All Forum Posts by: Roger S.

Hi everyone. Still fairly new to this, we started last June and this month we will close on our 6th property. We own one outright, the others have all been done with our local bank. The first deal was actually 2 SFR next door to each other and the bank did that as one loan. We are strictly Class C, purchase prices are 60k and under.

The bank is writing our notes in house and we have to put down 15%, it's a 5 year ARM on a 15 year amortization. Rate increases were supposed to be capped at 3%, but I negotiated a 2% cap. Since the rate can only increase every 5 years, even if it goes up the full 2%, my payment will not increase and may even go down, because the balance has been paid down during that 5 year period. The interest rate has been hovering around 5 to 5.25%

So far they haven't batted an eye whenever I've brought them a deal.  We have a strong rental market and rents are increasing steadily.

Are these terms that you guys would consider, poor, good or very good?

We are fairly new at this, having started last June with 1 property, this month we are closing on our 6th.   The only advertising we have ever done is on the Facebook home rental group for our county and the neighboring county.   We get inundated with responses in the first 2 or 3 days the post is up.

Thanks everyone, for their time and advice.

Hi,  Wondering what you guys think is the best interior paint for value and coverage?  I'm getting tired of being told, "yeah, it covers great" and then finding after 2 coats it still looks like crap.

No one has ANY opinions?  Not as much help here as I had hoped.   Thanks anyway!

I forgot to say thanks in advance for anyone willing to offer an opinion.  So,   THANKS!!!

I am buying 2 small homes in a small town in North Texas with very strong rental demand.

These are 3 bedroom, 1 bath, identical floor plans, next door to each other and only about 6 blocks from my home.   I got financing through a local bank at 4.75%, 15% down, 15 year fixed.   Price of one unit is 42,5k, the other is 45k, due to a room addition.

These are older homes, with tenants in place.  We have inspected both homes twice, one is kept very nicely, the other is ok, but not as clean and well kept.  Both properties need some maintenance, rotting wood, paint and some updating and such.  Buyer is providing a 1 year warranty on each home.

Bank is wrapping them into one note, which cuts the closing costs considerably.   At present, each home is rented for 650 per month.  The market can easily support 750.  One lease is up in October, the not so clean house.   I may raise them up to market, in hopes they clear out and I can get a better tenant.  The other lease is up in February, and I may give her a bit of a break, because I want her to stay.  Maybe boost it 35 bucks.

So,   $12,975 down, 4.75%, 15 years fixed.   Insurance and taxes about $110 a month each.    total rent after expiration ~$1385.

Opinions?