All Forum Posts by: Bryan H.

I don't want to break off a piece and get into more work than I need to. Anyone see this before? How is it removed? I've never seen a flapper like this
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The seller doesn't care about the 70% rule, rehabbers do. Your offer needs to come in at 70% ARV - repairs - your profit. I probably wouldn't tell them all of the ways everyone else will profit from their situation.

I"d focus on their needs, what's in it for them. Quick sale? Debt Relief? No need to make repairs? Save on realtor fees? closing fees? etc. You need to make your MAO based on the above rule, but focus on the sellers needs when working with them.

Thanks Bill Exeter.

Try this. http://lmgtfy.com/?q=Lake+Charles%2C+Louisiana+flat+fee+listing+agent

I didn't know the purpose of ownership played into the 1031. I knew of the like for like rule, but assumed it could be SFH for SFH. I didnt realize you couldnt 1031 an investment home into a primary. There goes my retirement home.

Can't you use a 1031 exchange on primary residence? Sell both, use 1031 to buy one single primary home?

Check your lease language, what does it say about this? Nothing? Update your future leases to account for this type of situation.

If it cover this, chances are you can post your notice to quit since she hasn't paid rent. She is a pain, I'd take the first opportunity to get rid of her.

Try reading this http://www.biggerpockets.com/renewsblog/2008/03/03/determining-the-value-of-an-apartment-building-investment-using-cap-rates/

Looking quickly at your numbers
Where is your principal payment expense on your loan?
Insurance is probably too low
Sew/water is probably too low
Maintenance is too low
No management fees? Even if you are doing this yourself, you should budget 8%. Isnt your time work something
There is a lot missing from the budget that goes beyond just 'property' stuff. Taxes, book keeping, advertising etc. That's why the 50% rule is good.

Your interest rate is probably too low. Especially if you are going FHA (5% down), can you even do this on a rental?

I'd agree with Joseph Weisenbloom, this doesn't work for me.

How much rent will this home get?
How much money can you put towards the home in the next 15 months?
Here is my thought; if you can use the cash flow from the property and any extra money you have to pay off the credit card in 15 months, then you own the house free and clear.

You wont be able to refinance a 31k home purchase and pull out 30-35k, you already said you cant get a mortgage for less than 75k.

If it were me and I really wanted this property Id look for private money. Figure on making no money until you pay off the lender. How much is market rent?