All Forum Posts by: Anthony McEvoy

@Francis Mendo - The interest expense goes to the mortgagor because in theory they are the one paying the mortgage.  I assume they aren't married filing jointly... otherwise is does not matter.

@Jimi Richards - Where does the other end of the red wire go?

Honestly, I would call a licensed electrician.  For the cost of an electrician, it sure would provide me the peace of mind that it is wired correctly and per code.

@John Pelaez  Do you have policies in place for non-payment and eviction?  If so, follow your policies.

Alternatively, talk with her.  She might be able to afford it.  What if someone (i.e. family member) will help her out for the year?  Give her a month to gather herself and move out for half payment.  Even if you receive half of the first month payment, it has to be cheaper than evicting her.  If you strike a deal, stick to it.

@Stephen Johnson - A couple things... after repair value - where does that align with the area?  Could you sell the property for $160k or more?  Also, what repairs are you doing (rhetorical question)? $200/month ($2,400/yr) cash flow does not leave much if something breaks in the house (HVAC, Roof, plumbing etc.) in the immediate future.  If all major components in the property are new (or recently replaced/upgraded) and you don't have to worry about them for a few years, then not as big of a deal and you can building up the rainy day fund.

@Account Closed - 3 hours there also means 3 hours back.  I am sure you can invest those 6 hours more wisely... no?

Get a new property manager in Chicago if you are dissatisfied.  Section 8 housing [I've heard] is not easy to deal with in the first place.  Listen to BP Episode 294 and #AskBP 075 to get ideas of the characteristics that a good property manager has. 

@Wei Huang - keep us posted... I am curious to know!

@Lukas Parsons I can't answer that without knowing your (or your teams) full financial situation. Even if i did... only do what you are comfortable doing. If you are going to lie awake worrying about how much you are leveraged... don't leverage yourself that much. Cash is king... if you burn through your cash and have nothing to rehab with, that's no good either.

@Douglas Rice were permits pulled for the fourth bedroom? That's usually how the county knows to reappraise your home. Your property taxes would also most likely increase.

@Lukas Parsons use the HELOC then refinance out in the BRRR and pay it off. Then/If you find another deal, then take the money right back out of the HELOC. No sense in paying interest until you have the next deal lined up. Of course, if you have another deal on the heal of the first, then roll it into that.

@Mike Madeja - I live in Lombard.  Let me know if you need any additional help or would like to discuss some properties specifically.