All Forum Posts by: Patrick L.

The days are a non-issue,  the issue is your margin is too thin unless you're being super conservative with your numbers.   By the time you complete the the rehab, market the listing and find a buyer, and the buyer's lender is ready to close you're going to be at 90 days.   Loans are closing in 30 days with the new TRID requirements, average time to close a loan now is 49 days.   

If you get a $1M house under contract for $100 then nobody is going to balk at a 6 figure assignment fee.  It's the real tight deals where they see you're trying to squeeze most of the profit out of the deal that people are going to not want to pay a larger assignment fee.  

If you're making a huge margin I'd double close, it's not going to cost you that much compared to losing the deal.  

I remember seeing a contractor putting his 36' center console with trip 300's in the water this summer with his company truck....name on the back of the boat was "Change Order."  

I don't see that project happening for $25k.  With fire damage you really need to budget for a lot of unexpected costs.   There's a lot of work just in those pictures, you have a house that's burnt clear through to the outside.  It's not cosmetic damage....roof, siding, HVAC, structural, kitchen, appliances, paint, flooring, smoke, etc.   

Most appraisals come back in right around the purchase price, you generally won't see one come in way above your purchase price on a MLS transaction. The appraisal isn't public information, any future appraisal would be independent of that one.

Unfortunately that is part of this business.   My gift to this tenant was pushing the lockout back to Monday.    My crew is off Thursday-Sunday so taking the house back right before Christmas wasn't going to do me any good.  

Why in the world would people even consider giving a tenant that is not in good standing any type of gift??

We either take the mailbox down or tape it shut and write 'VACANT' on the tape.  

People who don't have their rent money always have the largest list of complaints about everything else.  The drug issue is separate from the non payment issue. The tenant that hasn't paid gets  a pay or quit notice and you can tell them you'll take the report of drugs under advisement and will take action if it can be substantiated but either way the rent must be paid.  

This is why I hate inherited tenants, I like to buy empty properties.  

It's not like you have 6 figures of medical bills or some insurmountable mountain of debt you can't ever pay off.   Walking away from $20k worth of debt isn't the mentality of a successful real estate investor but maybe that's not the profession you really want anyway  It sounds like you're looking for a safe 9-5 job that doesn't require the heart that being successful at real estate does.  A real estate investor would figure out how to pay it off.  

I have a BS in Finance from a Big Ten school and all I ever used it for was 11 miserable months at an entry level job, I've worked for myself ever since then.

You're going to get advice from the perspective of investors here, most probably think trying to walk away from your debt isn't the best solution.   If you want pure finance advice try a personal finance forum.  

Whenever a tenant has asked that I remove a person from the property they are renting (boyfriend, girlfriend, wife, cousin, illegal subletting roommate, etc) I simply tell them that I cannot remove specific people, if it's an issue I will remove ALL occupants.  

Everything about your plan is off base, no chance of this happening.

Sounds like it would be in your father's best interest to list the property on MLS and see if he can't come up with an offer that would pay the mortgage off in full.