All Forum Posts by: Rene Hosman

I own a duplex in Cincinnati, rented out to section 8 tenants. I received the following email today.

Good Afternoon,

Be prepared! HUD is changing its inspection criteria from Housing Quality Standards (HQS) to National Standards of Inspections and Real Estate (NSPIRE). HUD has published notification that the new standards will be effective for the Housing Choice Voucher Program starting October, 2023. The HCV Department will keep you updated as HUD releases information. The Inspection Standards will be based on receiving a passing score. Points will be deducted for deficiencies and remove subjectivity in the inspection process. NSPIRE will be used for all HUD funded housing programs.

With NSPIRE, inspectors for HUD-assisted and HUD-insured housing will be able to conduct objective, defensible, and consistent assessments to evaluate housing conditions. This will result in inspection results that more accurately indicate property conditions and promote better living conditions for residents. NSPIRE inspections will more accurately reflect the true physical conditions of properties and ensure that property owners adopt sound maintenance practices to eliminate health and safety hazards that may pose a threat to residents. By placing more emphasis on the condition of residents' dwellings, the new inspection model aligns more closely with stakeholder expectations regarding housing quality.

Kind regards,

Lisa Isham

Vice President of Housing Choice Voucher Program Services

Anyone have more info on this? Will it now be easier to pass inspections, or harder?

I’m learning about rental properties and was looking for some advice on how to start. I feel like I keep watching videos but don’t take action

I'm super curious if anyone else has encountered this issue...

We are RE investors in Denver - we've got 3 investment properties (or 5 doors). We have >$2m in debt spread across the investment properties and our primary residence. While we are both gainfully employed and have good income, our DTI (Debt to Income) is obviously incredibly skewed even though our properties cash flow.

The other day, we found a great credit card offer to finance a purchase and get 21 months with 0% APR. We were going to put a hot tub into one of our STRs. BUT, once we applied for the card, we were rejected immediately because our debt is so large compared to our income because DUH, we are real estate investors.

I figured a lot of other investors might have run up against this issue and I was wondering if anyone figured out how to work around it. It's a bummer to not be able to use free money when it's offered to you. 

Sincerely,

WonderingHowOthersDoThis

 I am a pro annual member

I'm using Baselane and I love it. It has really simplified my life on both the banking and bookkeeping fronts. I used to pay a professional bookkeeper to manage the books for our small portfolio. It was costing me $450/mo plus a $90 subscription to quickbooks online. It was ridiculous because it still required us to give her a lot of direction. Baselane is easy enough to use that I can do it myself so I'm now saving by not paying those expenses and I prefer to be more hands on anyway so I have a better understanding of my expenses and profitability.

Wondering if you have any particular online companies you recommend that checks evictions, credit reports, collects rents, provides a lease, etc... all in one place. 

what are some of the pros and cons you have experienced with each company. 

thanks

I own two houses in Portland, OR, one of which I have lived in the last 8 years- but we Just moved far away. I am debating whether to continue to rent them or to sell one or both of them. From the calculators I've looked at, it seems like it makes more sense very-long-term to hold on, but I'd love other's thoughts/resources (I'm not passionate about passing on as-much-as-possible to my kids when I die).

From a blog post on this site about when to sell, one of the factors was when things have appreciated more than the rents in the area- but I wasn't sure when it was 'enough.' I also saw a blog post by the Financial Samurai that said if he could sell a rental for more than 100x the monthly rent, he should... but I wasn't sure if others liked that as a general rule? 

Some info: 

-The 'investment property' is worth ~$650K and is paid off. We bought it for $225K and spent another ~$80K on improvements.  Rents currently for $2495/mo. (It could be rented for more, maybe $3000/mo, but I'm only comfortable charging so much on principle. However, for some reason I wouldn't feel badly at all selling to the highest bidder)

-The other is worth maybe 525, owe $240K on it at 2.85%, and am currently renting it for 2250.  Bought it for $230K. 

-Both homes have new windows, kitchens, baths, flooring, electric, solar, landscaping, you name it, with custom tile and woodwork.  Even though they don't need major projects or much maintenance, now that we're parents and don't live there, it's still annoying when things come up. 

-There is more rental income potential because of the large yards, by having a tiny house/renting out the garage/etc. 

What I'm worried about:  

-We couldn't help but improve the houses a ton, and part of us feels like it's a 'waste' to just have them rented, as it will put wear and tear on them until we do want to sell... So we're wondering if we'd get more by selling when they look great/fresh?

-We have 3 years, or until we buy another house, for one of them to be considered a 'rental property' and subject to those capital gains. And, we'll probably want to buy another house before then. 

We don't need the cash from the sale to buy another house, though it could be helpful. 

Excited to hear your thoughts!