All Forum Posts by: Andrew Weiner

If you have one property nearby you might not need tracking software, I know some independent landlords that get 12 post dated checks and just mobile deposit them on the first of each month.  Software does have its advantages but it does require some set up and its another thing to keep track of, if you scale then you will need it eventually and it might be worth getting it upfront.  

I know that in single families in Cleveland Heights people have put in basement bedrooms with an egress window and they were on formal plans that were submitted to the city and approved.  That's far from a definitive answer because its an owner occupant and a single family, but I would imagine if you e-mail the house/building department they should be able to give you a firm answer.  

Section 8 standards in our area are high (depending on the inspector).  In order to pass you will need all that and possibly more.  That being said, you can go through the process, get the inspection done and they will tell you what you have to do to pass.  In Cleveland most tenants have CMHA and the process is a solid 8-12 weeks from the time you submit the packet until the tenant moves in if you don't get held up doing work to pass the inspection, this might also affect your decision.  

Also, make sure to keep up with grass cuts while it is vacant or the city will fine you and those tickets are expensive.

You would need someone local to deliver the 3 day notice and then a local attorney to file the eviction.  You can probably file it yourself but depending on the court they may not be accommodating to an owners possible mistakes in the filings and you would lose months.  Its also possible that the tenant already left, you might want someone to check to see if they are even still there.  

The Clinic is expanding their footprint but as of now its not greatly impacting the whole zip code, its very localized.  Unless what your buying is immediately adjacent then it could be many year until they get to that area, if they ever do.  

I don't believe that there is an exemption, they just might just might not get picked on because they are too small.  I do know an independent landlord in our area that has one duplex and a fair housing organization filed a suit against him two years ago and he has had to defend it.  

You probably are violating some fair housing rules if you don't have a full vetted process.  Your criteria should not include anything that would violate someone's rights as a protected class.  That being said your feelings probably correlate to things that are not discriminatory and if you can explain your decision that way you should be able to defend yourself.  An example would be credit score, if that is what makes your trust someone that is completely fine.  

When you do business someone can make a claim even if you didn't actually do what your being accused of, its about having process and documentation to prove that you were not in violation.  

Touching base with a RE attorney might be a good idea to make sure there isn't anything specific locally that you don't want to violate.  For example in my area there are specific municipalities that have passed ordinances that prevent you from denying an applicant because they have a housing voucher (section 8).

I'll send you a few names in a DM

I have not read the book but just being involved with syndication deals over the years I have seen a few different things.  Not all syndicators are similar, there are some that take on huge risks and they might not even realize it because for almost 10 years you could buy poorly and the rapid appreciation bailed you out, going forward they might not be able to repeat what worked before.  

I would encourage you to read the full offering document, there should be details on how the profit is split, are you able to liquiditate early if you need (can you sell your shares even at a discount?), what kind of capital reserves are being kept, what are the contingency plans if the market is down in 4-5 years?  Is there any preferred return?

The rehab numbers are the hardest part even for people who have been doing this for a while.  Experienced contractors regularly have to add change orders once they get started because things arent always the same once you start doing the work.  

Try to network locally with some contractors that have done the kind of work that you're hoping to do and ask for some of their most recent proposals.  You can try to use that as a basis and extrapolate out to your project.  Labor costs for skilled labor vary across the country as well as with the age of properties so I think you would want very local data to use.