All Forum Posts by: Aubrey Ford

I have two properties that I bought that have month to month tenants in place.  Sent the 60 day notice on June 30th notifying of rent increase and the need to sign new 12 month lease agreements before August 31 or vacate by then.  Now both tenants have failed to pay any rent in July. I think I will have to evict. I think it’s best to wait till sept 1 and evict under the 60 day notice instead of failure to pay rent.

What advice does the experts have in terms of getting the rent owed? A separate suit for monies owed? Add it to the eviction process or am I simply out of luck once they vacate to ever get the past rent?

Thank you for the reply, I will do that. 

I am a new REI and I just bought my first two properties and am looking to expand.

I have two SFR worth 70k each, my first deal. I was able to get a hard money loan for the combo deal of the two properties. but I can't seem to find funding to refinance these as the loan amounts are too small for many loan products. Suggestions?

 @Wayne Brooks I think besides not accurately calculating the closing costs, I compounded my error by trying to do a combo deal of two low priced properties. Where I may be able to absorb the increased initial outlay on one. I'm paying that increased costs twice, as its two loans... that is way more expensive than if I just bought a single property at $125k.  lesson learned... 

I’m new and learning.  I was able to find what I thought was a good deal. Two property package 60k/65k.  When I ran the calculator the numbers looked good. More than 8% COCROI and each cash flowing more than $100 a month.  Problem is the closing costs came back over $8k for each loan. I was using the suggested 2% for closing costs per the calculator.  I realize they are estimates but I never thought actual closing costs would be 13-15% of the purchase price.   It is making the deal unworkable  as I don’t have enough liquid to cover both properties. And the numbers are below 3% now and less than $50 cash flow each.  Now I am in crunch time to get creative or lose the deal..  thoughts? 

 @Randall Alan Thanks for insight!. The loan is not hard money, its a standard conventional based on my W-2. one of the reasons the numbers were shocking. I had a prelim rate check with a different lender that was putting me at a 7.125% but they could not meet the close date requested by the seller. So I went to this broker instead figuring the rates woudl be at least comparable... Boy was I wrong LOL. Guess my newness is showing.. 

 @Jay Hurst Thanks for the feedback. Agree that the smaller loans tend to be more expensive, which I did expect. Was just a bit of shock to see how much. Thank you for the idea of 25% i makes way more sense. If I'm going to pay all that, better it go to principal, lower the rate, points, payments,  rather than fees that do not benefit me... 

Trying to do my first deal and I just recieved a loan disclosure that breaks my deal. With a 714 FICO, 20% down on a $65k purchase they are quoting   a rate of  8.5% , adding 4.5 loan points, and a total of $8,825 in closing costs. All this for a $52,000 loan?  I didnt expect greatness in these times but it feels like these numbers are crazy. Any thoughts from the community on these numbers? 

I am new to REI, but I work in IT and I can attest the increased need for good data centers. Add to this the sharp uptick in the work from home people. That increased WFH employee population requires a lot of new centralized infrastructure within data centers to support.