All Forum Posts by: Robert Brubaker

In looking over a prospective purchase  there is always the question

of what you are adding to the equation. Are you a better Manager than the

owner? Are you able to bring an  "under-capitalized" project up to par with

your resources? Is there a difference in background and/or experience that

 will allow you to operate to better advantage?

   One factor of being successful in investing is sorting out you strengths and

  limitations.   Most Deals" shape-up" or " shake-out" after applying this

 type of consideration.   The Best Deals are always going to be where you

can clearly bring more vitality to  a listing with favorable Price and Terms.

   Best for Success !   Bob Brubaker

As others have  pointed out your  line item for repairs  seems awfully small. 

Factoring in a realistic figure for repairs seems to be a problem for many

 Investors. @ 5%  you can't pay for a service call In any month!

  Insurance Also seems extremely low. Are you sure about the  coverage?

 a lender's estimate could be way-off! Policies with Liability Coverage are a

  " necessary  evil"!

   In your Market is this size house typical ? and one bath common? If not

your  " rentability " may be a drag on your  estimated numbers.

 Underestimated expenses coupled with limited Income potential is

 a recipe for " disaster"!  A "cheap" house can be pretty expensive once

you own it.   Apply "Healthy Skepticism" to your projections before "  taking

aim"     Best for Success!

In any Landlord-Tenant relationship the Landlord sets the "Tone".

If you hate what you do-Look closely at what you are doing. In

my view, many " problems" that owners complain about are often

" self induced". I hear the term " turnkey" and shudder at the thought

of letting a property run " as-is" and expectations of passive involvement.

"As ye sow- so shall you reap " as has been said. Best of Success!

@David Paul: I agree with @Wayne Brooks: Won't work! And further:

"asking for forgiveness" from a South Florida HOA or Condo

Association usually gets you added legal fees for the " repercussions"

of " Skirting" the Community By-Laws and/or Rules and Regulations.

The use of a "device" as you propose also opens you up to

action from your " Occupant" for both your failure to provide the BnB

and their Experiences and trauma after being found" In residence"

without Board Approval!

Most Associations here have good Legal Resources! Especially for Enforcement of Existing By-laws, Rules and Regulations.

Best bet : Look at "Warehousing" expenses for the year and Offer

accordingly, or Look for comparable Communities without such

restriction.

@ Steve Might There is a difference between a " Criminal Background"

and criminal charges somewhere in an applicants background. Then

there is always the details.:Convictions-vs. Charges and the Applicants

report of what the incident(s) involved. Also , that applicant shows

some concern about the issue is important. As others have noted,

the crime, the details ,and the how this would affect a tenancy can

be measured. If the applicant has positive attributes that would

seem to " out-weigh" this negative- what is it that this report makes

troublesome .

If you subscribe to idea that past mistakes yield only" damaged

goods" then move on . If you are interested in the prospects

for a successful tenancy, you might want to consider the

applicant before you and the relevancy of the report to the

prospects of success in the tenancy.

I really hope you get @Bill Gulley's message! You need to

develop a " mainframe" on the" mechanics" of a variety of issues

affecting Sales ,Ownership and Development of Real Property! All

this is given "life" through a Body of Laws and operated through

Regulation and structures. Then there is a whole body of knowledge

on the interface with the " Playing -Field " Environment: Building Codes

to Fair Housing to a variety of technological trends to Government and

Legislation. and more. Rules and Limitations are the "markers" for

sustained achievement.

What others do does not itself equip you with the recipe for success!

Reality is that there is no one "source" that will give you everything

you need to know - you continue to acquire and update.to hopefully

innovate- passing the competition! Forums, on-line research, formal

courses are valuable for the content not the credentials. A good deal

of preliminary preparation is advised before jumping in. There is

no one perfect seamless route. Your Best and adopting " Fair -Dealing"

as a standard to measure by will head you in the right directions- constant

study will sustain your "footing"! Best for Success!

An e-mail notice of what your HOA " expects " is different

from what they can compel. It also seems doubtful that the

" Doc's" Rules and regulations outline "failing to volunteer"

as a " violation" subject to a fine. Whatever the cost savings

intended, these are sure to be "overshadowed "by the costs of

" enforcement " Is e-mail even a valid form of "service" in Tenn.?

Another example of why it's important to keep abreast of what

your Board is up to! " Tempest in a Tea Pot " as they say!

@Kendra Johnson. Your responsibility is to do what is

best for you! The terms of your rental involved a 1year

lease. That the tenant honored the agreement doesn't

carry a responsibility to accommodate further. If the month-to-

month arrangement may " leave you in the cold" , stick to

plan. Fix the problem. In addressing your concerns to the tenant

it may turn-out that what he was trying to achieve was a shorter

lease term not the structure of a lease. Then: All Good! If your

market is strong nothing unfair about exercising your options!

@Michael Smith,

For your" buy and hold " strategy I feel you need to look

at the future "Marketability" of the holdings- Superior location,

healthy sq.footage, etc. should get you over any resistance

to frame Your Kids may want to " cash-out" and have no interest

in Real Estate.

. Properly maintained you should be Ok but no question

about it- you have to leave room for " Market-Bias" . Best for Success!

@Shaun Anderson Where you are:What about Heat And Utilities?

Also Curious What are the sizes of the units. # of Beds, Sq . Ft.?