All Forum Posts by: Scott Schultz

Also, Why do you want him gone? is he a slob? rent regularly late? just curious, because there may be different approaches for different reasons.

so you already know he doesnt want to leave? have you talked to him? he wont want an eviction on his record, unless he plans to live on the streets, if you are reasonable with him, I would bet he would be receptive. 

good luck with that, download the guide from the state at this page, and you may interpret.  https://datcp.wi.gov/Pages/Publications/LandlordTenantGuide.aspx

@Joshua Martin thanks for the tip, this is why im backing off buying, I was an REO agent back in 2006 (yea Pre Crash) ans saw the entire cycle last time, it will happen again, maybe not mortgages, but regardless it will cause blood in the streets, and I want to be the buyer when everyone else HAS to sell. if you can get long term fixed debt at todays rates for the next 15 years (I would never finance longer than that) even if the market tanks you will be fine as long as you cash flow with an adequate buffer, but you have no exit strategy if you need to get out, other than foreclosure. thats why I find it so important to have adequate equity up front, it is a hedge in the even you for some reason need to sell. In a perfect world, you would buy until you die, but life can throw curve balls, and I would rather be prepared for them, than get hit in the head by the ball. Good Luck

@Nick Bleser I guess that depends on what you are providing to the tenant, most landlords I know make either on or both units responsible for landscape, lawn, and snow, as well as light bulbs, furnace filters, ect. cleanups during a turn is a different story, and can range from a few hundred dollars to many thousands. 

@Account Closed

That is a matter of opinion, and your read on the future growth or demise, currently i am a bit pessimistic on the market, cycles tend to be approx 9 years, and we are in year 9, the stock market is at an all time high (artificially inflated,IMO) and consumer confidence is quite high,  consumer debt is rising, again, and banks are getting loose, home buyer demand is high, and Charles Schwab is having a huge influx of new brokerage accounts. I asked my stock broker friends to let me know when the bartenders, waitresses, and strippers start bring in their tips to put in the market, (happens just before a crash) and they all think we are getting close.  I feel we are one Natural disaster, or Terrorist attack away from the next collapse. My advice, buy only great deals with cashflow and immediate or forced equity, or sit on and build your cash for the coming downturn. that being said, I am still buying rentals and flips, but not getting over loaded, and Im only buying great deals. Good Luck!  

a new fridge is $399, not worth messing with it for that

I cant help you with your question, but I will say, if you are buying in either locations now, you are buying in a rising, possibly toppy market, Wisconsin Real Estate is Strong, Possibly one of the worst times to buy in a long time. But then again, if you are ok paying retail, go for it, for me i only buy at a discount, so i am stepping back, and focusing on efficiency in my company at the moment. good luck whatever you do.  

when you say $200 Positive, what is the Amm of the loan, my rule is $200 positive after taxes Insurance and management assuming financing 100% of purchase and fix up on on 15 years at 6% that should put me at no more than 60% LTV I do this to prepare for a correction in the market, and have adequate equity to get out of a property if the sky is falling and I have to sell. This requires buying at severe discount. I dont figure in capX as I "float that across the portfolio, and we try to cover big ticket items up front if possible, when doing the rehab. my suggestion is to be careful buying as the market is rising, I have backed off, the deals are harder to find to meet my needs, because buyer competition has picked up. it will cycle, so be patient and only buy Great deals!!!

First off are you wholesaling or purchasing? it is advisable to use Wisconsin state approved form WB-11 (google it) as well as addendum A or B depending if it is applicable to the transaction, also an addendum S is required under Federal Law if the house was built prior to 1978. and the seller must completer a condition report as well.  If you dont understand fully what I am talking about, you had better get an agent, an attorney or as for help from a title company. the for lays out who holds ernest, typically in WI, 1 title company is used, and ernest is held by the listing broker in their trust account, however if no broker is involved, then a title company will typically hold ernest, some will have a separate ernest agreement. 

as I stated, it is advisable to use state approved forms, however if you are not a party to the contract, you need a license to complete them. In Wisconsin there are several components needed to create a valid contract, all must be met to be enforceable.  PLEASE ask a professional to assist you.   I have been a broker in Wisconsin for 12 years and been party to 700+ transactions, things can get messy if you dont know what you are doing.