All Forum Posts by: Bill B.

Story after story after story of dog owned for years and years by The same family suddenly kills owner or owner’s kid. that’s probably most of it. 

Who cares if you have insurance when you’re sued for a million or $5 million. 

If you’re not making a boat load extra money for taking the risk, why would you take the risk?

A police officer is suing a landlord because their tenant shot them. If you’re responsible for that how are you not responsible for anyone that dog ever hurts?  Are you going to court and saying “your honor, I didn’t know they suddenly attack” or are you going to say you didn’t believe it?

Are you reading every policy change they ever send like the one that says on page 12, oh, by the way we don’t cover these animals any more. Or when the claim comes in they say let’s see the letter of good behavior we require from the dog’s vet as specified on page 19. 

Maybe, if you aren’t getting any decent tenant applicants that don’t own big dogs you could sell and find another neighborhood. Or charge a boatload above market rent, own it in an LlC, and mortgage it to the hilt. And just try to sleep knowing financially you’ll be ok no matter who’s killed or injured because you just couldn’t find anyone else to rent to. 

Quicken is less than $50 and overkill for personal finances and 20 rentals. maybe quickbooks when you get to 50. 

I don’t see how you could refinance. Usually you can only pull 75% of the value out. Unless they properties ar worth less than $100k each there’s nothing to take out. Even if they were only worth $80k you’d only get $10k each minus costs  

You’re making 12% cash in cash which means you’re probably making closer to 20% on your money after principal paydown. I don’t see how you’re going to do much better. 

Maybe you could househack a fourplex, but beyond that, your returns definitely won’t be that good in 5+ MF. 

Also make sure Airbnb is allowed in the city and the building you choose. It is highly restricted or outlawed in much of Las Vegas. If the numbers don’t work with a regular tenant I wouldn’t do it. 

That said, a condo under $100k near the strip? I’d be worried about that part as well. 

I don’t know if you have rc wiley there but I use them for appliances. They charge $59 for delivery and installation once per year. Divide by 5 - 10 deliveries and it’s basically free. 

Find a mortgage broker. I swear every broker I’ve ever talked to has offered 80/20  30 year investment loans. And that was a few years back when credit was “tight”. 

It doesn’t matter if you or your llc “owns” the property. The mortgage is in your name. 

Props to @Nicholas Aiola for actually answering a question as a CPA rather than the 1 sentence answers so common in BP....

“Ask your cpa”

“Sell all your rentals if you aren’t going to treat it like a business...”

Etc...

Thanks again Nicholas for adding so much to BP. 

If you’ve been a landlord over 2 years they will usually count 100% of the new lease/possible rent. Less than 2 years it is often 70%. The rental income is counted as real income and is usually even counted as better than it is. As they only count income minus debt payment (including property taxes/insurance) but often don’t include property management, or estimated repairs. 

I would do the upgrades at the end of the lease.  Either as an incentive to renew at a higher rate, or to help fill the vacancy faster. Think about how much more attractive a new appliance is to a prospective tenant than a 6 month old one is, it might as well be 3 years old, it’s used either way.