All Forum Posts by: Garth Gissel

If you could refi out of the VA loan, you could reuse the VA loan as a low money down option, if you were willing to move into the Triplex. Not sure if you could get a refi in such short of time though.

Remember to factor in holding costs prior to filling in the units. My first (and only) duplex, had one tenant and one vacancy. Previous tenant has worked out just fine and filled the vacancy.

Didnt help me find it. I called the number on the yard sign.

Thanks Jean, do you have a maintenance agreement in place?

Hi Mindy,

Yes the garage has a shared common wall, two separate spaces, two separate garage doors. The common wall is right on the property line.

Have not used this agent. But as the buyer the sales commission comes out of the sales price so it would not matter to me how that is divided though? Would increase my cost would it?

First Item: I am interested in a property as a buy and hold. One issue that I am somewhat unsure about is that it shares a detached garage with the property next to it. As it is now the same owner has both properties. I could purchase the second property down the road but it wont be in the original sales agreement. I am going to require a maintenance agreement to be written and filed with the county. Anybody have any experience with such an arrangement?

Second Item: The agent I am dealing with continues to argue each point of the sales agreement that I want included. examples include the item above, arguing about the existence of a wood burning insert, arguing that he called my cell phone instead of my office phone etc. I am going to go with a different agent. Over reacting?

The thing I don't like about 203K loans are is that the PMI is there forever. I don't believe you can drop that even after you have 20% equity. That takes a bite out of any cash flow.

Submitting an offer on a SFR today. This will be our 4th rental unit. It will have a cash on cash return of 10.5% and a total return of 15.1%. Hopefully the owner accepts our offer.

Personally I wouldn't factor the PM fees into the equation. If you didn't do the work you have to pay someone else, so that portion is irrelevant. Only deal with the Net Cash Flow side of it. $1770 x .71= $1256   His take is $1770 x .29=$513. He will have 102% return after 12 months. I think he will be fine. 

Sounds like you should have put that in the deal up front. 

Be that as it may; I would think you should get the going rate of local Property Management companies for managing the property. From the remaining cash flow you put in about 71% of the required investment, you could approach it from that point of view. 

Very cool. I imagine the neighbors are very appreciative too. Good example of real estate investors boosting the economy and also keeping local communities thriving. Positives all around.