All Forum Posts by: Steve S.

for a ARV property of about $150,000 (if loan was 70% it would be for $105,000)

I paid $6,000 in closing and put down $25,000 on a $100,000 loan when I purchased.

ok thanks.  So it sounds like I can pay pal the relative the amount and they can give me the receipts and all I need is the receipts to claim them as expenses?

I had a family member on one of my rentals make several purchase for a house i bought out of town (but in town for them).  

The total expenses added up to about $4,000 across several different purchases. 

Is there anything special I need to do from a tax perspective?  They have receipts for most of the purchases and I will be reimbursing them for the full amount.  

Thoughts?

 The issue is this is a very good friend and some things were discovered after the contract and financing were finalized.  Sure, I could legally move forward with the deal, but I'd prefer to "make them whole" and not lose a friend which means the right thing to do is to pay the additional $30,000. 

I'm just not sure how to do that from a tax purpose given the contract was for $100k and the financing was for $100k with a 25% down payment and fees, etc.

I a friend who has agreed to terms on a prospective rental with a colleague for $100,000.

After securing funding, etc it became clear the property was worth more than the seller (someone i have known forever) thought and they would like another $30,000 for the property.

Their numbers all work out at $130,000 so they are fine with paying that, but I am not sure how they make this happen from a documentation, tax, etc perspective.  

Any thoughts on what issues this would cause and how to go about making sure all i's are dotted?

It's already a 4/2 (second bath is just a shower - no bathtub) so the target rent of $1,200 / month would be for the 4/2

New roof and storm windows put in during the last 2 years.

Here's my next prospect:

- 3/2 (with converted garage that could be a 4th bedroom or family room)

- Built 1959

- Good school district / neighborhood (at least B neighborhood)

- 1,600 sq ft

- $95,000

- Would rent for $1,200

- I'd put down 25% ($23,750)

- Closing costs about $5,000

- Taxes 2.5%

- $5,000 fix up costs

 I agree.  Not trying to seek approval, trying to learn and am still curious about those revised metrics and what people would think of it so i can better learn how to evaluate the deal.

Thanks for the feedback everyone.  This was a bit of a weird deal, but I wonder if y'all could re-evaluate your comments if I had only put $25,000 down (+the $6k in closing costs). 

Would that move this deal into "home run" category?

unfortunately it's an out of town property