All Forum Posts by: Alecia Loveless

@Christopher Fabiany Tapia Argudo I have the same problem with a tenant. Despite providing a dumpster he throws stuff down his basement. There are some other issues so I am starting the eviction process Tuesday after I am having workers in his unit.

Stay firm with your eviction. You don’t want an infestation. My pest control costs about $1000 a year for my duplex.

@Michael Glunk As an additional thought will only cost $20 per night.

@Michael Glunk I’d get a keurig and a creative assortment or coffee pods, stock the fridge up with breakfast type things, OJ, Apple juice, 1/2&1/2, medium size 2% milk, small fruit basket with bananas, apples, oranges, and some muffins from grocery store in a plastic 4 pack container so they will last several days.

This is how I ran my bed and breakfast for the last four years I owned it. I charged less per night because of no hot breakfast, provided directions to the local breakfast/coffee place in town, and most people preferred not being charged an extra $25 per night for eggs and bacon.

You could also add a small microwave and mini fridge which allows leftovers and oatmeal packets and cold drinks and to heat up muffins if you have butter packets.

This method also changed how my B&B competition ran their business because they had to up their game even though they still served hot breakfast. I got a lot of their business because people wanted to pay less.

@Brian Qian I do a little of both. If I find a good prospect to make a lot of money on a fairly easy flip I will do that but I’m really looking for long term cash flow as a means to create passive income.

@David Geiger If your agent represents both the buyer and the seller in the transaction their firm will receive the whole commission and the agent receives the portion of the split she has agreed upon with her broker, in my area it is 50%.

If there are agents from different firms representing the buyer and the seller usually the sellers representative sets the commission rate. In my state it is higher for land, as much as 10% and between 6-7% for homes.

The split is not always even if there are different agencies representing but usually it is. Then the commission is divided again between the agent and the broker and the agent only gets 25% of the total commission.

So while the agency you do business with is making lots of money and helping you make lots of money it may be less than you think.

@Devante Scholfield Even if the actual wine business isn’t that strong the destination wedding venue is a huge money maker especially being located near a large city. If marketed properly this is a gold mine and I’m sure that while it will take the “right” buyer it shouldn’t take too long to find one.

Then if the grapes are any good they can make a killing off custom bottling and selling souvenir wines made especially for the events they are hosting. I’ve seen it done and it’s food for thought as you market this property once you sign on your newest clients. Best of luck.

@Ryan Arsenault Ask about the age of the roof for sure.

@Jack Robinson I keep separate accounts for my different properties. I live in a house hack and pay the building expenses out of the building account and my personal expenses related to the building out of my personal account. For instance my wife and I pay certain bills each like electric and cable out of our personal account but the income from the residents pays the property taxes out of the business account.

Also my bank has me with a “personal” checking account because of the number of transactions each months and the fees associated etc. so you may not actually need a true business account. Just a second account. This way I also get it on my online banking without a big hassle which the business account at my bank creates for online banking for some reason.

@Brandon Weigel Hi. I don’t know if you can compare buildings apples to apples.

But, I have a 4 unit that the insurance is about $2,500, I keep up with the cleaning in the one small common area that contains the laundry, and I’m expecting one turnover this year which will require a flip with a cleaning which will be about $300 for the cleaning portion. The building has been very well maintained and so far has only had one small repair that cost $150. I will have the furnace cleaned and would like to do some work to the hot water system which would likely bring the total repair portion to around $1700.

I allocate 7% of rents for repairs and maintenance however and set it aside in my savings. That would be approximately $2600. I also save 7% for CapEx and 7% for vacancy.

My handyman would like to see my upgrade the furnace which would be about $8,000 but as there are no problems with it yet I hope to wait two more years. Also I believe I have a bed tenant lined up for the one who is moving so I should only have about a 2 week vacancy.

@Alex Ea Yes