All Forum Posts by: Paul M.

This reminds me of the episode of the British version of The Office when they are talking about how postage stamps are legal tender.

Almost all my tenants that don't live on my property pay through a bank transfer. For some banks, customers may transfer money to another customer's account. It has worked out that, for the 3 different banks I have, that has covered everyone. It is free. The tenants are just logging onto a bank account they already log on to.

I used to use paypal, but they started charging for business transactions.

I feel payment by mail mail creates too many excuses. With electronic, either they made the payment or they didn't.

I'd be interested in a rent collection service if the price were reasonable, but for now I've got everyone covered.

The main benefit of the website itself is it has more information that is traditionally hidden, the ones I notice are market history and broker % compensation. If you use them, they rebate some of the agent fee, which I think is an appropriate business model in the the age of the internet.

Wouldn't the main line be on the city side of the meter?

I'm not sure why the small size would make coin op not ideal, but I understand the security concerns. I have coin op for a 3 unit building. It works out well. I buy the machines myself, I don't use a service.

If machines are in the units, I like to have a floor drain.

Where will the tenants do their laundry if you remove the machines? How far away is the laundrymat?

In my experience coin op laundry is profitable. You can't use the water cost now to compare to potential coin revenue as the use will go down if it is coin op. (if a resources doesn't cost anything, it will be used more).

If you can't separate the actual water use, then I wouldn't bill for water. It is not legal in my state unless you separate it, but even if it was, I wouldn't, too much potential for conflict.

You should also be checking toilets etc for leaks. A small drop from the tank to the bowl every 30 seconds is barely detectible but can double water usage, in my experience.

If no one is home, does the water meter still spin?

Is there anyway to put machines in the basement or in the apartments?

I'm an accountant (a financial accountant who keeps the books, not a tax accountant) for a construction company and a solar power installation company. Prior to that I worked for a larger corporation. On the side of accounting work and real estate worked, I've started a snow plow business and that is turning into a lawn mowing business. I find there is synergy in all of this.

Hello, I am an investor with 8 rental units across 3 properties in Somerville MA (a very close town north of Boston). I purchased my first property in 2001, became a landlord for the first time in 2003, and got my first fixer upper in 2004.

I have degrees in business and accounting, which has certainly helped with the business side of things. Working on my properties unexpectely led me to discover that I enjoyed performing hands on renovations, and I've been working hard for years to fill in my knowledge of construction. I've done this through:
1) hands on work on my properties
2) working as an accountant for construction related companies which allows me see all kinds of cost data and learn how things are done through performing my job function
3) Taking on non accounting duties at these construction companies such as labor, estimating, project management
4) Taking construction classes
5) Reading as many books/articles as possible
6) etc

I expect to get my contractor's license in the next year or so. I also started a snow plow business in order to justify the purchase of a plow for my properties. That has led to a small lawn business too.

I try to work a strategy of:
1) having strong financial skills informed by thorough knowledge of construction to analyze projects
2) performing as much work myself as possible
3) close knowledge and involvement in my community

Challenges for me:
1) continuing my construction education
2) figuring out how to finance my next project (hard to get equity out of my investment properties)
3) dealing with the high acquisition and high subcontractor cost of the Boston area and the competition with owner occupants who don't care about fundamentals
4) figuring out what work I can practically do myself. For instance I have enough experience in electrical that I think I could much of it myself to save money, but I'd have to find an electrician willing to pull the permit and supervise me as his "employee" for the job.

I feel real estate works for me because I like renovations, I like the accounting/financial planning part of the business, I like the flexible schedule, I like that my success is based in large part on my hard work an ingenuity, I like wearing jeans to work and I like listening to the radio at work!

I have enjoyed this website and look forward to learning more from others and also contributing my opinions and experience.

Thanks,
Paul

What is the difference between a direct lender and a hard money lender?

I think they are ugly and I don't like unnecessary holes being drilled into my property, but I guess it is not enough reason to say no. I've heard rumors that it is not legal in my state to forbid them, I don't know if that is true. I also echo everything Ann said, except you may way to take charge of removing the old one yourself so you can make sure the hole is properly caulked to prevent water/air from infiltrating.

So going with a Direct Lender means contacting TD Bank, Wells Fargo yourself. I would assume if anyone was going with a mortgage broker, they wouldn't have to worry about the 4 unit limit, because the broker would know which lenders did 10 properties?

But wouldn't a direct lender have less favorable terms if they are not reselling the loan?