All Forum Posts by: Rick Albert

Nice promotion, but do you have stats on how well they perform versus traditional 1-4 units? Just because something is affordable doesn't mean that it is a good investment. Plus some of these are on ground leases, which can create financing issues down the line.

I have nothing against manufactured homes, but I think it would be beneficial if there was a comparison for short term and long term historical performance on both rents and value.

I definitely see both sides and we are all adults.

If in fact the lady had an agreement with the agent that he/she would be representing her, then he should have said that she could get more on the open market. The agent had a fiduciary duty.

I get approached by investors all the time looking for "distressed" properties. When I ask their definition, they explain that someone who is in a bad financial position, foreclosure, etc. Basically they want to pay below market to take advantage of someone in a bad spot. I would rather work with someone who is willing to offer FMV or at least close to it with the understanding to the Seller that the discount is in the convenience.

Not sure if someone has mentioned this buy why not provide a bike rack and then have signs posted in the laundry room saying it isn't for storage and by the bike rack that says they are leaving it their at their own risk? I see bike racks on Amazon for like $50. The signs might be another $50 and then someone goes to install. This might be a $300 fix and you avoid bigger issues down the road.

Often times this is a "ask for forgiveness than permission" sort of scenario. I've never heard of an HOA caring or enforcing. This is assuming there are no problems.

With that said, there is risk in everything you do. 

You are in a tenant friendly state, having her off the lease is a very bad idea.

What if the updated lease either made her or everyone on month-to-month? It's a win-win. You get updated price and terms, that tenant has a way out.

The reality is evictions are expensive and time consuming. Often times it is better just to part ways. 

 It wouldn't change your loan amount because lenders are conservative.

You could explore 2-4 unit properties because lenders will count 75% of the actual or potential rents (whichever is lower). They just won't count any income from the unit you would be occupying. 

A couple of questions:

1. Does your lease have a "quiet enjoyment" clause? 

2. The damage could be real. I would have a talk with them.

3. Do you have a deposit? I would have the conversation that your intention is to provide as much of the deposit back as possible pending damage. If they cause damage to the flooring, then they are definitely losing the deposit.

Echo @Dave Meyer, if you aren't planning on living there but getting a primary loan, that is mortgage fraud.

Why not just house hack in California, live there a few months out of the year, and then do mid-term rental for the rest?

You can also check Facebook Marketplace. That is where I find many of my tenants.

 But that's the point of RE. If I could do an even longer than 30 year I would. The biggest benefit is the ability to leverage and have the tenants pay the mortgage. You are young and have time.