All Forum Posts by: Mary K.

Question for anyone. I'm in Ocala. Back in 2006/07 I lived in the Marion/Citrus county areas and construction companies built hundreds of houses for (mostly out of state) investors (who flooded the area, like now) who had the idea of renting them out.  Soon the supply of houses far exceeded the # of renters and by the bust in 2008, 100s of these houses sat empty, many going to foreclosure. Is anyone worried about the same happening again since we are seeing so much investor activity? Granted, I wasn't in Jacksonville then but I think this happened statewide.  Do you all feel the jobs/growth/economic numbers in Jacksonville look good enough long term? Or in Ocala?  I myself am cautious about buying too much where lots of investors are jumping in (since history often repeats itself) but would like to hear everyone's thoughts. 

 @Kim Meredith Hampton

Thanks, it didn't occur to me to file a claim against my insurance. I am going to look into that.

Have a SFH in Ohio (live in FL). Renter texted that he heard scratching noises, thought that squirrels had started getting in last Spring (don't know why he didn't tell me before). A pest management company inspected today, gave me a bid for almost $5K, to install bat guards on roof vent and remove a small area of soffit that squirrels had infiltrated, pull it out and replace installation (squirrels ate it), patch the opening they are getting in at, and reinstall the same soffit since it's in fine shape. About a day of work or so. Anyone have tips for handling this without paying so much? Is this an urgent thing to take care of (as in within the next few days)? Or would it be OK if I take a few weeks until I can get up to Ohio myself and hire someone who won't charge so much and oversee it myself? Anyone have problems with bats or squirrels in a property before?

Hi Ammar, I too am in Ocala. What areas of town are you buying in? Are you buying the low end (under $70K?)  Let's connect.

@Nicholas Weckstein I am not an expert on this and many others here are. Did you read the blog/forum post on Creative Financing that went up not long ago? Had some great ideas in it. I've seen articles on 1 year SE loans but didn't save them so did a quick search on options. Came up with this info. I'm self-employed and always face challenges getting loans since I tend to write off like crazy and report a low income.

https://themortgagereports.com/21186/self-employed...

http://www.balanceprocess.com/what-is-a-portfolio-...

https://mymortgageinsider.com/stated-income-loans-...

Michael Gessner is right. For example, if you buy something on eBay and use PayPal and the item you receive is broken or never arrives, you can file a dispute with PayPal and get your money back. But unscrupulous people will file a dispute even when they receive everything 100 percent. Not trying to scare you, just letting you know to be cautious who you deal with. You can always ask the investor for references and check them, make sure he/she hasn't ripped off anyone. I've never used the online background check resources, but its an option. I'd recommend you Google them, look for court records, lawsuits related to money or bounced checks. I have a client who is a private investigator and does me favors. Is it someone local that you along with your parents can meet with and "get a vibe" on? If not local, do a Skype video call? I try to always pay attention to my gut. If they rub me wrong, I won't do biz with them. Once had someone do a dispute for $10K on PayPal and get it back from me even with all my approvals, signoffs. PayPal disputes almost always work in the favor of the buyer (your investor) and not you, the seller.  Credit cards are safer for sellers in my experience; for my e-commerce store, I get a few of those a year, always from people who "forgot" they ordered the item. VISA will reverse and take the money back from you at first, while it investigates but as long as you have proof of the order, they eventually (1-2 months) give it back to you. 

Someone here mentioned a lender or broker that only needs 1 year of self-employment, not 2, to get financing. I heard that was becoming more common.

Looking at goals and the situation (property is hard to find, pros of a new house) it may be a good idea. I own a newer house using a 15-year with bi-weekly payments (1 extra payment per year to pay off in 12). Lived there a while, then rented for same as PITI is, so on paper it looks like neg cash flow. Then did again in our current house. Getting ready to do it a 3rd time. All houses will be paid for in less than 15 years, which is when I retire. Altogether, all 3 new houses will cost me in cash (5% down loans plus closing) about $40-45K total. I don't anticipate major expenses but it could happen. Husband is a contractor should something come up. Anyway, the 3 rentals will net $48K a year when I retire. I would need over $900,000 in cash/stocks to get that any other way, pulling out 4% a year and hoping for no stock market crashes. Most rental homes available are older without upgrades, and landlords deal with problem tenants. These houses have HW floors, stainless, granite, etc and attract great tenants with waiting lists. For me, this works. For you Patricia, you can afford the neg cash flow, it will be a tax write-off, plus you can borrow against the equity if you need to, or easily sell it. I would do it.

I think it's great to have those under 18 on the site if they're serious and respectful (that's where moderators come in). My own boys are 16 and 19 and very interested in building a RE portfolio. I love that they are focused on a future instead of just playing video games. BP is a great resource for our whole family.  My two cents.

Really impressed with what you've achieved and so glad you shared your story with us.