All Forum Posts by: Scott Suryan

A little disappointed in your response to my question Drew.  There was no mention of where the property was located and you assumed Detroit, and you are wrong.  The property was under contract originally for $75K.  The paid inspection was done and there was a C of O inspection done by the municipality.  

That information along with knowing that the seller wanted to move the property quickly allowed me to negotiate an even better price and my lenders that had given me quotes had a minimum threshold of $60K for a loan. That is why cash vs. HELOC came into play. My plan is to do a delayed BRRR when the tenants move out but do whatever fixes need to be done based on the C of O report from the municipality and some easy fixes that the paid house inspector came up with as well. If rates come down, I can also get the house reappraised (appraises for about $75K right now) and do a cash out refinance and be able to pull most (if not all) of my purchase price back out.

 By the way, I actually got to talk with the tenants and had a great conversation with them for over an hour when we went and walked through the house.  Found out that they had been there for 10 years, they don't want to move and would be thrilled with signing a two year lease with a $100 a month rent increase and continue to pay all utilities.

You then proceeded to give me a list of questions I should ask without even answering the questions that I posed in the original post.  I appreciate that you have a vast knowledge base as a person that owns a property management company but you never answered my questions.  What greater good did you provide in your response other than to advertise your company?  

I have a property that I am in the final stages of title work that I will be buying.  It is a 2/1 in in a "C" neighborhood.  The cash price is $58K.  The tenants are long term and they have no desire to move anywhere else.  They are willing to sign a two year lease and go from $950 to $1050 a month and they pay all utilities.  The inspection came back with fixes but nothing that is immediate and can be done over time nothing needed immediately that is more than a couple of thousand dollars in all.
My dilemma is do I pay cash and have a property owned free and clear that is kicking off almost $500 a month in free cash flow (after reserves for maintenance and cap ex and taxes/ insurance are taken out too) or do I use the HELOC and save my cash? HELOC rate is 8.99%. I have more room in the HELOC for other REI down payments etc.
I am leaning toward paying cash but want to know if I am missing something.  Thank you for your feedback.

Scott Suryan

Is there anybody out there currently using their IRA to purchase real estate? I have talked to a couple of groups and they are similar in nature. Looking like I would need to create a checkbook LLC and use a non-recourse loan if I was not buying the property as an all cash transaction. Any knowledge that you think would be beneficial would be appreciated. Tips or tricks and examples when it was a good or bad move on your end. I have read the blogs on BP that were recommend and have a meeting scheduled with another company later today.  Thanks in advance.

Is there anybody out there currently using their IRA to purchase real estate? I have talked to a couple of groups and they are similar in nature. Looking like I would need to create a checkbook LLC and use a non-recourse loan if I was not buying the property as an all cash transaction. Any knowledge that you think would be beneficial would be appreciated. Tips or tricks and examples when it was a good or bad move on your end. Thanks in advance.

Thinking about stepping outside my comfort zone and maybe doing out of state investing. I recently listened to Dave M. interview C. Clothier about turnkey investment properties. I use a pm right now for what I have in Metro-Detroit and they do a fine job. I am not looking to leave my W2 and want to make sure that the properties I invest in are solid and would be something I would want my wife and daughter to live in. With all of that said, my main goal is to have long term appreciation and if there is a little extra cashflow at the end of the month, great. HAs anyone used a turnkey company, specifically REI nation? Please let me know your thoughts on out of state investing and turnkey providers. Thank you for sharing.

Sara,

I am starting the offer process with multi family properties in metro Detroit as well.  Can I ask what PM you are using, getting rid of?  I would be more than happy to have a voice to voice conversation as well to if you would like.

Thanks,

Scott Suryan

Quote from @Joseph Bui:

I own multiple doors across the city for both single and multi family. I work with a good team and happy to knowledge share if you are interested.

Would be very interested to know who you have for your team. Do you use a property management company?  I am new to investing and am trying to build a team to help me do this as passively as possible while maintaining my current 9 to 5. 
thanks,
Scott Suryan