All Forum Posts by: Mike D.

I disagree we will see anything close to 2008.

Most of the people who lost their jobs due to COVID are low income, part time, students, etc. who don't own houses. In 2008 you had many middle class full time jobs in finance, housing, and manufacturing get axed.

The protections put in place after 2008 have prevented many people from buying houses again with sketchy terms. 

Most of the big UE numbers you see in the news are including the UNDER employed that didn't show up just a month ago but were always there.

And from what I remember it took much longer than 6 months for things to bottom out. It wasn't until late 2010 that things hit bottom.

My first thought is if they don't need you in the office then they can just offshore your job to an H1B Indian.

Or they will hire contractors instead of employees.

Either way this sounds like another way for these Fortune 500 tech companies to dodge liability and cut costs.

@Haley Powell  If I was in your situation I'd start with a condo. Find one that's been on the market for a while because it is either overpriced or needs some paint and carpet.

Check the HOA regarding pets and rental restrictions which you can find on the county recorder website.

Ask the realtor or association for a balance sheet of the funds of the HOA. Make sure they are able to cover their annual costs with existing HOA fees and that they have a decent reserve.

Walk/drive the association looking for big ticket items that will need replaced which could trigger a special assessment. Ie deteriorating roads, failing retaining walls, bad roofs. 

The more units the better as you will gain economies of scale.

People always bring up horror stories about condos but they rarely happen. If the association outlaws rentals then you'll be grandfathered in. Association fees can go up and special assessments can happen but this is not a normal occurrence. You should be raising your rents anyway every year which will cover the HOA increases should they happen. Special assessments are rare if the HOA is covering the annual expenses.

I own apartments, houses and condos and definitely prefer condos over houses. For the same price a condo will be newer, attract better tenants and  have much less maintenance and management.

Good luck!

@Danielle Bulla Isenhour

Congrats and good job!

Another data point showing the RE market is still strong. The people out of work now were never house buyers anyway.

@Matt Ziegler

Did you raise your tenants' rent to compensate for the expense of hiring it out?

How do most of you handle snow and lawn care in single family homes? Do you make the tenant do it, do it yourself or hire it out? I am renting a house for $1200 and the lease says nothing about lawn and snow. Im guessing if would cost about another $100/mo to hire it out. I dont think the tenant has the time or ability to do it. But I'm wondering what is customary in the midwest.

Thanks.

The hardest hit industries are those with the lowest paying incomes. Waiters, tourism clerks, hotel staff. Those people do not own houses. And the places they rent they are likely to be getting some form of assistance. And affordable housing is in very short supply. I think everyone selling their nicely cash flow properties will be kicking themselves a year from now.

@Alexander Roeschmann

Aren't these UE claims temporary though? And most of the people laid off don't buy houses anyway. They rent. It's not like 2008 when middle class people saw incomes drop and layoffs.

@Ladè Baruwa

Regular late payments. You'll have to post the late notice almost every month. Hope you have a healthy late fee.

More drama too. Enjoy!

@Casey Roman

I would be afraid of investing in your market anyway. Sounds like the market is way over valued.

If I were you I'd look at investing in a desirable smaller town nearby or look into long distance investments in the midwest.