All Forum Posts by: Thomas Mattausch

Buzz Killington here.

Have you looked at projected numbers, based off similar projects? Given that you are in the woods, why will anyone pay you to park their tiny home on your land, instead of anywhere else (friend's place with a view, etc)? How much will they realistically pay you? 

If you can generate enough buzz and hype (very full time job) to make it a popular destination, maybe it could work. Skeptical that it will produce profits worth your time. 

RHAWA for the win! Your dues lend your shoulder to the legal battle fighting the insanity. And, they can be reached on the phone, and will answer your questions!

Becky, if you can get a place that is just a bit run down, that only needs cosmetics, you have potential to pick up more equity than if you are competing directly with Mr/Ms Techie Turnkey! 

You could likely post here or on construction forums with details of the any rehab quandaries you're facing. If you can find small-time contractors with really good reviews and relatively reasonable prices, you should be in the clear. Assuming your inspector is thorough (hire two!) and you don't have surprises after purchase, the main danger is overimproving and feeling the need to rebuild everything because it's old. 

Also, I am currently being offered an off market property that needs small cosmetics at likely approx $100k under ARV. I will be seeing the property in person Saturday. I'm a third generation landlord with plenty of construction savvy, and if you would be interested in discussing helping finance or participate in this deal, feel free to drop me a line.

Just had the first one. Very smooth process with http://idealinspectionservice.com/

As a third generation Seattle landlord, I'm conflicted on this law. There's no denying there is a history of racist housing laws in Seattle.

Required reading for every Seattle landlord: the story of a would-be cash homebuyer, Robert L Jones: 

"The attempt by Robert L. Jones, in April of 1959, to buy a house outside of the Central District helped focus a spotlight on racial discrimination and housing issues in Seattle. The Washington State legislature passed the Omnibus Civil Rights Act in 1957, outlawing housing discrimination in home sales while loans from a federal or state agency remained unpaid or while there was commitment for such loans. In 1959, John O'Meara put his house up for sale. O'Meara financed his home through a private loan insured by the Federal Housing Authority (FHA). He did not use a real estate broker but, rather, listed the house himself. Robert L. Jones and his wife visited the home on April 19 and on the 21st had their attorney leave a down payment of $1,000 and a signed earnest money receipt with an offering of all cash to seller on closing. The check on the earnest money receipt were returned to the Jones' attorney. The Jones family filed a complaint with the Washington State Board Against Discrimination. The Board upheld the complaint that the O'Mearas had refused to sell their home to the Jones family because of their color.

In January 1960, the King County Superior Court ruled that state law unconstitutional, and upheld the O'Mearas' decision not to sell their house to the Jones family. In September 1961, the case went to the Supreme Court of Washington (O'Meara v. Washington State Board Against Discrimination). The Supreme Court ruled on a 5 to 4 vote in favor of the O'Mearas, judging that the state law did not apply because an FHA loan was not considered "publicly assisted housing.""

https://www.seattle.gov/cityarchives/exhibits-and-...

The man got enough cash together to buy a house, went to court to prove his right to buy outside of the segregated CD, and lost.

However, I do doubt the impartiality of studies by the Seattle Office of Civil Rights that claim to show discrimination by property managers. They have to find discrimination to justify their existence. 

Further, I feel this law is very unfortunate and really a lose-lose for everyone, because the loss of (especially small scale) property managers' ability to use discretion in accepting applications will absolutely result in application criteria being raised across the board!

All the people I took a chance on through the years who made a good impression but had bad credit, too many kids, don't make quite enough money - they are now out of luck. 

However, my fellow Seattle landlords should know that enforcement is being delayed until July 1.

http://rhawa.org/Blog/post/2017/02/02/Seattle-publ...

Thanks for bringing it up, Justin.

Sounds like a great deal. Either your valuation is low or we have different definitions of "one of the most sought after communities in the general Seattle area."

Perhaps others with lease-option experience can comment, but only downside I see is the lease option itself, as opposed to a purchase (flushing $3500 down the drain monthly). Is the lease-option his preference? Have you compared that to any other available financing methods? 

Granite slabs are cheap, durable, and allow you the high end look of an undermount sink. It's my favorite thing to easily add value. Choose a pattern that won't show stains and find the right vendor with aggressive pricing. 

@Zack Clark see my post here for info on (as far as I know) still pending legislation:

https://www.biggerpockets.com/forums/52/topics/396578-zoning-adu-advice-in-seattle

Unless you want to wait until if/when the new ADU/DADU law passes (which would still require owner occupancy for 6 months), your best bet is likely to just incorporate the former MIL into the house as additional space for that single unit.

Let me tell you one thing I know...it could definitely cost more than $65k!

Not sure what kind of funding you have available, but you might find that you dig yourself a nice money pit when you dig out that basement. If you have lots of cash available, you can try to GC it yourself and potentially save money, but my recommendation would be to get all-inclusive firm bids from reputable GCs so that cost overruns are not your problem. It WILL cost more and take longer than you expect. Take notes and ask questions on their process and maybe bite off more of the role next time.