Investor · Willow Spring, NC · Member since 2013 · 788 posts · 285 votes
12y
Originally posted by @J Scott:
Originally posted by @Scott K.:
WOW I am honored @J Scott . Just bought your books 10 mins ago.
In that case, I'm the one who's honored!!! :-)
One thing to keep in mind on properties like this -- if you're planning to sell for less than $50K, retail buyers are going to be very hard-pressed to find a lender who will lend (most conventional lenders won't lend under $50K).
So, you're either going to have to:
1. Sell to investors
2. Sell to retail cash buyers
3. Hold a note (lease option, lease purchase, seller financing, etc)
4. Find a lender who can do this and make your buyers use that lender
Good luck!
Somerset Lending Corp, [email protected], (248) 686-3542 - they do loans as low as $25k.
Sherman Oaks, CA · Member since 2013 · 3k+ posts · 2k+ votes
12y
Scott, don't take my word for it...we need bp pros imput before. This sort of hidden value or lack of is something I am still learning. The number I want to see is IRR, internal rate of return or hidden value of return. Things could change with the taxes for the better. It is rare but it did happen in Cali with prop 13. Literally, it went from super high tax to super low next day.
Prop 13 is a huge reason why families could move up, without it the taxes created such a burden that one could not afford to move or improve for fear of getting taxed to death. You could trace it all to Prop 13 as far as when Cali values started to climb at a much faster pace then the rest.
Scott, as comparison...I just picked a house for 30k and the tax is $1.16 per day.
Well Michigan is not set up like Cali. How do you guys pay for schools out there?
This is normal in this area. Also with it not being my primary residence the tax is higher for buy and hold investors. That is the reason the rents are high even with a cheaper house
Scott, as comparison...I just picked a house for 30k and the tax is $1.16 per day.
Well Michigan is not set up like Cali. How do you guys pay for schools out there?
This is normal in this area. Also with it not being my primary residence the tax is higher for buy and hold investors. That is the reason the rents are high even with a cheaper house
The above 30k example is outside of Cali but Cali is about the same.
As for Cali the school argument was used to oppose prop 13. I think the values went so high that the 1% sufficient.
I could understand a high tax if the hood got something more in return like top rated schools and services.
Scott, as comparison...I just picked a house for 30k and the tax is $1.16 per day.
Well Michigan is not set up like Cali. How do you guys pay for schools out there?
This is normal in this area. Also with it not being my primary residence the tax is higher for buy and hold investors. That is the reason the rents are high even with a cheaper house
The above 30k example is outside Cali but Cali is about the same. I think the rise in values became a wash as far as school funds. So 100k taxed at 3% was same as 300k at 1%.