All Forum Posts by: Nathan Marden

we did 2 test but tested 2 units each, it is interesting what I get from BP vs my Real estate agent who is still very optimistic

We are in the due diligence phase of purchasing a 4-plex. We did a meth test and it came back at .49-.56/100cm2. We are in Utah so the legal amount before needing clean up is 1.0/100cm2.

We are planning to owner occupy with our 3 kids under 5. Is that amount of meth a big red flag??

thank you for the advice! Here are a few more details:

Purchase $579K with an FHA and will be owner occupied.

Current rents are at $945

The unit with 9 people is month to month

The other 2 units are not taking care of it.

The other buildings in the complex are pretty neglected as well. However the complex is surrounded by a brand new neighborhood

We have about 7K for repairs

We are under contract for a 4-plex. It’s in a very neglected complex with 7 other buildings (all owned by different investors). We did the inspection yesterday and the issues are a lot. Including: Roof damage, Wiring issues, cockroach problems, bathrooms all need fixed, 3 new appliances needed, Tree trimming, lots of safety issues, water damage, current tenants are really dirty and are not taking care of units, it seems the current owner has neglected it. One unit has 1 person on the lease but 9 adults living in it.

Would you recommend going back to the current owner and having him pay for repairs or renegotiating purchase price or just walking away?

Sam

So I offered 285 15 over asking price and the duplex   and well didn’t get it. I would really like to get accepted at one point 

It’s comforting to know people are house hacking in Utah! Thanks 

@Jaysen Medhurst

This market in Utah is tight I keep putting offers out to lose them to all cash buyers when the numbers are better. There are properties with better numbers but are in very D neighborhoods  that I can’t leave my wife and kids in.  I admit I’m feeling annoyed at loosing offers so many times while renting 

Thank you Marcus that is really good advice! And thank you for the heads up on appraisal contingency.

Am I too nervous about my first deal or being smart?

I have been working with a realtor for 6 months with multiple offers, one accepted but I didn’t have the resources for such a big rehab so had to walk away

Currently have opportunity for a 2/2 duplex that is listed for 270 and 1100 sq feet per unit My realtor suggested offering 290. Rents for the current tenant is 650 but the market in this neighborhood are around 1000

I’m planning to have this first rental be a house hack with my family of 5...with possibility of using the brrr method but I’m worried because 290 will be the most expensive home in the neighborhood there will be no way for more equity to go higher within 2 years any suggestions?