All Forum Posts by: Babu Ramadoss

Hi

    I am going to do a cash purchase of a mixed use property (has a store at the front and a single rental unit). This will be my first cash purchase. I am using a title company to ensure title is clean. What are the other things that i should do to ensure all due diligence (related to ensuring no encumberance on the property) is done before closing?

I am good with cash flow and ROI and Cash ROI. Its the encumberance details that i want to ensure as i am not using a lender who would otherwise do the due diligence on this deal.

Hi

I am looking at a property that is currently setup as SFH and zoned as RM1. It has good space. I would like to change it to a multi-family home. What are the things involved and what do i need to consider ?What could go wrong?

Hi

In BRRRR, you make two loans : Short-term Rehab loan upon purchase and long term regular loan at the end of rehab. For each of the loans, the closing costs comes to about 10 - 15% of the loan amount. So I end up paying almost 30% of the loan amount which makes me leave more cash in the deal than i expected. How do you guys manage this? The title costs are coming around 3K on every loan + Origination fee + document charges + escrowed money and several other line items constitute the total 30% costs. I tried using the same lender and title company for both the loans and yet the expenses are the same. Any thoughts?

Thanks @Kyle McKnett. 

@Jill F

Great idea. I cant wait to scale to that size and will use contractors as you suggested. I tend to assign the rehabs to a Project Manager as I am not able to find guys that can get the job done as promised on schedule.

Thanks to everyone.

any references for painters in Philadelphia area? I cant paint it myself. I have a day job . I need to outsource it.

Hi

    As part of rehab, I am trying to paint a house? Its a 1100 sq ft house with 3 bedrooms and 1.5 bath. The property is in Philadelphia area. I am trying to just use one color (light grey) for walls and white for ceilings throughout. It will be a rental property post rehab. Any thoughts on how much would it cost to paint? Also any pointers on how much per sq ft should i expect for LVT flooring? Appreciate the help in advance.

Thanks @Eric Greenber

@Eric Greenberg  Thanks. I am looking at the area between Master Street and Saint Rose of Lima school.

Hi - Does anyone know about zipcode 19131 in Philadelphia? Is it a  safe and good neighborhood to buy investment properties? If you have any thoughts on this zipcode, please let me know.

@Mayer M. Can you share your lender details? Its a great and very competitive rate.

Hi

As I look to invest on real estate and try to decide on an area to invest, I am caught between two parameters : Cash on Cash ROI v/s long appreciation rate. Places that have a higher appreciation rate have a heavy property tax. The hefty property tax eats into your Monthly ROI as you shell out $300 - 500 per month on annual property taxes. The places with low appreciation rate has lesser property taxes and gives you a handsome Monthly ROI. I believe Real Estate investments are typically for long-term gains (unless you are flipping the houses). So what should be my main driving parameter to decide an area of investment : Immediate monthly cash on cash ROI or Appreciation rate? Can experts help me with their opinions?