All Forum Posts by: Mark F.

Quote from @Theresa Harris:

 I double checked on the towns website and according to them, and most of the towns in my area, the homeowner is responsible for the sidewalks. Maintenance, snow, etc. Although I'm not 100% sure now as looking up my states laws, multiple law firms are stating the sidewalks outside ones home are public property and not the homeowners responsibility. I'll have to research further.

I like the ones that are educational. This Old House (not on HGTV)is great and my wife and I enjoy Home Inspector Joe, I think that one is on HGTV. I like the inspections and knowledge he gives out, she likes the reno part. Only one season so far but it got picked up for another.

Quote from @Greg M.:

So what changed? Were your contractors wrong and the wall failed? Did it just not meet code?  

And props for coming back 3 years later to update. Most people can't be bothered to come back 3 days later. 🥇

Guess I glossed over that part. Basically the neighbor must have called code enforcement and while I had it out with him over the wall and argued my point, I ultimately had to end up replacing it. I wanted to take it to court but talked to an attorney who is a close friend and she agreed the wording for the cities code on retaining walls, I probably would have lost and still forced to replace it. I also had a survey done to confirm it was on my property.

Other positive was it wasn't a fine at least. Only a notice. But he was most likely targeting me as I just purchased the property and he gave me notice on three other violations, one being absolutely ridiculous (sidewalk uneven). They are uneven all over the town and have tripped multiple times while running, walking the dogs etc.

May have been done before, but what are some things you've learned over the years you never hear about in real estate podcast or books? I've got a few.

This helped me just starting out but moving the mortgage payment date as late as possible, mine are on the 15th. I do this in case rent is paid late, I had to switch banks, moving money for whatever reason, etc. To me it buys me an extra week as things happen. Has helped me a few times in the first year working out all the kinks. Didn't cost anything and was super simple as the mortgage servicer always asked me when first getting set up online.

Paying money to fix a roof (or anything really) when it's passed its useful life or you know you'll fix it soon anyway. Common sense, I know. I paid $1k total for two separate roof repair leaks when I was told the roof was passed its useful life and was planning on replacing it anyway within a year or two! When it leaked, I should have just bit the bullet and scheduled the roof replace. Lesson learned.

Most costly lesson to date. Make sure you walk your property to check for retaining walls and/or get a survey during closing/inspection. Everyone (realtor, property inspector, myself) saw there was a drop off behind the property but never thought to see if it was my responsibility and what kind of shape it was in. Within a year, I had to have it replaced due to code enforcement to the tune of $10,500, adding zero value to my property! That one stung but you know I will never make that mistake again! Heres the BP thread I made on it. https://www.biggerpockets.com/...

What are some uncommon or things you never hear mentioned?

I just realized I never updated this. Unfortunately it did not turn out well.

Long story short, I had to replace the wall to the tune of $10,500 (extra $1k charged by dump as the dirt had glass in it). The good news is I found a great masonry contractor who was awesome to work with, funny enough I found him through the code enforcement officer. And I learned a lesson on inspecting all aspects of a property before purchase. Bad news being that money will not affect my property value whatsoever. Also dealing with code enforcement was horrible, even after explaining I worked for a town in the past. Building inspector who signed off on it was great though.

I house hacked in 2010/2011 in Florida and had no issues finding roommates to pay by the room, for a low price point. Apartment vacancies were there, they had to offer concessions. People were scrambling for jobs, moving in with their parents/friends (like me), and there were obviously tons of SFRs sitting vacant. I bought in a great neighborhood which never turned bad but didn't appreciate for years. Like others have said, I like B areas for that reason. A class downgrade to it in tough times and C class upgrade to it in good times.

Edit- I wasn't some, nor still am, a big time investor. I just owned an SFR back then and was aware of the roommate situation for the time.

Quote from @Derek Nemec:

Hi there BP! 

I am currently analyzing a deal and wanted your insight! The investment is 3 duplexes on one corner lot in town, all quite updated and nice
PITI currently sits at $4,275/mo. and the conservative rents at 100% occupancy would account for $6,300/mo.

is the PITI too high and makes it too risky or would you consider it to be a good number vs the rent at 100%? What do u suggest? 

Assuming you can't push rents by updating, $2025 left after PITI on 6 doors would be a no for me. Your expenses would eat a good chunk of that up. Plus like others said, you haven't told us what other expenses you'd have. Do you pay utilities? You also need to factor lawn, pests, property management. Assuming you do, your CF negative in okay or bad years and probably break even in good years. Think if one place needs a roof, that's over half your CF for the year.

I'm just talking in generalities but at first glance, unless these are rented under market/heavy value add and you can refi into a lower rate in a few years, I say no. Still need more details.

Quote from @Daniel D.:

@Mark F.

Greg does have some points!

Yes im in North NJ. I own a decent amount of rental properties, this is is my first one that i purchased with rents this low.

Sent you a PM, would love to connect.

Daniel are you in Northern NJ? I am as well and would love to own a 6 unit some day (own two duplexes). I have to do the same, raise rents on some tenants, but the rents were not that depressed. Good luck and I hope the rent raising goes well. Listen to Greg!

I use Apartments.com. I've had no issues, I know Miller Mcswain said they don't allow you to upload your lease. I've never had that issue. It allows me to upload their lease plus renters insurance. So a win for them.

They have a maintenance request but my tenants just text me. They don't charge tenants to make payments, which in my eyes is ludicrous. Unless the tenants are making payments via CC, why are we punishing them for paying rent? No thanks.

I'm sticking with Apartments.com until I grow well over 10 units. Only have 4 as of now.