All Forum Posts by: Chris Seveney

completely dependent on your own preferences.    Many will say $100 per door but it's what your criteria is. 

@Orlando Roche

Good to hear - I am also a builder and have horror stories from people I know who I have warned about new construction and "thought" they could handle it. What I try and tell them is if someone handed you all the pieces to a car could you make sure it we built correctly ? As you know it is very profitable when you know what your doing. 

You will pay through the nose on a hard money loan on land and will probably have to have 35% down. You will also have to show experience in this as well. Not trying to burst your bubble but this is the most difficult process as an investor and if this is how your starting out it is tough to do

Repairs caped and vacancy are a little low. One month turnover is 8% and you will have utility bills etc when unoccupied. What repairs are you doing to the home? If your doing roof, hot water heater, heating, flooring and kitchen then capex might be ok but $65/month is only $780 a year which is not s lot. I typically do not do capex on a percent basis but calculate / have inspector or appraiser provide life expectancy for major items and what those cost to determine what capex number to use

Just sent you PM with modular company in Maryland who is very resourceful I ended up not using them because size of home / room sizes was not feasible for a modular but I would use them for rental or spec home

note while they take care of the exterior maintenance, you're paying for it through your condo fees

@Paul Munley

I don't know specifics because I did not finance my condo but typically to get financing the banks will allow a certain percentage to be non-owner occupied and have the delinquency rate very low. 

If you have these conditions as part of the deal yes you can back out at any time

@Paul Munley

You typically do not get the info until after its under agreement. Just make sure it's a condition as part of the sale similar to an inspection

If you are financing it the banks will need this information anyways as they will not lend without this information. The hard part is trying to figure out who the contact person is who will get this for you and for me I out that on my agent

What is the work you are doing? Electrical and plumbing absolutely must be licensed. If your doing flooring, paint and finishes typically that does not have to be a licensed contractor as those are not trade specific licensed but fall under a GC license

Ask for the financials. Ask how many or what percentage of owners are delinquent on there fees. Ask if rentals are allowed. Ask for the meeting minutes. Ask what yearly Fees have been the past five years. Ask if there are any current or planned special assessments.