All Forum Posts by: Greg Jeanfreau

@Bill Plymouth My question is: How many sales do you have under your belt and how long have you been in the business?

@Kimberly Jones First American may insure them on a case by case basis. They will look at the file and make a judgement call as to whether or not the former owner will try to file a lawsuit or whatnot. Just had this happen. The title premium went from $4800 with exceptions with US National (the Civicsource co.) to $1400 with First American with no exceptions. The former owner had actually sued my client and lost.

@Darnell J. I would use Winter's Title for this situation. They will be able to guide you through the process of gaining an actual merchantable and insurable title and not the title insurance company that Civic source is affiliated with. You will want a real policy from First American (or Fidelity) without exceptions.

@Theresa Harris I agree! Spend a couple of bucks and put the ball in their court. If this creeper goes inside the gate, then he's REALLY trespassing.

@Jarrod Clavelle You also will want to get copies of the minutes from the last couple of condo association meetings. Oftentimes, there are issues discussed such as special assessments that would not have been caught without knowing what was discussed. Also, in my opinion, you want to stay away from smaller associations with less than 8-12 units and preferably more. You will want to stay away from 4 plex condo regimes and run from doubles that are condo conversions. You get one wackadoodle owner in a small regime and it can destroy your investment. 

@Jason Brown How nearby is the corner? What is on that particular corner? If it's more than a block or two away, then the contractors need to suck it up and stop belly aching. If there is a business on the corner, then that business needs to do something. I say that because corner stores are sometime a problem in New Orleans. Also, in NOLA a block or two away as well be a mile or two. Every time I have encountered these situations relatively close to a project, it just sort of works itself out. Either they get taken care of by competition or move along as the gentrification train brings more security to the area. But, I don't flip so I have time on my side. Also, are you sure they're actually drug dealers?

@Kathy Brasby Maybe I'm missing something here, but if she has paid the rent, then she is probably well within her rights to enter the property. I am not a lawyer, but if I were you, I would tread lightly and consult with a RE attorney as to what you can and cannot do in this situation. In order to evict, you must have grounds to evict. Her boyfriend being in jail is not grounds. Until the rent is not paid or they break a term in the lease, it sounds like you need to let her in and wait him out to see what ultimately happens. In Louisiana, if the tenant defaults, you only need to give them a five day notice. But you have to have a reason such as non-payment of rent. Unfortunately, even when you pretty much know where a situation is going, you have to wait out the process. We've had to wait out some really frustrating situations in order to follow the process.

@Jennifer T. I agree with everything you're saying. It's insane to me that I get the rents that I do in neighborhoods that I would have never considered 10-15 years ago. But, I don't do AirBnB and I generally don't raise rents except after vacancies. I fix (important) things as soon as they inform me. I do buy underperforming s*** properties in neighborhoods adjacent to hot neighborhoods. I do call code enforcement on vacant lots with piles of mattresses and tires and houses that are blighted. I do take an active interest in the neighborhoods and residents. I give them my information. I talk to them when I visit. I love New Orleans even though she makes me feel like an abused spouse that just can't leave "She didn't mean to send me a $5000 water bill. She just had a little too much to drink."

Anyway, to answer the original question, I think about it a lot and how it impacts the community. I do what I can to make money, but not take the neighborhood for every penny that I can squeeze out of it. The tenants trust me, the neighbors seem to like me, and I try to improve the area through civic engagement. I think everyone wins. As far as some of the renters getting displaced is concerned, NOLA does not have the insane commutes that some cities have. To work in the city and live in the "outlying" areas means about 15 minutes of additional drive time. I'm not losing sleep over this.

Well, that is strange because I live in NOLA and the property that I have is in NOLA and they opened a LOC on the property last year. Maybe that changed.

@Justin Lee Every closing is s bit of a hassle, but their's was not too bad. The rate is a variable rate. Most lines of credit are from my experience. Currently, it's set at about 6%, but I use it for short term capital to BRRRR properties into long term financincing, so it's WAY cheaper than private or hard money. It's also lower than my Chase LOC which is currently at 7.125%.