All Forum Posts by: Billy Quirke

Hey Everyone,

I currently have a single family home where I am renting one of the bedrooms (my primary home) and a duplex in a neighboring City (Joliet, Il). I've owned the single family home for 4 years and the duplex for 3. Since I bought the duplex, I've become a bit stagnant in terms of buying another property with pricing going up in my area as well as the costs of maintaining the two properties (the duplex specifically). The repairs on the duplex were all planned for and all the cash flow I get from that property has stayed in reserves from the beginning until I feel comfortable taking money out. I had 2 major repairs last year at the duplex that set me back a bit. This property cash flows $200 per unit including budgeting for repairs. 

 I have 2 properties (duplexes) in the surrounding area that I have been running the numbers on and I believe they will cash flow about $350/monthly per unit based on the comps I have. These are both outdated properties that would require work on the front end. I think a lot of value could be added to these properties with pretty simple improvements that I can do myself, but I know with older properties more substantial repairs will occur.

Basically my question is - based on other investors experience - is it worth it to take on more of a risky property (older and in a worse area) that will cash flow in order to keep the ball rolling in my investing?

Any advice is greatly appreciated. Thanks in advance!

Definitely something I will look for if I do move forward on this! thanks Dorothy.

thanks for the great advice and the references Rebecca! I will keep searching for a property in a better area that will be easier to manage. 

I am starting to crack down on my next investment property, and have been looking mainly in Milwaukee. I am living in Chicago but went to school in Milwaukee and I am somewhat familiar with the surrounding areas. I am looking at one particular property that I believe fits the BRRRR strategy, but one of my biggest concerns with that would be managing contractors from out of town.

Looking to see if anyone that's invested in Milwaukee has any insight in terms of finding contractors to work in less desirable areas. I don't have any experience in that but I am assuming it will be harder to find contractors that would be motivated to work in a more dangerous part of town.

Any advice or book recommendations on the screening/managing contractors process would be greatly appreciated!

@Simon W. 

thanks so much for the feedback! Really appreciate it. I will get in touch with a CPA asap. 

Yes and Yes!

Hello Everyone! 

I just closed on my first duplex, and before the closing I set up an LLC to have the deed quitclaimed, and opened a business account with my bank for the LLC. We were not able to perform the transaction at the closing, so the property is currently still under my name. I have already deposited funds into that account to help me keep track of expenses getting the property ready, budget, etc. The lender has told me that we will not be able to transfer the deed until everything is "recorded", and he said with their current backlog it could take up to 2 months.

There is already a tenant in the upstairs unit, and I am currently working on the renovations on the bottom, hoping to list it for rent within the next couple weeks.

My questions (and these may be stupid) are, can I still have the utility payments set up with the LLC's account while the property is set up in my name? And when I get the first rent check in January, does it matter if I deposit that amount into the LLC's account? I have enough in my personal account to cover the expenses, but I am trying to keep everything separate as much as possible. Just not sure if there are ramifications when it comes to the tax filing process.

Thanks in advance!

Thanks Yoni!

I am currently taking the steps in purchasing my first rental property, and I have gotten all the comps for properties in the area I am looking to invest in. Most of the comps that I have seen are not in my specific area, and I am worried that this may mean that demand for rent may not be as high in the part of town I'm looking to invest in.

I have also been looking at the school district rating and it seems like each site has a different rating. 

What are the best sources in terms of finding this type of information and trusting that it is correct? 

Thanks!

Thanks for the reply Andrew! I will definitely be in contact with my lender to see if that is an option.