All Forum Posts by: Stone Teran

I buy a no-frills fire/hazard policy on the property with a high deductible.  If it burns to the ground, I want to be covered.  If it's something small, I'll just fix it myself.  I use Travelers.

I have:

1. A budget for rental operations

2. A formal analysis for each acquisition as they present themselves

3. No business plan for my future acquisitions since each opportunity is so unique that it blows all my estimates and assumptions out of the water.

In general, the LLC is listed as the contracting party and 1 "officer" signs the agreement. The officer can be 1 investor or even an employee who owns 0% of the company. The LLC's operating docs should spell out who is or is not authorized to enter into contracts on behalf of the company. Ideally, the majority owner should be signing.

Buying your first so far away makes me cringe.  Why not buy local, learn, and move from there?

What do you mean pre-tax if I buy before Jan 1?

Every person has their own version of what it means to "make it".  My business is doing well but I'm still a few years away from my version of making it.

How is being young an unfair advantage???? ( I can think of about 10 reasons it's a disadvantage)

Mine is I'm a CPA and my wife is an attorney.  It comes in handy.

Thanks Seung! I haven't been able to locate a single local HML in Ohio that will finance this type of purchase so I had to go outside the state. I'm sure they exist but I'm striking out.

Darren, no, this is in Cincinnati.

I'm looking for buy a half-vacant 40+ unit apt building for $400k and approached a hard money lender to finance $160k.  The remainder I will pay cash.  This is what he came back with:

1. $3500 appraisal fee and $1000 screening fee paid after pre-approval letter but before closing

2. $2500 legal costs and $5750 in upfront points paid at closing

3. Interest rate of 11.99% on basically a 5-year note amortized over 30 years.

It's a reputable shop but I'd like to know if these terms are similar to what others are seeing or if I'm getting taken to the cleaners.  Thanks.

I'm curious to know what ultimately happened with this pending sale.

I have a tenant who has been there over a year and has become addicted to heroine and is causing a lot of problems.  I want to evict him ASAP.  This is what he has done:

1. A female prostitute lives with him and makes him money.

2. Another man lives with them too.

3. Sells heroine to a constant stream of cars.

4. I get constant noise complaints about them. 

5. Damaged his door when he and the prostitute were fighting (I took pictures and fixed the door).

6. Damaged my dryer hose so he could run an extension cord to the basement to steal my electricity (I took pictures).

I gave him notice that I am ending his lease effective June 30.  A voucher pays his rent and they will stop after June.  #6 above happened last night.  I will call the police today.  I'm not sure in Ohio if I need a 3-day notice to vacate and not 30 days for #6.  I know I can wait until July 1 and evict him but he is tearing up the building and I will lose other tenants if I don't act more quickly.  Help.