Why Fire Damaged Properties?

Discover the Hidden but Hugely Profitable Business Niche in Fixing and Flipping Fire Damaged Properties

About Speaker

Tom (TaeWoo) Kim

- Data scientists / AI engineer by day

- Real estate entrepreneur by night

- Philadelphia row townhome flipping in 2002-2005

- Successful startup experience in adtech

- Featured on WSJ, Yahoo Small Business Advisors,

Amazon (AI & Big Data)

Disclaimer Before I Go On

1. This is NOT about taking advantage of people when

they’re in dire need, rather providing a service that

people need in times of trouble

2. I am NOT

a. a lawyer

b. affiliated with any insurance / public adjuster

c. a fire restoration guru

Fire Damaged Properties = Business Niche

Fires. Happen. Every Day.

● 1.5m Fires Every Year

● Average 360k Structural fires every year

● > $6.7 billion in direct fire damage

● Each home fire - $12k+ damage

SOMEONE IS ON THE RECEIVING END OF THAT PAYMENT

Property Fire = MOTIVATION TO ACT

The #1 Reason Why Fixing / Buying Fire Damaged Properties

= Easy Sell

● More Than 7 In 10 Americans Fear Homelessness

● Fear of homelessness > fear of death

● Emotional attachment to biggest investment of lifetime

Insurance Timebomb

● Owners MUST act to claim insurance

● Most decisions are made within a week of fire

○ No “Tire-Kicking”

Some Facts - Fire = $$$

● Restoration = $210 billion restoration industry

● Fire restoration = average $12k per hour fire damage

○ AngiesList - $800-$93,000, most likely pay

between $3,200-$25,000.

● Water damage from $1,038 to $3,607

● Mold removal = $1,111 and $3,211, as high as $6,000.

Fire Restoration Process (Multiple Business Entry / Profit Points)

Step 1: Emergency Contact

Step 2: Inspection and Fire Damage Assessment

Step 3: Immediate Board-Up and Roof-Tarp Service

Step 4: Water Removal and Drying (if water damage is present)

Step 5: Removal of Smoke and Soot from All Surfaces

Step 6: Cleaning and Sanitizing

Step 7: Restoration

Who Benefits from Property Fires?

Fire Restoration People (depends on damage)

● Fire Restoration & Water Damage

● Smoke Damage / Odor Cleanup

● Pack Out & Storage

● Dehumidification / Mold

● Debris Cleanup

● Contractors (Reconstruction)

Who Benefits from Property Fires?

Real Estate - (Extreme event = Extreme emotions = Extreme

motivation)

● Investors / Agents

○ Act as “consultant” - markup fire restoration

○ Buy, Repair, Fix

○ Assign Contract / Referral Fee

● Public Adjusters

How to Target Fire Damaged Properties

Chase fire trucks

● Illegal (if too close, or at all) in some cities/ordinances

● Surprisingly competitive

○ Professional “fire chasers”

● Q: How do you know when or if

○ they are dispatched

○ it’s for fire?

■ Medical, Auto, Gas / Water Leak, Saving

Cat, etc. etc.

○ it’s for PROPERTY fire?

How to Target Fire Damaged Properties

Smarter Way? OK, CB Radios

● Complicated Insane emergency responder (ER) jargon

● Do you have 24x7 to listen non-stop?

○ One channel PER city

○ Hire a VA - even at $5/hr = $3,650/month

● Not all ER use same radio technology

● Internet streaming? Not much better

How to Target Fire Damaged Properties

Network with Firefighters?

Many (including myself) have tried, but failed

● FD not equipped for fast communication to outsiders

● It’s not their job

● Most importantly… not THAT interested in helping your

business

How to Target Fire Damaged Properties

Network with People in Fire Restoration

Often, jobs are referred to each other

● Ex: boardup guys will refer the next guy in the phase..

And so on

● Some franchisors “help” with lead generation

● Problem: What if you are NOT “in”? Or want other lead

sources?

Old Ways of Targeting Fire Damaged Properties

SLOW - TIME CONSUMING -

INEFFECTIVE

NEW, BETTER Way of Targeting Fire Damaged Properties

Better Way - FireDamagedProperties.com

● Using latest big data / machine learning / AI technology

to collect data & Network of reporters

● No need to monitor ER radios 24x7

● No need to chase fires, network with fire fighters, etc.

● (Real Time) Daily email notification of fires with

IDENTIFIABLE addresses within past 24 hours

● National coverage

● Unlimited per state subscription (for now)

https://www.firedamagedproperties.com/

NEW, BETTER Way of Targeting Fire Damaged Properties

https://www.firedamagedproperties.com/

NEW, BETTER Way of Targeting Fire Damaged Properties

FireDamagedProperties.com Real Time Property Fire Data

Subscription:

● Unlimited fires notifications

● Within 24 hour email delivery with property fire date,

location, and blurb

● Multi-state discount available (inquire via email)

● Bulk data licensing available to corporate buyers

● Coming soon: optional homeowner information

https://www.firedamagedproperties.com/faq/

Want Some Stats?

See How Many Fires in Your County

- https://www.firedamagedproperties.com/fire-stats/

That’s It!● Questions / Comments?

○ tom@firedamagedproperties.com

○ / FireDamagedProperties

● Interested in real time fire damaged property data?

○ https://www.firedamagedproperties.com/