All Forum Posts by: Rhondalette W.

If my step son who is 27 would listen to me, I would tell him to buy a small house(fixer upper). Look for one that elderly people own and when a spouse dies they wish to sell it. That may be a person who will do owner financing. Or may be you will qualify for a bank loan.Dont worry too much about the looks. Live in it for a year or two while you work on it and fix any issues. Find somebody to rent it or find a property manager to rent it for you. Once you have lease in hand, move out. Rent something until you find another small house. Repeat. You see, once you have a lease in hand ,that income will help when qualifying for a new loan and you will not have to worry about some bank wanting you to put down 20 percent because it is investment property. It will always be your new residence. There are many more things you can do like wholesale etc. However, this is a simple way to have five houses in five years. Dont get married unless your woman agrees with the plan.

I'm 25 so I'm not too far away from 19, but it feels like a lifetime. I have absolutely no regrets about my life or my career so far. I've loved every minute of learning and owning real estate.  That said, there's so many things I've learned that there are definitely some things I would have done differently - but mainly done sooner.

A few things I would absolutely do if I had to do it over:

1. Get my real estate license while I was in college. If for nothing else than the experience of the class, meeting a broker in charge and other agents that I could build relationships with. Mainly though, I would learn how to use the MLS and go look at properties even if I wasn't ready to buy any. This isn't a necessity by any means, but since I'm about to get licensed, I wish I had done it sooner.

2. Network. Joining real estate investing clubs, general investing clubs, local non-profit charity organizations. I would get involved and soak up as much information as I could.

3. Read more. I've read at least a hundred books on investing (not only real estate), personal finance, business, and the self-motivation books. However, I wish I had read them all earlier and taken more notes. I would absolutely read with a highlighter in hand. I love flipping through old books I read and seeing things I highlighted 5 years ago.

4. House hack earlier. I was 23 when I bought the duplex I live in, but I wish I had done it either. 

5. Build a relationship with an attorney and a CPA that you click with. This is crucial if you're going to be building a large portfolio of properties and investments. You will always need sound legal and accounting advice.

I know those are pretty basic and not specifics on deals, but they create an amazing foundation for your real estate career.

I found my last deal through my agents MLS list. We negotiated down quite a bit and got the refi on the house at higher value 6 months later. In the next year I am looking to find my next deal and I am not too confident I can replicate a good deal from the MLS. Is the MLS too saturated? What is best way to utilize my agent and also look for deals elsewhere? I don't think my agent will want to put in too many low price deals to justify a good deal on the MLS. I wouldn't if I were him or her. How should I utilize my agent on the next deal? Presently he is now turned into my friend and this could get awkward if I don't use him.

I am looking at purchasing a small 22 unit MHP mostly owner occupied.  The seller sub metered the water about a year ago but has tenants who have yet paid their bill.  When I purchase I will expect that all tenants pay their bill.  Can I legally shut off their water until it is paid?  What other avenues are typically done?  Tenants are currently month to month but I would expect to have all on new lease agreement when I take over.  Any help here?

Hello Bigger Pockets.

My name is Alex Chin. I stumbled onto BP while listening to random Youtube Videos on the basics and tips of rental real estate investing.

I am interested in long-long-term buy and hold rental properties. My grandfather owned a small apartment building and I am interested in following in his footsteps and creating something of my own here in the Pacific Northwest, although I intend to start small with 2-4 bed single-family houses and condos.

Currently, I am using theMLSonline to look at various properties in the Greater Seattle Area and simulating whether they could cash-flow based on the 50% rule and some guesses at costs to update and repair. 

I intend to begin visiting various banks and credit unions in the area to look into traditional lending numbers and begin to line-up financing. I would greatly appreciate any tips on other financing sources/methods for the Seattle area, I have excellent credit, if that helps.

I would also appreciate any recommendations folks care to make for contractors, rental property tax specialists, and legal advice. I have been blessed with some solid family connections in these areas, but I am open to expanding and enhancing my network. Appreciated as well, is any advice or tips you have for a beginner, what are some small things that you wish you had known before you began your career as a landlord? (example: setting up rent collection other than picking up a check in-person, I am considering electronic methods or getting myself a P.O. box.)

Finally, thank you for having me here, and I hope that we can do business together soon, let's all create ourselves some Bigger Pockets!

[moderators: sorry I posted this by mistake on the Commercial Real Estate forum and then reposted here. Could you please delete the one on the Commercial forum]

So far, I have been having the tenants pay the holding deposit and then only sign the lease the day before move in. However I'm thinking it may be better to have them sign the lease immediately when they provide the holding deposit. My questions are:

1) Should I demand the pet deposit up front with the holding deposit or wait until they move in?

2) If tenant pays holding deposit, signs lease well in advance of move in date, and then never moves in/pays rent, can language be put in the lease that voids the lease in this scenario or would I still need to go through the formalities of eviction/declaring the property abandoned?

Here is the clause I've come up with:

Tenant agrees to pay holding fee of ________ to reserve property until start of lease on __________. At that time holding deposit will convert to security deposit. Tenant will also have to provide additional pet deposit (if applicable) at the beginning of the lease for the lease to take effect. Tenant understands that holding deposit is non-refundable in the event that tenant does not sign lease and take occupancy of the unit.

I have held places for the right tenants, and use a "hold fee" (do not use the word "deposit" as deposits are refundable) and hold fee agreement for these situations.  My Hold Fee Agreement basically states that both parties agree that the unit will be taken off the market for this applicant in exchange for the hold fee.  If the applicant defaults, I keep the fee due to my lost ability to rent the place during the time I've held it for them.  If I default, they get their money back.

If they fulfill all rental requirements (pay me all money due, get utilities transferred, sign the lease , etc) then their hold fee converts to their security deposit.

I know many landlords that absolutely refuse to hold places for people and maybe in some markets you can get away with that, but in my market most people shop for a new place a month in advance, so if you don't hold the place at least a couple of weeks you're not going to get any tenants.  I've heard of other landlords whose policy is "until you sign a lease and pay the place is not yours".  If you can get away with that, great.  I can't.  That basically means you have a tenant paying for their current place and your place during overlapping weeks.  No one in my area would agree to that but apparently in hot markets you can get away with it.

I've read over the Georgia landlord tenant guides and looked into local laws. I've looked over a lot of the Georgia laws and I feel that I'm ok. I'm actually researching now whether or not I am even required to provide a letter. I have read in states such as WI where they are not required. here is a quick look at my deposit to hold letter.

The undersigned has hereby given a deposit in the amount of Two Hundred Dollars ($200.00) to reserve the dwelling located at the above address for possible owner consideration of acceptance of rental. The amount of deposit will be credited to the final security deposit on the unit.

If prospective tenant is declined residency for any reason whatsoever, deposit is fully refundable.

In the event prospective tenant changes his/her mind about renting, deposit is NON-REFUNDABLE

I like the wording here and will use something similar with a tenant this week. Thanks