All Forum Posts by: JR T.

You can purchase lists of probates and lists of owners with different mailing addresses than the property address which indicates investors who might be willing or wanting to sell. Anything you're going to mail them be confident enough in that you will mail it 7 times. Sending one letter is rarely effective.

They will lend for anything if you meet their criteria (i.e. you have the capacity to repay their near-usurious interest rates and enough capital in the project they have no risk of a loss).

No that site isn't worth $40 a month. You can view HUD homes online for free at hudhomestore.com

Yes, they will flex on their asking price. Trust they will have a good understanding of the market most of the time though, so their prices are pretty close. You are not going to do an extremely below market deal with them unless the property needs work that makes it difficult to sell. I walked into $70k equity on my primary - it was a foreclosure with a basement that needed a gut renovation for mold. I had the right partner for that job so it was an easy fix for me that scared off other potential buyers.

You have the terms correct. Your numbers don't add up though, your expenses when you include CapEx, vacancy, property tax, insurance, mortgage interest, etc. on a property like that are going to run closer to 50% and you didn't include your mortgage payments....

Have you verified that the lease does in fact go month to month and does not auto-renew? If you're about to close ask the current owner to go ahead and give her notice or allow you to do it prior to closing. You can also try writing her a letter and offering to bring her her security deposit and $200 extra in cash if she vacates the unit in reasonable condition and meets you there on the day of closing.

You can't find a cheap fixer upper for under $200k? What is the problem with putting the cash in your house?

You are likely to find a lender willing to consolidate the loans, I think you can get up to 5 with a traditional lender, a more experienced borrower here could say for certain, even if they're not attached to one another. 

This won't change the tax treatment - two tax parcels, two property tax bills, etc. 

What is your interest in this? You realize you can deduct any interest you pay on the investment piece from the rents you receive if this is about trying to get a mortgage interest deduction on your investment..

It's subjective - very much in the eye of the beholder.

You base it on the combined income. You should have an expectation that your screened tenants will perform their lease obligations. But you also need to screen for risk. What you describe about boyfriends and girlfriends breaking up is risk. You can take that risk if not leasing means the unit will be vacant for some time. If you're priced right and the unit is desireable you should be able to find a better-qualified tenant who doesn't pose that sort of risk to you.

Put them in touch with a licensed REALTOR that can get them into MLS. If it's a great deal the market will see that and respond. Please take some time to learn the business before you take on "clients." Most community colleges offer courses on real estate.