All Forum Posts by: William Coet

This phrase has been repeated more than ever in the past couple of years, and sales are confirming it.  From single-family, to retail, to industrial it seems all segments are seeing peak prices with very few days on market (if any). New construction is expensive with labor and materials costs at a peak.

Where are the opportunities these days? 

 Called a bank today and they are seeking 5.25% with $4,500 closing costs for a 90k loan on a rental with fewer than four units.

Both the rate and the closing costs seem high.

What are others seeing these days?

Thank you

The folks who are suggesting to call the insurance company obviously don't own several properties like this.  With several properties, the number of claims in this price range would quickly cause your rates to skyrocket or you would be cancelled.

Another gal suggested waiting for a contractor that may not be available until spring.  That is 6 months of lost income, and not many can afford that.

Originally posted by @Bill B.:

The most obvious is you personally are held responsible then you lose the llc’s properties and your own. And you are at least 10x more likely to be sued for something you personally do. That’s why you’d better off with an umbrella policy. 

Thanks for the reply. Can you give an example of how someone can be personally held responsible and have assets other than the rental be put at risk? Based on your response the rental property LLC may not be the best choice.

Is it ironclad protection of other assets to put a rental property into an LLC? Are there instances where it can be insufficient and other assets are put at risk?

Thanks

Good advice

With these costs, I guess it's all about the final value when complete!

Over-supply and lack of demand are the obvious causes of a decrease in multifamily occupancy.  What are some of the specific economic factors that can cause it?

The irony is that despite this being for a tenant's own safety, some bureaucratic tenant adcovacy agency might say that it can't be required.  Similar to the list of other questions that can't be asked, such as if they have been evicted before..

Seeking feedback on requiring prospective tenants to pass a home fire safety test to reduce risks to them and other people. A quiz/questionnaire requiring written answers could be very effective at educating and reducing risk. Can it be done? 

Thanks