All Forum Posts by: Jay Hinrichs

@Stacie Stac @Ali Boone

regardless of opinons of areas to invest If you want to live in one of the areas then that's the driving force.. Indy is not Atlanta and Philidelphia is not Atlanta... I have funded well over 100 deals in Atlanta and personally owned 50 plus rentals there its a great market and still a great market. you can buy a great home just out of the downtown area.. I am keen to south of the airport... 100 to 120k will still buy you a killer home in a decent neighborhood , and compared to socal its a great bargin.

@Matt Hendrickson

bird dog properties and use your cash for EM deposits.. but make sure they are fully refundable within a certain amount of days if you can't flip the contract

@J. Martin

if you buy any undeveloped type property in Richmond my brother in law is an underground contractor there and has done tons of work for the city of Richmond for the last 25 years.. So would be happy to refer him if the time and need arise,,, helps to have someone that is tight with the inspectors

@Marcus Johnson

Trust NO ONE and or Trust but verify.

@Ann Bellamy

ann another great point as lease credit towards dp was a big part of the equation for that scheme

@Shawn Holsapple

Shawn PS I have a nice little duplex up in Kokomo I will sell on owner terms with 5k down.. It will cash flow 200 a month... Let me know if you have any of your buyers that may want to add it to the portfolio. I will finance it with 5k down on two methods... One would be 1k a month no interest for 34 months they own it free and clear in 34 months.. So 34 months same as cash. Or 15 years at 6% due in 5... price 39k its fully rehabbed including new roof rents 390 and 410 respectively.

Hope to see you on my next trip to Indy

@Shawn Holsapple

Great points Shawn there are TK gurus that sell the rent to own to investors and lead them on to believe that these rent to own folks just have a little credit repair to fix up then they will be buying the home. So these TK guys sell the deal that you will be in and out of the house in 2 years or so.

when the reality is exactly as you stated.. 95% and in my personal experience 98% never will buy the home. I just cringe when I see that form of TK advertised as a short term investment when in reality they just bought a long term rental.

But the key to all of this is B Class and better.. C class and it does not matter what you do the mentality of the tenant is such that its pretty hard to get a C class renter to take any responsibility on a lease to own.. Even when you explain it they still call for maintenance LOL....

One thing that has worked for me in the past. Is I rent for under market and I NEVER EVER raise the rent for as long as they live in the house. But I also tell them do not call me for minor maintenance issues. that helps me self manage them. I have had tenant going on a lifetime in some of my rentals in N. CA. I bought em 25 years ago cheap the rents are cheap but I never have to go there or touch them...When some one ends up moving out I usually just sell the home on a land sales contract as is with a low down and go from there.

@Christian Lautenschleger

That's par for the course when ownership and or Management changes.. Many times they won't pay the rent until you fix a laundry list of stuff they think needs to be fixed.. just he world of C class properties and renters

@Edward Sittler

Not one of the 4 companies in INdy that I lent HM to.

From the pictures and address it looks like C stock... Property management will be the key to success or failure.

@Account Closed

K Marie best point of the thread... Contractors MUST be licensed to file a lien... its that way in Oregon and WA and I bet in most states.. this is why unlicensed contractors risk not getting paid and really have no standing to get paid.. And believe me their are those in the contracting bizz that know and understand that and will burn a non licensed contractor. IE won't pay for work performed.. Now I am not advocating that as some of these dudes will the just go back to the property and rip out what they put in :)

IN our state you must do a Pre lien notice and file your lien in 90 days just like was mentioned above.. then record it. But the main issue is that a properly perfected lien in our state is superior to any other encumbrance's except for Ad valorum tax's... Its one reason Oregon is a great place to be a sub... If your licensed and follow the lien rules you will get paid 100% of the time. either by the owner or by the bank if there is indeed any bank debt on the property.