All Forum Posts by: Donald Thomas
Donald Thomas has started 2 posts and replied 19 times.
Post: How dirty will you let your Tenant be?
- Olympia, WA
- Posts 19
- Votes 266
@Nathan G. I say the damage is already done, let it ride! He pays on time and that’s valuable. Also it appears he don’t bug you about repairs.
After you kick him out if he needs a place to rent, send him my way 🤣
@Michael McBee I went under contract first. Contract gives me outs during the inspection period.
And that would be great if you can find off market deals. Typically you pay less than if it was put out on the open market. Good luck to you!!
Originally posted by @Dylan Petersen:
@Donald Thomas
Congratulations! I’m in the Tacoma market but I keep my eye on what’s going on down there. That is a smoking deal! Great job committing and taking it. Hope the rehab goes awesome and the refinance goes great as well. I know a great lender down there if you aren’t sure where to go for the refi.
Thank you!! And feel free to message me your lender. Love recommendations.
Once again, congratulations!!
Originally posted by @Joe P.:
Came by to say Congratulations on your first deal! Also highly interested in the CF breakdown.
One piece of advice I give everyone - I see you put aside about 20k (or have estimated 20k) for rehab. Consider baking into your original sheet about 10k of "reserves" -- as soon as you get tenants into the units and they start using plumbing, electricity, heating, usable space, appliances, etc., that's when the problems which you didn't see on your initial walk-through will appear.
My first duplex showed well and even inspected moderately well, fast forward about 18 months and I spent way over both my CAPEX and maintenance budgets for the same time period. Prepare for the worst and be pleasantly surprised if the worst never happens.
Good luck! Share your CF breakdown if you are able, sounds like a lot of us want to see the kind of deal you got!
That's a great idea, and I've heard to many horror stories to not have a big reserve. I'm doing my best to handle all of this prior to tenants but like you said, expect things to happen.
Originally posted by @Alma Bagaoisan:
@Donald Thomas
Congratulations. Was it hard doing it without a realtor to do all the paper work.
Actually it wasn't too difficult at all. Just knowing what paperwork needed is the most difficult part.
@Kevin Romines That was my original thought. Will be looking very diligently at that option. If I could do that...geez!!
@Michelle Reid During and after inspection period I gather bids and lined up all contractors to begin work immediately after closing. Interior of duplex were already remodeled (including all new appliances) so my focus was minimal.
@Brandon Stevenson If I did you’ll be the second to know 😆
@John Montgomery To alleviate the issues of high water table, the plan is to trench and install a sump pump system and divert any future water away from the property. Also, because the property is on an acre of land, we will also slightly change the grade to an advantage and install drain ditches.
@Val Johnson Good question. I learned that even though I assume I was a strong candidate for financing (cash/credit/stability), debt to income was extremely important especially being first investment property. I learned how to maneuver through a deal with lots of leg work being a FSBO deal with no agents involved. Due diligence was of the most importance and I paid very careful attention to worst case scenarios and comfort levels. I learned that it is very possible to create your own deals and just maybe you can find an unimaginably deal right before your eyes. Fortunately for me I have room for error, so I'll use this opportunity to learn as much as I possibly can and gain confidence moving forward.