All Forum Posts by: Richard Weinberg

@Mark Vivanco

We have a 3 bed 2 bath condo built in 2007 in Fernandina Beach with a market value of about $190k and just renewed insurance for just over $1200.

Ten years ago the policy with the same company was almost half that. Hope that helps.

Good luck.

@David Wax

As others have said, North Carolina is beautiful and for a place to live you can’t go wrong. But these different cities you mentioned are as different as you could imagine the differences between Richmond, Washington DC and Long Island. You need to decide the type of life you want to live, the work you need to do, any employers you need or want to affiliate with to decide which of these markets are your best bet. If you DM me, we can have an off-line conversation but I would suggest you check out some of the players on YouTube that concentrate on Winston Salem and visit the cities yourself.

Good luck!

@Gabriel Pais

Yes. Contact me off line. Thanks

With federal/ state eviction moratoriums, have you continued to work with marginally credit challenged tenant applicants or adjusted your applicant criteria?

@Ryan McKimm

This is exactly right.

I have watched a zillion YouTube videos and considered many turnkey options and came to realize buying turnkey, is buying retail.

Aren’t you doing this to build a nest egg for your future?

You will pay too much for the property.

If somebody else finds the tenant, you inherit a tenant that may not be the best tenant option for you.

Your considering a property manager in your math who will ultimately make as much or close to as much monthly cash flow as you will keep. Remember they will mark up repairs, tenant turnovers, etc.

Turnovers between tenants that stay a while are often more than $2000 for legit wear and tear. Your proposed pricing plan assumes numbers that are fairly flat and interest rates, acquisition costs, taxes and every other expense is dynamic and floats over time.

With your W2 income level you will be challenged by bank lenders because of your debt to income ratio yet that’s where you will find your best rates.

If you challenge your self to find your own properties and tenants, self manage and optimize the business regardless of the market, you will learn the business, and I think without a calculator you might cash flow and keep more money every month and find more equity profits you can keep from paid down mortgages with 10 houses in ten years, then 20 turnkey houses you pay retail pricing for. At least challenge yourself to compare these financial and investment paths before making your first purchase. Stay safe and good luck.

@Mike Soofian

You need to check with your loan provider as they gave you a preapproval based on a home that would “qualify”..

Quite often foreclosures are not move in ready and can’t “qualify”. Most of the homes we own today were foreclosures and I can assure you, you will have improvements to consider after closing including topics like lead paint, asbestos, aluminum wiring, code violations, etc.

Before Covid 19 it was hard to find good contractors cause they were all busy. Now many are in markets where they can’t work or get permits. There’s a lot to consider before jumping into the deep end of the foreclosure pool at this time.

Good luck and stay safe!

@Carl Millsap

Unfortunately you have showcased a concern I have been thinking about related to liability. My concern was liability to assure cleanliness in between tenants before tenant turnover of an entire home but your room by room concern is the same issue magnified.

I am not a doctor, not a lawyer nor a professional cleaner. I am a landlord and I sense a liability trap for our industry. I don’t think, I know, you need to get a legal opinion before moving anybody additional in to that house.

Good luck and stay safe!

@Paul S.

I grew up in the Detroit area. It’s a tremdously diverse market. I can’t think of a better way for you to make a tremendous mistake than than to try and buy in a market you don’t understand during a global crises that is effecting every home and rental value in every market and the most experienced investors are only taking educated guesses what the rental market will look like in 30 days, 60 days etc. By the way, how sure are you you will be able to catch a quick flight to meet your tenant or inspect your property in the near future?

Learn your market very very well and then maybe you can score some exceptional deals in your back yard later this year.

Stay safe and good luck!

@Sev Stan

I place security systems in my rentals. I can marry that with electronic locks or key box and do showings remotely. Prospective tenants let themselves in and out.

Later I rent the unit with security system as a feature.

Good luck.

@Robert G Turnier

You are making an innocent but tragic mistake. You are thinking, ....

I am calling to save you money because I am a loving and caring landlord.

They will hear ... this guy has been ripping me off all along.

Outside of buy and hold real estate I have been a consumer goods retailer all of my life and I can assure you your intentions will be misinterpreted. In consumer marketing ..how you do it, is just as important as what you do. As one of my retail colleague says often, ‘let’s not break into jail’!

Remember... no good deed goes unpunished!

Wishing you safety and Only the best of luck!