All Forum Posts by: Matt Devincenzo

There is no such thing as flood proof, flood resistant yes but even the best engineered systems fail. So the question is was this negligence on your part or not which comes down to did you make all reasonable attempts to maintain a suitable living environment?

(No legal advice)

One other thing to start with is establishing what it is worth. It may be listed at 60K and needs 20K in work, but would be worth 110K when livable. Now it already is a decent deal for an owner occupant like yourself, but not quite for a rehabber which is good because it may be hard for you to compete with them and their business models.

Brian Mathews that is how it is in FL where I invest, but a lot of places (mostly NE and Mid W it seems) that is not the case they lien the property that had the bill no matter who ran it up.

There is another thread on here that mentions requesting owner copies of utility bills and a couple other programs like that. I'd call the water authority and ask if they do LL copies of bills or have another program to help you make sure your tenant is paying on time.

It seems like this is a common issue in those areas and that some municipalities have realized getting a LL to help them ensure the tenant pays is better than just sticking the bills to the LL down the line.

For some reason the last 24 hours or so when I click on the vote box or the report abuse box nothing happens. I can click everywhere else and navigate but with those 2 nothing happens. Any ideas? Joshua Dorkin...

To add to what everyone else said here, I agree on not charging anything additional you're renting a property not a # of people. One very important thing to make sure everyone understands though is the moving out part.

Make sure they all understand that if any one person moves out the security deposit does not go with them(or someone else has to put up the money for it) and the remaining people must still qualify for the rental. If anyone moves out in the middle of the term it is possible that the others will not be able to qualify and therefor it will be considered breaking the lease early and there will be penalties. If for some reason the cousin screws up he could get everyone put out of the apartment.

Not saying that any of those things might happen just make sure that your original tenant understands that adding others to the lease means that everyone is responsible for the property not just him that way if it does come up later and he says "I want my security deposit back I'm moving out" you can say "remember we discussed this before so you and your cousin need to figure it out".

I think what you are seeing is common wholesaler eraser math..."if I can bring the rehab budget down by 10K then this is a good deal"

I see that and the inflated ARV a lot use his line items put your numbers and ignore any DD you got from him(or at least be suspect of it and it's validity)

Lane it doesn't really matter what they're asking, what matters is what the value is and since you'll live there that is definitely going to be different than a typical rehabber would pay.

Here's where I'd start;
1) What would a freshly rehabbed house in the neighborhood cost (you say about 150-165 let's say 155)
2) How much are the repairs going to cost(at least ball park this one for now) we'll say 25K(8K roof+12K interior updating and repair+5K landscape and exterior)
3) What kind of a discount do you want for doing the repairs instead of just buying a rehabbed house(15K not enough for a rehabber, but you're not trying to make a living at this just get a better deal on your personal residence)

So 155-25-15=115K would be my maximum I would offer based on my hypothetical repairs ect.

I would assume for the discount to be that much below the ARV you've stated that either the repairs are substantially more than 30K or they're trying to get a bidding war going to drive the price up or your ARV may be off. Either way not saying that is what you should offer but that is how I would determine my offer for my personal residence NOT a strict rehab purchase.

John Santos what are the home values? I ask because that will definitely have an impact on you LTV, and what is the rental PP you would be looking at again to know how much money you have to come up with.

CDs aren't affected by water and clothes can be washed last I checked.

Show her the lease stating you're not responsible. Also something that may be in there or you should add for the future is a clause explaining that the tenant's property needs a renters insurance policy to cover acts of God like this(last I checked you aren't negligent for it raining).

I wouldn't pay it, if you want your valuables covered then you should have insurance for your stuff. Take it as a time to help her learn to be more responsible for herself, and for you to make sure you are even more clear about this in the future.