All Forum Posts by: Adah N.

It appears we have a burst pipe under the foundation, home is built on a slab.

I have lined up plumbers to assess and fix asap. They may not fix until next week.

Rather than leave water running and continue to leak, I want plumber/city to turn it off at the main supply and only turn on while they are actively working on it. Tenant would find alternative living arrangements with friends, relatives, airbnb or hotel. I would reimburse rent for any night unit is not available to tenant. Thoughts?

@Jerry Brecko

You want a HELoan instead of HELoc, check Quorum

Quote from @Clayton Silva:

Yes, some lenders will allow it.  And your second question is: it depends.  Is the return you can generate from the property (with tax benefits, appreciation, loan paydown and cash flow) more than the 7% borrowing rate?  And does this investment make sense for you?  If it does, then it might be worthwhile to pursue!!

 Why will only "some" lenders allow it? I thought Fannie/Freddie determine  these rules for conventional loans?

Quote from @Travis Reed:

I find 1% here in texas but they tend to be in smaller towns and class C style properties. These will cash flow good but likely not appreciate like the urban areas/outskirts. As others have said, with current interest rates it will be tough unless some property values drop. IN my imagination, multifamily will drop first since they are valued based on cash returns. 

I don't think 2-4 unit multifamily will drop as they are the ones likely to cash flow. Lots of competition to buy 2-4 Multi right now, since it is next to impossible to find SFR that will cashflow at least on the MLS.

Because of high interest rates, anyone looking for cashflow absolutely needs to use the 1% rule to filter through properties. 

@Chris Kendrick

BRRRR- Buy a property under market that needs Renovation or rehab, renovate/rehab, Rent it, Refinance after about 6 months to pull out as much capital as possible. Repeat, use the money, plus more capital from another source to buy the next property.

Income- earnings from W2 job, other business, fix and flip etc

OPM(other people money) - partner with other investors, family or friends to buy property. Or borrow from family and friends and pay interest periodically.

Quote from @Vincent Donato:

Okay so instead of replying to everybody I'll make a general reply.

I have a team of contacts available in the area to handle issues. I self managed my property for years before moving away, I'm completely aware of what goes into property management. I travel back to the area frequently and can handle vacancies, scheduling maintenance, repairs, etc.

I'm just looking for a general person who can answer a call and address an issue. Yes I understand that is hard to come by somebody who will prioritize your time to make it over there, which is why I'm asking for the advice.

If you think a property manager is $80 a month I'm not really sure what world you're living in. If both my units turned over in a year I'd be paying the property manager $6,160/year...$513.33/month. That is between monthly payments and costs for filling vacancies. 

I appreciate responses suggesting to find a better property manager, but there's no need to call me cheap. This is a business, we're all here to make money and maximize profits. This forum is for helping others build their best strategy that works for them, not telling them it's wrong. Plenty of people self manage from out of state, it is not impossible if done correctly.

I'm not sure what a sewer backing up and me knowing how much it costs relates to how close I live to my property. 

A BP guest Asamoa I think was his name, has an assistant instead of a property manager. He trains his assistant to manage his properties his way. I think you need more than a handful for this though. 

My two cents - a well maintained property with well screened tenants can be very efficiently self managed. One of my tenants has had 3 service calls in 9 months. First call was a brand new cooktop not properly hooked up, called contractor who installed, he came by the next day to fix. Second call was for water heater, tenant texted a few hours later and said it was working. 3rd call was for water heater again about 6 weeks later, sent the plumber to go replace, it was 14 years old anyway.  

I have a plumber and handyman on speed dial and my lawncare guy serves as a second pair of eyes. Use Zillow to advertise, Open House style to show a couple times a week, Zillow and/or Avail to screen tenants and Avail to collect rent and handle service request. I will call a lawyer if I need to evict, that is probably what a property manager will do and bill me anyway.

For me a property manager is not needed at this time. From all the complaints here on BP and the For Rent ads I see on Zillow, it sounds like good ones are needles in a haystack. 
 

A2, it has two bathrooms and living room and kitchen size is about the same as the first A1.

Congratulations! Are the big ticket items like plumbing(for example cast iron ), roof, HVAC replaced or newer? What are your plans if one of these items needs replacing anytime soon?

Quote from @Pedro Garcia:

Hello,

I am sure there are a number of people having great success with single bathroom homes. However, I often see very attractive deals but they are 3,1 or 2,1. I am starting to think that multiple bedrooms with a single bathroom are not as attractive to renters and buyers. I suppose that my question is that it seems that these deals seem a lot less desirable than 2 bathroom homes for rentals and flips. Would my assumption be correct? Thank You

 2/1 is attractive to the single person or couple who wants the extra room for office space or library.