All Forum Posts by: Shane Welch

@Natalie Kolodij  I am currently house hacking a duplex.  Each side may add up to about $3000-4000 each.  If I have to make these deprecated, how do I show that in Quickbooks for my taxes?

Hello, I recently purchased my first duplex and will begin renovations.  I plan to paint cabinets, get new fixtures and doors, and replace the old carpet with laminate planks, along with a few other smaller tasks.

How do I show these or catagorize these expenses?  I want to use Cozy for my expense manager but do you ahve any other suggestions? Are these improvments supposed to be "depreciated" over a number of years? and if so how do I calculate that and add it to my tax expenses?  

Thank you for your time!

Hello, here is my plan and problem:

1) Recently closed on a Duplex. w/VA Loan
2) In 1 year, plan to buy another w/VA Loan
3) Year later, buy another 2-4 unit with FHA Loan.

This is where I get stuck.  Where do I continue from here?  I will not have enough equity or saved cash to upgrade or buy a large multiunit.  Or am I missing something?  What is your strategy for growing and what do you think I could do to grow larger/faster?

How did you fund these deals?

Originally posted by @Anthony White:

At the moment 

Timeline:

Bought Duplex

Bought SFR

Bought SFR

8 Unit Multifamily

Sold Duplex

Bought Duplex

Bought SFR

Bought Duplex 

Is house hacking A Grade properties a bad idea (as long as the numbers work).  What are some of the issues I would deal with, not normally found in normal fixer upper or need rehab properties?

- Most Multi Family in my area is D/C Neighborhoods and houses.  The B/A properties are slim but there.   

- I found a $330k Duplex, that would net about $200 per door.  Very minor rehab needed, maybe new vanities and paint.  Most of it is "turn key" updated.   

I'm a landlord in Virginia, you do NOT need a license.

A real estate license is needed to be an agent.  To be a Property Manager (for other people under a brokerage) you need a license with 2 or 3 years of RE experience.  

I'd just like to brainstorm what WOULD I need to do/change to be able to do a deal like this.  From a business perspective there is not much to go from, I have little experience and little capitol.  However, If I don't make it, then they get the property again. win win?   It has been on the market for some time and has been dropping in price just the same.  I figured my interest may at least spark a conversation.  

If I were to bring on a partner, id say what I bring to the table is all the sweat equity, I do the property management, fixes, rehab and Id live onsite.  While the other person just brings the money to the table.  Are there people who would be willing to do a deal such as that?
@Matt K.

I am looking at a 5 Plex for $1.2M.  I could easily live in the only vacant unit, all the others rent for $2,300-2,500.

I do NOT have any money to put down.  What are some creative ways to make a deal such as this, or like this in the future.  Could owner financing work?  Am I just SOL?

I just purchased my first duplex.  It's current market value is $875 each side.  I would like to force appreciate it to $1,000.  What should I focus and NOT focus on?

Carpet or Laminate Planks?

Repaint or Replace Kitchen Cabinets?

Completely rehab bathrooms?

What have you found to be the best way to raise rent without any major or over costly rehab?