All Forum Posts by: Dave Versch

Matt,

I've used them several times with reasonable success. I don't know whether they really do background checks or not, but they do have an on-line rating system where a contractor's previous customers will rate them (1 to 5 stars in a number of categories). That's usually what I go by.
The contractor can provide his license info (if applicable for his field) in his profile also.

I went to see this property today. The 8 units are contained in 2 separate buildings, and the buildings and all units are in amazingly great shape. The front building contains 4 1BR units and the rear building contains 4 2BR units. And each unit has central A/C, each with its own separate compressor thing (I'm obviously not an HVAC expert) outside behind the buildings! (I was stunned.) Anyway, as for the utilities, each unit has its own breaker box located in the unit. But there's only one electric meter in each of the two buildings that I could locate. And with regard to gas, each of the two buildings has its main gas line split into six branches down in the basement. Two of the branches go to the two hot water heaters per building, and then one branch to each of the four furnaces per building.

So it looks like the only things I would need to do in order to start the tenants paying their own utils is to install sub-meters for both gas and electric for each unit. (I guess I'd be left paying for the gas that goes for the hot water.)
Does this sound like it makes sense? Does anyone have any idea how much this would all cost? The property is located in central NY state.

I keep thinking that I must be missing something somewhere, because it doesn't seem to me that it would take much work at all to do all this stuff, since all the gas lines and wiring are already in place, and I'm mystified as to why the current owner hasn't done it already. (I haven't spoken to the guy because I've been dealing solely with his property management company.)

Just a random shot of Irvington, NJ:

http://maps.google.com/maps?f=q&source=s_q&hl=en&geocode=&q=420+21st+St,+07111&sll=40.805396,-73.957708&sspn=0,359.97262&ie=UTF8&ll=40.728511,-74.216144&spn=0,359.97262&t=h&z=16&iwloc=A&layer=c&cbll=40.7286,-74.216075&panoid=XHoYmUY1XCu9BT9sQlsuyA&cbp=12,152.10841791117755,,0,-3.187800884460367

Hi,

Any recommendations for an insurance carrier for an 8-unit property in upstate NY? I've been using Foremost, but they just told me they only do up to 4 units.

Originally posted by MikeOH:

What happens in New Jersey if a tenant has the gas and electric in their name and they don't pay the bill? Can the utility company come after the property owner? Do the utility companies shut them off promptly for non-payment or allow the deadbeat to not pay for months because they can ultimately force the owner to pay? You NEED to KNOW the answers to these questions.

Mike,

This property is actually in upstate NY, but your point is well taken.
Does anyone with NY experience know the answer to this?

Originally posted by MikeOH:

I would simply convert all new tenants to the self-pay system and convert any existing tenants as their leases expires.

My thoughts exactly. Half of the tenants leases expire within the next 90 days.

Originally posted by MikeOH:

The reason that occurs is that you are buying from a DESPERATE seller (if you've buying right) and therefore that seller has failed in their real estate business. Failed landlords will often attempt to fill their units with anyone that has cash and they obviously don't screen them properly.

That definitely looks to be the case here. According to city records, they paid 740K for it in Jan.2006. It's listed now for 250K, and they did a ton of renovations to it besides.

I'm supposed to take a look at an 8-unit building this weekend. For some reason, the current owner includes gas and electric in the rent, even though they're both separately metered for each unit. Is there any good reason (other than not knowing what they're doing) for anyone to do this?
Also, what would be involved, aside from convincing the tenants, redoing the leases, and lowering the rent x amount, in having the utility bills converted to the tenants names?

We may not have to...

http://www.msnbc.msn.com/id/30344303/

Originally posted by Brad Tusa:

Continuing on the MLS sayings, here is my thoughts.

“Rent Ready†Needs 5K or less in work.
“Handyman special†Needs 5-10K in work.
“Rehab already started†Copper has been stolen.

How about: "Maintenance free!" (It's never had any maintenance.)

Me: Is the property located in the 100 year flood plain?

Realtor: Yes, but don't worry -- the whole town is in the 100 year flood plain.

I feel much better about it now!! :lol:

Originally posted by Taz:

I encourage you to get and read the annual reports of a few publicly traded REITs or RE Holding Companies, it will be an eye opening experience.

Considering the lack of ethics prevelant in financial reporting these days, it might also be a total fabrication.