All Forum Posts by: Steven Figone

 Whoops - my mistake. No its not double counted. the 10.9% is the average for the butte county area. the 11% should be omitted.

Thanks!

Hey BP,

Would you like to help me out? I am college student looking for some deal analysis help. I am working on my own rental analysis calculator ( similar to BP's, I just ran out of free credits) and I am having trouble determining what to use for all the variables. Here is what I have so far:

• Purchase Closing Cost:                      2% of Purchase Price
• Vacancy Rate:                                    10.9% 
• Property Managements Fees:            10%
• Cap Ex:                                               10%
• Repairs & Maintenance:                     10%
• Property Taxes:                                  1% x 1.066006
• Vacancy Rate:                                     11%

The issue I keep running into is that I can not make any deals cash flow with these numbers. Am I way off with my numbers? What do You use?? Its crazy also that most HOA fees are $250+ which sky rockets my expenses.

BTW I am looking at my first SFH or Multi-family in the Butte County (CA) area.

I would love to hear what you use so please comment!

Thanks Josh! I will heed your warning!! I do not want to go down that path

Hi BP,

I am having trouble reading a listing for a house. It is a 4 bedroom currently in foreclosure. It is currently under the 2% rule but I was hoping I could offer 20% off the asking price to bring it close to 1.5%. The following is what it states on the website:

Cash only offers and can only convey title with a QCD. No title insurance will be issued. ***SPECIAL INCENTIVES: 1) Buyer will receive a purchase credit of either $1,000 or 3% of the final price at time of successful closing (whichever is less). 2) Buyer will receive a $600 home improvement gift card approximately 4-6 weeks after the successful close of the purchase transaction. 3) Buyer's Agent will receive an additional 1% commission based on the winning bid amount at time of successful closing (minimum of $400 additional commission).

My question is 1.) is the bank making these incentives for the buyer or 2.) is this a wholesaled house?

Is this something that you would pursue?

Josh,

Thanks for the quick reply! Its awesome that you invest with your family. I would love to get started with that. Clean credit refers to no outstanding loans? I stopped using a credit card and pay everything with debit.

Thanks you!

Hey Folks,

I'm Steven and I am from a small city in Northern California called Chico. I currently attend college there and will be graduating next year with a degree in Construction Management. 

I have no real estate investing experience. I am more interested in long term investing and would be interested in buying local rental properties and fixing them up. 

Thanks BP! I saw your podcasts on youtube.

In adventure,

Steven