All Forum Posts by: Jeremiah Russell

@Bonnie Rhodes

After a quick look. Most houses in the neighborhood that I’m in and around the house are mostly 3/2’s 2/2’s.

I just closed on my first house, and it’s going to be my primary residence for now. It’s a 3/2 with one of the bedrooms is really an office with a closet. I have a covered carport that is part of the house. My wife and I are thinking of converting the carport to a master bedroom with a master bath and walk-in closet. We have done alittle research that says it’s probably not worth it, but I like the idea. Thanks for any input. I would like to hear opinions from investors and appraisers.

@Greg Scott

I completely agree Greg and I will talking to the seller and have the funds put in escrow until finished.

@Greg Scott

Thanks for the input. If I were to go threw with the sale and they are contracted to fix those problems. Could i sue them if they do not fix it or don’t fix it to my expectations. I’m not saying i am. I would just like to know what I could do.

My wife and I are planning on closing on our first property Thursday. The buyer has asked if it is ok for us to close on our target date even though the repairs to the house that the seller is contracted to fix are not all done? He claims COVID is making it hard to get all the contractors out quickly. They promise they are all scheduled to be fixed. Thoughts? I don’t have a problem with this as long as they get fixed.

Thanks for the help

@Cassi Justiz

Thanks for the input. Glad to here that I’m not just disregarding what everyone says you should do.

Which scenario is better?

Scenario 1

I have a rental home where I set aside 35% of my rent each month for vacancy, repairs, capx, property management, etc. The rest of the rent goes to paying down the mortgage, and my personal extra income goes to paying down the mortgage. Goal is to pay off the property as fast as possible.

Scenario 2

I have a rental home where I pay the minimum on the mortgage from the rent each month. With the extra rental income and my personal extra income I save towards a lump reserves fund on the property let’s say figuratively $20k. Once I have saved the lump amount all my rent and extra personal income goes towards paying down the mortgage.

Thanks for any input.

@Lucia Rushton I do plan to house hacking. When I ran the numbers for both units filed with tenants the profit cashed flowed great, but with me living in the property it didn’t cash flow: not by much. I know though that I will be saving money by not having to pay my own rent/ mortgage.

@Samuel Pentowski I done some digging and found this: The Tax Rate is set by City Council each year as part of the annual budget process. The current tax rate is 2.2770 per $100 of assessed valuation. Residential and commercial properties are assessed at 25% and 40% of appraised value respectively. Property tax collections represents about 59% of the City's general fund annual operating budget.

So it doesn’t seem so bad.

@Mark Cadle also quick question that may sound silly. Does the city tax your yearly gross profit?