All Forum Posts by: Sharon Rosendahl

@Jason Krac LOL, keeping a straight face when asking about the magical opossum will be tough but you can do it. 

@Jason Krac My thought is to just schedule a time with the tenant to do a unit inspection. Approach it in a way that indicates you want to make sure that you have provided all maintenance necessary. It is common to do inspections. I warn my tenants I do it every 6 months and then do them regularly no matter who they are.

While there, ask if the crickets etc are better. Be super approachable. If this guy is complaining because he wants out of the lease and is faking stuff to try to give him the right to then you may get the opportunity to mutually close his lease down now. Problem tenants just aren't worth the trouble even if their money is good. 

I find when people feel you are sympathetic they are more likely to make their real intentions clear. Being sympathetic doesn't mean you agree with everything but let them know they are heard. Saying things like "I can see how you could feel that way" or repeating their complaint back at them such as "So you are saying that you feel the opossum is judging you when he appears in the yard?" Make sure you don't use the incredulous voice but the sympathetic voice when you say that. "I can see how his staring at you like that could make you feel judged." "I have found that it is often better to ignore people when they are being judgmental, it gives them power when you get upset." Now your tenant feels heard without you agreeing that the opossum is being judgmental. You have acknowledged their feeling which often calms the situation.

I'm glad you are interviewing agents. When I sell, I always use an agent unless I have some kind of private thing happening (like selling to a tenant). Agents are invaluable, not just for getting you noticed at sale but they can give you advice on the market in your area. Some houses shouldn't be the biggest and best on the block to net you the best profit.

I am 54 and have negative feelings about my job. Mine does provide insurance though, making it very hard to leave. I also have a husband.

I see flipping as faster money than rentals. I see rentals as long term income.

We are buying our first flip, closing in a few weeks.

My husband will handle the construction site. He will take care of a lot of the non-specialized tasks such as cleaning, painting, landscape and other tasks that don't require licenses. He will be there to meet and manage subs such as plumbers, electricians, roofers etc. 

I manage the paperwork such as loans, insurance, general business stuff, planning, and organization. I will keep my job until certain benchmarks are met (you may have already done this). First, all personal loans are paid off (includes personal mortgage). All loans (excluding mortgages) are paid off on rentals (we have some repair costs on credit). We have one year of living expenses saved (this includes medical insurance, deductible, and copays. Sadly, this will cost more than our general living expenses). 

We would also prefer our rental income equals 100% of our living expenses but for now, it does equal our living less healthcare costs.

This will likely take us a few years since we also want to build our flip bank account to no longer require lenders. With starter homes in our area running in the $400k range that is a big amount of cash. This means we are trying to avoid taking any of our profit out to pay our personal stuff except for the tax bill generated from our flip endeavors. 

Since I work about 50 to 60 hours per week there are times I come home after a 10 hour day and work for another few hours. I spend much of my weekends working on one of our businesses. We currently buy a non-commutable distance from our home so we spend weeks apart (we do this for our rental repairs too). 

The sacrifice will be worth it. Our goal is to make a comfortable living off our rentals. Flipping is just a way to get us there more quickly and to be able to work together (Hubs and I do well working together as we have done it in the past). My job is fairly dead end and to move forward in that arena would mean a long commute into Seattle. Not something I relish.

Do you have a realtor you could ask? Also use Zillow or something to analyze the Zestimate or the asking/selling prices of homes similar to yours as a 4 br and 5 br. See if there is enough of a value increase to make it worth the cost.

What is too bad is relative to your skill, costs etc. Unlevel posts, in our skill set. Unlevel concrete slab, we would have to pay someone. Excavate the basement, reseal and backfill, costs money and may be difficult now due to lack of space to navigate equipment. Right price, right ARV it all can be done or totally not worth it.

Major mold and rot, probably a tear down. We figure cost of vacant lot with utilities, subtract cost of demo, that is what we need to pay to make it worth while. 

We looked at a house that had failed septic and no way to permit a new one and no community sewer. Not worth it. If there were a community system or a new permit would be allowed then maybe, but the price needs to be right. 

I think you should work with what you feel comfortable with and just ensure that the numbers work out. If you only feel comfortable with paint and carpet type rehab then do that. Around here, we have found it doesn't pencil out for us.

I know that in some areas there are landscape designers that will do this. If you have a landscaper you could ask for a referral. I would think it could be best to use someone from your region so they know what plants are best for your area.

I would go talk to the county. The department name can vary. One county I talked to it was the public works department since they deal with rainwater runoff. You need to know whether the house is in flood plain or flood way. Floodway is way more restrictive. FEMA Flood ways can't get new building permits in most jurisdictions. You can't remove a house from the flood plain (unless you actually pick it up and move it) but you can have the house certified as being at a high enough elevation it won't likely flood. You will still need flood insurance but getting an elevation survey may be required for any additional permits or even a mortgage.

There are surveyors who specialize in this. I had to have one once. The seller had lied and said they had an elevation survey done. What they failed to mention is that it was never finalized because they didn't pay the surveyor. Surveyor was nice and gave us a discounted price of $1600. I think it originally was about $2500. That was about 10 years ago on the west coast.

As with all development endeavors, I'm sure there is some kind of consultant out there. Perhaps the county can point you in the right direction.

In Washington we have to consider Section 8 as income so rent minus section 8 payment=rent*3=required income.

I include alimony and child support into my consideration. Yes, ex could quit paying but an employed person can quit being employed. I also include food stamps and other benefits into an marginal situation. If you are getting $600 in food stamps then you aren't spending cash on food.

If someone has decent credit I would go down to 2.9 or so but I actually grill them on what is going on and do a brief summary of where their money goes. I have asked for additional deposit but I never get it because these people often have no ability to pay extra. It would also depend what is on their credit report. I have had tenants who have medical or student loan struggles. Those bother me a little less than those that indicate poor spending habits.

I have had people I believe may have been illegals come to view rentals. I always give people a full rundown of my process ie application, background, credit check, employer check, and also ask that they bring picture id such as a drivers license, passport, state issued ID card. Amazingly, some never appear, some appear and never apply. This also works with people who are a little iffy since they don't want to submit to the background checks. I have found that serious renters will generally fess up to any issues in their credit or background. I have found that those who bring it up in the beginning have been great tenants and never cause me a bit of problems.

I vet everyone the same way regardless of race. I feel that I have done everything I can to be fair and thorough. Here on the west coast it is likely illegal to even ask if someone is here legally or not.