All Forum Posts by: Jim Cummings

@Steven C. Suarez. Sounds like you are approaching "Hurt City". Found this from a google search https://candysdirt.com/2020/04...

Also, there has been ample discussion on BP about he situation. Go to the SEARCH Box at top of page and search for info from there.

Bottomline: The only way to really find out if you can evict your tenant's is to Serve them an Eviction Notice.

Good luck on this one!

@Theo Daubresse. All excellent points & advice from the above. I don't necessarily use a Credit Score Per Se. 

My base Criteria is: 

1. Do you make enough money to pay the rent? 3X Minimum.

2. Will you pay?

3. Will you pay on time?

If a person has a good reliable reason for "less than stellar" credit and "fesses up" to their situation without being questioned I may be willing to work with them. Acceptable to me are Large Medical Bills, Foreclosures From a bad housing market, Unusual Business losses, etc.

Credit report will tell you if they have numerous Late Pays or No pays (Charge-offs) then these might not be the right folks for you.

Strong Pay Stubs and verifiable good reports from previous landlords might outweigh marginal credit.   

@Roger Dupler. Good coherent analysis and decision not to jump headfirst into something you have little experience and understanding of.

You're certainly not to old to start out in RE as an Agent. Go to TREC website  https://www.trec.texas.gov/ and click on the "Become Licensed" to get the complete details on what you'll need to obtain your license. Generally speaking probably take 180 Classroom hours of Courses to qualify to take the RE Licensing test. 

Getting Licensed is the easy part! 

Becoming a successful agent is more difficult. Once you done a few transactions, it devolves into a repeatable process. So you can create systems and checklists to assist you in navigating the process. However, there is always the SOMETHING NEW twists to many transactions - but you learn and gain knowledge.

Biggest stumbling block for most agents is generating business. Most all Brokers - regardless of how friendly and helpful they are can not "hand" you enough leads to make you successful. You have to learn to create your own business flow. If you can master creating your own business flow - being an agent can be very profitable!

Another RE related job to investigate is becoming an Onsite Builder Sales Representative. Hours are mostly horrendous, but typically lots of walk-in traffic, you just have to learn how to sort wheat from chaff, and stay in touch to close the sale.

@Stacey R Simmons. Alabama will recognize and apparently give you some leeway (under reciprocal Licensing Agreements) for holding a RE License in another state. 

See the required procedures at https://tinyurl.com/y3bhab6e

If you do not currently hold a RE License in any state it will take you probably at minimum 30-45 days to get licensed in Texas (for example). You will then need to be sponsored by a Licensed Broker before you are able to actually conduct transactions. 

Google is your friend - hope this helps!

@Anthony Johnson. If you could "Splurge" a little and put in LED Recessed Canns - you might not have to change the bulbs for 10 years.

@Chantai Ferguson. 

1. Has Agent looked at Comps for Value?

2. Are the significant structural concerns?

3. Is the location OK?

If the value (Comps) and location are OK & support the price, generally speaking everything else is just a matter of pricing, so that you can take care of any repairs.

For what it's worth, I have a provision in my Lease that says tenant's to leave property "broom clean" and I include an amount for professional cleaning to be deducted from Security Deposit. Most tenant's are happy to let you take care of it. This way the cleaning is to my standard - not the departing tenant's. 

@Shelby Cucco. Planning & Zoning or whatever it's called if in a city or municipality or County if outside city or municipality. 

Probably looking at having to pay for utility (water, elec, gas, sewer) hookups, etc. If rural, you'll need a communal septic system or most likely a septic system for each property. Most counties will have restrictions on the size of lot required for septic systems, so putting 8 houses on 4 acres may not be feasible. 

@Kenneth Kussman. Lender will probably require a new Title Policy for the refinance. 

Texas Formula for Title Insurance (Less than 1 Million):

Sales Price -$100,000 = $XXX,XXX times 0.00527 + $832 = Cost Of Title Policy.

In you specific instance Appraisal at $350,000 - $100,000 = $250,000 X 0.00527 = $1317.50 + $832 = $2149.50. The remaining balance up to $2500 may be for some Title Endorsements lender is requiring as part of the refinance package. 

Ask for an explanation!

@Daniel Z Fang. Amen to that! We either move forward or atrophy!