All Forum Posts by: Beary Bowles

well said @Marco Bario, definitely some food for thought and exercising multiple ways to negotiate the deal. I'm leaning toward the 2nd buyer because it seems like I get my cash in closing versus waiting  2 years for a refinancing balloon.  Do you know anything about subject 2 payments? That's kind of what buyer # 2 wants to do. 

Hell fellow investors

I’m in a real dilemma and have been trying to sell my 11 apartments for months. The property consists of an 11 apartment building (1bd studios) and a 2bd fire-damaged house. All for sale for 425K. We had multiple buyers take a look at it but no real strong offer to stick.

Now we have entertained seller financing but we have two different terms but not sure what makes sense and would love the feedback. Here are the options.

The first buyer Wants a wrap-around loan/purchase and will purchase the property for 420K, and put 25K down payment. Cover the mortgage payment of $3100 for the first deed of trust. Pay the second deed of trust for 70K difference at a 4%, 30-year, amortization payments (between $300 to $400), till refinanced within 2-year balloon.

Have a memo of understanding to pay the new buyer $1000 for 10 months in order to help rebuild the fire-damaged building.

PROS: cover my mortgage and be done with the building

CONS: have to wait for 2-year balloon to receive the rest of my proceeds (70K). I’m paying 10k in payments back to the buyer after a 25k down payment makes me feel like I’m taking profit off the table.

My buddy negotiated these terms with this buyer and thought it was best to offer these terms ugh.

Second Buyer: Wants a purchase price for 370K, wants to pay down payment based on remaining mortgage amount which is 318K. Wants to cover mortgage statement, wants an “Authorization of Release” to view any outstanding items with a mortgage, and a walkthrough. He hasn’t indicated a balloon to refinance, but I will add that to it.

Not sure what made him offer 370k vs seller financing 425K but we can still negotiate in between.

PROS: cover my mortgage and be done with the buildings

CONS: less time than the balloon, but will have fewer proceeds that the first offer (52K)

I’m getting slightly desperate since cash reserves are getting low and simply tired of the property however I want the best deal to move on to the next deal.

ANY ADVICE WOULD BE GREATLY APPRECIATED OR SUGGESTION OF WHICH DEAL SEEMS BEST.

@Theresa Harris: The police were called once between the quest but the police said to stay away from each other. I was kinda resolved I guess. Yeah, he could file a restraining order but it would have to have more grounds beside a verbal dispute.  I already filed an "Unlawful Detainer" which is the same thing as an eviction besides not accepting the rent clause. If accept any rent it knocks out any eviction process. We have court Jan 7th, 2021.  Honestly I not about the rent it's just her being a pest and hard to manage with others' guests and not getting along with others in the home.  

This is going to be interesting.  I have a 5 bedroom house that I've been using for Airbnb and also occasionally roommates.  During the quest stay, I agreed to have a verbal agreement with a roommate for $140 a week.  Things were perfectly fine until I started getting complaints from other guests.

The complaints were: Loud talking during quiet hours, moldy food or cluttered food in common space refrigerator, frequent use of laundry room and late hours use, cooking food at late hours, eating all the ice in the refrigerator, leaving clothes and items in the common space.  I have received and collected all pictures and complaints about this roommate.

The icing on the cake was when she had a loud argument with another roommate which was recorded on a surveillance camera.  I asked her to leave and will not be renewing our agreement (That was on September 11th, 2020).  I gave her time and gave her 30 days' notice to leave and she wouldn't.  One time, I offered her $1000 to leave and she still refused.  She played the covid-19 card.  The complaints grew and I had no choice but to file an "Unlawful Detainer" eviction.

Since then things have become worse. During my normal rounds to visit the home and I've noticed her bedroom door lock was loose (loose and unlocked).  I opened the door and she's basically hoarding all her items in her bedroom and bathroom to full capacity.  I approached her and explain that it's a fire hazard and need to clear.  She gave me the weirdest explanation which made no sense and said I shouldn't open her door (in my house lol).

My lawyer said there's nothing I can do about the hoarding during the eviction proceeding.

I'm afraid of losing my existing quest/roommates and creating an uncomfortable environment for a new Airbnb/quest until she moves out (which with Missouri courts/covid who knows when).

At this point I'm desperate and any advice would be helpful or even a tactic to help her move along. I all familiar with landlord intimation law (Missouri doesn't have a retaliation law )and I'm not trying to do that but wanting her to leave when I don't even want any rent is the objective.

Not sure if I missed this in the thread but with a FHA 203k loan, when did you move out and begin renovation? Do you have live in the unit for one year before renovation or it doest matter since your only living in one and rehab on the three ?

Greeting All

I'm kinda stuck in a hard place and want to invest in more rental property. Over time I've been able to buy properties using business credit. Thankfully I was able to do the BRRRR model and pay the business credits back. Over time I was able to increase my limits to more business credit card amounts and acquired business credit card debt through investing and payments to rehabs.

My dilemma is that I have a 65K in business credit card debt (between 10% to 17% APR) and 136K in available business credit card available.

Should I focus on paying of the remaining business credit debt or invest in another property?  I'm able to pay most the minimum payments to the business credit card debt but I've been stuck in the hard place for a while about this decision.

Any advise would be greatly appreciated.

@Michael Wentzel

It's a tricky situation. My guest on only told to park on the parking pad or mailbox. I believe the neighbor is complaining since a quest car might be on the edge of his drive way.

The article violations are:

-No part of any line shall be used for the purpose of than single-family dwelling in duplex Villas and uses accessories there to. The term Single filing joint in Duplex Village shamis building occupied as a residence.

- no life should be used directly or indirectly for purposes of any character or for any purpose other than than an exclusive private residence for one family without the consent of the board of directors. Any lot owner man gauge and of the following business within the residence medicine log counting engineering computer cell's General cell's merchandising

- if in fact you are leasing less than the entire home to a people who are not a single family unit with the term less than a month to month you in violation of restriction of HOA.

However, I thought that I have two longterm quest with mailing addresses there which would prove something.

Hell all fellow investors.

I've owned my personal property for years and have been house hacking it for approximately 3yrs through personal renting out per bedroom or through airbnb (house hacking. Both my neighbors (left, right, and the one in front) are aware of this and perfectly okay with it as long as my quest/room mates didn't don't park on their property. I've Recently completly moved out of the property and now got a notice through the Home association about the number of vehicles parked in front of my home and associating quest rules. What to do and how should I proceed foward?

Hello all

I've been managing my 12 unit apartment building that I've purchased for about two years. For the first time I'm hiring a property manager and she's experienced but (4yrs experience) with units managed up to 120 units. One of the hang ups is she wants pay the bill but asked me how do I pay. I've been paying through my business account bill pay. Should I allow her access into my account, open a separate account, or how should I construct this so she can handle the bills? Any advise would be great.

Hello all

I'm a investor that have $150,000 worth of business cards. I've initially acquired $50K of business credit to purchase a property and after the BRRRR formally, was able to pay it back in full. I've increased the limits on most of the business credit cards but the 0% APR has expired and now its somewhat difficult to use the cards unless doing multiply high cash advanced fees.

Any ideas on how I can use these cards again acquire more properties.  I'm stumped for the last six months and not sure of my direction.  Any suggestion would be greatly appreciated.