All Forum Posts by: Moises R Cosme

Good luck Austin!!!  I am glad you feel like my response was helpful.  Have a great 4th!!!

Simond, 

The house being paid off is a great thing for two reasons (1) she can do whatever she wants and (2) she probably bought the property a long time ago, which will establish a low cost basis (property was a lot cheaper 30 years ago).  Formula for cost basis:  purchase price - minus land value - accumulated depreciation.  The cost basis minus the conveyance amount establishes the tax due; in general the tax due changes based on the tax payers individual situation (her tax bracket).  

Glad my post helped some.  I hope the additional information here gives some clarity.  

You have the Contract and you are the Owner; if I were in your shoes I would let him know that if he fails to pay, you will start eviction proceedings.  I would send him a copy of the contract with a simple explanation and I would send everything certified so that he has to sign for the mail when he receives it.  The contract started your paper trail, continue the paper trail by figuring out the forms & times necessary in your town that way IF you have to evict him you have everything in order.  Fundamentals are on your side.

On a personal level I feel for you - it sucks when people try to take advantage.  

Austin, 

Here is your best bet - call some local Agents & ask them if they would be willing to run market reports for you on rentals in the town. I would then supplement that information by reaching out to the neighbors on the street, most people in West Harwich as super nice and you will be able to get a good feel for if people on that street are seasonal or full time residents. If you have a ton of seasonal people then it will not work, but if the neighborhood is composed of full time residents than it will likely work out. I would offer to assist with the market reports, but the Cape has its own MLS & I do not subscribe to it.

Hope this helps!!! 

These are all awesome!!  Check these out:  1. Range by David Epstein, 2. Guns, Germs & Steel by Jared Diamond (not a business book but the scope of the book changed the way I looked at the world and improved by ability to process information), 3. Business Model Generation, by Alexander Osterwalder (currently reading this), 4. No B.S. Direct Marketing, by Dan Kennedy.  

Lencioni is fantastic.  Dalio is brilliant.  Tim Ferris's podcast is AMAZING.  The Carnegie book is such a classic!!!  Thanks for posting this, there are couple of here that I will check out... Reading is such an important part of my life as a business person.  Each time I have faced challenges in my professional life, I have been lucky enough to find a book that helped me think and feel differently; I have felt stuck many times and then read about things others have done and been unstuck immediately.  

People discount the value of perpetual education because they are unaware of the importance of emotional balance in business.  Books help me see beyond my day to day and as a result have helped me create a better version of my day to day.  

Happy 4th dude & thanks again for posting this!!! 

Aaron, 

Congrats!!! Sounds like a great deal.

1. I would take a look at zoning regs to determine 'highest & best use' of the lot.  The zoning regs are probably available on line and will tell you what you can and cannot do with the lot.  If the lot is big enough, it may be buildable if that is the case selling it is a good way to get a good chunk of profit out of the property very quickly with no loss of income.

2. Section 8 is great, those programs typically pay 95% of the top of the market rent and most of the rent is guaranteed.  

3. I would not make repairs if HUD has already inspected the unit; I would however, try to call the case worker and talk to them about planned repairs and if that would impact the rent you would get from the program. In some cases the programs will pay more if you update the unit, they typically require big things to be updated like heating systems, roofs, windows etc.

I hope this helps!! 

We have multiple accounts with the same bank; the bank allows us to label each account differently & gives us access to all through one online dashboard.  We keep a high enough balance where we avoid fees for the individual accounts.  I hope this helps!!!

Leon, 

1. I imagine you have a contract

2. If you do not have a Contract, you have recourse since you are the owner of the property

If I were in your position I would not worry too much, you are the owner.  

Tyler, message me.  We invest in CT, if the numbers work I would be interested. 

Sara, 

IF you genuinely believe that there is $200k worth of profit sitting there, find a way to get an accepted offer on the property; once you do find your local REI and talk to every cash buyer you can & have them get involved. Work through the forums and read everything you can on WHOLESALES, WHOLESALING - check out my posts, I know that I have answered some questions from other BP members and given detailed feedback on the process.

IF the deal is that good, someone will work with you & pay you for the deal; a wholesale transaction allows you to get the deal under contract, find an end buyer & collect a fee from them.  I hope this helps!!!