All Forum Posts by: Watson Hilaire

@Kevin Barnard I have a two strike policy. I have learned from experience once a tenant is habitual late it’s best to either evict or work some sort of agreement where is they leave property clean you will return a portion of the security deposit. You are better off getting the tenant out now and finding new property manager. Income verification is easy. Have potential tenants send you last two pay stub and two months bank statement.

Good luck!

Hello BP,

We have a SFR in schertz Texas we purchased in 2014. It's worth about $220k and owe 170k. The reason why I say BRRR doesn't in Texas is because we are trying to get a HELOC and the banks say it is illegal in Texas to do that on an investment property. We have tried several banks and keep getting the same answer. I am sure someone has been successful in this endeavor. Thoughts?

@Mary Jay never had the experience. Did you not inspect the property during due diligence period? If no one was there then and the person doesn’t have a lease with seller I would call the police for trespassing.

@Manmath D. I wouldn't allow tenant to install above or below ground pool. Not only will this destroy your lawn but it will open you up to liability. You will need to make sure you let your Landlord/homeowner insurance aware so it gets covered. If the tenants are on month to month I would inform them in two months I am installing meters (via RUBS) to have them pay for all utilities. This should give them plenty of time to adjust their budget for the added expense or seek other housing. If they leave great because new tenants will not have a problem with paying utilities since it is from the start. 

Wow @James Perdomo! you are on it! 

Congrats @James Perdomo! Can you provide more details? What are the numbers? ARV? estimated repair costs? How will you pay for repairs? Do you have contractors lined up? How long do you expect the flip to take?

@Anthony M Schlitt you can have your cake and eat it too :). I am also in the military. First off, you can borrow from your IRA to use as a down payment for a property. Second, you get VA loan funding of up to $417k with no down payment. You can use your VA funding loan to HOUSE HACK by purchasing Two - Four units multi family as long as you agree to live in you of the units. In addition, you can use 203k loan to purchase distress properties that you will live in and convert it to VA funding. I recommend you keep it simple, use your VA funding to purchase two-four unit multi-family close to the base your are at, rent to follow military members so they can pocket some of their BAH (everybody wins). You follow this and you should be able to live for free and pocket your BAH. All while continuing to max your IRA contributions.

Go Blue!

@Randy Bloch nailed it. Any money you place in stocks should be considered to have at least a 5 year time horizon. (hint: I am a value investor/ buy and hold). Look at the correction the stock market had over the last two weeks. You don't want to find your house hack property only to find your down payment you placed in stocks is down 15%. Charlie Munger has said what has made him and Warren so successful is their ability to sit on money when others felt the need to act. So leave your down payment in your saving account. When you find that house hack, it will more than make up for lost dividends you would have received in the stocks market. 

Thanks everyone for the info!

Hey BP,

I keep passing on multi properties that have common water because I don't want to pay for any utilities. Now I am wondering if these are missed opportunities. Can anyone tell me ways to separate common water and what costs are involved?

Thanks,

Watson