All Forum Posts by: Bernie Huckestein

Hello again:

Although several accounts I have communicated with are confident in their Real Estate Investment expertise so far they all pause when I speak about including a SDIRA in the mix.  Does anyone know of a resource for this in Maine?

Thanks, b

Assuming that is close to market rate

It looks like there is a fence around the back yard?  I know folks will disagree but if it would me I would not only allow I would market to dog owners (I don't do cats).  If you reserve the right to meet / approve the dog I've found this opens up an entire new market.

I look at it this way....with the exception of college I've never been without a dog...and I would have been a good tenant.

I think that is your ticket...but no cats.

b

Can anyone suggest a Maine based accountant with a focus on real estate investors to include the use of SDIRA for investments.

Please advise --  bernie

Thank you

I have enjoyed some early success with SFR and Duplex investing that said, I'm wondering if I can get to where I need to be this way and feel like I need to focus on multi-units....although I would consider something larger I want to try and build my expertise in the 10 - 40ish size.

Can anyone suggest a series of books or other education to review ...I fairly comfortable on the financial evaluation side but look for pointers on the extended due diligence (over that typically done of SFR/Duplex), locating and financing

thanks, b

Most houses here do not have central air; however, I have to wonder if this is "expected" in NC...what class property is this?  I'd consider other properties around for rent...do they have CA...a) if they do that is what you will be competing against b) if CA is not the norm for your area this may enable you to get a few more dollars in rent  c) Also, if CA is the norm not having it may cause a lot of churn in tenants

I'm not really sure if CA will account for itself via appraisal but you should consider if it can help reduce churn + window units will for sure cost you or the tenant more electricity again causing churn.

b

I've been looking at TK for some SDIRA money, while I do think you need to be careful and do you homework not all TK operators are crooks.  If you want and have time to find the property, fund the property, manage any rehab, market and lease the property then TK is probably not for you.  If you want a company to do most of this for you then that is why you pay a bit more...you should not expect to get all of this AND the property at a 20% discount 

As it turns out I am probably going to invest my SDIRA monies myself and without a TK because if I am going to pay near market I can maybe find my own better deal  as I can pay cash then have better control over some non-recourse funding after the fact.

If you can't get them out before the close I'd be concerned about what they do on the way out once you give them the 30 day notice.  Sounds like upstairs is already moving out you may think about cash for keys downstairs  --  although I wouldn't give much since they don't really have a lease

Great post, 

Most has already been mentioned: no carpet I use a Lum-Liq laminate that looks like weathered wood...looks great, does not show dirt, so far everyone likes it.  Electric stove only, no ice, do have some garbage disposers wish I did not.  Ceilings are flat ceiling pain but every where else it is Semi-gloss paint walls darker than trim

Yes you will want to make sure from the town that it is zoned for a 2 family.  If the town doesn't count it as 2-family @Darius Lipsey is correct you will not get insurance.

Curious is the $750 including utilities market rent for a 2 br 1 bath unit in Jersey?  On many units here the tenant has separate electric but the landlord pays the heat...that alone with Maine property taxes bumps the 50% ratio up to about 60 so if you are zoned for a duplex that is 750 x 2 * . 6 0 = $900.  For me I would then take $1,500 - $900 - $400 ($200 cash-flow a door) = $200 to cover debt service.

To make this work you would really need to get a hell of a deal or as I suspect the $750 rent is below market.   Please keep providing updates be great to hear how you make out.

Bernie