’m about 3 hours away, so, it’s drivable. I would like to follow it up with something on the grid, if all continues to go well for the area. I’m a RE appraiser, so, I have to switch hats to think like a short term invested/renter. Watching a channel like yours, really helps.
As a builder of 30 years, I’ve done track building, homes on mountains, and scatterlot building. Now , I m in high end remodels in Atlanta. Remodeling overall costs about 75-100% more depending on retrofitting. We do high rise condos, 20s bungalows, and now 90s traditionals. We work on fixed contracts unless insurance companies are involved. It takes very thick skin and temperament when people are living there. I’m currently into some Ltrs and now looking to go into strs. I love your strategy, and am looking to apply my high end builds to this market.Thanks.
Rob you’re living my dream dude!! So inspirational! I’m in the beginning stages of my journey in all this but I can’t tell you how helpful and informative this channel is. Keep up the awesome work
As others have commented , I was expecting rising construction costs to be mentioned in your video which seems like a big deterrent for many in building up right now. What are your thoughts on that , a video to shed some light on that would be great!
You are spot on. Building material prices are shooting up. I'm from new Zealand and its crazy
I personally think he is just straight up out of touch with the whole thought. I’m even further against the thought in commercial RE
Your point is well taken with a few caveats: lumber costs have skyrocketed and there are a lot of shady builders who take so many shortcuts the integrity of the build will come into question.
I've done both remodels and new constructions for nearly 30 years. The new constructions are just easier on your constitution and you can get exactly what you want but in the end they are more expensive. They are worth more but usually (in my experience) not enough more to cover the cost.
Rob, I agree with the overall premise of your video. New construction is a great way to invest and turn a profit. Both for short term or long term rentals or even build to sell. But I have two big problems with your video that I will have to disagree with you based on my own experience as an architect/developer/investor who has done both buying existing homes for renting and new construction for renting.
The first, is that you are all over the place with your language here. In one sentence you say its "impossible to go over budget" but then in another you say "you probably wont go over budget". In one sentence you say "you wont have any surprises with a new build" later on you say "minimize surprises". This makes you sound very inexperienced in the new construction industry though your trying to make it sound like your the expert. This is a pet peeve of mine with social media personalities. So just some constructive criticism to improve your videos.
Second, you did a very good job at putting the white girl instagram filter on new construction. Man, you make it sounds like this is fantasy land where nothing can go wrong, no surprises every show up on new construction and its impossible to go over budget because you have a contract based on the GMP model (guaranteed maximum price). I work with clients, like yourself, and contractors on a daily basis as an architect. I've worked with contractors and subs as the owner/investor of new builds. I can tell you flat out, that your are dead wrong if you think that your GMP contract protects you 100% from not going over budget. I would kindly suggest you reread your contract with your GC and I can guarantee there are clauses in there that give them the ability to pass certain surprise expenses on to you. Just a couple examples: (1) GC is digging foundations and they find a massive boulder they have to blast out of the way. That expense will get past on to you. (2) Wood prices sky rocket beyond any reasonable about in a very short time (like what happened during the pandemic). At some point that will get passed on to you as well. There are clauses called "force majeure" that is a trump card for contractors to get around those typical cost restrictions. (3)There are also time delays. If you budgeted 9-12 months on a small build but because of material delays you get pushed out to 18+ months, where is all the money for the interest payments on that construction loan coming from? Last thing, the main reason most people think that the GMP method is the best way to reduce the risk (or eliminate the risk) of going over budget is because the GC purposefully OVER BIDS the project based on what they think the risk is of cost over runs. So basically you are paying for them to absorb any potential cost over runs before the project even starts. AND you then they get to keep a portion or, or sometimes all of, the difference between the actual build cost vs the contracted sum. So you just pre-paid your cost over runs before they even happened...if they even would've happen.
I'm glad you have had an easy first couple builds but I can tell that you built those pre-pandemic and pre-crazy housing market. Those conditions are not the same now and wont be back to normal for at least several years. Obviously, every market is different in terms of total build cost. So no one should watch this video and think that they can build a house for $275k and sell for $650k a couple years later in any market.
Please take this as the constructive criticism that it is intended to be an not me trying to bash what you are doing. You're doing a great job making these videos and investing. If you want to talk details on the contracts and what I've experienced in the construction and design industry for over 10 years feel free to DM me. Best of luck with the future new builds.
Thanks for bringing some industry knowledge into the mix. I was thinking most of these things during the video too, and it just goes to show that the GC is doing a good job negotiating the contract if the customer thinks they're getting a risk-free build.
Also disregarding the effect the pandemic has had on both new construction and housing value is deceiving. Of course a new build from a few years ago is going to sell at an insane markup in the current housing market, but that is mostly down to fortunate timing.
This video is the real deal. I like that you tell the truth and not making up stories to gain followers.
I'm a builder and GC and have never made 400K profit on a property. These videos are expanding my options. Thank you
Does that 275k price tag include the cost of land and hooking up utilities? Also, new builds in CA now require solar. How do you cost that in?
Thank you, Rob, for sharing your knowledge and expertise! My wife and I are inspired, we’ve wanted to do this is Joshua Tree, and were so sad to hear that your consulting appointments were discontinued. YES, we would LOVE a Joshua Tree program - thank you!!
Hey Rob! I love your channel and I look forward to your uploads! Just wanted to say, I'm also the SON OF AN IMMIGRANT, and I couldn't be more proud of that! No matter what, never let the haters get under your skin! You're the best and your channel has given me inspiration to pursue a side hustle in glamping myself!
4:40 except when materials skyrocket in price, every is delayed or on back order, and you’re contractor refuses to eat that increase costs of time and materials on their margin or even have them loose money
We.had planned to build, but for half the price of building an 1800 sq ft home on property that we already own, we were able.to buy a home on 17 acres with a guest cabin on a lake!!! In the same area 20 minutes away for 1/2 of what we would have spent to build!!!
It pays to compare!
Daughter of immigrants here! Even more glad you be i. Your first cohort! I learn so much!!! I’m a realtor here in Utah and it’s changed my buisness!!!
I’m looking to buy a lot in Utah! :) we want to build a tiny home on one. Would you be able to help with that? ☺️
@@ivybrooks7963 yes! do you already know what location? there are so many ideal locations for glamping in Utah. We just bought in Kanab.
@@LydiaTV were not sure the exact location yet. We were looking to build a tiny home to live in year round. Do you have Instagram or something we could DM on?
Reno project on an old 60s ranch. Found the old addition block foundation was installed on NO footers! The floor was 3 inches lower on one end. Definitely surprises with old fixer uppers
yes please Joshua Tree course...either for a tiny house or settings up a Yurt and the differences between permits!
Okay, consider it done.
I agree. I'n building a container home now, and have a couple tiny home projects in the works. They should all end up with instant equity when I'm done. However, I don't think this is a good fit for everyone. I enjoy the process, but I think it would be incredibly stressful for some people. I'm making plenty of mistakes (and sharing videos abiut them), and not everyone is willing to fall on their face so often.
you're so right about your money going further on a new build vs buying right now. we are looking at buying land to build in So Cal as a winter home and airbnb. For our budget we can buy land with a view, put in a large pool, and a smaller (~1000 sq ft) all modern/mostly high-end home. That same budget on a bought house buys us a remodeled (but not to our tastes) double-wide manufactured home on land with a view-- no pool, spa, etc and no room to build one later. And that's asking price; the area we are looking at is booming right now so there would likely be a bidding war on a home we wouldn't even like to live in for part of the year.
your vid just confirms our good decision making!
as for construction time: we are looking into custom pre-fab steel framing to cut down on construction time and lifelong maintenance. Will likely be pricier for the materials, but the frame can go up in a couple of days instead of weeks or months which might save us money overall due to less labor-- or at least make it around the same cost as a timber build. I think it's the best of both worlds for pre-fab and stick built. It is still "traditionally built" which allows us to have complete control over the design and looks better to appraisers, but still cuts out time and money during construction (obviously not as much as a full pre-fab but still).
Could you share the pre fab company name? I was considering the same.
Where in So. Cal?
Yes agree. Homes last 200 years. Im a realtor. I advise my clients to buy new or fixers and reconstruct. Most California homes are around 70 years old. Eagerly waiting for your Joshua tree video as I have clients wanting to buy.
Hi Rob, thanks for the video. Is the cost you disclosed for “Casa Mariposa” accounts for design and permitting?
Keep in mind that certain contracts can go over cost for certain things. If the builder owns the lot and it is already excavated ,has a well, etc then you should be able to get a fairly straightforward contract. We are starting a build in the smoky mountains and our contract includes an allowance for excavation and drilling a well. Of course you have no idea how far you’re going to have to drill and if it goes over approximately 500 feet then you have to pay the additional cost. In the mountains, excavation could cost extra if they start hitting solid rock when they clear things out.Just wanted to say it really depends on the situation, but your contractor should tell you that upfront going in if that is the case. We knew about it going in and make sure to set aside extra money in case the worst happens and have to drill a 1500 foot well or something.
Yes to the course!
I am building a glamping village in California and taking investors right now for people looking to get into the market. I have been working on it since January. I want all of us small investors to get in together and start building our portfolios. I am looking to create a highly ethical business that aligns with ecotourism and giving back.
Hey Rob. I want to get into Real Estate and know "0" when it comes to real estate. I will be looking at your videos very seriously and so I appreciate them. Don't want to spend a lot of money...maybe just a down payment and have the renters/airbnb pay for my investments. Want to start with one. I don't have a big budget and will be going into this when I retire (2 years from now) I saw one of your glamping videos and am looking into it as a start. Love your casas. Muy bonito.
Thanks for all the great info Rob!
Can you make a video on outlying the steps involved in building a home? thanks for the videos!
I would love a JTree new construction tutorial/class
Dude I am LOVING the content! I've been considering buying a a new construction in Philadelphia for Airbnb. Biggest concern is proposed legislation change that could make STR's illegal, may be breakeven or even a slight loss if converted to a traditional rental... I'm continuing to do my research
Good stuff for sure, some people with zero experience will learn quickly just how steep of a learning curve building new can be. If and I do mean if you have done a few remodels, worked with lots of different trades and have great contacts that can help you when taking the next big step of building new. Finding a good contractor that doesn't try to come up with change orders on a new build even if you haven't changed anything is rare in my experience. Being the PM/ GC so you're very aware of the day to day of the project is a big help of what might come up and help you avoid those pit falls, but again this is not for a first time builder , that takes experience. Rob you have built more new home than me so I only speak from what I know in remodeling and a few new builds, so big props for putting this out there, keep doing the best you.
Clear explanation i love it.
Hey my friend. Your vids are great. Can you tell me where to get plans for your Conejito house? Thank you.
Totally agree. I'm about a month away from completion of my first STR construction project. We already have 4 bookings and it's not even complete!
On one of my commercial properties I went to put in an electrical outlet into the wall and it revealed no insulation, then wood rot, then new windows, then the entire front of the building facade was structurally coming apart and needed to be rebuilt LOL! All from one electrical outlet
Going forward, what will be your preferred construction technique?
- Stick build?
- SIP Panels?
- Containers?
What has your experience been with rising building materiel costs? I'm fearful of building right now bc of the lack of availability of materiels and crews...
Lack of crews? Lots of people on unemployment lol
Barndo
I FIRE'd last year, and sold out of all of my properties. For a while, we want to slow travel the world while our bodies and minds let us. But, man, someday I would love to build out a modern Mexico-style concrete and glass Dwell home. Love what you did.
Come on let’s get Rob to 100k subscribers! Great content dude. I am also in real estate as our primary income and have done very well but have never done Airs or shorts terms. Mainly in the areas of our current rentals, the short term renters have made parking and noise levels ridiculous. So I’m not to keen on short terms in regular home owner or even long term rental areas. We have lost good tenants due to these issues.
The price of lumber and other building materials is up like 2x over the last 6 months 🤯
I’ll wait to build
great vid as always, but please, straighten that desk pad! ;P
Which contractor can you recommend for Joshua Tree?
Speaking to a lender about a construction loan for a house in Joshua Tree, I'd love to know what contractor you used!
Yes, I am interested in learning how start permitting process
Rob you mentioned offering some consulting services, is there a way to get in touch with you about this? Thanks
He currently has them on pause :(
Yeah, cost of lumber and other materials are crazy, we’re in the middle of flipping, and the framing price is super high.. though we’ve heard from carpenters, that there is no shortage of lumber , it’s just artificial price inflation ... prices may go down by the end of the year, but I mean, what we suppose to do? Stop all the construction?
We had water damage in our bathroom and after ripping out the shower we discovered a fully powered electrical outlet. 😳 Here's the kicker, the previous owner was a electrician & had his own business! Ha! Needless to say we had the outlet turned around in the wall & properly closed off.
Have you noticed the increasing costs of wood/etc impacting building costs in your markets? The biggest downside with a new build is you have to pay for the new construction loan while the house is being built.
Yes lumber and steel prices are much higher now?
Hey man! Does casa conejo have a well or were utilities present?
Hey rob im a new subscriber of you channel. Love the content. I’m in the process of building and trying to build 2 new projects right now. And I’m saying your lying or gaslighting but unless you can name the construction company you use and hey give them more business I say somebody is off. Cause every company I talk to about building they all keep telling me how expensive it is to build new construction now my thought process was the same as your but I can’t find one builder that’s affordable I’m in California like you. So if you see this if you’re not gaslighting. Put out the construction company you use so people can go through them cause apparently they got the best prices according to the other 10 contractors I’ve reach out to to build brand new.
Gentle nudge for you big Joshua tree development.
Carbon negative housing technology is becoming increasingly commercially viable. Cool videos all over.
Just something to think about.
Love the channel btw!
Dude.. that intro.. messed me up i was walking in the dark with earbuds .. almost spilled my drink
As a home designer, I know exactly what you mean about seeing your vision come to life. No matter how many I build, it's always a head trip to see your building rise out of that ground. Like, that only existed in your mind a year ago. And now here it is, in the material world. Very gratifying.
Hey Rob, how much do you think it would cost to build Casa Mariposa today, now that we've had construction material cost increases?
Just multiply his original figure by whatever % the lumber went up
@@ripptydevibes2581 Workers wages have probably gone up too.
@@jm-bv1wh Yes for sure. I know I raised my prices 10% for auto repair, seemed like a good time to take advantage of the system
i mean those older houses also do have electric, sewage lines, water already there not to mention the land is yours as well. if you are building a new home. you need to buy the land and add all that in on the price and the price to pour the concrete pad, unless the land already has the hook ups... people seems to forget those details. and those are expensive details to miss.
+1 for Joshua Tree
My brother I appreciate all the information that you put out there seriously can I ask you a question
I love this way of thinking! I listen to a very popular real estate investing podcast *cough Bigger Pockets *cough and they rarely talk about building new construction for investments. I think it's also an obvious choice! I will be building my first rental property as soon as lumber prices cool down haha hopefully next spring!
I want to build in Desert Hot Springs. I need a mentor!
Rob how do you find land is it expensive?
Great vid as always Rob! Also I need that crewneck
You can grab yours here 😊
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Thanks for all your info! I want to build an ADU in my backyard. I didn't know that new construction doesn't have surprise costs. Thanks.
But those lumber prices.. 😫
Also you need to purchase the land and do the feasibility studies which take time and even more money down
Does this apply to low cost of living areas too in your opinion?
Actually, most builders do cost plus on their estimates. So, if they mess their estimate up, you STILL have to pay.
Sorry, 5:55 into the video....I think in today's economic climate (May 2021) I would have several contingencies in my contract to protect me as the contractor. The crazy increase in across the board prices and lack of availability would bankrupt any Builder in today's market without contingencies in their contract. Lumber on an average home is now up $35,000. Cabinet orders are a minimum 14 weeks out. Appliances are in short supply if available at all. So a "Contractor " with any experience would include quotes at the current price and once under construction a preset % increase is met ( on agreed line items in the contract) the contract would put that increase on to the homeowner.
Probably the safe bet is to wait until the construction market suppliers stabilizes an then build.
Just my 2 cents.
100%. Realistically one can expect have a negative cash flow for ~2 years during building process which may continue to bleed cash if occupancy rates are off and the property can't generate enough $ as a full time rental. And then there's the economy....
New Rob ASMR Content 🤙🏻😬
How much does the average tiny home cost to build?
The issue is that real estate isn't the only thing that's up... Lumber steel concrete and so on...... Basically everything also costs much more right now...
And construction costs are up...
A specially of high quality construction...
Because a wood shake isn't the same obviously as a sturdy long lasting concrete house with quality thermal and acoustic and... Insulation
Have any idea what that house would cost to build today with the increase in lumber and construction materials? I will be interested in buying a program on how to permit in J tree, including ADUs for glampsites, as soon as crypto markets double or so again.
I own some property in Travis county outside of Austin want to do some glamping! Where do we start?
Is Caleb your UA-cam editor? Dang having a personal UA-cam editor is pretty baller.
And he does an AMAZING job.
Where can we buy your house plans?? for the tiny houses
The Only Fans side hustle comment got me lol
Good luck finding a contractor that will do a fixed price contract now. Builders are adding cost increase clauses into their contracts now, if they didn’t already have them. Materials historically would fluctuate a max of 25-30% which most builders would price in. In the past few months materials like lumber have gone up over 400%. On an average house that’s increasing lumber costs from $15-20,000 to $60-80,000.
Who are you using as your lender
I live right outside Joshua tree. I would love to learn more about this.
HI really love your channel, I’m trying to get to the point your at and find following your journey really informative and inspirational. I was wondering what experience you’ve found with tax around building homes vs purchasing existing. Would love any advice from anyone whose also had similar experiences, much love
Agreed!
Where can one find house plans for a STR sized home? I like the Bauhaus style smaller home.
Hola, vi que tenés comentarios en español así que... como soy argentino, acá va. Tenés algún video de cómo encontrar un contractor confiable? Tips & tricks? Abrazo enorme Rob!
Here for the sweater and the hair
Can you make a video on how to select existing homes that can be easily subdivided into rental units.
Are single family homes or single family occupancy the best choice to build in this market?
Can you do a video about housing in the east coast!????? 😢
I love your videos
I gave it a thumbs up before playing it....don’t judge me
Are there investment groups where people can pool their money to invest in airbnb businesses? Im in Australia and the glamping rules are very restrictive but would be keen to invest in US projects
My worlds are colliding! So cool! Love your content Alexander!
Yup, correct! We are raising money to create what's called a 506c fund for accredited investors. With that money, we'll build a small community of houses.
@@Robuilt You're the man Rob! How do I find out more/get involved?
@@Robuilt Selling my Condo in Long Beach, CA this week. Looking to invest or participate in some compacity. ig: @tacotoelle
I am from Australia as well (Perth). Looking into taking the plunge but not too sure about rules around here.
Really appreciate your content! Have you used architects, and construction companies, or kits, or pre-built? Esp impressive keeping it to 275k utilizing all those together for that price.
how do you qulify for more than one loan ?????
I'm a remodeling contractor...Would you please tell all my clients that there will be changes on their project no matter how well I plan? Thanks. ;)
Comment for support!
What are your thoughts on building with SIP panels, especially with the rise in lumber costs?
One of our flips we had to take the entire roof structure off the house (only thing left was walls and subfloor. When we went to buy it there was no attic access for us to discover the entire roof framing was failing.
Hi Rob. Why did you sell your property in Joshua Tree? I thought it was cash flowing nicely?
He is using the capital to build 3+ other homes in TN. Don’t quote me on this
Inflation is nuts for building materials. New still cheaper?
I legit was so close to not watching the video after the intro, I hate that whispering ASMR-like voice, ugh😩. But I'm glad I listened through the whole thing.
New construction loan you need to own the land right? Awesome channel my friend