All Forum Posts by: Andrew Bosworth

@Jay Dewberry , @Tom S. and @Russell Gronsky

Thank you for your feedback guys!  

The CapEx is certainly something that needs to be factored in.

Regarding insurance, I am an agent, so I have already priced it out.  Our agency has a number of strong markets for single family and small multi-family rental properties - this comes in handy!

As for owner expenses, the units are split half electric heat and half gas heat.  I would plan to get every unit on its own meter, so the tenants would be responsible for their own electric, heat, etc.  Other than a few very small common areas to manage, I don't anticipate too many extra expenses in addition to the maintenance budget (12%) each month.  You make a good point though Tom, there are always unexpected miscellaneous costs.

Thanks again for your feedback.  I'll let you know what happens.

I'd be interested to hear from others on BP as well.

Looking for BP feedback on a potential property:

7 unit property near Harrisburg, PA.  Currently vacant, in need of some updates and renovations.

Purchase price: $160,000
Renovations: $50,000
Closing costs: $7,000

Monthly Income: $4,200

Monthly Expenses: $1,483

-Vacancy (5%): $210
-Insurance: $108
-Maintenance (12%): $504
-Taxes: $284
-Management (6%): $252
-Misc. Owner Expenses: $125

Financing: TBD

Stable market, highly visible location, off-street parking, close to amenities and transportation.  Value-add deal.

Dethlefs-Pykosh Law Group in Camp Hill, PA

@Jacob Plocinski

Glad to hear it went so well!  What would you say is the one thing you left the meeting with that you feel you could take action on right away?  

@Jacob Plocinski

Every new endeavor brings with it some level of intimidation, but don't let that slow you down.  You've already taken an important step by reaching out to this other investor.

@Missy H. is right. My suggestion for this first meeting would be: 1) pay for his coffee, 2) respect his time and keep the meeting brief, 3) let him talk. If you explain that you are new to REI and tell him what particular areas you are most interested in, I'm sure he will have a lot of good information to offer. Take notes!

Best of success!

Welcome @Nate Jones 

@Nick Stoddard

How are you purchasing properties - under an LLC or your own name?

I would recommend $1M.  Considering the added protection you get for a relatively low cost, it pays to have adequate insurance.  Lower coverage saves you a few bucks today, while higher limits pay you tomorrow.

Welcome to BP @Ben Baci

Welcome Kris.  I recently finished a project not far from Grantville.  Good luck and let me know if I can help in any way.

Andrew