All Forum Posts by: Jack Srimani

Thanks Will and Steve for the help. Yes the utilities are separate. Each unit has separate heating and water heating.

Hi,
I am considering purchasing a four unit property that is in decent shape. The utility is paid by the tentants. The rents are 550, 550, 600, 600. Tax is 3500. Insurance is 700.Building is one hundred years old. New plumbing and electrical done. Downstairs tenants are for three years. Upstairs tenants are for one year. Lease is month to month. The asking price is 150000. This is way too high. I am getting a conventional loan for 4.5 percent with tweny five percent down. I would like to know what is the maximum price I can go to get the best return given the above details. I would apppreciate any help. I am thinking to offer 10000.However I am not sure what is the maximum to go before walking away from this investment property. Thanks.

Thanks everyone for the feedback. I appreciate it.

Hi,
I am close to buying a out of state multi unit property. Any property manager charges ten percent of rent. I am wondering if anybody is managing his or her out of state property without keeping a property manager (long distance management). If so how does one do that? Or it is not a good idea to do that. I would like some feedback on this.
Thanks.

Thanks Owen. I appreciate it.

Hi Joel,
Looking from the neighborhood it does not look like a good area. True it is not a war zone. However it will be difficult to get quality tenants from seeing the neighborhood. Even if one renovates the whole house still due to location some of the good tenants will not come to live in the neighborhood. So I guess the kind of neighborhood only draws average and below average tenants. Again due to this the turnover was quite high. This is leading to major vacancy issues and damages to the units. Just do not want to deal with this kind of situation.
Thanks

Thanks Deanna for your advise. Actually after much thought I have decided not to go for this property. Without much experience in this field I did not think wise to take too much of risk. Also the quality of tenant is not good. No wonder last year I saw too many turnover in the various units.

Thanks Will and Mark for further clarification. I appreciate it from your viewpoint.

During my research on real estate in this site somebody else was talking about establishing a system that would be replicated in one or more projects. That sounds quite remarkable idea as you Will are endorsing. However to get there I feel that getting my feet wet in my first project should be important step instead of taking a big leap without an iota of knowledge. Hence if a reliable GC with reasonable rate is found I am willing to go for it. Thanks.

Thanks for the feedback. I appreciate it Dan.