All Forum Posts by: Nick Rutkowski

I found a off market 4 unit offered for $75,000. It's assessed at $124,000 and needs about $10,000-$15,000 of work. My lender's VP is drooling over it. She says, if the appraisal comes back above $100,000 there won't be a need for a down payment. I comped the property between $100,000 -$105,000 so she seems to have some merit. 

Now, we have enough for a DP, closing costs, and taxes so we aren't banking off a high appraisal. Who has been in this situation? What did you do to increase the value of your potential house before the appraiser walks through? 

Side note: I have access to the property to clean up and make repairs. Always looking for creative solutions.

I’m not as nice to my tenants. They have 3 days after the first to pay. Then they are charged 25 dollars a day. All late fees and costs occurred during the late rent will be paid first then their rent. It makes their lives hell when their rent is late and isn’t paid in full. Other than that I try my hardest to fix everything and help them out when I can. But there is a mutual understanding: Do right by me and I’ll do right by you.

How do your photos look? Aside from price, bad photos can be a deterrent for potential tenants.

County clerk’s office. Use their computers and type in the address. If that information is unavailable to you, go knock on the neighbor’s door.

Marketing will be your biggest hurtle after legalities. Do yourself a solid, find a flat fee brokerage that will give you a sign and put it on the MLS. Also, hire a professional photographer. Photos will make or break your house, if you take bad photos and it will cost you dearly. After that, the next issue is negotiating a deal. Careful what you disclose, you need to disclose EVERYTHING that will effect a buyer’s decision to purchase your house but DO NOT give up your negotiating position. Negotiations are where RE Agents save their clients thousands. The more an agent knows about your situation with your house, the less leverage you will have when they put in an offer. They’re working in their client’s best interest not yours. Be proactive and get a home inspection if it’s required in your state. Even though you rehabbed, it will save you a migraine to have an inspector point out potential issues prior to a buyers home inspection. (Look back at the section on negotiations if you need further explanation) Check with your state to see if there are contingencies for a home inspection. It’s a buyer’s quick way out if they don’t like the amount of work that they would need to do. (Future reference) There is so much you’ll need to know but don’t give up. If you can do it you’ll save a lot of money. But you will be spending a lot of time trying to sell your house. It will be well worth it. Good luck.

Listen to Cara Lonsdale . If you’re going FHA, make sure the house you choose meets their property condition standards. If not, you might have to negotiate the repairs will need to be done prior to closing. There are 5% conventional loans too if FHA does work...talk to a loan officer.

Hey everyone, I’m looking to expand my knowledge into the development side of RE. Are there developers in the Southern Tier/ Fingerlakes NY area (local would be preferable!) who wouldn’t mind if I picked your brain?

Ask next time, think if someone did that to you. Would you pay the application fee in that situation? NOPE.

Probably 1k per closed transaction? How hard is it to teach someone to go to a courthouse to find leads that meet your criteria?

Do you want to pursue a career as an agent? I started off my career as an agent with the sole intent to purchase investment properties. The first house I bought, I beat out three landlords with decades of exp. and I got the property. The house is a slam dunk too, I picked it up for 33% LTV. The house has been fixed and cashflows. Long story short...getting your license is worth it.