All Forum Posts by: Tim Swierczek
Tim Swierczek has started 15 posts and replied 1507 times.
Post: How to make $240 the hard way on a Minnesota Rental Cabin on Gull Lake
- Lender
- Saint Paul, MN
- Posts 1,573
- Votes 1,648
Have you ever wanted to buy a cabin to AirBnB? Typically, it starts with a great vacation, where you have such a great time that you wonder how much the owner must make each year. I think all real estate investors do this at some point.
Matt Jennissen purchased such a place. Not just any place, but a beautiful place on Gull Lake. He's made a ton of money in this place, but it's been anything but a perfect ride. Learn first-hand the ups and downs of how Matt has made over $240K since July 2022. Learn what he loves about the investment and what he would have done differently.
As always, we encourage you to bring a friend and come to network with other local investors. See you at Jimmy's in Vadnais Heights. Space is limited, so grab your spot today. No fee is required, but we ask that you consider buying food & drink to support the restaurant.
Post: Fourplex landlord needs help dealing with chronic noise violations
- Lender
- Saint Paul, MN
- Posts 1,573
- Votes 1,648
Quote from @Gregory R Ley:
Can I impose a fine now if it is not in the current lease agreement?
I believe you can move forward. You need to post it and notify all tenants of the updated policy and the amount of the fines. I needs to be the same for all tenants and should not be retroactive.
Post: LIFT MN - The Flip Side: Lessons & Success Earned with Liz Sibet
- Lender
- Saint Paul, MN
- Posts 1,573
- Votes 1,648
Since I'm not eligible to attend I want to endorse this group and Liz. Any Woman who invests in Minneapolis, or St Paul should attend this one. I would be there if eligible.
Post: Fourplex landlord needs help dealing with chronic noise violations
- Lender
- Saint Paul, MN
- Posts 1,573
- Votes 1,648
Hey Greg,
We have quite ours in our lease's Tenant's Rules & Regulations portion. I believe they are 9 AM to 9 PM but I'd have to look to be sure. During the allowable noise hours, you essentially express that noise happens and the landlord will not get involved with any noise complaints. During the quiet hours, you will need to have a fine system. This is important for the reason statted above, you need a penalty that is not eviction. I'd start with a small fine for the first offense. I'd recommend the first offense $50, the second $75, the Third $100, and the Fourth a material breach of the lease subject to eviction. Since you have a noise monitor you may be able to use a decibel reading which is the objective measure to determine a legitimate complaint provided you can get it to accurately record the louder noises.
Post: Group home rental in Minnesota
- Lender
- Saint Paul, MN
- Posts 1,573
- Votes 1,648
Quote from @James Hamling:
Quote from @Mitch Seiffert:
I have a single-family house in Minneapolis that I've been approached by a couple of parties interested in using it as a group home. Right now we're inquiring with our insurance provider to validate proper coverage, checking with our rental license if it covers uses like this, and working through what a lease would look like. Any recommendations? Is it common to charge more? What kind of lease provisions? What pitfalls are their to watch out for?
I have leased to several of these.
It's gone through a bit of a fad-craze so I'd say first thing to look out for is vet'ing the credentials of them, there business. Are they a start-up, do they have any operational, how do they do at it, etc etc..
Next is regulations, checking with city to assure it's legal to do.
I don't check with city for them, I put it on them to get me confirmations of licensure and viability for it. So they they have to submit proof to me of there licensure for it, and that they know the licensure for it all.
Rents, yes 100% I do adjust billing and it is above standard tenancy rates because they are doing it for business revenue.
I do the lease as a lease with rights to sublet. So we are leasing to that business, with guaranteed signors for that business.
I often require a different security deposit. Each situation is unique, if they need to make modifications to the property, for example adding wheelchair ramps etc., I look at worst case of what would it cost to roll-back all changes and add that in.
I also don't do anything less than 3yr lease terms.
If it's an entity I've worked with before we may jump directly to the 10yr lease but generally I start at 3yr, and at each review we consider term going forward. 10yr is ideal.
All maintenance is also on them. SO lot's of language on this aspect. The only thing we cover is main components, HVAC, roof, siding etc.. They cover all appliances, flooring, all those use components that can and will experience wear and tear.
I find it best if you approach it thinking it's more-so a commercial lease done in a residential asset. My leases end up looking a lot more like a NNN lease than a standard tenancy one.
The pitfall potentials are many, and most speak back to neglect in process. Not defining a certain aspect at start, assuming, these are the major pitfall potentials. Assume nothing, detail everything, and I do mean everything.
And thoroughly vet the company and operators. Your making a bet on them, that they can operate there business well and thus, will be good tenants.
Great post as usual
Post: Minneapolis Multi-Family Market Data Deep-Dive
- Lender
- Saint Paul, MN
- Posts 1,573
- Votes 1,648
Reminder of tonight's Minneapolis Data Deep Dive
We have analyzed 445 2-4 unit transactions over the last 12 months in Minneapolis and will share our insights with you tonight. Adam will also show examples of successful multi-family purchases in the last 12 months. We start at 6 PM. Please RSVP on Meet-up so we have a head count.https://www.meetup.com/real-estate.../events/305782198/...
Post: Maui transplant in Minneapolis - West Metro
- Lender
- Saint Paul, MN
- Posts 1,573
- Votes 1,648
@Jesi Young I like the tone of your post. I can feel that you have embraced the move and change. if you want to meet some local investors there is a meet-up next Tuesday. it's posted in the classifieds. I can't post info about it here. It would be a good way to start networking. PM me if you want info.
Post: Minneapolis Multi-Family Market Data Deep-Dive
- Lender
- Saint Paul, MN
- Posts 1,573
- Votes 1,648
In December, we analyzed St Paul by the neighborhood - price-to-rent ratios, appreciation, etc. Now it's time for Minneapolis!
We are in the process of analyzing just under 450 multifamily sales over the last 12 months in Minneapolis and at this meet-up, you will learn all of our insights and get a chance to ask questions. We will also provide some examples of cashflowing properties purchased in the last 12 months in Minneapolis.
This will be a classroom setting at BRIX Real Estate on West 7th St in Saint Paul. Adam Tafel and Tim Swierczek will be your presenters. Food and drink will be provided!
This meetup subject will have a podcast and spreadsheets to accompany it - if you haven't already, check out the show "Twin Cities Real Estate Investing" anywhere you find podcasts.
In the future, we plan to do Twin Cities surrounding suburbs and we will break that up into 2-4 areas depending on how the data and geography pan out.
Post: Using FHA Construction to House Hack?
- Lender
- Saint Paul, MN
- Posts 1,573
- Votes 1,648
@Hudson Filippi What part of Northern MN do you live in now? Typically when people graduate they look for a job and move to the area of the job. If you stay in Northern Minnesota you could look to locate closer to Duluth which has a large supply of duplexes at prices much below $500K. Otherwise, you could network with a local Realtor to your area and see how many duplexes sell per year within your acceptable driving radius. You may also be able to start sending letters to duplex owners explaining who you are and that you want to own and live in a duplex, etc. If you're in Northern MN, there is a very good chance that the cost to build a new duplex exceeds the resale value, which would be an awful idea to build a new one. Reach out if you want to chat.
Post: Looking For: Investor friendly agent with experience in the North Minneapolis market
- Lender
- Saint Paul, MN
- Posts 1,573
- Votes 1,648
@Brandon Larson I know an agent who lives, invests, and breaths N Minneapolis. Her name is Liz Loveless. She is not on BP. Look her up and mention me or if you PM I can get you her contact info.