All Forum Posts by: Brian Ploszay

Your initial purchase price was very good.

Fort Wayne isn't a typical rust belt town.  The population is actually growing there over the last 20 years.  It is still a tertiary town.  Interesting that you are buying newer construction rental housing.  

It is not economically literate.  They are creating housing scarcity.   

I have found a good tenant off of Craigslist.  Yet the platform is losing market share for rentals.  Ten years ago, it was more active. 

I have looked for deals in the past, but not much came up.  So if you skip Craigslist, you will probably not lose many opportunities.

When you are starting out, higher leverage seems natural.  You don't have excess capital to put into real estate deals.  Besides, real estate is expensive. 

The only way I could ever get into trouble is if there is an interruption to my cash flow.  So keep the properties rented.  Another thing that can kill a deal is excessive repairs / capital maintenance.  

For lower income rentals, I used to always do used appliances.  They don't always hold up.

Nice size deal.  Good luck.

Do not take the partner is you have doubts.  Analyze them from several perspectives, including what they will add to the deal, how they assert control in the partnership and the downside if things do not go to plan.

I passed on a partnership and was glad I did.

They are not fulfilling the terms of the contract.  Next, the courts make it very difficult to evict right now.   The fact that the tenant made a payment is nice, but they still have a history of instability.  You do not want this headache.   Your realtor, of course, wants a commission, but stand firm.  If not delivered vacant, you will not accept the property.  Don't settle for a $1000 discount.  Find another one.

That would be close to financial suicide in my market.  You are basically making a subprime loan.   There is a high risk of default, and then you have to foreclose.  My State is a judicial state and in my County, the foreclosures take a very long time.   You can do a rent-to-own situation, which even has a lower chance of success.