All Forum Posts by: Frank Geiger

If it's a good deal, don't let it slip away. Get a professional out there and have him look at the infestation. They can tell you the severity of it. 

$150 is cheap. If this is their first request after 5 years, I wouldn't even hesitate. 

7/11 likely dumped a ton of money into research on the area and saw a potential for something (returns, traffic ability, growth, etc). You can always check with the city and see what kind of permits and planning they have for the area. Usually, that's were the hold up is. The building will happen fast if they see the opportunity. Don't hold your breath and invest for the long-term.

Hard to give solid advice on this one. What caught you by surprise? The interest rate? Property taxes? If it's the interest rate, you can shop around to find better deals. Post your numbers and maybe we can help. There isn't much that will lower the mortgage dramatically other than raising the downpayment. 

Consider using the money to create additional cash flow if the car loan is low interest. An additional $200 a month in cash flow can easily take care of a low monthly payment on a car loan and you also have the other benefits of RE investing. 

CAPEX and Repairs are low. Consider snow removal/lawn care in the budget. Your CoC return will be lower. Not the best deal after you make some adjustments.

Is the property in a livable condition? If not, you are only advertising to investors since no one else can get a loan. That will bring the purchase price way down.

Are you going to lose money on it? It might make more sense to finish the project and sell at a minor loss rather than a big one. Another exit strategy can be a refinance. 

You can list them on BP in the marketplace

CAPEX and Repairs depend solely on the cost of labor and materials in your market. I would expect it costs a bit more than in my markets. That's why its beneficial to look at it as a dollar figure rather than a percentage. Since the rent is so much higher, you would use a lower percentage to budget for these.

Ask an agent if they want $100-200 to give you comps for the property. Or for an unofficial list, you can search the sold properties on Zillow or another 3rd party site.