All Forum Posts by: Michael L.

The closing cost also includes 1yr of Insurance ($792), about a month's of interest ($468), and initial escrow deposit ($958).

ugh...my previous post looked nice and fancy in tabular format before posting...will try again

The closing costs are my exact numbers, which includes Appraisal an Inspection.  I use a 10% vacancy and repair number based on BP expertise.

Just signed the papers for my 2nd Duplex with Elite Invest!  Really happy about this one.  The rehab job Elite does seems to be getting better over time.  I noticed small details like crown molding, better tiling work, etc.  This particular property still had some original woodwork in the entrance area that was retained and restored which gives it a nice touch:

Screenshots were taken from the inspection videos.

Tenants in place, signed the PM papers, and now the waiting game for the checks to roll in :).

I'll try and follow-up with some estimated cash flow numbers shortly.

 Thanks Doris!  I try to post as if my audience were me 1yr ago, or something like that.  I definitely had my reservations (not the greatest neighborhood, Sec8, etc.), but as time goes on, I become more confident in my decision.  

Regarding the management portal used by Elite PM, it's AppFolio, which gets the job done but is lacking in features.  Since I prefer a very passive approach, it'd be nice to have a auto-report generated each month on all activities on my units.  The portal only allows ad-hoc reports. Boooo....

 I had similar concerns with certain things like the bathtub leaking.  The description in the 'management portal' isn't verbose, but the tub leak was referring to the valve (dripping).  If it were an actual leak outside the tub, yes, I would be furious as that could cause major issues.  Also, the descriptions in the portal are typically a PM rep jotting down very short notes from a tenant calling in.  The good thing is, is that their maintenance crew is on it timely.  I haven't dug into these maintenance items too deep, but it's something I'll keep an eye on to make sure it doesn't get out of hand.

Thanks for the heads up Kevin.  I don't post that often and didn't even consider the blog section.  Will let you know if I end up starting something over there.

I wasn't planning on it, but since you mention it, I should look into it :).  What's your recommendation?

By the way, really learned a lot from your podcast (https://www.biggerpockets.com/renewsblog/2014/05/2...) and made me see Sec8 differently.  Also, awesome tip on cash for keys!

 Hi Doris, you bring up a valid point, so I went through and looked at what exactly the repair/maintenance was.  Here is a snapshot:  furnace filter replacement, air filter replacement, weatherstripping on porch door, issues with rear door lock, kitchen sink draining slowly, stove bulb missing, front vent not staying open (prob a heater vent since it was in Nov), bathtub leaking.  I haven't totaled the parts, but it looks to be $150 ish.  The labor (warrantied for 1 yr) would've probably been about $200-300.

These are gut rehabs, with all the major stuff brand new.  The recent inspector I used does a good number of Elite property inspections, and he mentioned their work continues to improve, which is very positive.  I'd say the quality of the stuff is pretty standard stuff you'll find at Home Depot or similar. i.e. construction grade.  The Chicago winters likely attribute to the higher frequency of certain repairs is my guess.  

I'll continue to post information that might be helpful to others as time permits.  Keep the comments and questions coming and I'll try to respond as best as possible :).