All Forum Posts by: Matt Turbitt

Yes, it's pretty standard with financed condos.  the master insurance policy the hoa carries normally is not really there for you per say the way a home owners policy is. ''normally' those policies would never cover things like if the dishwasher floods your unit or floods the unit below you or if your renters dog bites someone or normally anything in your unit or any protections you'd gain from a home owners policy. your ho-6 policy can then be custom tailored to your situation, such as being a rental.

I like to lay plywood down in those places 1- 2 inches less then what it's under and tile up to the plywood. Prevents issues with stove, fridge, dishwasher and leveling cabinets etc. It can go down in fast and saves material and headache and keeps the surface flat and smooth.

I think it's 158 but try 166 as well.

 Angie, you would have 60 days to take occupancy. Technically your 12 months clock doesn't start til you actually move in but that's not really something they can watch for. Keep in mind if you go, for example fha with a repair escrow you have a timetable to fix the items (pretty sure 90 days) and they will come back and check on the repairs. Also, for what it's worth hud is a whole different animal then most other sale types, it's pretty important that your lender, title company, and Realtor are well versed in hud dealings. Your Realtor will know the details of these steps and time frames.

personally I really like the accordion style that hold in place where you set them. The big box stores selling generic versions of them and while they can be kind of pricy at about $20/each I like that there is no cord so a person or child can't get caught or hurt on one. They hold up alot better then other options and don't bend like aluminum or break like vinyl. But when you can buy vinyl for $3/per I understand  $20/window is often steep.

Another one I hear often is making the tenant supply the blinds or any replacements that break for whatever reason.

Man that is some beautiful work. 

honestly, all I would do is tarp the area, smash and pry down the mirrors. patch/paint just those areas or paint the trim on the ceiling as well. I'd leave the floors but if you hate them just float a floor over them.

other ceiling options would be tin tiles depending on size. or gluing wood inserts to the mirrors and paint those. You could remove or retain the lighting.

or sell it online and make someone else do all the demo for you.

The thresholds that are tough to break are mortgage 4 to 5 and from 10 to 11. All that really means if less banks are willing to do each step up so they often involve a few more calls around.

The alternative options just so you know what cards are on the table are commercial loans on 1 or all 3 combined. Also, bridge loans would be a loan product that most small banks carry that will allow you to roll multiple homes under 1 loan.

is this a flip or a rental (nvm you did mention flip)? What price point? And was there carpet in any of these areas before?

Tiling is not overly difficult you just have to prep language what yours doing and it will take 2-3x as long as laying a click vinyl. 

Keep in mind stairs are extra when laying carpet, normally 9$ per stair. Also if you don't have tack straps currently installed from previous carpet that will normally be extra as well. Laying wood stairs blows so I agree carpet them but these are just some things to keep in mind. 

What do your comps have?

Replace them and get more quotes on 1000sq ft you probably have 5-6 windows? You should be able to find someone who will install basic grade home depot double panes all in for 200$ / window. 

It lowers the renters costs which helps you because they are a happier tenant then someone paying $400 electric bills in the summer. But more importantly when you go to refiance this place and pull cash out for another that 1-2k investment will directly correlate to a bump on your appraisal.

You've owned both units at least a year correct? Have you been depreciating them? 

Sounds like you've walked through the options and you have the one that makes the most sense for you. Would it be fair to assume these are your numbers? You owe 100k between the 2, the combined value is ~200k? Student loans around 70-80k? 

100k profit - 15k closings - 19%cap gain - ~5k depreciation recapture = ~65k to pay off loans.

vs

refinance rolling the loans together to 25%equity, pulling out 50k and refinancing the student loan balance and keeping the cash flow.Maybe pull a credit line to pay off the loans at 5% rather then where they are currently?

On your second question keep the LLC, a seasoned llc is always better then a new one in the financial industry.

ps those are 2 really cool little places. love all those garages!