All Forum Posts by: Chris Svendsen

 Guess all we can do is wait and see what he says.  I may be to conservative with my money but I also not looking to go bankrupt or loose anyone's money.  This deal would of been way to risky for myself.  Hard money can be an unforgiving mistress at a time like this. 

 We all curious.  Saw online appears he is trying to sell the lots for 1.2M but tough sell when a block over can buy a 3300 sq ft house for same price.  Another listing is 1950 sq ft for 700k. I may be mistaken, and hoping works out for him, but possible got in a little to deep to fast but I don't have the balls to take on an undertaking such as this so I probably have no room to speak.  I know from start we all felt may be a little to optimistic with build cost and selling points.  Hopefully we can get an update and things are going well for him.  Don't want to see anyone loose big.

I am just following along as working a seller financed deal and hoping to get zero percent interest so this topic very near to me to see outcome.

I use lowes, usually take advantage of the interest free offer and do a large purchase when they got 2 years free.  Last house we did a 30k shopping trip one weekend for all supplies we needed including appliances we needed for renovation. Was able to leave stuff in store and pick up as needed for big items.  Plus when was done paid off CC over time using cash flow from rentals to didn't cost me anything, as long as paid off in time.  

works good for me as free money and can use money other places.  Plus delivery included so they lugged appliances in and up and down stairs for me.  Tip guys doing work.  Gave them each 100 and they did everything for me and took all trash away.  Dudes busted *** getting the appliances into old house and up stairs without one scuff or ding.  Money well spent.

 I believe you are fine if only under contract but talk to a 1031 exchange company right away.  The cost they charge is minimal for the service.  We sold 1 house and exchanged into 2 houses and believe it cost less than $400 total to make sure government was happy.

 What he is saying is you can sell, take 200k profits and use it to buy 1 million dollars worth of property.  This could be done through various types of properties.  Assuming this has been your primary home you can sell and keep all profits tax free to invest in something else.  

if was a year ago I would say do a cash out refi mortgage to 200k since rates were almost 3 percent, rent it out and then take the extra money from cash out refi to buy more places but rates are pretty high so may not be worth it now. Could also get a HELOC on equity to use to buy a some more homes but right now you sell you basically get the money completely free to invest in something else.

I feel the same pain in my homes but at same time my rents and homes values have increased.  These have offset the increase in tax and increased value allowed me to borrow more to increase number of homes I own, bringing in even more money.  Don't get me wrong I hate taxes, and especially when they increase, but as the old saying goes you can't have your cake and eat it too.  To many people only see things one sided of how affects them but there are many things in flip side to the coin.  Increased taxes because values increased isn't necessarily a bad thing and as other pointed out if they also decreased tax rate it could of been much worse.  Now, if reassements went up, and tax rate jumped drastically, I be worried more but you can't blame them for reassessing under valued properties to get a proper tax revenue. Would you sell a home you owned for 10 years based on appraisal that was 10 years old?  Personally I enjoy the comfort of knowing the police force is there, roads are repaired, town redevelopment is in full swing and fire Department is well outfitted with proper gear to save my family if needed in addition to the multiple social services available to those who are truly in need of them. 

I will not comment on the lazy F's who are using the system.  Sometimes you need to take the bad with the good you received.  Yeah, I know, totally going to be labeled a liberal now. 

Get a professional in as wiring all needs redone and should of been already honestly.  Old wires from early 1900's will be way over taxed with today's current demands.  It going to be 7.5 to 10k and there will more than likely also be wall repairs needed unless all surface ran with wire mold or conduit.  Service upgrade and panel will probably be $2500 in itself.  

oh and $69 cheap.  I paid an electrician $500 to go through an apartment building we had under contract to get a "rough" estimate on cost.  That $500 saved me $50,000.  Pay a professional for their knowledge.

I would pass.  Here why.  House looks like needs total rehab from roof down.  Windows, doors, wiring, plumbing, walls, floors, and everything in between.  1000 sq ft.  Conservative estimate of $75 a sq ft to get rehab done puts Reno cost at least $75k.  Add to that bad area of town, limited comps, no experience, you probably going to end up way over budget.  Assuming you be paying people to do all work.  That's just how I see it. 

Last rehab I did with this amount of work was 2000 sq ft home, cost me about $55 sq ft with mix of hiring out things and doing work myself.  My original budget was 85k for work but had to do more than planned plus supply cost and labor went up, thank you COVID, so had over 100k into Reno.  Now thankfully was good area, lots of comps, knew we could of went as high as 150k for Reno and still been good.  Sold and made over 100k on sale, thank you again COVID.  I lucked out with timing. Bought at low and sold at high.  You are buying at high, not sure how much higher it will go.  When analyzing our place in my brain I go with high estimates for Reno, and low estimates for sale and knew I would still be okay.  Thankfully reno was somewhat higher, sale was way higher, but I always plan worst case scenario.  I am just 5 houses in so not experienced as others but that my thoughts.  To me this house just way to much first time into game.