All Forum Posts by: Sean Walton

Typically you will need 2 exits out of any basement bedrooms. Not sure about your specific codes so check with an architect or someone more knowledgeable but typically one of those exist can be a little light well with a window about 5 ot 6 SF of open space. There are also requirements for light and ventilation natural and or mechanical.

If it is un-permitted there is no way of knowing if plumbing and electrical were done to code. This could open you up to liability

If it is not permitted typically an appraiser will not count it towards your end buyer's appraisal but all else being equal most people will want the finished basement so it will probably sell faster compared to other similarly priced properties without a basement. If it appraises low would your end buyer be willing and able to bring more money to the table to meet their downpayment requirement?

Welcome to BP. I like your enthusiasm and coming from a place of bringing value to the table and not just asking for a mentor. I think what you need to do is figure out what type of real estate investing you want to do and where you want to do it. Because of the high prices buy and hold may not pencil out unless you are doing short term rentals As you know, representing yourself as an architect without a license can lead to fines and I guess who you talk to on BP assigning contracts without a real estate license can do the same so I see your point.

If you aren't willing to go out of state you are limited in this cycle on appreciation unless you get some good info on up and coming areas. Near the BART extension? If you think you will still cashflow with 20% lower rents I would look at a cash out refi

If you have a decent interest rate you could consider doing a Home equity line of credit (HELOC) to avoid the owner occupant %. Chris Mason usually has good insight

Some states are attorney only closings. Some states only need a title company involved. Look up what the state you are doing business requires. You may want an attorney to look over your purchase agreement. Once you get your first deal under your belt you should use some of the funds to have an attorney set up your s-corp. if you plan to do any buy and hold set up a separate LLC to hold those. I'm not a lawyer this is not legal advice.

Your architect should have advised you not to pay for the foundation rework since it was not performed as shown in the contract documents (drawings) if you agreed to pay for the rework and all this time has passed it will be tough to get that money back. Maybe use it as a bargaining chip. We let this slide but we expect the full size patio with no additional charge. You should get solid wood doors or a credit for the difference in cost. If they are standard sizes it shouldn't be too difficult for the contractor to fix and use the HC doors on their next project Make sure you get release of lien documentation from all subcontractors before you give final payment.

@Romain Amrani sounds like a good plan. I would read the Millionaire Next Door. It's been recommended on the podcast several times. Part of what it discusses relates to  the reason many agents never invest. They spend too much money on keeping up appearances and not enough investing. 

Good luck and let me know if you end up in the San Francisco area for the 2nd part of your education. I've been organizing meetups in SF.

Welcome to BP. I love the enthusiasm. What do you plan to study? When I was in college I would get a job doing construction over the summers. That is a great way to get experience on how houses go together and most importantly the order in which they go together. I agree finding a mentor and bringing value to them is very important. What is your major? If you know for sure flipping and buy and hold are your focus a business degree or construction management with a minor in business would be useful. Unless you can't stand working for someone else there is nothing wrong with working for someone else for a few years while you are in school then pouncing when the time is right. A lot of markets appear to be in a bubble so educating yourself while you wait for a correction may be wise

Check your CC&Rs a lot of places require 80% carpet or at least carpets in all bedrooms assuming your floor plans are similar that would address most of the issue. As others have stated there are underlayments that can help with hardwood but that would require tearing up their floor. When was your place built? Is it concrete or wood construction. As a last resort You could hang a ceiling below your existing ceding on resilient channels to help reduce sound transfer

Hi Dylan, Thank you for your service! I think it is possible but I think it would certainly be challenging. I'm just getting started but it is a lot of work even being local at least in a competitive market. You need to be able to call sellers back right away or they will move on to the next piece of mail they received. With the time zone difference and the lack of face to face it will be challenging. If you can find a good market that isn't too competitive it can be done. You can get a pat live, virtual assistant or Michael Quarles call center set appointments to call back sellers. Get a good real estate agent, home inspector and appraiser in you market to help you figure out how much to offer.