All Forum Posts by: Eric Mcginn
Eric Mcginn has started 37 posts and replied 221 times.
Post: Mortage higher than market rents
- Real Estate Investor
- San Bernardino, CA
- Posts 221
- Votes 85
Find out if you can still qualify for primary home sale tax exemption from a tax professional.
if you can still do that, then sell it.
figure out the $10k lien, get a personal loan if you have to and pay it off post sale assuming you have some equity.
Otherwise it is a negative cash flow and that’s not good for anyone including lenders. Sorry to say if the numbers don’t add up it’s time to move on.
Post: Business credit cards recommendations to build credit!
- Real Estate Investor
- San Bernardino, CA
- Posts 221
- Votes 85
Quote from @Eliott Elias:
You want to get a credit card that reports to D&B and does not show up on your personal credit.
Interesting, any examples?
Post: Rejecting prospective tenants
- Real Estate Investor
- San Bernardino, CA
- Posts 221
- Votes 85
At this time the apartment is no longer available. Thank you for your interest and best of luck,
Post: Seeking Advice on Tenant's Unpaid Increased Security Deposit
- Real Estate Investor
- San Bernardino, CA
- Posts 221
- Votes 85
Quote from @Amir P.:
Hello everyone,
I hope you are doing well. I have a situation with one of my tenants that I would appreciate some advice on. Here's a brief overview:
I own a triplex, and one of the tenants is an elderly lady who tends to be quite grumpy and complains frequently. Despite this, I have invested in various improvements to enhance her living conditions. When I purchased the property, I inherited her as a tenant and decided to keep her while stabilizing the asset.
About a year ago, I had her sign a new lease and increased her rent accordingly. Recently, I offered to raise her rent once again, and she agreed and signed a new lease. The new lease requires her to provide a check for an increased security deposit matching the new rent at the time of signing. However, she has not paid this deposit yet.
I have diligently followed up with her via calls and text messages every couple of weeks over the past 60 days, but she has been ignoring my attempts to communicate. Since the full security deposit hasn't been paid, I have not finalized the new lease.
My intention is to have a tenant who pays the rent and fulfills the security deposit requirement. While I would ideally prefer to find a new tenant, for now, I have decided to keep her as long as she meets these conditions.
Given the circumstances, I would greatly appreciate any advice on how to handle this situation. Can I proceed with eviction if she fails to pay the increased security deposit? What other options or steps can I take to address this matter appropriately?
Thank you in advance for your guidance and suggestions.
Honestly, if I were you I’d forget about it and move on.
Does she pay her rent on time? Is she a good tenant otherwise?
I’ve never requested additional security deposit when raising the rent.
just my opinion
Post: Starting out - how are you figuring out which market to invest in
- Real Estate Investor
- San Bernardino, CA
- Posts 221
- Votes 85
Lancaster / Palmdale
You’re welcome ;-)
Post: 3 single family homes and 1 primary home.
- Real Estate Investor
- San Bernardino, CA
- Posts 221
- Votes 85
I agree with Chris here, LLC will not provide a tax break, just limit your liability.
A good tax accountant is worth their weight in gold, I wish I got one 10 years ago instead of messing around with TurboTax and messing up my depreciation schedules.
Post: Need 12% Cash Flow to walk away from our jobs. Possible?
- Real Estate Investor
- San Bernardino, CA
- Posts 221
- Votes 85
12% cashflow is more than most safe and truly passive investments will yield.
Property management will eat up any profit the first couple years unless you get a killer deal on a rental which I don’t see happening in Southern California
Post: I found a property without an Agent
- Real Estate Investor
- San Bernardino, CA
- Posts 221
- Votes 85
Agents are free to you, the buyer. Find one you like and throw them the closing to build rapport for next time.
Post: Title Insurance Claim?
- Real Estate Investor
- San Bernardino, CA
- Posts 221
- Votes 85
I used a “typical holding period of 15 years” and costed out a reasonable comparable monthly rental cost for the parking spots and multiplied it by 12months and 15 years.
in your case, the entire property is unusable and I’d be tempted to ask for all your money back. Good luck!
Quote from @Abhinay Dutta:
Quote from @Eric Mcginn:
So I just talked to my claims counsel through my title insurance company. It’s going slowly but seems as though indeed there will be a claim here.
Basically it looks like either the easement terminates with the new neighbors or, more likely, I have an easement and a claim.
He said either an appraiser will asses the difference in value or we can come to an agreement.
Is there any way to calculate overall value using a monthly value of $50?
Hello Eric, I am in a similar situation. I brought a 10 acre lot and it's all under an easement to NRCS. Which makes the property not suitable for any construction. And title failed to mention this easement. I've filed the claim already, but want to understand from you how they calculate the loss amount?
Post: Pre-Hud Mobile Home Strategy
- Real Estate Investor
- San Bernardino, CA
- Posts 221
- Votes 85
Some local credit unions will lend on this. Portfolio loan.
no there aren’t many places you can move a pre hud mobile home to.
and so it’s not worth that much to sell.
If it’s in good condition I don’t see why you wouldn’t just keep collecting rent. You say it’s well maintained so I don’t understand you concern if it cash flows.
If and when you are ready to build something else you’ll probably have to pay to dismantle it.