All Forum Posts by: Tom T.

Here is a suggestion. What if you purchased the house. Fixed it up some and rented it out? Downside is it ties up your cash for longer however it could or at least should be cash flow positive. Secondly, once you wait for a year and a day once you do sell it you can pay lower taxes. (please consult your tax people, I am not a tax accountant)

My point is this, maybe there is an interim step for you to analyse from.

If you are saying it is a 2 story house and all the BR are upstairs and there is no bathroom upstairs, that would be unusual for my neck of the woods.

How old is this house?  Any lead paint issues?
And like was said above, there is always another deal.  
"Luck is what happens when preparation meets opportunity"
Make it a great day!

 My solution used to be storing them (washers and dryers) in a barn like building but doing that caused them to rust, become ugly and undependable. Not to mention taking up my space and time. My solution after having to scrap some units that became rusty was to make a deal with the used appliance dealer he could have my inventory for free (just come and get it next time he was in the area) but I wanted concessions when I came to purchase later. Since I own rentals and offer W/D as incentives I buy them fairly frequently from him. I have his company bring them and set them up for me. This saves me time and space. Another nice part is I never have to dink with... Is that a 3 prong or 4 prong dryer plug? This arrangement works out well for me.

Agreed on depends on the market and clientele you are serving.
I serve middle, low income families so I supply Refrigerator, Dishwasher and a Stove / Oven (not a microwave)  Quarterly Pest Control and Garbage Collection.

I offer as an add on of a washer and dryer for X$per month. - Maybe I add to the lease, "Complete 12 months with no late payments and the washer dryer become yours at lease renewal."  Thus rental price goes down in year two but so does the responsibility on my end.   I purchase the units used from a local used appliance dealer.  I think this is a win win scenario and keeps a good client (no late payments) in my property for the second year since their rent just got a tad cheaper. 

$1200 for a rodent issue on a SFR?? That seems really high to me. Are we talking termites? or just roaches and mice? - Is it a massive infestation? If so, I would think you would have seen clues by now? I have had rodents in a purchased property before because it was dirty and vacant. I paid the bug man a few hundred 3-4-5 and signed up for a year contract (every three months) he comes to spray. I helped on the first run by cleaning, moving appliances around so he could get behind. More cleaning up dead bugs, bleaching stuff etc..

I suggest to offer the bug man an annual contract along with the first batch of cash to  get rid of the bugs to entice him to offer you a lower rate.
 
Once you get it under control I think you would be okay but in my opinion $1200 seems pretty steep.  Walk or not, that's a question only you and the numbers can answer.
BTW, get the grass cut down too if there is that going on. Bugs like tall grass.

if it were me, at your age, I would attack the debt and begin to line up my team and have a solid plan ready to execute...(2 prong approach) IE: What bank would I want to partner with. Will I look for a wholesaler to help me find good deals? If so who, & where etc.. What neighborhoods / zip codes to I want to target and why? Will those demographics change?. Do you know the laws and processes for eviction in the county you want to invest in?  All good things to know before you dive in. Lay some ground work, attack the debt. Within a year you should be golden to rock the area of your choosing.  Good luck. 

Here is something to try to evaluate the doublewide.

https://www.nadaguides.com/manufactured-homes/valu...

Hi Everyone, I am also new to BP but let me chime in on a topic mentioned above.

"North Atlanta (Cumming, Alpharetta, Woodstock, Roswell) Single Family (SFH) homes have appreciated tremendously from the housing bottom in 2012 to 2015. With the prices high or higher than the real estate peak, is it smart to invest in SFH's with the intention of renting the house. The appreciation potential in the SFH is very minimal. The investment from private equity sector in SFH's effectively decreased the supply of homes tremendously driving up the prices in the market. What happens when the private equity funds release these homes into the market and when might that be - does anyone know?"

-- I believe the below article is important to the topic.
Furthermore, what I believe this is saying is that they will be releasing their lower end housing to replace it with better housing. IE: They are getting more picky. So, if you find yourself in a bad school district you may find much more inventory coming soon.

I will also say those areas you mention are all pretty good...

http://www.bloomberg.com/news/articles/2015-07-13/...

Question for you seasoned vets and contractors.

What are the visual clues to differentiate between the two.
Here is what I believe, please add to the list or correct me.

Manufactured: or (Double Wide) I believe these could be used interchangeably. Always has a metal frame underneath. I beams and a setup where wheels and axles would go.

Normally has no attic access.  Normally has a low pitch roof.
Should have the metal tags on the outside or information on an interior closet or pantry.

Modular: Always has a wooden underside. Like a normal stick built home and can be on a crawlspace or a slab.

In this case, I am being told something is modular (by HUD) but from what I see it is Manufactured. I have been asked to prove why I say it is manufactured. There are no plates or information on it that I can see. This unit was built in 1989.

Opinions, Comments.  Thanks!