All Forum Posts by: Carl C.

You can't screen students. None of them would meet your criteria. We have always required that parents sign and notarize a guarantor form for each student. This has never been a problem for us in 7 years of student rentals. 

What kind of advice do you want? Home prices are way up in the last few months. It's pretty competitive at the moment. Lots of folks from the city are buying weekend places. We own in New Paltz, Poughkeepsie, and Amenia. All are good for certain things and not others. Everything we have cashflows well. Like everything else, you have to find the deal that makes financial sense. It will take time, but they are out there. What kind of market are you looking for? 

I can only speak to New York costs for renovations, but in an old building that has been abandoned for some time, I can't imagine that renovation only costing $150,000. In my mind, I would think at least $500,000. In New York, you'd be looking closer to $1million. Sounds like a fund project but be careful that you don't lose your shirt on this. Good luck. 

I wouldn't refinance if you'll end up with a property that doesn't cashflow. You'd better have a really good use for that money before pulling it out. I'd be more inclined to sell and put your equity towards a larger building. 

I'd be careful with how you proceed. There are new laws in New York that limit how much you can increase rent over last year. I believe it is 5%, so double check that. Also, if you raise rent when they are telling you they can't afford it you could get stuck with non-paying tenants and you can't evict them right now. You better really need that extra rent if you are going to pursue it. 

I'll go against the grain here. Some of the best advice we received from a VERY successful investor was to buy properties with the shortest time frame mortgage you can get. This does two things. One is it forces you to find better deals as your monthly payment will be larger so the deal needs to work better to still provide you decent cashflow. Second is that when you are 72 years old, you have a fully paid off property that will cashflow well and essentially acts as a giant bank account that your tenants filled up for you. This may be a good option to have in retirement. There is no right answer here. You have to decide your priorities. My personal recommendation would be go with the shorter amortization if you can swing it. Good luck!

I am a big proponent of trees. If you look at neighborhoods that people really like to live, they are full of big, mature trees. I forget the exact place I saw it but there have been several studies that show well placed trees add value to property. Yes, they have roots that can get into cracked sewers and their leave can clog gutters. They have a maintenance cost so you have to decide if the maintenance cost is more than offset by the increase value you will receive. 

@Joe Matthews You got this. Nerves are normal and good. If you weren't nervous, I'd be worried. Let the nerves guide you but don't let them stop you. Be cautious but move forward. 

We use them in all small multis. 

Your chance of correctly timing the market is extremely small. If the numbers work on a property, buy it. Don't wait. The longer you wait, the longer it will take to achieve your goal. We just bought a 4 unit in the middle of the pandemic. Why? because it works. Could we get a better deal in a year or two if the market sinks? Maybe, but I can't predict the future. Turns out if we had waited, the price would have been higher because of people trying to get out of urban areas 4 months ago. Who knew. Take action, there is no right or wrong time. The deal just has to make sense.