All Forum Posts by: Account Closed

@Louis Zameryka

https://www.biggerpockets.com/topics/854243

I found this informative about a week ago... I don't know either way but interesting

many of the spa's i work with have volumes of experience with non owner occupied real estate.  the tax code is pretty clear on what can be written off and an established and experienced cpa will have a good amount of experience with accounting for those types of transactions.  i would focus my search for a cpa based on experience and referrals.  tax code is intransigent and a good cpa will maximize their value by allocating the expenses (cash and non cash) and income appropriately.  they will ask for docs from closing, back-up in any expenses incurred associated with the real property and statements from your lender so have that prepared.   good luck with your search!

imo he taught you a very valuable lesson....

Ok....where is the best place to go to get an education on all of the analytics and catch phrases we use to analyze deals and discuss opportunities. I'd like to have a place to point new investors and say hey check this out it'll bring you up to speed on how to analyze a deal, jargon etc....

@David Kerner also...you can ask the bank to tie your future interest rate to a current indicator like the us treasury...that was a common practice for us and it would at least give the borrower the ability to track their future rate...

@David Kerner i worked in commercial lending for 20 years. Every 5 years for a loan of this type it's as typical for us to have a "call option". At the end of the 5 years the bank would receive updated financials a rent roll, personal statements of the guarantors. Credit would be pulled and analytics performed to ensure the loan was performing as agreed at the dcr and ltv demonstrates at the beginning of the loan. Typically there was a fee for renewal...however, there was no need for title to be run again, usually appraisals from the past were used and not updated unless significant market change occurred...my point being the largest expenses were not incurred. Perhaps you can negotiate for a 5 year call option.

The call option allows the bank to keep the loan on its books for a shorter term but reduces your cost at the 5 year mark.

there is value in issues like this.  agree with the rent roll, must get that doesn't have to be a guessing game, and consider your rehab costs in your purchase price...could be a decent property for you top turnaround and maximize the income, but dealing with a bad tenant is a hard reality you will have to get used to  good luck!

i am always looking for cheaper options when it comes to removing debris...in south jersey ive been seeing dumpster prices (40) range from 450 flat rates to 250 transportation and dumping fees of 12-16 per ton...what are the best options for removing construction waste?  who is giving you the best deal?

just an annoying question here but how may estimates did you get for the repair?  im curious if they all came in at the same price

hey there, im a contractor and investor in your area, feel free to connect....