All Forum Posts by: Tchaka Owen

Quote from @Joe S.:

I can see the point the realtors are making. On the other hand, it seems more like an lopsided  commitment. Will they sign a form that every good deal they get they’ll bring it to you first? What is if the Realtor does not return phone calls? What if they get some money from their grandmother and goes on a six week vacation around the world? What if they work three hours a week and the rest play video games or message friends on FB? 
I had a realtor that we have bought multiple properties through that never required such an agreement. There was another area that we were looking To make an offer on, so we reached out to a realtor there and they wanted us to sign an exclusive agreement. I didn’t see the reason to sign the agreement whereas if this realtor was making offers for us in this geographical area, we were not looking over her shoulder for another realtor in that area. 

P. S. Keep in mind. This is simply my opinion and insights and if I was a realtor, chances are high I could be singing a different song. Lol

I'll address this one. Let's use @Nathan Gesner's comment as the baseline because he's spot on. 
As an agent, I don't require them and almost never use them (unless I sense the buyer could be questionable), I rely on relationships and trust. But that's tends to change with investors, some do not care whether an agent earns a commission for helping an will jump agents at will. As far as lopsided, nope. 

We don't get good deals to bring to you first if on the MLS - everyone gets it at the same time. If off-market, why not bring it to you? And I don't know that those agreements cover properties that aren't on the MLS (as I mentioned, I rarely ever use them). When you talk of not returning phone calls or going away with gma's money, those are performance issues that will get you out of an agreement. It's not a carte blanche to say "I own you!", agents are still expected to do the job professionally and ethically. Lastly, technology plays a part too. If I had to spend hours each day digging for properties for clients, I'd likely require the agreements. But nowadays an agent does the initial dig then sets up the MLS to help. So I could be in Tahiti on gma's money while my system is sending you listings.
Point being, buyer-broker agreements are fine and they're fair. Some agents use them, many don't. In the end, get an agent that's going to perform (whether or not that agent uses one).

Tchaka Owen

Quote from @Kerry Baird:

I also would make offers now.  

I agree with Kerry, there's no need to wait. Make sure that the 4700sf home you see is truly that amount of space. We tend to have 2 numbers, one is total and the other is livable (or "under air"). Total will count Florida rooms and even garage space.

I'm going to disagree with Jason in regards to timing because the Southern part of Florida runs counter to most of the US. I spent years in S. Florida and the high activity starts in November when people start flocking down and slows a bit around April. Melbourne is considered Central Florida, however it's warm enough that it has its share of 'birds. Trying to time the market is a no-no. 

Good luck!

Tchaka

Quote from @Mickael Castillo:

Thank you all for your inputs I have been on zillow and my wife has been talking about sarasota county, but is it a good market, I don't know much about how to analyze the market there. Will it be good to move there?? Would it be a good market to begin?? How can I find out?? P.s. Sorry for all the questions

You can start by not using Zillow. 
There are tons of sites that will get you the answers you need. Look up local crime statistics, quality of schools, local government sites, Realtor.com, Google is great too......"Sarasota County FL economic forecast", "what to do in Sarasota County FL", etc, etc.

Good luck!

Quote from @Mickael Castillo:

Hello BP community, I currently live in Lawrenceville, GA but my wife is just physically and emotionally done with this state we have had incident after incident and most recently our apartment has flooded and we lost everything. Now we plan on going to move to Florida on the chance that we wont have to deal with frozen pipes. Does any one have any idea on where would it be on which market would be good to move to in order to start our real estate journey. We are mainly looking for single family homes somewhere between the 250k to 300k with 3 to 4 bedrooms with a change to turn it into a duplex if needed. She would also like to stay relatively close to the beach. I know that this is a bit of a stretch but any and all help and information will due. thank you all.

A SFH that can be changed into a duplex would likely require a zoning change. IMO, you're better off finding a good SFH. If in the future you want to buy a duplex, find one. Converting may be more headache than you want.

Tchaka

Quote from @Caroline Gerardo:

@Tchaka Owen I know but- 

flood insurance cost, the deductible, what is excluded... all these costs are part of the decision. Given how weather is so crazy one assumes another one is coming next year.

Though a STR has more income, they also require more work.

Flood insurance generally isn't a cost issue, it's wind that hits the pocket. A home like that is probably $3k for all (depending on roof attachment, window/door protection). Yes, STR is more work however that's what the OP wants. And based on numbers I've heard, he'd likely net about $2500/mo more for a similar home in Cocoa Beach. That's the reason that I do not believe the rate to be a concern. Of course, there's always the option of using equity to lay down on a 2nd home.....

Tchaka 

Quote from @Caroline Gerardo:

Good and various advice above.

I want to see what it looks like, how much future maintenance you have, what long term risks are for flood/hurricane, does it have a view?

Three percent is almost a free loan.

Unfortunately, we cannot predict the hurricane schedule......they form at their leisure. :-)

@William Kissane - I remember you. You ended up buying right near where I used to live. Two comments:

1. Merritt Island rentals do not last on the market, if yours hasn't rented it's because you're asking too much. $3300 in Hampton Homes is a lot, you need to drop the price (unless you're on the water). It appears that you're in Pimpano......keep in mind that rents in S. Florida are different than in the Space Coast.

2. Based on what you've written as your goal, my advice is to sell the house and buy one in Cocoa Beach. They are very STR-friendly, while Merritt Island is unincorporated and goes by county rules. The current low interest rate is largely irrelevant. Why? Because if you're not fond of the LTR route, you're wasting your time. Plus the higher amount of interest will very likely be more than offset by the vastly higher income.

Good luck!

Quote from @Austin Phelps:

My wife and I (both 27) currently live in Cape Canaveral/Cocoa Beach, FL and make about 250k a year combined with a net worth of about 250k as well. We're looking to begin investing in real estate to increase our income for now and slowly get to the point where this is all we do for a living (tired of corporate jobs). With this base information, what would you all suggest? Initial property price range, strategy, etc. I really appreciate your time and help!

Lots of great advice provided already by other BP members! I'll add the following tidbits:

1. One of the best routes to wealth through REI is via multi-units; the downside to Brevard is the limited number. Compared to many areas, Brevard lacks. However, that's not the only path to success.

2. If you and your wife do decided to invest in Brevard, I see lots of upside (that's one of the reasons I moved here). The area got crushed at the end of the Shuttle program, a decade ago homes could be picked up for close to nothing. However, the space industry is booming. NASA isn't the only game in town and there are large tech companies here too (many in support) so Brevard isn't dependent on tourism. The county has a number of good schools, which is important to attracting brainpower. And though prices have gone up significantly, they're not as highs as in other areas. 

3. You'll want to attend some of the local REIA meetings to gain contacts and help get a feel of the local vibe. 

Good luck!

Tchaka 

Quote from @Michael H.:

Hi everyone, I'm seeing some posts from 2020 indicating that Pen Fed credit union will do HELOCs on rentals. Can anybody confirm is they are still offering this service in 2023? Looking for a quick answer if possible before I contact Pen Fed to inquire. Thank you so much!

I can confirm that they are NOT and have not done HELOCs on NOO properties since April 2022. The representative I spoke with did indicate that things change and that at some point in the future they might do them again. I suggest you call PenFed.

@Cindy Joseph - 1.5T is more appropriate, however check prices. Often those smaller units can be up there price-wise. $9k for both sides is not outrageous, however it's a tad steep for Florida - unless there's copper replacement, ductwork, etc. I have a number for you to get a quote.

Tchaka Owen