All Forum Posts by: Charles Carillo

@Zaid Bender

I prefer agency debt vs. financing from commercial banks. Usually better rates and terms. A commercial bank however is most likely to close faster and usually they are not requiring as much in reserves. They are also more likely to lend on properties with less than 90% occupancy. In other words, commercial banks are more flexible.

@Eric Ganza

We have older properties and I can send you the names of the actual insurance companies they are through. Send me a DM.

@Christian Valencia

With older properties it is not abnormal to have units sharing meters. This is also a relatively easy change for a stand alone cottage to be separately metered and will increase the value. Are there any open permits or citations for the property? If you are uncomfortable I would not move forward but it seems like it is a legal 3 family.

@Roger Evans

I believe the best option would be seller financing. Have you inquired with the seller about this?

@Tom Tran

Check UpWork.com. There are thousands of bookkeepers there that can assist you.

No but own property in CT

@Charlotte H.

It depends on the target tenant that would be living in the property. This is a lot harder when there are minimal comps. Maybe expand your area to see what comparable properties are renting for in other areas and then looking at their finishes. If you are renting a C+/B- vs. B+ there might be black appliances vs. stainless steel. The goal is to make sure any money you spend on the unit can be recouped in 36-48 months through increase rent. You might find that most units in your area are not updated that much or others that have $2k-$3k invested in them are renting for $150-$200 more per month. You can then make your decision from there.

@Julie Cosgrove

The benefits with using a LLC is asset protection. The problem arises with lending when you are trying to purchase and finance certain residential 1-4 unit properties. When you start getting 5+ units, LLCs are normal and lenders have no problem with them since every property is an investment property.

@Sama Pa

If you have a specific area you are checking you can find rent comps on a number of websites. I like checking Zillow as well for similar properties or properties in worse shape and using them as comps. I would also check Craigslist and possibly place an ad there to rent a property in that area and see how many calls you get at different price points.

@Izac Sheforgen

I imagine a mortgage broker will chime in here but I has done this previously on a triplex in the Northeast. I would only suggest house hacking on triplexes and quadplexes since it provides you with the most income streams available under FHA.