All Forum Posts by: Kevin Priester

For the small landlords who collect rent then make the payments, 7-10 days is fine for making your payment....but like Mitch says you have until the 15th day.. On the 16th day your payment is late, but that does not get recorded to the bureaus as late...The credit reports calculate mortgage lates in 30 day increments...and so everyone is clear we are talking about mortgage lates...this does NOT apply to installment loans and revolving credit because lenders report those quite differently!!

Any advice on marketing to and finding cash partners for commercial properties....

And which is better....Cash Partners or Hard Money???

In todays market are there any lenders doing SBC lending on 100%vacant properties in need of repair? And also is there such a thing as a non-recourse loan in this arena??

Does anybody use the condition muliplier to get a quick ESTIMATE of the rehab cost?

Example

Light rehab = $5/sqft 1000 sq/ft home = $5000
Medium rehab = $10/sqft """ = $10,000
Heavy Rehab = $15/sqft """ = $15,000

"Ghetto" is such a derogatory term....We should refer to the areas in question as low income areas. I think that these areas are a great place to start making money in. There are always deals to find and always an endless supply of buyers, investors and tenants.

Do your research on buying tax liens.....most states like the one I live in (Florida)the 22 month process it takes for you to foreclose doesnt guarantee you ownership...the property still has to go to a deed sale...that's when investors like myself show up at the sale and the bidding usually gets up to 50-75% of the ARV...

I agree with Ryan 110%. I low income property is what you make of it. Its all about how you manage the property and screening your tenants. I have several properties in low income areas. Some section 8 and some just regular tenants. The section 8 tenants I have are truly wonderful. I have had one tenant for five years...and she treats the property like it was hers.

People section 8 housing is a great program..that we should all use more often. Even if your property is not in a low income area.

Pat..13% cap rate is a pretty good deal..the section 8 tenants are a good insurance policy against vacancies....I would go for it...

There is a fine line between the two..On one hand Aaron is right...Find the deals and the buyers will come. On the other hand Jimmy is right..having a buyers list give an investor a clearer Idea of what and where to look..

So as Investors...we have to find a happy medium between the two.

It really depends on your business model...and your goals...I say that because if you are going to be just the average flipper...I deal here a deal there...then by all means go twice per week to visit the jobs...

But if your goals are any bigger than that...you will have to put a process in place that checks and balances the contractors and other vendors that you will be using..if your building a business ...you have to let go of the reigns

Tony,

How far did you increase you radius? And how did you overcome the obstacles that came along with inspecting those properties?