All Forum Posts by: Tchaka Owen

Yes. I will PM you the info.

As a heads-up, it seems that the days of replacing the roof within 30 days of closing may be over. Had that convo earlier this year and insurance companies seem to have changed that old provision.

Based on what you've written, your only choices are Washington or Oregon. Anything else is more than 2 hours away. If you're new here, then that's probably a good idea because you'll get hands-on experience while tuning up for future investments.

While Houston, TX has potential, it isn't within 2 hours driving. Or even 2 hours flying. 

@Gilda VanderHeyden - lots of good advice already above. Note: yes, most agents will say it's a good time to sell. A good agent will ask what your real estate goals. Based on what you wrote above, if you're thinking of selling in 3-5 years and are price conscious, there's no harm in selling now because there's no crystal ball. As far as long term appreciation, it is my opinion that the place will appreciate for as long as Washington, DC is a world capital. That's why I held on to my TH in Reston when I moved to Florida 16 years ago. Sterling had just given away it's "edge of the suburbs" status to Ashburn, which in turn was separated from Leesburg by tons of trees and undeveloped land. See the change today? 

What's missing from your post is cashflow. How are you doing there? If you're bleeding money each month praying for appreciation, then sell now. On the other hand if rents are covering (or close), you have more options. Good luck!

The best advice (based on what you wrote) is to search "house hack" in BP and read as much as you can. If you have pointed questions afterwards, then post here looking for specific advice. Your current post is so broad, it's difficult to really help you.

@Andrew Semler - based on your questions, it is possible that you're overthinking and overanalyzing, which will lead to you not ever investing. You can only be so conservative before you become a detriment to your ability to invest. You're reading BP and listening to podcasts.....good. You're being frugal and saving money.....good. Keep doing so. As far as strata, etc, etc, that's for you to decide. There are many angles to/in REI and you go with what you and your wife are comfortable with. There isn't a single successful path, there are many that work. I'm working to catch up with the podcast and I skip some that aren't down my alley. After listening to podcasts, chat with your wife and together figure out what you liked and what you're not interested in. You don't have to listen to every one to make your decision. Hope that helps.

Agree with Krystal! In a normal scenario I'd say yes, 28% is way too high for CapEx and Repairs, however you have to look at it based on what you're buying. Of course it you get a 1920s house that you renovate prior to renting, then maybe 12-16% is appropriate.

IMO, that's a very strong deal. I'd say you're hitting a triple. Good luck!

1. What is the reason you're posing this to us when you haven't run comps? You mention that you intend to raise rents, how do you know that's feasible? Have you run rental comps in the area as well? These aren't things you guess particularly when you have resources to help you.

2. Are you paying cash? There's nothing under P&I which indicates that you're not financing. Each investor has a different approach - mine is that if cash, you should still factor in the cost of that cash.

3. You're going 5% on everything, raise that a little. It looks like a newer home so CapEx at 5% works, but Vacancy and Maint should be around 7%. Management will be at least 8%. Anyone offering to manage at 5% likely doesn't know what s/he's doing.

4. Are you exempt from property taxes? They don't appear.

5. HOA fee and insurance are also missing.

Once you update, you'll have a better idea of what to expect.

@Daniel Walton - to sum up your post, it's:
2 WV local electricians vs. All Forum Discussions + EVERY YouTube video and Google search (last 48 hours)

Tough call. 

@John Maison - how did you find this deal? And did the title search not uncover anything?