All Forum Posts by: Jonathan Key

I would use the repair number as your negotiating tool. Offer $120k on the spot and have a letter of intent. The owner probably knows how much repair is needed, or they are ignorant of it completely. Worst that can happen is you walk away. $55k is a lot of work to me, it would have to really be worth it.

Texas. Look for secondary markets. Places Dallas/Ft. Worth are around 90%ARV, so don't go there. But other areas in Texas have tons of deals to choose from depending on what you what to do.

Happy hunting!

Find what interests you in real estate. 

Then find out about it.

Then do some research.

Then get started.

 Indeed Sir.

 Note taken.

@James Vega 

You had a tenant steal the carpet?? WOW!

@Abou C. Great question, great topic! Followed!

(*topic transferred to MSWord; saved; printed; inserted into my personal big book of RE knowledge)

@Mike H. As they say down here in Texas, D*mn it Sir! To be honest I was struggling a bit with the concept (logistically) of Buy and Hold - that is until now. What a great example, great logic backed by the math and point proven by tremendous experience. To the kids watching at home...that's how it is done.

Another example of a great BPer providing valuable insight to the newly formed masses!

I thank you Sir, I really do appreciate it.

@Charles Morgan Thanks for putting it to your example fellow Texan!

@Mike H. So what is the end result of example number 2? 

-How much money will you get the rate/refi for? Would you get cash out?

-Why does the bank become more cooperative this way, is it because you actually own the house? (or does the HML)

-How much did you end up paying the HML?

-How long (ballpark) would this take place over?

-What type of credit score are we talking to get this done (range)?

I realize your scenario is an example, but it is a very good one. I follow all your numbers and see your point, but as a "newbie" I just want to see the math all the way through. I learn best by these type of examples.

I appreciate your example and input!

Great topic!

I remember getting this sort of thing when I would rent an apartment. Sort of a 'quick-how-to-sheet' on the big stuff. I really like the idea of it being something more than a book or a sheet. My generation would pin the sheet to the inside of the cabinet. Now days I think when I get to that point with my rentals I will have someone make an inexpensive iPhone/Android App for a smart phone. Tenants will lose the sheet in less than a day, but the phone stays glued to their hand! Plus I could push information to them I see as pertinent! 

"Reminder: Rent is due tomorrow!"

I like it!