All Forum Posts by: Jon W.

@Michael Barker I agree with you but out of state investors need to be extremely careful. Detroit is a unique area for investing because you have to REALLY know the area down to the block. And then on that block you need to know the houses. There are dynamite investments but each one is surrounded by investor land mines. 

Too many out of area investors think they can buy something that looks good on the outside and is so cheap that it is worth it.  In most cases it is a fools game. 

also Chris Moshier at simplified insurance. I use him too and would say he is easier to deal with than affinity. 

try affinity. http://www.nreinsurance.com

I use them and they have been ok. But I have not had a claim. 

@Richard Dunlop I am looking at a house that was purchased from DLBA and they went with the secure the building in 30 days option. They are now selling and the sale comes with the addendum that goes to the DLBA.  You either start fixing it up or secure it.  Either way you have to provide proof.  I want to rehab but dont know the additional cost of going from needing a full rehab to getting the CofO from the city.  Sounds like they want to be involved every step of the way.  Hoping I could find someone who has done it.

Either way I guess it sounds a bit rigged.

Hello BP,

Has anyone rehabbed a Detroit property under the supervision of the Detroit Land Bank Authority.  I am considering a property but do not know about all of the hoops that you need to jump through in order to keep the DLBA from taking the property back.  Has anyone had any experience with this?

Thanks

Haha, it isn't even in the same city.

Do you loan to LLCs

@Liam Cardenas is correct. You need to see what your competition is doing and what is customary or standard for the area. I my area leases are 1 year and collected semesterly. Leases are also signed in October/November of the year preceding the lease. So my next lease will be signed this Oct/Nov for August 2017 move in. If you do not sign a lease during that lease signing period you will miss most of the students looking for a house. 

I only use 1 year leases.  I have found that most students renting a house with friends do not move home for the summer.  Many times they will move out early if they have graduated.  I also collect rent quarterly, so I get the last rent payment in April that goes through the summer.  

Also, many cities that have a large college student base will require a house to be licensed. You will not likely acquire or retain a license if you own a property in poor condition.