All Forum Posts by: Andrew Alpsteg

This response is a little late. I am looking at a property sold on behalf of the US Marshals. They want 5% earnest money or $2,500 whichever amount is greater. In this case that is a ~10k earnest money deposit. This is also on the MLS and being sold as is. Did you end up buying the deal? Anything you wish you would have known or done differently?

Hey everyone,

I was looking to see if anyone has a good CPA they would recommend working with? I am fairly new to real estate investing. I purchased a duplex last July. I rent out the other side and half of the side I am living in. I use part of my unit as a home office and storage for supplies/tools/etc. I've always done my own taxes, but I am thinking this time around my tax situation will be a little more complicated. Any particular questions I should be asking when I am interviewing CPAs or advise as far as things to consider with my situation? All advice, help, and recommendations are greatly appreciated.

Thanks!

@Jonathan Greene I’m about 6 months into my first investment. My biggest blunder hasn’t revealed itself yet. Hopefully I can make it to 2020 before then.

@Lawrence Zhou fastpeoplesearch.com if you have a name or address. Free. Slower process but works well.

@Jonathan Greene probably getting a good little electrical shock while replacing an outlet. My neck has never flexed so hard.

@Jay Hinrichs your absolutely right. If he can get a reputable engineer and foundation contractor that both offer warranties then that would be my aim. There’s no guarantees but when your ready to sell and those guys are still in the business then you can use it for the sale.

@Todd Wheatley I live in Nebraska. Around here it seems every house has an issue with the foundation. That foundation looks pretty scary. I can tell you what I did during the inspection period and what I would do next time.

I had a few local block and beam companies come look at the property. A couple of them said it didn’t look like a big deal and beams could remedy the issue. Eager to jump in this was a relief. After buying the property I got a few more bids. One guy told me if I didn’t act fast the whole place was going to collapse, while the a few others said it could be fixed easily.

I found that these bids had several different ideas about how to shore up the foundation and each one had there own tactic about why it needed to be done soon. These guys were just trying to get my business and didn’t seem to be experts with anything but trying to get my business.

I decided to go with the most reputable company in our area and they provided a 30 year warranty on their work. I figured if I needed to sell the property at some point I could point to the warranty when the buyers ask questions.

Now with some experience on the topic here is what I would do.. hire a structural engineer. The engineer will come in and inspect the property. The engineer will make a recommendation on what needs to be done to fix the issue. Then find a contractor to make the repairs recommended by the engineer. After the repairs are made the bring the engineer back to sign off on the work done. Here’s why, the engineer has inspected and signed off he is liable if the work doesn’t fix the job. He has insurance to back him up. That gives you a lifetime warranty, don’t worry about the warranty from the company, get one from an engineer. Also be sure it’s a reputable engineer who isn’t going to run out of business. All these things will probably be the most expensive route but it will give you protection and peace of mind.

What is the reason behind this new law? What do you think the odds are that something like this happens in Lincoln?

Ian welcome to BP. I am an investor in Lincoln, NE. I recently finished practices & principles and real estate finance. I am studying up and getting ready to sit for the exam. I would be interested to know about your experience beginning in a career as a sales person. 

Investment Info:

Small multi-family (2-4 units) buy & hold investment.

Purchase price: $157,000

I bought a side by side duplex in July of 19. Two bedroom one bath units. 1848 total square feet. Central location in Lincoln, NE. Great location near hospitals, downtown and the University of Nebraska. It is a nice neighborhood next to two schools and across the street from a popular Catholic church. Family neighborhood with nice homes and a strong renter base. I really have enjoyed the area.

What made you interested in investing in this type of deal?

As a renter looking at buying my first home I decided it would be my best financial decision to house hack. I felt this has really helped me learn and understand real estate and has helped put me in a better financial position.

How did you find this deal and how did you negotiate it?

I searched for months on the MLS and there was no inventory. I decided that I needed to look off market. I developed a specific criteria. I used a free trial of agentpro247.com to generate a list of all the properties that met my criteria. I then found the owners names on county website and searched the internet for phone numbers. I started cold calling. After some calls and making some offers, I finally found someone to accept my offer. I didn't use an agent and negotiated the deal myself.

How did you finance this deal?

20% down conventional financing.

How did you add value to the deal?

I made mostly cosmetic updates. The property was in dire need of cosmetic work. I am still mulling over different ways to add value.

What was the outcome?

I am living for free with some extra cash flow on top of it. I have learned a lot about the process of buying a property.

Lessons learned? Challenges?

Not having a realtor by my side was gratifying but challenging. There were a lot of times I felt unsure whether I was making the right decision or not. I did learn to approach every problem by taking the time to use different resources to find an answer.