All Forum Posts by: Matt Devincenzo

Happy Clause:

"Hey tenant, I won't be sharing the login info as requested. If you're unhappy with that decision I understand and would be willing to allow a one time penalty free lease breaking, and we could agree to mutually terminate the lease. I will accept the termination until 4/25 if you want to exercise this option, otherwise we will continue with the lease as planned."

You can always get a tenant out before their lease term, you just need them to agree...and often they're more willing to agree than you might expect. 

Quote from @Marcos De la Cruz:

I'll definitely consider it if I can get better insurance, which is ridiculously expensive.

Thanks for your input.

I'd do a search here on BP for LLCs, and you will likely find dozens who have suggested ditching the LLCs. I personally have never used one, and I know many other investors with substantial assets who do not either. My boss' in-laws owned several million in SD real estate and never had any LLCs that I am aware of, and he also owns several properties with no LLC. 

I can think of at least 5-10 regular posters here on BP who have suggested to others that they should just get insurance instead of the LLC route. 

The best option would be to obtain a copy of the funds/reserve study for the association. Especially give the last few years rapid increase in costs, anything that was estimated or done years ago is out of date and could be underfunded just based on inflation. A new study should assign unit costs and remaining service life to all the items and then determine the cashflow required to provide for everything when it's needed.

I would consider a low cost condo with a high special assessment due to a well done reserve study. Half the battle is knowing what the pain is going to be, once you do then you can really consider the costs and whether you'd like to move ahead. Once the funding crunch is past, the value should rebound to 'market' especially since that community is now a low risk purchase. 

@Michael Baum yes that's my perspective too, it seems like mostly subjective items. I lived there for two years and didn't notice sirens being a constant or regular thing...that may have changed, but I doubt it. The last several guests have expressed how much they loved the yard, and how nice their stay was etc. so it seems like more of just a poor fit.

This was one where I want to stick to my strict cancellation, but better judgement is to refund to maintain the reviews. I appreciate the perspectives.

Thanks John, I'll try to start asking that specifically. I did hear the day of check in that they got in, asked about the TV etc. so until now I thought all was well. But to your point I didn't ask specifically if everything was alright. 

I guess I have a couple weeks to get a few minor maintenance items scheduled while I'm between guests, so I'll use the time as best I can. 

I do furnished monthly stays, and have typically had happy guest. But I just had a guest check out early after staying 10 days in a 30 day stay. This was the first I heard of any issues, and unfortunately one was self induced...I usually don't do same day turnover I typically keep a buffer due to longer guest stays. This time the guest requested the earlier day and I accommodated, but my cleaner was still there when they arrived and I think may have hurried to finish resulting in part of the complaint though she said she had finished. I haven't received any other feedback like this from prior guests:

Just wanted to let you know that I vacated the property. It was too uncomfortable for us. The beds were too hard, the backyard neighbors were squirting my dog with water, sirens all day. Also, i want to let you know that the cleaner didn’t finish cleaning either.

So for the experienced operators out there how do you address something like this? I have another guest after this one's stay was supposed to end so I can't book those days. There wasn't a refund request, but from other posts I'm guessing she can likely get ABB to give her one if she asks...

I currently have three loans with FCI, but I purchased them from a loan workout provider that already boarded them there. Overall everything seems fine, payments are made regularly via ACH, notes show up in the portal etc. I had two payoffs and one BK, all of those were navigated well so no issues there. 

I know currently Madison seems to be a preferred vendor for many SF deals. I've typically heard good things, I only use FCI since that is who had the loans when purchased. 

@Chris Seveney is an active note investor and may have recommendations. Another that is out there if BiFi servicing, which Chris is involved in so he can share if they're doing SF notes.

There have been a few threads on this over the years, and I've had the issue as well. I believe, don't quote me, that it isn't so much a specific bank issue as it is the software provider that makes the connection between Stessa and the bank...unfortunately it also seems to be an issue for many banks including larger institutions. Mine isn't every time, but does happen...though I will say I believe it has improved now that I think about it. 

Overall if you decide to make the switch do so assuming that the connection issue won't be resolved. If it does resolve then that's great, and if not then you're not disappointed. 

Did you tell them you wanted a pre-approval for a duplex with ~$1,900/mo rent on the non owner occupied unit? If not that's likely your delta. From my personal experience buying a duplex with similar financials as yours at the time, I qualified for something like $475-510K for a SFR or $675-700K for a duplex (something like that though I don't remember specifically). So it sounds like your pre-approval may be only based on your income, but when you account for a rental as well it can push the approval higher.

At least that's the first thing I'd check to get some clarity on it. 

Your post is ironic because you're actually advocating for the same market manipulation you're suggesting takes place. No one is buying a home with a gun to their head, they're choosing to buy because they need more space, want a new location or got a better paying job amongst dozens of other reasons. Is pricing high? Sure. And your point is? People are willingly buying, that's literally the definition of a free market. Yes there are marketing efforts to try and encourage individuals to 'buy today', that's what marketing is and you can choose to ignore it or choose to listen to it.