Hello from San Francisco, CA!

[Melvin Yuen]

Hello BP!

I'm Melvin Yuen and I'm going to copy and paste most of the information I put into my profile.

Educated in finance and accounting; working experience in Accounting and General Construction. I have a deep passion for mobile tech. Looking to maximize IT to aid me in becoming more efficient in moving in on real estate deals, and my experience in construction to give me a leg up in making flips profitable.

Have a good friend who I partner up with, whose background is in investment banking. He manages most of our financial analyses. He introduced me to the BP Podcasts and Website. Currently listened to about half the available podcasts.

I am a partner in a B License General Construction Contracting company for the past four years.

Fortunate that my dwelling in San Mateo County is free and clear. Own one additional free and clear rental property in Solano County (purchased 09/2012).

Just recently closed (12/2013) on an 8 unit in Sacramento as a minority equity partner!

Looking to develop flipping skills and increase the number of income generating rental properties under my belt. Plan to get my own B license next year, and my real estate agent license after that.

My father has been investing in real estate since I was born, but I just recently developed an interest in this industry.

I'm currently working on splitting the lot of my SFR unit for future development.

[Melvin Yuen]

@J. Martin seems like you checked for some of the obvious causes already. I find it funny it is happening to only one of the units. Id try a dehumidifier to see if "less" condensation forms. Yes, I said less because it seems like there is significant moisture if it's to the point of dripping.

Re: leverage

I'm still feeling out what I'm most comfortable with in terms of risk. I'm heavily influenced by several family members that had most of their equity wiped out during the last bubble pop. I think financing is an excellent way to grow your business, but to grow too fast without having reserves for the rainy days could be like you said in your article, disastrous.

I'm currently exploring options to refi and cash out one of my free and clear because the property value jumped more than 100% of my purchase price + repair costs.

I'm looking at:

1) acquiring another income generating free and clear with the proceeds

2) trying a flip, and applying what I know about the planning, permit, and construction aspects to my advantage.

Both are leveraging up, but with option one, I'd still have piece of mind that there isn't a big loan attached to it.