All Forum Posts by: Katrina P.

I just accepted an application from a prospective tenant who also receives SSI for her children, as well as cash assistance from the state. I had her complete an authorization to release information, and provide her caseworkers' telephone numbers so that I could verify the information she provided. Also, her rent will be automatically deducted from her cash assistance, and directly deposited into my account for her rent, just like section 8, so you may want to see if you can set it up like that in the future.
Katrina

Not sure about Detroit...the property is not in Detroit. But this one is for two years...that's not all taxes though...it's all the fees and interest.

Hey everybody:

I found a great deal in Michigan with a 4-unit apartment building that I would like to wholesale. Actually, I'd like it for myself, but I don't think I'm in a position to line up the financing because most of my money is tied up. So, it just dawned on me that it could be a good candidate for wholesaling. It is currently completely rented out, bringing in $1,500/mo w/mainly section 8 tenants. It's a pre-foreclosure...they are about to lose it to back taxes. They want $20k for it, and there's about $8k in back taxes. So, how do I set up this transaction? Can anyone help me with the A-B and B-C contracts? I've never wholesaled before, and just need some guidance. I'm thinking about building in a $10k finders fee. Advice please?

Should I advertise it at a price, INCLUDING the back taxes, or should I advertise it EXcluding the taxes, and tell the potential buyer when they respond to the ad?

Should I put the full purchase on one line, or put half on one line, and half on the other, so that I'm not maxing out any credit line?

Okay, so I'm learning more and more about my insurance needs:

Builder's Risk Policy - when undergoing renovations
Vacant Home Policy - when house is renovated, but empty
Landlord's Policy - when the house is rented

So, what kind of protection do I need for my business? General Liability? If so, what kind of limits, and what companies are offering cheapest rates right now?

Also, is there any other type of coverage I should be purchasing? Heading into the new year, I just want to make sure I have the business side of things as together as possible. Thanks guys!

Katrina

Okay, I see you don't want to fully share :). I was just interested in seeing how agressive you were this year. But nevertheless, you did a great job this year! I wish you 3X+ the success in 2011 :).

Way to go, Bryan! So tell us, what's a "ton" of rentals?

In Maryland?? NO WAY! The prices here are better than they were a few years ago...but still, and probably always will be, inflated! Our investment strategy here is to flip.

Actually, I miss-quoted...next week, I'm closing on two duplexes - one for $8,500, and the other for $6k. The one for $6k only needs to be cleaned..it's pretty much move-in ready. And the one for $8500 needs a full paint job, some drywall where a plumbing issue was fixed, and new carpet. Our buy and hold strategy is focused in Michigan. We're from there, and that's where the best prices are, IMO. We will have no problem getting them rented.

I found a local title company that would do the title work, giving me a title policy on a quit claim deed, with the taxes as an exclusion to the policy. Then, we'd record the note and mortgage with the deed recorder. However, I decided to pass on the deal because the seller now wants $46k for the property. IMO, that's too much because it's a 4-unit, and I can buy 2-uniters for a quarter of the price...so, moving on...