All Forum Posts by: Ravi Kiran

@Frank A Castro

Here are some options you could try to get your offers accepted:

> Try increasing your Earnest Money - make it 5K or 10K or 20K whatever to show that you are serious buyer. You always have due diligence to verify stuff.

> Don’t ask for Closing costs/Concessions from the seller, that will make your offer weak in front of other offers.

> I wouldn’t suggest to everyone. But an option is to try Hardmoney and put Cash offers Below asking price; but here you are taking a risk not knowing whether the property would be apprised to the value. And you would be paying for double closing costs. It only works if you are getting it at a smoking deal.

@Al Williamson

I am also considering installing a sliding gate & walk-in gate with locking option at a 4-Plex in Phoenix, but am in a dilemma.

My main reason to even think about the gate was that one of the tenants mentioned that his car was broken in some time ago. So I thought installing a gates would help in creating a sense of security in the tenants. But I wasn’t accounting for automated opener which is another $2500. Also I haven’t seen such kind of automatic openers setup in smaller Multifamily complexes; only seen in bigger complexes.

Rationale behind my thinking is

1) very few units (only 4) to cover the overhead costs of maintenance of the System. Might add to the expenses.

2) Single point of failure - If the machine fails due to some issue, none of the tenants would be able to drive-out of the property (not sure if manual override is possible). They might complain about loss of income and ask for Reimbursement (not sure if I am over thinking)

3) plan for emergency access for Cops/Electric/Water Meters. Once we add this, not sure if this could be the weak link and some miscreant could grab the access. Frankly am Not sure about the best practices in this area.

4) adding more moving parts to the system could lead to more problems. I want the property to run smoothly.

The plan I was considering:

1) Install a sliding iron gate without automatic opener

2) Have tenants manually open/close the gate. (Here I am in two minds - if someone feels it as a burden rather than a safety feature)

3) I was rather expecting them to open it only once in the morning and someone to close it at night (Here too, would it make the tenants feel burdensome to manually close a gate. Also someone might want the gate closed but maybe their physique may not allow them)

Not sure if I am missing something. Please advise what you thing would be a good option . If anyone could ballpark on annual maintenance, potential issues, that would be great.

I was looking at Eagle-1 & Eagle-2 systems. Are they reliable ?

Thanks

@Andrew Postell Thank you !!’

@Andrew Postell

Thanks a lot for the detailed explanation.

One question regarding Taxation though.

There was no transfer of Funds from my LLC to My personal name, just a Deed of Trust & Promissory Note.

But after the refinance when the Conventional Lender pays of my LLC loan - the funds flow into my LLC account. Would it attract Additional Tax ?

Thanks,

Ravi

@Andrew Postell 

When I go to refinance this property - wouldn't the new conventional lender find out that I'm the member of the lending LLC and also the owner of the property and cause issues ?

Please excuse me for being naive, this is my first BRRRR

@Ingryd Hernandez Thanks a lot !

@Ingryd Hernandez Yes I did. Now I would have pull the equity out of it.

I just bought an investment property in Phoenix with the plan of BRRR. It's fixed up, am looking for a local lender who could refinance it based on Appraised value without seasoning period, instead of Purchase price.

Made a bunch of calls to quite a few Local credit unions, but no luck so far - asking 6 month seasoning or would lend on the purchase price.

Would appreciate if you have any references or tips for finding a lender who could ?

Thank you !!

@John Teachout

Same feeling. But that is the reason provided by the tenant. Doesn’t sound reasonable. Why would someone file a lawsuit if he could get into more trouble ?

@Pete Bauer

I had a final move-out walkthrough with the tenant. Property was handed over properly, need to get some paint Touchup done. Otherwise property is okay.