All Forum Posts by: Jon A.

@Rebecca Helm, I think it is the fact that so many apartments have been added to our inventory. 

I agree that rents are softening a little bit in Asheville. There are so many apartments being built that offer pretty nice amenities that it can be hard to compete. I just read an article last month that mentioned a 251 mixed unit building being built on South Slope sometime in the next couple years. My duplex is downtown and I just lowered the rent on one of them from $1600 to $1450 and it has been vacant for about 2 months. The caliber of tenant seems to be getting better but in turn they expect more. This is a tough call because when you are buying a duplex to live in one side you are buying an investment but you are also buying a home for yourself. So it probably isn't all about the numbers from the OP standpoint. I agree that vacancy will be your number one issue. Can you afford the mortgage if you are vacant in the other unit? Do you have friends or family you can lean on if things get tough? Only you really know your financial situation. Buying an investment property in Asheville is definitely a good move "if" you can make it work. I am also aware of a few landlords selling their properties now because they feel we are at the top of the market here. Have you looked at other duplexes for sale in Asheville? Based on what you said this property could be in a good location or a fairly dicey one. I would  offer a number that gives you some more buffer. This landlords price is just an asking price. Every thing is negotiable. 

That’s very interesting, given that str is not allowable in Asheville we have considered going furnished monthly rental    many times . 

It doesn’t sound like it according to your contract . 

Talk to your zoning dept and see if it can be made into a duplex. The words you need use should be something like a "non conforming legal duplex". When I purchased mine I had to go to the city and have that done because it had been used as a duplex for a long time before I bought it but it was zoned as a SFH for some reason. Because it had two meters and everything was separate it wasn't an issue at all. Other than that , maybe just look for a new lender. Oh and by the way, it is common for the water not be separate on duplexes or triplexes.

It is basically same as cash. Can take it to your bank and deposit it. Do not lose it, it is irreplaceable.

@Nate Ginsberg I just mean that they must be happy where they are. Which is great because I never seem to find a tenant that stays that long. It may just be that the area that I live in is more transitional. I tend to have younger people that constantly move and swap out room mates. It is good in a sense that they are staying for a long time but possibly bad in a sense that the unit may not be maintained the same way it would be with someone doing work during vacancies. 

I have painted paneling and it was fine for awhile but you are prolonging the inevitable, which is putting up drywall. I babied a rental along for 10 years that way. The downside is that the paint will show everything as far as scratches and stains. The paneling won’t show it so much without the paint . Paint requires maintenance and paneling doesn’t. Just a thought . After you paint a house 3-4 times it gets old real fast. Lol.

If you can find out their motivation for selling then that will help you solve their problem. That is where I would start if I were you .

Thanks for posting this. I find the taxes to be very confusing. But one thing I don’t understand is that you are saying security deposits are taxable income ? I don’t see how that is considered income as it’s not even your money.