All Forum Posts by: Stacee Evans

I hope I'm explaining this correctly. I have investments in elder care and memory care homes. The money came from a self directed IRA and self directed 401k. I'm earning interest on these investments and it's starting to add up, but I'm not making money on the interest income that is accumulating. It's just accumulation in a cash account with the trust company I use. I can't take it out without a penalty, but I'm not sure where to put it or if I can roll it over into an account where I can make money on it until I retire or find my next investment. Does anyone have any suggestions?

The rates are so low right not and it takes time to find a new property these days.  I would recommend doing a cash out re-fi with a 30 year fixed rate. You should still cash flow quite a bit with the lower rate.  You can then take that money, not pay taxes on it and wait until you find your next deal without pressure.  If you do a 1031 exchange, you have a limited time to find your next property to keep the tax advantages and you no longer have the first property. You will still be is a situation where you cash flow AND your tenants pay down your new mortgage, but now you have access  your equity for the next investment and keep the first one as well. 

@Elenis Camargo Congratulations and thank you for sharing. This shows what is possible with work, learning and networking. I've made valuable connections on BP and as an out of state investor have connected with and learned from many others as well.

@Guifre Mora Thank you.  The tone was argumentative and a bit hostile from the get to, so I want to be careful that I stick with whatever is legal. 

I have a large 5 bedroom, 3.5 bath house for rent in Nevada.  I had someone call that is interested in it.  I asked how many people it's for and what the income is. It's for 1 person with the proper amount of income from disability.  The disability amount is more than most professionals make.   I asked why this prospective tenant wants such a large house for 1 person, and the answer was something like  I don't really have to tell you that.  If I have the income and want a house that size, I don't need to say why.  Is it legal for me to ask why 1 person wants such a large house?  As the owner, I'm wondering how the house will be used.  I want to follow the law, but want to know if legally I need to consider this type of renter.  

@Meir Greenblatt I had a home warranty for years on my out of state homes. Every year I paid more in premiums than the repairs would have been. My tenants were frustrated because they usually had to come back multiple times. Through the internet reviews including yelp I now have a handyman, HVAC and electrical company I use. I trust them and the repairs are done at a fair price. In the big picture it's probably not worth it but if you're just starting out it may work for you for peace of mind. Make sure you do some research and go with a good home warranty company if you decide to go that route.

@Mike Jacovelli I have not had many negative issues. I will just mention that I'm a part time real estate investor or invest in real estate on the side. Most people respond with a blank look or just say oh. Some people get really excited and tell me about their real estate investments. Some ask me a lot of questions and we end up having a great conversation. When I explain concepts it helps reinforce them to me. I have so many people that now want to invest with me. Once I scale up I'm sure I'll have no problem finding money. Yes, talk about it. The people that don't add value, don't care, don't teach you anything or don't want to learn anything help you as well. You learn how to make that a short conversation or change the subject and move on.

If the lease has ended for a SFR and the landlord wants to have the tenant move out, is relocation assistance still required in CA?

@Goran Kocev The deposit has nothing to do with the last month rent. Let them know they need to pay the last month. You have no guarantee they will move out and no money for possible damages. If they refuse you could start an eviction to be on the safe side. You can also show them the lease that says the deposit is not for rent.

@Manuel Encarnacion I have had, and have rentals in Southern California for years and learned the hard way that yes take a month security deposit up front. If they need to make payments on a security deposit that is a sign of trouble down the road. If you have evict at some point or there is damage at least you will have a little money to go towards that. I would recommend you do a thorough job on your tenant screening. I have a checklist and let the prospective tenants know up front what they need to qualify and stick with it.