All Forum Posts by: Mehran K.

This is an awesome thread Kyle. It will definitely be helpful for people doing research in the future. I'm glad you made the post!

Heya Kyle!

I expect gutters to be cleaned at least 2x a year. This is based on location though.  I really don't line item each expense. I just assume 10% gross rents will go towards expenses at least. I lump all these costs into that 10%. It could be higher or lower in actuality though!

I don't do pest control on my properties, unless something comes up. So it's not preventative. I don't even do that here on my primary residence either.

This is one of the best threads I've read through in a long time. It hits home for me as I've transferred quite a few properties into LLC's recently with new partners. They're all aware of the DOS risk and we plan on switching back to personal names if we receive any letters. As mentioned above, it's important to have a plan of action before this, along with everyone understanding it could happen. That way it's easy to handle it and you're not caught with your pants down!

We just put some vinyl plank flooring in one of your rental units recently. Good stuff. I'm sure someone out there will appreciate the heads up.

Welcome to BiggerPockets @MJ Barnett, thanks so much for introducing yourself to everyone! I'm here in Woodland Hills and I sure do feel your pain! It's great to have industry professional joins our ranks by the way, it really adds to the community! I invest out of state as well, I share my story on the BP podcast. There's a link below my post, check it out :)

See you around!

Welcome to BiggerPockets @Brian Wu, thanks so for introducing yourself to everyone! I'm here in SoCal as well, Woodland Hills! Real estate can be a side hustle, or it can be one of the best hustles/wealth building strategies out there :)

See you around the site!

What comps are you using for the ARV?

I have limited experience negotiating seller financed deals (only have had seller carry backs on purchases). But it seems to me that the seller has indicated two things

1. They don't like having 2nd position on their note (though I'm a little confused as to how their $450k note would be 2nd position, do they own the property free & clear?) Or is Investor #3 getting another loan that's taking 1st position? Please elaborate

2. They prefer monthly payments than a big sum of money (the annuity factor).

I feel like your offer for $477k, 1st position, makes great sense. I hope you mean 360 months! Maybe give them the choice of 10, 15, or 20 year balloon? I'm not sure what your plan is for the property and whether you would need the extended balloon or not.

I think at least at that point they may want to negotiate with the term or the rate/payments. That will indicate what's more important to them. Keep us posted on how this turns out please, I'm curious!

Welcome to BiggerPockets @Novia Rodea, thanks so much for introducing yourself to the community! You've definitely come to the right place to learn those things, probably a whole lot more :) 

Glad to have you here and I hope to see you around the forums!

The true cash flow when factoring in all the long term capex can be a reality check!

Things I've noticed in my rentals that were able to command some extra rent were:

1. Pet fee (something like $30-$50/month with a $300-$500 security deposit

2. Supplying appliances (Range, Fridge, Washer, dryer) and tacking on $40ish/month

Hope that helps some. How does your current rent  compare to the going market rent in the neighborhood?