All Forum Posts by: Chris Seveney

Typically they will want you to fund atleast 25% of development cost and 20% of construction with construction lender providing remainder. Savvy investors will have a waterfall structure with their money being first dollars out after construction loan. I would suggest putting together a proforma and have a GC do a conceptual budget to target investors with.

First not a lawyer, but I would not call the city, it is an HOA issue and advise them that you are not handicapped and want the sign removed or let them know you will not accept penalties for parking there since you "own" the space. If the HOA is required to have a handicap spot (which I assume they do) and it needs to be close to the ADA path of egress then you can exchange / sell it to them for another spot. Since it's probably the most prime location you should workout ok on the deal.

Postlets is now Zillow rental manager - my Postlets were automatically transferred

Very smart move.

I concur with other comments I doubt $8k a month and if your not managing it expect 65% to go to expenses and management (which puts you close to $2400 and I would want $3000/month min clear on property

Paint it. tenants will not be interested I spending the $ to paint

I went after a house with 220k ARV that needed $120k worth of work. It was listed for $165k bank owned which was a joke and the bank never had seen the house and the listing agent never advised the bank the work required. Listing agent thought $25k could get it livable (4000 sf 4 unit that needed new roof all new Hvac systems and new kitchens and baths as whoever owned it removed everything) I offered $50k and listing agent said it would be laughed at - I said fine but it's been on market for a year for a reason. Offer was not accepted and I walked. Price reduced now to $145k but still only a sucker will pay even 1/2 that. My point is sometimes you have to walk away

@Christopher Brainard - I was thinking the same as you - make two offers (one with and one without lease) and explain why the numbers are what they are. I was going to have the offer with current lease to not only include loss of revenue but potential costs for eviction as I suspect these people will be very difficult to get out once in. This is in Virginia so the laws are not as bad as some other states. 

I am looking at an off market deal which is a duplex. The owner needs to sell because they are in a financial crunch. In the short term she was also considering leasing it because of her desperation for Money. The home was listed on the market but was overpriced and needed work (listed at 100k and worth 75k) While preparing to make an offer with my agent, my agent just was advised the owner (went around her leasing agent back) and is in the process of leasing the home to a friend for $550 a month for both units (person moved in but has not finalized lease). The going rent for the home is $800 for the 3BR unit and $400 for the 1BR unit. The owner now notes she will sell the home but with the current lease in place (lease has yet to be executed). Based on the current revenue, what would you do - walk away - base offer based on current rent - or base on actual value ? My fear is with tenant in there and house needing work they will be a pain and constantly want things fixed and attempt to get reduced rent and then have to deal with trying to get them out in a year Thoughts ? Thanks

I am not a lawyer - but when I got married my wife owned property with a mortgage and did not have to change anything. so my assumption would be no.