All Forum Posts by: Ben Cochran

Yeah I did the same thing with my first deal. Bought a duplex for $300k, lived in one side for a year then rented out both sides. Mortgage is $1800 and rent is $1600/side so it cash flows very well. However this new purchase is a SFH, will have a mortgage of $1800 and current rent comps are about $2k/month. Just don't think $200/month would be worth the hassle. Could be wrong. I've got a year of living in and rehabbing it before making any decisions.

I just bought a home that needs some minor work and updating. Bought at $330k. Estimated $30k in updates, with and ARV of $420k.

The plan is to live in the home and rehab it over the next year with the plan to sell afterward. Just looking ahead and wondering if there’s any specific strategies regarding taxes or expenses that I should be aware of during the upcoming year?

@George Gabriel thanks George. I’m leaning that same way myself.

@Jaron Walling yes you’re 100% right. I’m not discounting other expenses like maintenance etc. I was just providing some round numbers for general analysis.

I paid $310k in 2015 and it appraised for $405k last week.

Not looking to pull out any cash, just remove PMI and FHA.

Sorry if this post is in the wrong section.

I have a FHA/PMI refi question.

I own a side by side duplex. After 5 years still owe $285k.

Im refinancing to remove the PMI and also to allow me to use FHA again with a 3.5% down payment for next multi family unit purchase.

Currently the mortgage is $2k. Rents are $1600 per side ($3200) a month. $1200 cash flow after mortgage is paid.

Refi options are 30 years @ 4.75% (now considered an investment property) with a new payment of $1900. ($1300 monthly cash flow)

Or 15 years @ 3.99% with a new payment of $2600 month. (Monthly Cash flows $600)

Is it better to have the shorter loan period with less monthly cash flow or the longer term loan but cash flowing more per month and pay that profit onto the principal each year.

I’m 44 and my long term goal is to have at least 5 multi unit properties paid for and cash flowing by the age of 60.

Looking for a strategy.

Thanks

Sorry if this post is in the wrong section.

I have a FHA/PMI refi question.

I own a side by side duplex. After 5 years still owe $285k.

Im refinancing to remove the PMI and also to allow me to use FHA again with a 3.5% down payment for next multi family unit purchase.

Currently the mortgage is $2k. Rents are $1600 per side ($3200) a month. $1200 cash flow after mortgage is paid.

Refi options are 30 years @ 4.75% (now considered an investment property) with a new payment of $1900. ($1300 monthly cash flow)

Or 15 years @ 3.99% with a new payment of $2600 month. (Monthly Cash flows $600)

Is it better to have the shorter loan period with less monthly cash flow or the longer term loan but cash flowing more per month and pay that profit onto the principal each year.

I’m 44 and my long term goal is to have at least 5 multi unit properties paid for and cash flowing by the age of 60.

Looking for a strategy.

Thanks

Thanks everyone. Great advice from everyone. I'll start with the HOA and homeowners and have my tenants start giving the CPS or the cops a call when the next situation arises. BTW one of my tenants is Mexican lady and this morning she said she's definitely familiar with the specific style of clothing they wear, the cars they drive and their tats..I believe "cholo" was the term she used, or Mexican gangster when she was describing them to me. She also confirmed the teardrop tattoo under the eyes. We'll definitely forgo the direct confrontation and let the HOA/homeowners, CPS/cop handle this one.

@Anthony Wick thanks. I don’t have an issue contacting the neighbors personally but I live in another city. I just don’t want to create a retaliatory situation for my tenants when I’m not around. I think I’ll start with the HOA, then figure out who the homeowner is.

Thanks @Dennis M.  I’ll will prob have to do that at first just to say I at least tried before contacting anyone else. I think next step would be researching the homeowners and seeing if they’re even aware. 

I own a duplex in a nice quiet neighborhood. Both sides are rented out by fantastic long term tenants. Recently new neighbors moved into a rental across the street. From day one the tenants have been completely absent while 5-8 children, all bwtween 3 and 10 years old. They occupy my tenants front yards, walkways and even fenced in backyards. The house has constant traffic and is rumored to be a meth house by the other neighbors. They party all hours of the night and even park in front my my tenants driveways and block them in. Without being judgemental, the people that frequent the place have face, neck and prison tats. Many of them with teardrop tats under their eyes. My tenants have said they are starting to fear for their safety and dont want to confront them. I thought they were being a little paranoid until I drove by and saw for myself. I’m afraid I’m going to lose my tenants if something isn’t said but I’m not sure who to contact. Should I contact the owner/property management/landlord? I don’t think I should call the police because I have no proof their doing anything wrong other than being terrible neighbors. I don’t want to be “that guy” who calls and rats out other people, but I’m very concerned I’m going to lose great tenants because of the direction the neighborhood has turned. Am I being “that guy”?