All Forum Posts by: Daljit S.

Hi @Zadith Pino happy to chat! Feel free to send over a DM. 

@Amy Turnbull @greg 

@Greg Scott

Thank you both for chiming in here! All the points that you've made are great. I do have a follow up question - where do you typically get your leases from? Do you have an attorney draft one up for you? or are you using the local leases from being a BP pro member (I'm currently not a pro member)? 

Hi BP, 

I just closed on my first property last week! A duplex in Union, I'll be house hacking this property and living in one of the units. 

There is a tenant that I'm inheriting from the previous landlord. During the purchase process, I was provided with the current lease and rent roll. The tenant has been there since Jan 1, 2020 and I have pay statements showing that he has been paying on time. I will be keeping the tenant. 

He is currently living in the top unit, a 1 bedroom 1 bath apartment paying around $1400 a month. His current lease from the previous landlord is a month to month lease with at least 45 days notice to vacate. 

Prior to this current lease, he was previously on a 1 year lease. The landlord gave him the option to renew another 1 year lease at the same rent or renew on a month to month lease at a higher rent. He opted for the month to month option. 

As the new landlord, what should I be doing after moving into the property? Should I be providing him with a new lease with new lease terms? Where would I get the new lease? I would like to increase rent to $1500 as this is closer to market value. What would be the best method for collecting rent at the start of the month (should I use software or Zelle)? He's was previously paying with money orders to the previous landlord.

Thanks in advance! 

Hi @Mark F. Thanks! I will see what we can do here. I may need to reach back out and see if they can do better. I've just connected with another lender and the rate that they provided is 2.6%. Do you have a recommended lender you can refer me to? 

Thank you Bill ! I've stuck with my current lender on this one, it doesn't seem like there is any other way to get a lower rate at this point in time in the process.

@Bill B.

Thank you! I've stuck with my current lender on this one, it doesn't seem like there is any other way to get a lower rate at this point in time in the process.  @Luke Pontier@Luke Pontier

@Luke Pontier

@Luke Pontier

Hi BP,

I'm in the process of closing on first property, a 2-family house hack in Union city, NJ. I was waiting on the Certificate of Occupancy and Smoke Cert before scheduling a closing date.

Towards the beginning of November, my loan officer recommended locking in a rate, I decided to wait because we were not sure when the closing date would be because we were waiting on the Certificate of Occupancy and Smoke Cert. I wanted to avoid paying any rate lock extension fee's in the event that it could take more than 30-45 days to get the Certs. At this time loan officer was able to lock in a rate around 3.1-3.2%.

A few weeks have gone by and my agent has told me that we've gotten the Certs and can schedule the closing date. I updated my lender. However, now, the rate that I will be receiving is around 3.625%. I'm a bit bummed because I could have locked a lower rate for 45 days in the beginning of November.

What can I do to possibly get a lower rate? It is possible to negotiate with the lender if I have another lender that can provide a lower rate? or am I stuck with the 3.6% rate? The 3.6% rate would add an extra $300 to my monthly payment and make this deal less ideal that what it initially was.

Thanks in advance!

Hi BP, 

I'm in the process of closing on first property, a 2-family house hack in Union city. I was waiting on the Certificate of Occupancy and Smoke Cert before scheduling a closing date. 

Towards the beginning of November, my loan officer recommended locking in a rate, I decided to wait because we were not sure when the closing date would be because we were waiting on the Certificate of Occupancy and Smoke Cert. I wanted to avoid paying any rate lock extension fee's in the event that it could take more than 30-45 days to get the Certs. At this time loan officer was able to lock in a rate around 3.1-3.2%. 

A few weeks have gone by and my agent has told me that we've gotten the Certs and can schedule the closing date. I updated my lender. However, now the rate that I will be receiving is around 3.625%. I'm a bit bummed because I could have locked a lower rate for 45 days in the beginning of November. 

What can I do to possibly get a lower rate? It is possible to negotiate with the lender if I have another lender that can provide a lower rate? or am I stuck with the 3.6% rate? The 3.6% rate would add an extra $300 to my monthly payment and make this deal less ideal that what it initially was. 

Thanks in advance! 

@Shawn Mcenteer Copy that, thank you! 

@Shawn Mcenteer When you say it comes with a cost, what do you mean by that? I'm interested to hear how the 1% rule can be achieved in NJ.