All Forum Posts by: Christina R.

This is great - thanks for all the replies. Anyone else have something to add - please keep it comin'!!!

Have a lunch meeting this weekend with a Realtor/Investor/Property Manager in Baltimore City. Looking to get into this market because of cash-flow potential. This will be our first property and will be using a PM from the get-go. Hubby travels for work a lot and we have small kids - not good for RE knowledge acquisition not to manage ourselves but this is our reality.

What are the top 10 questions I should ask a potential Property Manager?

Thnx in advance for your response.

@Amit - that is just beautiful. Like Nicole pointed out, the board up next door looks like it's no longer a board up . . . which makes me curious as to how many board ups were on this block (you mentioned a good school district so I'm wondering . . .)

There is a short sale on the MLS in my market that is very, very close to where I live. If I were to someone acquire this property I would rehab and it a sell it. I have a few questions -

* Is the listing agent obligated to note in the MLS remarks (viewable by the public) that it's a short sale? I noticed the "low" list price relative to my neighborhood which is what made me look at it closer. I emailed the LA and asked if it was an REO, to which she replied no, a SS. I thought that either one of these had to be notated in the listing remarks viewable by the public.

* There is one bank. According to LA, the bank wanted it up on the MLS but has not approved a price, therefore the list price is one . . I'm not experienced (obviously) in SS so I don't know if they randomly picked this one or what.

* Is the LA obligated to submit any offers? There is a sold comp that is very comparable in terms of location and restrictions on building and I would be confident using that comp, adjusting downwards to be ultra conservative in submitting an offer. However, using the ARV less 65-70% minus repairs = MAO is it even worth it with a short sale? Are banks still trying to get as much $$. This is a BIG national chain that has this one. Is it true that by law SS must close within 30 days of an accepted offer now?

* Does it help to offer directly to LA and let her double end the deal with the rehab listing?

Sorry if these questions have already been answered or just too ridiculous to ask but since I can literally see this house, my interest is very peaked.

Thanks in advance for any suggestions,

Christina

Looking for any recommendations on contractors for rehabbing SFH and rowhomes/towns in the Columbia/Laurel/Catonsville/HoCo/MoCo county area of Maryland. Please respond here or feel free to PM me if you can and are willing to share.

Thanks!

@Dan MacDonald - As you know, if it's a short you'll need to work with someone qualified to deal with short sales (an attorney and/or a CDPE agent). I know one of the latter who can do comps for you- if you are interested PM me.

Christina

I hope to have a success story like this one day

@Douglas Graham

- Hi Douglas. I don't know if you've posted before on BP or have been reading and learning and now are jumping in. There are a lot of MD/DC/VA investors on this board with a seemingly high concentration of Baltimore City/County investors. Set up some keywords like "Baltimore" "section 8" etc and you'll get emails linked to a wealth of info on this topic.

There are good local REIA meetings as well. I just rave about the Baltimore Washington Meetup (every 2nd Weds in Columbia -last night's was awesome).

I'm ready to pull the trigger on buying a rental in B'more. I"ve been reading, analyzing, and attending meetings for 6 months. It's time to make a move.

@Mohamad Ajaj -- I was under the impression that Section 8 tenants only have to pay what their voucher covers. Can you compel them to pay any difference between their voucher and what you are charging for rent? How successful are you with getting them to cover the "spread"?

@Cynthia Cody - There are several people on BP that specialize in this niche. In my area @Ned Carey is what I would consider one of the main "players" in this market (i.e., very experienced and knowledgeable). if you set up "tax liens" as a keyword, you will get notified of his and others posts on this subject.

While this can be a relatively low cost entry into REI, it can also be extremely time intensive. I paid taxes on a property over-the-counter in June, AFTER Baltimore had their online sale in late May. Of course you can imagine that most of the "good stuff" was already snatched up. What was left was basically what no one wanted but that was good for me because I had a max on how much I was going to pay out. There could be a diamond in the rough in that pile. Determining a potential diamond meant required time on narrowing down areas, actually driving through them to make sure there is something still standing at that address, etc., etc., and putting up money that is going to be locked up for at least a year. I just contacted a recommended attorney today to start the 60 day process that occurs BEFORE notice of foreclosure filing is served and then the process after that can take up to 2 years.

At any time the owner can redeem the taxes. So it CAN be relatively safe - theoretically I should get all the money I put in plus interest OR I will get a property for around $5K.

However, what happens if the house burns down between now and then?

I think lien investing is challenging, can have huge payoffs and disappointments (that mansion redeems so you don't get the 300K house for 10K), requires patience and delayed gratification, and can be a very low-cost entry into REI but what I've determined since putting my toe in within the last 4 months is the most important step is --- network, attend local meetings and read BP like crazy, and get a mentor and utilize their expertise and knowledge while compensating them for their time along the way.

@Tamara Pottillo

- welcome to BP. You mentioned your husband if a GC - any website or contact info for his business?