All Forum Posts by: Justin V.

@Eduardo Sanchez

I second getting your real estate license. It is directly related to real estate, has potential to help you make money towards your down payment via agent commissions, and will get you many needed connections with subs and lenders and such.

Id say start analyzing deals now as well to get a feel for value and cashflow. Your future self and buyers will thank you.

Are you handy? I think it helps. I brrr’ed my way to more properties in the beginning when I didn’t have much cash on hand. Market appreciation did a lot of the work for me mind you. If not handy there are some handyman you tubers worth watching.

I’m starting to get limited by my debt to income ratio as an engineer with a decent salary. I’m not sure what type of income potential you will have working full-time at a grocery store (no honest idea), but you may want to figure out what some high income opportunities are for your area, experience, and passions and realign you’re career as necessary. If your current field is already aligned, then perfect.

@Morgan Granger

I used to do butcher block. Have it in my home and some rentals.

I just always thought laminate looked cheap and personally hate the backsplash lip.

At my house I did the mineral oil method and hated it. Everything ended up pretty greasy. Never could set a piece of paper down. At some point we’ll convert to granite at our home.

At three duplexes I put in butcher block. It would take me a day to cut the counter pieces and sink holes, a day to stain and poly and another day to install (pieces in place and get the sink and faucet placed)... the product held up well and still looks good, but you can’t have an under mount sink and it just turned into a time thing.

I now do granite. It’s not too expensive compared to my time and other trades. They easily figure out the complicated pieces and they just let themselves in via lockbox for measure and install. I wish I had converted sooner but needed to realize the value of my time first.

@Sharon Miller

If it hasn’t rented in 2 months of being listed, something is wrong. Find it, fix it, and rent the property.

Over priced is easily fixed by reducing price. What is market rent for the area?

I typically list at least 1 month out to avoid looking desperate And attracting desperate people who figure I’ll let things slide to get it filled.

I usually list 2.5 months out and start dropping rent at 7 to 10 days (then every ~3 days after) depending on interest.

@Peter Kopchik

How close are you to renewal?

I’d tell them to clear the stairs immediately (via email or writing). Give them a deadline and remove it from the area (but not discard) if they don’t and leave a note saying to contact you for it’s return with a bill for your labor hours.

Remove the option of having things in the common spaces from your lease. Turn a blind eye if not an issue, but gives you ability to cite a violation of lease and order a correct notice.

Storage in their unit. Cite specific safety issues as grounds for eviction as needed, if you can determine any. If not a safety issue, I’m guessing it’s then their right to live that way.

If you don’t see progress and are up for renewal, I won’t notify intent to not renew if your area (local laws) allows it.

@Justin Gottuso

Know your market and never let someone do your due diligence for you. My realtors and the wholesalers I am on the mailing lists for tend to be pretty optimistic on what things will rent for and value. Haha. Also decently unrealistic in the wrong way on renovation costs.

Crazy!? I know. Haha

@Mike Morawski

Thanks for attempting to recall. Appreciate the response.

@Keegan Darby

I have done this before. You need to honor existing leases and adhere to proper notice for m2m’s as others have stated.

Ive been ramping up by brrr’ing for a few years, so I either wanted to be making decent rents or improving my units to top of the market, so I can leverage them further for the next down payment.

Be prepared for vacancy with the increase. I bought 6 units (3 duplexes) with 5 rented at $500-$650 in an $1150 to $1600 market. All m2m. Told 1 rented unit we needed to end the m2m lease with proper notice, so I could gut their building. Other 4 offered to keep at $1125 rent at the 4th month (800 at month 2).

1 bounced immediately without proper notice. 2 started house hunting and were gone in a couple months with good enough progressing and communication. 1 stayed. 1 moved out at month 2, but left a bunch of stuff and claimed to be still livening there without paying rent, so had to evict.

The 5 units are now flipped and renting for ~$1500 each. Still have the inherited tenants who stayed in the 6th unit. Spare time priorities have shifted from renovating rentals to spending time with my wife and 2 under 3yo.

I’m a little tired of renovating at the moment and my debt to income ratio is shot from daycare, so we’re just enjoying our time together for now until we get the itch again.

-Justin

@Mike Morawski

Who was your insurance? I’d like to avoid them if possible. That really sucks.

@Michael Lettieri

I you want that 2.5% commission on a property with a listing agreement to go to you and not a buyers or sellers agent, sounds like you better go get your real estate license.

Even then you’d have to pay your brokerage.

That might not be realistic, but what you’re attempting to accomplish doesn’t seem to be either.

Good luck and to your success!

@Logan Bosiger

Challenge the appraisal hard. Understand every line and comp. tell them remove this comp because of the condemnation. Add this comp because it is more similar.

Who is your lender? Major lenders can have conservative appraisers.

Challenge the appraisal with the lender and have them send out another appraiser. Your likely two low to force the current appraiser up enough, but no harm in trying. Definitely walk on you lender if they aren’t responsive to your concerns.