All Forum Posts by: Loren Clive

Offer the payment plan. That way, you may get some money versus no money. And in court it looks good that you did everything possible to make it work for the tenant, especially if you end up having to evict them.

Technically, this is the owner's decision not yours since you're the PM. What does the owner say?

I would advise them not to accommodate this tenant. There are better tenants out there.

I'd reread the lease. Perhaps you can terminate it on other grounds, like breaking a house rule, bringing in pets, etc. if you really want to get her out. This has worked for me in the past.

Otherwise, you can offer her a full deposit refund for leaving unit in acceptable condition and moving out by x date, basically "cash for keys."

I don't have any experience specifically with Kauai, but I have looked at leaseholds here on Maui that made sense when the lease rent is less than what you'd be paying for the difference in purchasing fee simple in terms of a mortgage. This is especially true in today's high interest rate economy. 

For example, say it's $200k more to buy an identical unit fee simple. If the lease rent is less than the $1k it costs to pay that $200k mortgage, it would make sense to buy the LH condo. (I'm using round numbers for simplicity and am aware that $1k probably is less than what the mortgage payment would be to finance $200K). Also, you can write off the entire lease rent payment whereas you can only write off the interest for a mortgage.

These are the two basic differences in LH vs FS to consider. You do typically have to use local lenders--try a credit union.

I totally agree with @michael 

@Michael Borgerundefined

what you want is to buy the AOAO foreclosure on this condo, not the note

look on craigslist and Zillow and get your own comps

I'm on Maui, and 1brs here easily go for $2000, more if furnished, should be more on Oahu

the manager is going to quote you low cause it's easier to rent

Yes, there are great opportunities for investment property here in hawaii,  particularly due to historical appreciation. Then you can write off all your vacations! You can manage remotely but you do have to have an on island representative which could be your housekeeper or realtor. 

I have done this. Even when I have the cash, sometimes for fund sourcing it's easier to tap the HELOC then pay it off afterwards because the funds are spread over separate accounts.

I have also used HELOC to purchase cars due to lower interest rate at the time. May not be true these days!

I have my HELOC through Bank of Hawaii. There are some credit unions offering amazing rates right now too.

Aloha, Dana! I live here on Maui and would welcome partnering with you. DM me

20 year resident, I've flipped several homes here on Maui. Got a great agent on Oahu. One of my agents here on Maui has used VA to build his portfolio. Lots of connections. Dm me