All Forum Posts by: Aubrey Prado

Hello!

My husband and I are supposed to close on our next rental property this coming week, as well as close on a refi for our most recent BRRR. My husband is out of the country, so I have a POA for the upcoming closings. Unfortunately, both title companies will need to have the original POA in hand to close the transactions. So my question is: when I am doing a distance closing with a mobile notary, will the notary need to see the original POA (effectively forcing the original doc to need to be mailed back to me in between closings), or can the notary notarize the closing documents that I have signed for both myself and my husband using just a copy? (this would mean the original can be mailed from one title company to the other without needing to come back to me in the process). TIA

I recently purchased a 3/1 in our town that I plan on doing primarily cosmetic rehab + replacing all of the plumbing. It is very dated and generally looks run down and dirty. There is drywall damage everywhere and the carpets are probably 30 years old. I live in a town with a population of only 30K, so there are only maybe a dozen good GC's that can do the work for us. After getting ghosted by the contractor that we had lined up before closing and having items stolen from the property by the backup GC, I have called every other GC in town to get a price/time estimate and none of them would be able to start work on my project for at least 3 months because demand for their work is so high. So the question is - what do I do? Wait to renovate before placing a tenant but have the house just be a black hole for my money for the next few months? Or place a short-term tenant in a sub-par home and risk the issues that can come with that? My husband and I both work full time so functioning as our own GC and finding all of the subs that we would need is not possible because we don't get home from work until at least 5 every evening. 

@Nicholas Covington I am in New Mexico. Why is it that lenders don't like LLCs, even if they are personally guaranteed by an owner of the LLC?

Help! We are currently under contract for our first BRRR property. We recently established our first LLC to start putting our rentals into (we currently have two other SFR) but lenders don't seem to like the idea of lending to a LLC instead of our personal names. We were told by multiple lenders that in order to refinance, the property cannot be in an LLC. Does this mean that we have just not found the right lender yet? Or is there a way to make our LLC more trustworthy through establishing credit with a business card first? And if we do transfer title into the LLC after closing, can we transfer the name on the loan to the LLC or just the title? I would love input from any experienced BRRR investors out there.

Hello @Michelle Mercer! I currently live in NM and hold properties both in Ohio and NM. I lived in Johns Creek for 20yr of my life until I moved away for the military 6 years ago, but I visit frequently. Johns Creek is a very upscale area, with tons of country clubs and golf courses. With that comes high property costs, but also very very little crime and good schools. There is also a strong tech industry presence in JC. I went to a few good private schools in the area and am intimately familiar with the private schools around north GA if you are looking for some insight. I do not know of any MFH in Johns Creek aside from a few new apartment complexes that have been built in the last few years. It is a great place for a forever home. I do not know the typical rent/value ratio in JC, however I do know that it had one of the top 10 highest average rent increases of any city in the country for 2018. If you are looking for slightly lower class rentals in the ATL suburbs, Marietta has tons of MFH and renters, however it does have more crime and worse schools. Marietta houses a few military bases as well as a college campus. If you would like more insight from a local/on good private schools for your kids feel free to DM me. 

We recently closed on a SFR that my husband and I will be house hacking/DIY some cosmetic renovations (paint/floors). We are almost done with the renovations and plan on moving in in the next few weeks. We are pretty low on cash at the moment due to these renovations. There is a FSBO that has popped up on a street near us that is in an excellent rental location and in good condition, for a good price (the numbers work out well). The question we are struggling with... should we pursue it, or wait to build up our savings some more before diving into our next property? I have been trying to work out some options for creative financing, but am concerned about digging ourselves into a hole that we can't get out of from not having enough cash on hand before diving into another deal. Is there a rule of thumb for how much to have as a safety net before purchasing more properties? What would be the smartest decision?

We are not interested in flipping immediately, but we do want an exit strategy for down the road. 

Hello! My husband and I have one SFR under our belts and are in the market for another. We found a great deal in a good area: best schools, upscale part of town, newer and spacier home. But the one downside is that the property has had foundation issues in its past. They have been repaired with piers placed under the garage but the house is still being avoided like the plague. Its currently listed at $119k and is valued in the high $170's. Only other issues that we are aware of are cosmetic that we can fix up on our own. Is this something we should be heavily concerned about or is it a good deal being overlooked because of bad history? Another thing to note is that the seller refuses to do any negotiations: he will not go down on asking price, pay for closing costs, etc. Should we just walk away? Any and all input is appreciated:)

@Heshel Mangel, this is a buy and hold. We believe the property is now worth in the mid $190's (it was appraised at $188k during the due diligence phase), however this is our first investment property so we're not very good as estimating worth yet. The property is currently rented for $1630/mo. Lessons that we've learned from this is that we should have talked down the price a bit more due to the work that needed to be put into it (and the previous owners were going through a nasty divorce so they were desparate to sell ASAP), and we probably could have rented for a bit more because we found a tenant in less than 3 weeks even though it was over Christmas/New Years.

Investment Info:

Single-family residence buy & hold investment in Beavercreek.

Purchase price: $172,500
Cash invested: $52,000

Older home in Beavercreek. Had some deferred capex maintenance (roof, water heater, paint) from previous owners that added to the $32k down payment.

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

Single Family was ideal for our first investment.

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

Through a local agent.

How did you finance this deal?

Conventional loan

How did you add value to the deal?

Bought 10% below market value, added new roof, water heater, and paint

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Highly recommend Lacy Owns at Love Ohio Living if looking for an agent in the Dayton, OH area