All Forum Posts by: James Mc Ree

A gravity heat system is based on physics: heat rises, and nothing else. It may be a gas furnace that has a flame in the basement and that heat eventually rises through the ducts to the 2nd floor. There probably is no return ductwork, so the upstairs can be toasty while the basement is chilly. The system is very old, so you will probably want to replace it. Buyer might not notice, but Buyer's home inspector will definitely notice.

I bought one of these with a property in 2013. Upon inspection, flame rolled out from under the furnace because the asbestos was worn away. I asked Seller to replace it which they did. I then added central air. It was then that I learned central air without returns doesn't work nearly as well as with returns, so I added returns in a subsequent renovation.

I don't think you should avoid these properties. Replacing the furnace will allow you to market the property with an awesome, new fuel efficient furnace instead of a fuel hog that could break on any day. They actually are very reliable as they have no moving parts. That's why they are still in use.

@Russell Brazil

I thought of that, but in this case there appears to be a clear owner who is deceased with a will that has not yet been probated. I thought a quiet title action is to resolve ambiguous ownership and would essentially go down the probate path (read/process the will). Are you thinking there is something different with a quiet title action?

With limited information, it looks like she needs assistance from an estate attorney. The estate resolves its own expenses and can't require parties outside the estate to pay into it to resolve the estate's debts.

It is correct that she as an individual cannot take the assets, but she can use the assets to pay estate debts as executrix. She might not be understanding something or explaining it to officials properly and that is where an estate attorney can help.

You need to give 60 days notice in PA for a Section 8 rent increase. That is probably consistent nationwide.

Send in your request now. You will likely get one of two responses: Denied, effective November 1 if they approve the amount.

Plan ahead for next year for both outcomes. You should always raise your rent if your market supports it.

It is the estate's responsibility to pay the tax, not your girlfriend. She can't get the property until it is paid, but the law does create a liability on the heir. Set this aside.

You wrote your end state goal is to sell the properties, meaning you want cash not the properties. A much better approach is for the executor to directly sell the properties out of the estate.

The taxes will be paid at settlement and your girlfriend will receive the proceeds. The estate may require your girlfriend to sign a doc to agree to accept cash in lieu of the properties. This approach is faster, cheaper (no double transactions) and no one has to come up with cash.

You have to go through probate if a person dies with a will and is the sole owner of the property. 

A real estate agent job may help you in this space, but getting a job with a real estate contractor will probably be better, in my opinion. For example, a job with a builder will expose you to lots of things: land acquisition, new construction, renovation, trade experience and contracts, financing, permitting, etc. The real estate agent job will give you some exposure to this, but not nearly as much.

I disagree with your statement that real estate investing is primarily networking and marketing. The real estate agent job is a lot of networking and marketing, but that is not real estate investing. It is helping others invest or find a home. Networking will be very helpful for learning and maybe finding a partner.

A seller's disclosure would have some of that information. Your buyer agent should be able to get a copy for you or you can request it directly from the seller's agent. 

Keep your job!

You asked what are some daily things investors do which says to me you don't know what you are getting into yet. Focus on learning what to do, how to do it and finally do it with your W-2 income supporting you. You don't need to be "all or nothing" to try it out.

You didn't indicate how much wealth you have supporting you. It's not a concern if you are already financially free of the W-2 job.

Present the inspection report to Seller and ask them to address the issues. See what they say.

A wonderful thing about real estate law is sellers must disclose known defects in the property. That is a great motivator for Seller to work with you, but expect a negotiation.  Seller is selling a 124 year old home. Don't expect them to put in all new stuff on their dime just because it is aging.

You also should keep in mind you are buying an old home and not be in a rush to update everything. Buy a newer home if that is what you really want.

For example,  cast iron pipes that aren't leaking or about to leak don't need replacement. Consider replacing them if you already plan to demo that area, such as for a new bathroom.