All Forum Posts by: Harvey Yergin IV

Hey BP - 

I'm trying to get out ahead of any late night emergency calls and establish a relationship with a local handyman/contractor who might offer this service (at a premium, of course). Ideally, if I received an emergency 2am call from a tenant, I would call this handyman who would go over and stabilize the situation until we could do a full assessment. 

• Any local Columbus, OH landlords/PMs know of someone offering these services?
• Have any non-local landlords/PMs had success with this tactic?
• Alternatively, are you aware of a subscription service who may offer this peace of mind? :)

Thanks ahead of time!

@Krishna Chava thanks for the info. Do you mind sharing the name/brand of the system(s) you use for video doorbell, smart thermostat, smart fire alarm, and 2 water leak sensors?

Thanks again!

You guys are awesome. Thanks as always, BP!

I am not trying to deal with a bunch of metal keys or 12pm lockouts. I AM trying to be a higher tech and automated property manager. Therefore, I plan to phase-in smart locks for all my units. Question: Which smart locks would you recommend? I don’t want to have to rely on local internet connectivity. I do want to assign access codes to tenants and contractors. Thanks BP!!

Hi BP. Just wondering if someone might recommend a contractor for small handyman type jobs in our rentals in Columbus , OH area . We had a tenant overload a open shelf in kitchen. We’d like to have someone fix drywall, rehang shelf and replace tile the falling dishes chipped. Thank you!

Great stuff, John!

Good morning, BP! 

Background:

I have a tenant moving out at the end of August. I've advertised the unit and have conjured considerable interest. Tenant and I have agreed to 24-hour notice to show unit. We have yet to schedule her move-out inspection (awaiting her date/time preference). 

Questions:

1. What's the best way to handle the volume of interested tenants? An open house perhaps?
2. Do you normally allow for a week or so between tenants so you can polish up?

Thank you all as always for your quick and useful responses. What an amazing tool this is!

Fantastic advice and feedback! Thank you all very much.

Background: 

I'm new to private money as an investor and want to make sure I understand the mechanics so I can build reliable models. Here's an example deal:

I purchase a property for $235,000 and expect $50,000 in repairs and $5000 in escrow/title expenses. Total cash needed for deal = $290,000. 

I'm confident I can refinance that property 6 months later at an ARV of $425,000.

I borrow all of the cash needed from a private lender and agree to pay 10% interest on the back end. 

After a cash-out refinance at 75% of $425,000, I'm, left with $318,750. I then pay the private money lender after 6 months their original $290,000 + 10% or $319,000 and I basically break even and make no money other than the monthly cash flow (money I didn't have before, I realize). 

Questions:

1. Despite the actual numbers, is this a reasonable and/or typical private money deal? 
2. Is a "10% deal" normally independent of the pay-back length? Is "10%" an annualized percentage rate or a flat rate of return? If I pay her back in 6 months, would I actually owe half of the annualized return rate or 5% of the total cash borrowed?
3. Unless I'm missing something, I need to find deals where the all-in cost is no more than 68% of the ARV just to break even or turn a profit, correct?
4. My only option to for making more profit (other than reducing the all-in cost as a percentage of ARV) is more favorable terms with the private lender (i.e. 8% return).

I found these numbers surprising since most of the BRRRR examples I read and hear about talk about all-in expenses being 75% of the ARV.

Thanks for reading and for any advice/clarity you may have. 

Good morning BP!

Background:

I recently bought a property with an existing tenant. I received the tenant's security deposit at closing. However, I did not receive and the tenant does not have any paperwork showing the condition of the property at move-in 2 years ago. 

That tenant was on a month-to-month lease and now wants to move on. 

My Question:

How would you handle her security deposit? I plan to do a move-out walk through, but I won't be able to identify prior damage from new damage without any move-in documentation. 

Thank you in advance.