All Forum Posts by: Barbara G.

=======================================================================Is section 8 paying her $65.00 NOW?  She has no income Now

Is section

8 paying her $750 a month or is Public assistance paying her $750.??  Either way her mother has to live somewhere?  Sounds like $750 might be for room and board.

We are renovating a duplex in Conn right now  and I would like to compare our Duplexes and cost to Michael/s Duplex

NOTO HOUSE------------------------------------------OUR HOUSE____________

• Purchase price: 95k  -------------------------------       72K
• rehab amount:   30k-------------------------------------30K
• ARV: 190k------------------------------------------------130K
• Area: Solid B area (can something be a B+?).............C+ ?
• C_Rents: 1st Floor 2 bedroom ($975), ----------------$950
• 2nd floor 3 bedroom                ($1100)-----------------$950
• taxes: $4600---------------------------------------------$4,500?
• Land: 0.50 acres-----------------------------------------??
• Gas Heat---------------------------------------- --------Electric
• So Noto house cost $125,000 and out house cost $102,000
• Noto house cost $23,000 more and has a ARV of $60,000 more
• Our ARV is $130,000 and their ARV is $190,000
• So for $23,000 more in cost they gained $30,000 more in ARV
• And for the $23,000 more their rent roll is $8,130 more a year
• It looks like The Noto buy is better than our buy??
• Noto should get a refinancing of $133,000 (Noto cost is $125,000)
• We would get                               $ 91,000 (our cost is     $102,000)

I forgot about the Mortgage, principal and interest

And Insurance costs

As you know Linda the 5 months renovaton time cost you

5 months of Tax

5 months of utilities , electric and water, maybe garbage

5 months of lost rent 

Its got to take you twice as long as a professional to do anything

Its really almost impossible to make it pay to do the work

Banks want everything plus 5 things more than that.  W just got a motgage for 2 duplexes we bought and every time they asked for 2  things, after they got that information they wanted 4 things more.  Everything they asked for generated a new request for more information.  It was te worst most exhausting experience.  They wanted to know where every dollar we had in the bank came from.  I have a small side bussiness and when they saw I took $6,000 out of it they wanted to know why??  They finnally asked me to get  my accoutant to say that my taking this $6,000 of my own money did not "Jeprodize" my side bussiness.  Who knows what these people were even talking about.  My accoutant said it was the dummest thig he ever heard,

Good Luck to you.  

Just remember time is money.  The longer you take to renovate all by yourself, the less Rent you get.  If you Rent is $1,000 a month and you lose $1,000 in rent just add that to the cost of putting a kitchen in.  Of all the jobs, hanging cabinets is really time consuming.

Well it looks good to me

Don't sell Granny short she knows what she's doing.  

What does the kitchen cost and what are you putting into it?  Who owned this house that you bought?

You seem to be such aa  careful investor.  We have just been charging along like Mr Magoo,

I can't see how you can do anything but really well on this property.  you seem to have every base covered and what a bargan it seems to be.  How in world did  you find this .  The sellers seem so co operative

Keep us in the loop.

Well those houses are pretty cute.  You must be at the fore front of the Little House movement.

How can you go wrong here?

Give us a diary of your renovations on these two houses.  Document them Blow by Blow for us!!  Then tell  us about the renters you found  and the amount of rent and the cash flow.

This is like  little Night Time Fairy tales

Join a real estate club in your area and or a Real Estate Meet Up Group  and you will have many people to network with and mentor you through your first Buy.  Yes you should get a home owners FHA Mortgage as every one has suggested  and you can get that  for as little as  as a 3 1/2% down payment if that's all you want  to put down.