All Forum Posts by: Account Closed

Tell her that she is emotionally involved in the property and the buyers are not. They are only looking at the condition of the property, so it is best that she not be there because of that reason.

If it was built in 1860 I have reservations because of the age. What is the overall condition of the building, roof etc? What about management fees (even if you manage it yourself you need to make those calculations, usually from 7-10%.)

If the above numbers are correct then this gives you a 27% return on your money. Take the net income of ($811 X 12) $9,732 / $37,000 = 27%. Then you have to subtract the annual mortgage to get a real return. 

If that return makes you happy then go for it. 

There are calculations for analyzing multifamily properties. As an example you need to calculate cap rate. It is NOI/Purchase price. It equals a % and you compare that with similiar properties that have sold in the last year. You need to read up on the different calculations. The best book I have seen for a newbie is "Commercial Real Estate Investing for Dummies"

I also add my own calculations as to the LOI per door so I can compare multiple properties to see which one gives me a better return.

I suggest we do this in the Orlando area. It seems to be central to most of us.

Probably. I WOULD NOT buy this property unless you can make a deal with the lender.

Of course it feels great to get your first and subsequent checks. I validates what you are doing is working. 

Probably at least a month in advance and not on nights CFRI or GOREIA meet.

Because many of you have full time jobs it is best to do it at night.

You should have in a contract that you will be putting up an initial deposit to make the contract legal.  Any amount will work. Also you should have in your contract 'the contract is contingent on my partners approval.' If you can't find a 'partner' to sell the house to then you can back out of the contract and get your initial deposit back. 

If buying the HOA Lien and paying off the mortgage makes economic sense (unless there are other liens) then yes do it. But before you buy the HOA lien contact the bank to see if you can get a deal with them. This can be tricky unless you get permission, and loan info, from the current owner. Then you can also get the owner to sell you their house and try to negotiate a short sale with the bank. BUT do not pay off the HOA Lien unless you can do this because you will just be putting out cash and getting nothing in return, except a lien that may be worthless when the bank forecloses.