All Forum Posts by: Jay V.

That's where my research has taken me as well. 

Unfortunately, private $ isn't an option and I don't have any HML relationships, so turning that around quickly is unlikely.

I have a potential deal in an area that I'm very familiar with.  I'm a new investor and ultimately want to do buy and hold rentals, but this appears to be a prime candidate for a flip.

Property Info:

ARV: $285k

Repairs: $50k

Purchase Price: $140k

I don't think I'll be able to convince my wife to let me use more than $25-30k in cash (obviously this situation gets easier if I use more cash) and I have a primary residence so 203k isn't possible.  There's a chance I could bring on a partner that would bring ~$20k in cash as well.

So, with ~$30k or $~50k is there any way to get this done?  Otherwise, do I just need to go to a hard money lender if I want to try and get this done?

Also, if you wouldn't mind (you can send via PM) - what was the minimum investment and what rights came with that?

That's great.  Where on Ambergris?

My wife and I spent 8 days there 2 years ago and it was one of the best vacations we've ever had.  It's one of the few that are worth doing again.

Awesome.  I'm not going to be syndicating, but this is really cool.

Where are you guys in Belize?  Hopefully Ambergris Caye - that island is AMAZING.

@Wendell De Guzman 

I think you may have beaten me on the Lockport property (Aug 9th post).  I'm a newbie and definitely slow, plus my wife wasn't 100% on board.  If it's the same property there was also a potential zoning issue I was concerned with (not disclosed, but it's not a violation).  For my learning experience, can you post the details of that deal?

I emailed you a while back, but if you are selling in the Lockport area I'd always be interested to know about it.  And if you're going to lunch in the Oak Brook area I'd always be interested to buy :-).

Thanks for the blog - it's awesome!

@Jeff Valentino 

the property is in Lockport, which won't get me quite the same rents as Orland.  I hope that $700 is a little conservative, but I'm trying to make sure I have cushion here to stay profitable.

Do you have rentals in the area?

Anant,

I appreciate your input, but not sure I follow your math.  I see monthly (rounded):

Revenue:         $1,400

Mortgage:        ($500)

Taxes:              ($400)

Insurance:         ($75)

Other Op Exp:  ($100)

Monthly Net:$   325

As I mentioned, this does not include vacancy.  Vacancy does scare me, but other than that I think I'm conservative with everything above (including rents).  I will not be paying a Management Fee at least until I get the rents up over a few years.

Am I missing something?

Thanks Gerald.

I actually ran my own numbers and estimated ~$300/mo cash flow (conservatively), but that's without vacancies.  Vacancies scare me a little because I'm not an experienced landlord.  Also, I was just wondering if the more seasoned investors would put $40k into something that cash flows ~$300/month.

I know - taxes are TERRIBLE out here.  They really eat into potential profit.

I really appreciate your input.  I welcome other opinions too.

Thanks!

First of all, I want to thank everyone for their contributions to this site. Reading here and doing research is the only reason I’m confident enough to consider getting into rental properties (and hopefully build long-term wealth).

I have found a property that I’m interested in and I’m curious to hear if you more seasoned investors would go for it.I know it’s impossible to know online, but I’ll give you everything I know:

• 2 Flat – both 2 bed/ 1 bath
• Listed at $119k, realtor indicated that there’d be some flexibility so I’m hoping to get it under $110k.
• Estimated Rehab $15k (I’m going to firm this up significantly before closing).
• Rentometer says fair rent is $900/unit.My gut knowing the area is that $700-$750/unit is a safer estimate.
• Taxes of $4,600
• Tenants would pay utilities, but I’d probably hire a lawn cutting/snow shoveling crew.
• Visibly looks like a single family and surrounded by other SFH on quiet street near pretty good schools.
• A partner and I are able to put down 25% and pay rehab costs up front.

It’s in an older, but relatively stable southwest suburb of Chicago.Taxes suck in this town, but otherwise it’s an appealing town for me to be in.

If anyone has thoughts I’d love to hear them.