All Forum Posts by: Stone Jin

I believe most lenders will count the rent as income at like 85%.  All they have to do is also get appraiser to supply the rent on the report.  I've done this numerous times in the past for conventional lending.  Just make sure you have all your other T's crossed and I's dotted.  

I have a truck in AZ (just today I bought a used stove).  I feel like the amount of used appliance justifies the cost of my truck.  Also, I don't have a truck in Ohio, when I'm there working on my properties I get fairly annoyed when I have to borrow my contractor's van/truck to get something.  I'll probably buy a truck there too.  

I'm a hands on owner so having a truck is critical for me.  There are lots of hands off investors and not having a truck is manageable.  Just remember a new washer/dryer set costs $800 at home depot and used ones cost $150.  All you have to do is buy 1 used appliance a month and you can justify the truck!!!  

@Leland S. before you invest any money, you should take a drive through Gila Bend.  There is not much going on out there.  I drive through it on my way to Rocky Point and it seems pretty depressed.   I think your rehab numbers are light at 15K(new roof and new AC is going to be 10K, paint interior exterior another 5K, floors kitchen bathroom another 10K-15k depends on how much updating you want to do.  Also just taking a quick look at zillow, there really isn't much comps in your price point.  Sounds like you are taking most of the risk in this deal.  If I was presented with this deal, I'd walk away with no regrets.  Good luck on whatever decision you choose.

@Henry Murray very cool spreadsheet.  Now let the analysis paralysis begin!!!  When your scope is the whole country it'll be hard to narrow it down as two very disparate locations may have the same metrics.  I would buy where you would want to live.  For example, my wife and I would not buy a property we would not live in ourselves.  

@Carlos Gonzalez You have my number, we can go grab a beer.  In my hood, not yours :)

Do you think you can make money after doing all that rehab?  

75K purchase price + 30K rehab (if you are talking about painting interior exterior, all new flooring , new kitchen and 2 new bathrooms, roof and hvac) + holding costs + closing costs = 120-125 all in?  Sell for 140 so maybe 15k in profit to be split 2 ways?

What are you bringing to the deal?  Just money?  Just doesn't sound like a good deal to me but I'm not a flipper.

@Carlos Gonzalez not out of this world.  Out of Duranago Curve!!

Congrats Carlos, hopefully you won't get shot at this time!!!!

I guess the same could be said for why would people buy at the coast when rising ocean levels can just consume their homes.  There is always an element of risk.  However I think moving of water from areas where there is abundance to areas where there is scarcity is something humans can tackle and create solutions for.   In the 14 years I've lived in the valley I don't recall any messages from the state on restriction of water.  

With that said we are hedging for that outcome by buying near Lake Erie in Ohio.  I don't see the great lakes disappearing during my lifetime.