All Forum Posts by: Uwe S.

Keith Boley,
Here you will find the last update.

-Uwe

Adam Gerig; No one denies the existent of such properties but even with your deal thats "only" a 40% CAP - this propertie from Thomas as much again.
So my worry is why no one from this area buys it. Maybe it need an hugh amount for rehab.
Thomas if you don't know the correct condition of this house you should send an Handyman or Contractor for an Free Estimate to this propertie to be on the safe side.

-Uwe

Seth,
In my case the property tax should be not more than 2 monthly gross rents as buy and hold candidate but I prefer under 1.5 monthly rents.

-Uwe

Who is the seller?
If you can get $1,400 in rents you should net about $700 per month or $8,400 yearly (thats our simple 50% [expenses] rule here), with an 10% CAP this house should worth $84k.
Any normal investor in this town should buy this propertie instantly for $12k if there not be an catch.
So why they will sell to an foreigner? Like I said I saw 25% CAP properties but never an CAP Rate of 70% and thats this propertie in my mind.
I stick to it this must be an fake or Elkhart will be the next El Dorado.

-Uwe

Welcome Thomas to our BP world, just I wrote an comment in your other topic.

-Uwe

Hello Thomas,
only $5,5k and only $3-4k rehab costs? I think thats not possible. I saw many good priced Multi Familys, 4 Units for about $29k but this should be a fake.
Maybe this propertie is located in warzone.

-Uwe

Comping is not possible at gas stations I guess.

I would say, gas stations should be checked by the last 5 years tax returns. So you will see if this station a steady one or dropping.

-Uwe

Lee Melvin,
Shaker Heights has high property taxes you can expect min $2k for it each year. There is no much people in Cleveland they can afford these so they leave the house.
Low Crime in Shaker Heights with neighborhood watch and good police work, so it can be the house was in good condition but no one would buy it at these taxes.

-Uwe

Yesterday I saw in TV first House Hunters Episode and I must say ... what a nonsense.

-Uwe

William Walker,
just we had similar discussion here.

-Uwe