All Forum Posts by: James York

@Gregory R Ley I’m not sure why you’re looking for an account per property. I think good book keeping is the proper solution. As you grow, I think a pile of accounts will become overwhelming. Bookkeeping is a great first thing to outsource if you ask me. 

@Michael Moughames congratulations on getting started. Others may have differing opinions, but I believe it’s a little unreasonable to expect to raise capital with limited experience. I think the best solution is to clearly define your value proposition and where you could contribute a disproportionate value to a deal. This will attract people who will later become your financial backers. 

I’m building LTR. Even with construction costs, this is still the best formula for me. 

@Kanchi Ji I’ve made a pretty successful career in selling RE driving whatever I drive and wearing what I want. I drove an old Kia Sportage for years because I spent my money on investments and not cars. I wear jeans and hoodies every day. Be you and do a great job for your clients. They won’t care! PS- always a good idea to look slightly better when meeting someone for the first time…

@Scott Forney are you suggesting a reset fee is basically just covering the first $300 of incidentals in lieu of going after the security? I like that idea, but would probably have to amend the lease. 

I’ve built and sold directly to first key homes as well as rented for a year and then sold to FK. They pay significantly more than retail buyers in my market. They won’t buy multi family which is all I’m building now. 

I’m selling some properties for significant gains and would like to 1031 profits from 1-2 of them. I own a duplex lot and plan to build once these deals close. I know it’s possible, but I’m struggling to find much useful information. It appears I can’t be the owner of the lot. Is there anything wrong with transferring title to my builder, having an intermediary hold proceeds from sales (of relinquished property) and then pay builder and then transfer title to me upon completion? I’ve reached out to two QIs, but no response yet. If anyone knows a great one, I’m interested in that too. 

This is a volatile topic. I'm a big fan of section 8. Many of the tenants are not good tenants, but do thorough background checks and weed them out. The good ones generally are great people who just need some help. Also, look up HUD fair market rent for your zip code to see if it matches market rent. Some places it's higher, others it's lower. Don't assume that every tenant will be approved at that max rent either. It depends on their situation. I made another post on the topic and got an unbelievable amount of negative feedback. Do your own research and make your own best decisions. I'll be looking for section 8 tenants for my next property...

I’m finishing construction of my 4th rental and it’s not leveraged. I need to mortgage it to move forward. The lender I’ve been working with can’t do the loan because my 2021ytd doesn’t match my 2020 income (I stopped building for profit and started keeping the houses as rentals).  I’ve got offers for:

4.25% fixed for 5 on a 20 year loan. I’ve worked with this lender and they’re SLOW. No prepayment penalty 

OR:

5.75% fixed for 30. A client of mine has extensive experience with this lender, but I don’t. No prepayment penalty after 3 years. 

Costs are about $1000/2250 respectively (plus appraisal, attorney etc). Looking for some input on one direction over another. 

@Mark Cruse no it’s not Kevin’s fault. I know because he’s decided I’d never survive a day in his market based on this conversation. He’s got it figured out.