All Forum Posts by: Andrew Hamlett

So I have an opportunity to purchase an off the market deal from someone we know. Because of the deal, I think we could make it work but would like to cut out the hard money lender. Wondering if there was a structured way to make an agreement with a seller, hold it for 3-4 months during rehab after agreeing upon a price, offer some percentage above that based on sale as a carrot, maybe upside based on final price. In the meantime, we handle the rehab, insurance, marketing, etc.  How could you come up with an agreement to protect yourself as well as the seller for the duration of the process, is that possible, has anyone here done something like this?  Thinking some type of an agreement or owner financing type structure and take that to a title company?

Andrew

So I'm drawing up an excel sheet to analyze office space to potentially purchase.  This would be single tenant office space I'm trying to compare with current office space, single tenant. I'm essentially looking at monthly rent with annual escalators vs what the new property would cost to purchase, rent, etc.. This would also include operating expenses, of which there are many. I believe I have everything, data wise, I need to compare that but curious if anyone had any models they've made via excel or other systems that they could share. Just looking at a deeper analysis and hate to completely recreate the wheel that I know others already have done. 

Many thanks in advance!

@Lewis Buckley thank you

Hello, I've been using the rental calculator for more than a year and love it but noticed today, when you enter the interest rate on the loan details, it doesn't let you put a decimal point.  For example, I've been putting 3.625$, now it seems like it is only in increments of 2,3,4,5 percent. Where did the decimal option go?  

Anyone have any insurance brokers/companies they like for Abilene, TX area. Need some new quotes for renewal of landlord policy.

Thanks,
Andrew

@Nick Peters appreciate it, will check it out.

So, I've always used the rental calculator for SFH's and Duplexes which work great. Trying to analyze a multi door condo unit which is really multiple duplexes. What I'm curious about, is if you have a commercial loan, and you are structuring with just paying interest for the first 5 years, how do you do that. I thought the calculator at one time, had the option for "interest only"? That makes a big difference on cash flows of course.

Thanks,

Andrew

I was thinking of using a few balance sheet/ asset accounts to record balances for the various escrow amounts. Could just look at one side for tracking the various amounts. The debit and credit would equal each other out as far as the balance sheet is concerned? Any thoughts?

Thank you,

Andrew

I use Quickbooks Desktop Pro for accounting with my properties. I was wondering how you setup escrow type accounts for things such as putting aside money for repairs, capex, vacancy, property tax, etc. I do not truly escrow funds but like to set aside some for when that occurs, managing that myself. My thought was, to record a percentage every month and track a portion of my income every month for this. I am not physically moving cash from my checking account to another place but want to keep a running total in the ledger for that. Not sure the best way to handle this? A balance sheet escrow account? How should I reflect this on my books as well. Please advise?

Any help or insight, GREATLY appreciated.

Andrew H

Hi, I have a duplex currently rented and finally chose a management/accounting system. Very interested in Quickbooks but don't want to spend the money yet. I choose Stessa and it looks like a great free program but trying to understand the mechanics of how I would account for budgeted items going forward (escrow accounts). For example, I set aside 5% for repairs, capex and vacancy in escrow or holding. Additionally, I want to set aside funds for property tax, insurance. How would I go about making that entry on a ledger. Do I treat this as a prepayment or escrow type account, crediting cash and debiting the prepay?  Then when I pay a repair costs or property tax, I make an entry reducing that account. We all need the stash accounts to deal with rainy days but how do you account for that on a ledger for landlords?

Andrew