All Forum Posts by: Marylynn B.

@Marylynn B. 

  diversify find good quality first trust deeds.. Many investors that have gone the out of state route only to find it less than pleasurable experience will gravitate to First TD's you can find them with many reputable Brokers on the east coast and cash on cash in most cases you will do better than owning the asset and not have ANY management issues. But its critical to find the right TD's and the right brokers..   Right now there is a heard mentality going on So be sure to take with a grain of salt any recommendations on markets where the individual recommending them is also selling them that is not IMO unbiased advice or opinons.

The tenants want to purchase the property and would love it for me to hold the note.  However, I have heard horror stories on this and although it sounds feasible, I am in no way experienced in this.  Would love more direction on this!

I hear what many are doing in San Francisco to move tenants out who are paying way lower than current market rents is to offer a lump-sum payment to them to leave.  So maybe simply speak to them, let them know that you can no longer allow the rents to be so far under market, and give them some options, maybe one more year lease term to find another place, so plenty of notice that rents will be rising substantially, or that you're willing to pay them x amount, $6000 or so (which you'd likely make up in a year's difference in market rents) if they vacate in 2 months' time, to be paid in full when they hand over the unit in good condition.   While you feel sympathy for their circumstances, you can also look at it as that they were taking some advantage of your parents' kindness, no matter how nice they are, knowing they were paying so much less than they should, and you should be able to decide what charities you want to contribute to, not feel forced to contribute to them.   Why should you let another investor buy it, kick them out, and benefit from your inheritance simply because you feel bad that these tenants might have to move?  They will surely have to move when you sell it, so you're not saving them from unpleasantness by going that route. 

@Marylynn B. welcome to the site.

Hi Marylyn,

How exciting! We have a lot of experience buying multi family properties over the years. Early on I would say the biggest mistake we made was purchasing too high. Another great strategy is to find a target area. Once you have chosen a target area, you can drive around that area and look for distressed multifamilies. Then write down the addresses and do the research on who owns the property and reach out to them. The MLS is super helpful to run comps. We have also purchased many properties through the MLS as long as you get it at the right price. We have also found that the best deals we have gotten on multi-families are ones that need a lot of work.

Hope this helps!

Liz Faircloth