All Forum Posts by: Shawn Breyer

@Gerald Demers thank you Gerald! I'll have to look into that. 

@Brandon L. I am under that impression, to be able to market properties that I have under contract. It's kind of hazy, but I found information starting that if I market the property with a disclaimer stating something along the lines of "our company has this property under contract for $xxx.xx, and our assignment fee is $xxx.xx. We will sell or rights to this contract to a third party." then that's a viable way to get around having a license. I sent this information to my attorney, but still want to discuss it on BP. 

You aren't accounting 5-10% in vacancy, 10% cap ex, 10% maintenance. Let's say you use 8% vacancy, which is one month, then the amount you need to have set aside is 28% of your gross rent (28%*$3900 =$1092/month). You also have mortgage insurance like @Jerry Padillamentioned to add to your costs. If all utilities are not included in the rent (I.e., water) or you are paying out of pocket for snow removal and lawn care then add those in too. 

When I bought my recent duplex I worked with one agent, but he never made me sign a contract to work exclusively with him. I also took initiative to scour the sites like Zillow, Redfin, and Trulia on my own, vet the property via driving but and running numbers, and then getting him to show me. I think that respecting their time is very important. He came thru on other aspects that were amazing, like meeting contractors at the property on inspection day so we could get bids on rehab. This allowed me to remain at work because we had walked the property and made our own list so he knew what I wanted. He put pressure on the bank when they were dragging their feet. He also was great with the negotiation phase. 

I've had friends who have been under contract to work with a single agent, and the agent was horrible and they were stuck with them. I would find agents who don't make you sign. I think it's fair to have a few agents bringing you deals, but 100% use the agent who brings you the deal to buy the deal. 

I haven't really been able to find his information, even though I've asked agents and looked online. 

If I get a license to wholesale without legal repercussions, but I'm using it only to market wholesale deals, and not for working for a commission on other deals (I.e., retail deals on the MLS), do I have to work under a broker?

Thanks you!

Thank you De Angela. I'll check it out. 

Who is the best property management company in Grand Rapids, Michigan? 

Why do you feel like they are the best one, and do you have any examples of why they would be good?

Thank you in advance. 

Thanks everyone for all the help. This has been very helpful. 

My realtor is an investor as well, and he used to work with Section 8. He said his last S8 tenant signed a lease for a second year as the first year came to a close and then in the beginning of the second year they lost their S8 assistance and then couldn't afford the rent. So the tenants proceeded to take him thru the ringer with the eviction process. He says it's not worth even considering S8 tenants. 

Hey everyone,

I am in the middle of my first deal. I am purchasing a duplex with 3/2s on each side. 

I went thru the duplex and met the tenants. The duplex is distressed, and needs some work. 

One of the tenants is section 8, and the other tenant is a family. I plan on running them thru my own screening system, but what's the best way to let the section 8 tenant go?

I am thinking I'd like to keep her in there while I'm making the necessary repairs, but not during the remodel. 

Something I need to consider is the cycle of when people like to move and when the don't like to move, like summer vs winter. Has anyone seen enough cycles to roughly know when people are slowing down so much on moving that it could affect me (I live in Michigan)?

Thank you in advance!

In my area, there's numerous apartment buildings for sale, but when I go look at them, they are in a community. So if the seller has ten of the exact same apartments, they are selling this one apartment in that community. I feel like it would be a bad idea to purchase that one 4plex due to I can't control who they allow to live in their properties. Has anyone had any experience with this? 

Do you guys just call the utility company when you analyze your potential property and use the highest utility number in your calculation to add a cushion? How often does it back fire on your cash flow when you have to pay for electricity/gas?

For the areas where tenants can't have the utilities in their name, why can't you just add $30 (arbitrary) to the rent to cover that and tell them it's included? If they are doing the math, it will still run the same as competition.