All Forum Posts by: Andrew S.

A fence is a big positive for all sorts of reasons, so, if allowed/approved by HOA, town, etc, then I would install it.
All but one of my rentals have fences (the one that doesn’t is a pure student rental so that’s a little different), but in general, people with kids, pets, or people who like to hang out in the privacy of their backyards all tend to like fences.  Plus, they do keep some of the riff raff off your property - neighbor’s dogs, deer, even people who may use your backyard as a shortcut.

I recently did a similar in-family transaction (I was the seller) and after a lot of input from CPAs, attorneys (and this board actually), I ended up paying for an appraisal to get an unassailable/documented market value.  Then, I had an attorney (ours is an “attorney” state, not a “title company” state) setup the closing (including title search/ insurance, etc = attorney fee about $400 total).  In my case, I took back a note for part of the sale price and basically gifted the down payment (that gift was large enough so I have to file a gift tax return, but no gift tax is owed).

The entire transaction was straightforward and completely on the “up and up” from a tax and inheritance point of view.  Yes, going full market value did bump my capital gains taxes up a bit (but now my daughter will benefit from a higher base if/when she decides to sell).  Capital gains will be irrelevant for your grandma if she lived there for two of the last five years.

I largely agree with your assessment, @Chris Martin.  The location is fantastic (close to NCSU, fairgrounds, downtown, I-40).  That said, unless you do a true gut reno, I don't think you'll be likely to pull much more than $1200 a month.  You are right, the 20k will only be lipstick - the listing already says it will need a full interior rehab.  In MY experience, when a listing already says that, the property tends to be in REALLY bad shape and will probably need 80K in repairs to bring it up to good condition.  As also suggested in the listing, a teardown and infill with several townhomes (haven't looked up the zoning, but the 3/4 acres should provide good options) may be the best use for this property.  There is a ton of that going on around the Western Blvd, Powell, Grove, Carolina area because the older stock all sits on 0.5-1 acre lots.

I'm not sure I read your analysis correctly but are you saying you expect to purchase this property for $150k?  It's currently listed for $260k, so given how hot the market is for this part of town, I doubt you'll get close to that.  I'd be shocked if you did because even just the dirt it sits on is quite valuable in that location.

 Thanks Justin - very valid points!  

That said, I'm still interested in hearing from people who actually have experience with these products.  Anyone?

Tenants just reported major peeling of a previous re-glaze on tub and tiles and water infiltration into the wall.  Its an old cast iron tub with ceramic tile surround that was re-glazed a few years ago.  I'm considering a liner (bathfitters, re-bath, luxury bath) instead of tearing out everything and re-building, mainly because this is the only bath in the house and I would like to avoid having to put up the tenants in a hotel.

Does anyone have experience with such products?  What should I expect to pay for a tub/surround liner?  

Any input appreciated!

 right.  And in this case, the landlord will have a truly tough time convincing the judge that he was not negligent.  Leaving a barrel half full of oil in the backyard?  Come on now!

Matthew, check out posts by @Chris Martin and @Karen Rittenhouse on this subject. Recent changes to State laws have made Sub2 quite tricky in NC. Beware!

Real Estate, like many other businesses is built on relationships and reputation.  Take a minute and check out @Brian Gibbons’ reputation on this board!  
with THAT kind of attitude, you will have a hard time succeeding. 

I think you are missing the point.  The problem is not the amount of risk that a real estate deal poses.  If this were YOUR house and you decided to take a mortgage out on it in order to fund a deal, then: great!  That is done all the time.

However, in YOUR proposal, it is not YOU who carries all the risk, if something goes sideways but it is ENTIRELY your parents who will be losing the roof over their head.  The roof they probably thought was very secure because they paid off the mortgage a long time ago.

So, what I'm saying is: you should be free to take any type of risk you feel comfortable with, but take that risk YOURSELF, not by messing with your parents nest-egg/future.  If your parents are comfortable with becoming your business partner, then offer them a generous return, so they are compensated for their risk.  You WERE planning on paying them interest ABOVE AND BEYOND just covering their monthly payment, RIGHT???  Otherwise, you are just plainly taking advantage of them.