All Forum Posts by: Peter M.

@Gregory Calloway Pretty normal and honestly he's probably getting better prices than you could get. If you just don't want to pay him upfront, ask if he can put in the order and you can pay for it. He'll probably balk at that too though. Its how he does business. If its a sticking point then find a different contractor

@Jin Zhang Send them both letters introducing yourself and where to send payment. Wait for the first month to see if one gives you problems. If so, that becomes the unit you want to move into. Give them 30 or 60 days notice depending on the existing lease and only if they don't move out do you have to evict. However if they don't pay rent you can move to evict immediately.

@Kanwar Sodhi Well either pull equity out of your existing property and/or find a partner to raise capital.

@Will Fraser You don't have to be a real estate professional to get the depreciation deduction. However @Daniel Kern if you've owned them for mote than 27.5 years it may have run out. If not, you could do a cost segregation study to accelerate depreciation. You could sell the properties with a 1031 exchange and buy something a little more distressed that won't result in as much profit but can appreciate. But if you're liking the cash flow you just gotta pay the piper. That and the fact you're in NJ.

@Jessica Piff You can get a line of credit on rental property in the form of a second lien deed of trust (at least thats what they are called in Texas). Everyone on BP throws out the term HELOC but it is a specific credit line based on a personal home usually for making improvements or putting in a pool. A bank can give you a line of credit based on any form of collateral they deem worthy. I could go out and get a line of credit on a fleet of 747s and people on BP would call it a HELOC. It may be difficult to finance something like that but I'm sure its doable. Just gotta find the right bank and terms.

@Cathy Malmrose

TRUTH IN RENTING ACT (EXCERPT)

Act 454 of 1978

554.633 Rental agreement; prohibited provisions or clauses; violation.

Sec. 3.

  (1) A rental agreement shall not include a provision that does 1 or more of the following:

...

  (l) Provides that a lessor may alter a provision of the rental agreement after its commencement without the written consent of the tenant, or, in the case of a rental agreement between a consumer cooperative that provides housing and a member of the consumer cooperative, without the approval of the board of directors of the cooperative or other appropriate body elected by members who are also tenants of the cooperative, except that an agreement may provide for the following types of adjustments to be made upon written notice of not less than 30 days:

  (i) Changes required by federal, state, or local law or rule or regulation.

  (ii) Changes in rules relating to the property that are required to protect the physical health, safety, or peaceful enjoyment of tenants and guests.

  (iii) Changes in the amount of rental payments to cover additional costs in operating the rental premises incurred by the lessor because of increases in ad valorem property taxes, charges for the electricity, heating fuel, water, or sanitary sewer services consumed at the property, or increases in premiums paid for liability, fire, or worker compensation insurance.

There ya go. Michigan legislative code says a lessor can't change the terms of the lease without the renters written consent. Anything in the lease that says otherwise is unenforceable. Texas' property code is way easier to find than Michigan sheesh. You can read the rest at your leisure

http://www.legislature.mi.gov

@Jake Chapman If you dont want to be tied down why would you buy a house for yourself? Unless you want to do the live in flips just get a van and go live down by the river and spend your money on rental properties.

@Jessica Piff You could but it kind of defeats the purpose because now you are paying interest on your equity when you use the LOC. Probably jut a cash out refi would work for what you're thinking but yes you could do it just remember you will pay closing costs twice so unless you're paying cash for a specific reason, its usually cheaper to just get financing up front. Then wait a few years for appreciation and then try to get a line of credit

@Natalia Perlova Only if you want to be a real estate agent as a profession. You need to make 2-4 commissioned sales/yr to break even with the costs of being an agent. MLS dues, broker dues, desk fees, continuing education classes, software and subscriptions. Additionally things like gas for showings, lunches with clients and above all your time. If you do it just have a plan and a budget and expect to be in the red for 6 months to a year.

@Matthew Irish-Jones No probably not. Their website says you can email them for some syndicating pricing but you'd probably need to be a big apartment complex for that. You could always just put one listing up for all your units but if they caught on you may suspend your account.