All Forum Posts by: Brendan Miller

@Account Closed I agree with you. We allow dogs in our rentals but typically charge a pet rent and hold a separate pet deposit for damages. We have always owned dogs, so we've lived the scenario first hand of trying to find good rental properties that allowed pets. I think there definitely should be a vetting process on the pet (breed, past landlord references, even meeting the pet if needed). You should also look at HOA CC&Rs on breed restrictions if the property has an HOA, and even some insurance companies will have breed restrictions, so you should check with your insurance company.

@Prash Manohar it's definitely possible, that area has seen significant property value appreciation which would drive rents up. If you're getting ready to list the property, then I'd recommend starting on the high end of what the comps show and then the market will tell you pretty quickly if you're too high (i.e. not a lot of inquiries or showings in the first week). You could also reach out to local property managers in the area.

Hi @Prash Manohar, it's definitely possible especially in the Austin market near the Tesla site, but your post is missing a few details that would be helpful to check (such as current rental value, home price, # of beds, baths, SF, etc). It's hard to rationalize if the $200 increase was a 5% increase in rental price, or a 25% increase. I normally use Rentometer to check my rents, and it shows historical trends over time for comparable properties.

Hi @Taylor King, I think it ultimately depends on what you're going to use the money for and how long you plan to keep the property you're pulling the equity from. Typically if you have an immediate deal that you're going to put the money into, then I'd recommend the cashout refi since it's a lower rate and it'll reset your amortization period at that rate (not sure what rate and remaining terms you're at currently), especially if you're planning to hold this property long term. I have HELOCs on my properties to use as backup funds for situations that arise when I need the money (repairs, bridge loan for property acquistion, etc), but I'm not currently using it for long term debt if that makes sense. I don't think there is a right or wrong answer though, I think it just depends on what best fits your goals

Based on the HELOC info provided, this is almost identical to the PenFed HELOC that I just setup. I went through a similar 'HELOC vs Cashout Refi' analysis, and ultimately went with HELOC since I didn't have an immediate need for the money, I just wanted access to my equity if or when I needed it.

@Account Closed nailed it and is exactly what I would do, try to renegotiate the price for the difference in lost rent over the two years; if they say no then you're back to Option 1

@Dilini Sundaram it really depends on what your goals are, both STR and House Flipping are high time intensive types of investing to get started with. Both can definitely have upfront higher returns than let's say Buy and Hold Rentals, but at some point you need to start evaluating your time within the equation and what your time is worth to you. For example, if you have a high earning W2 job currently, those options may not be the best solution for you, instead buy and hold rentals might be. On the other end, if you have more time available than money, then I'd say those options may be a good fit. If it were me in your scenario, I'd go secure $1M worth of good cash-flowing properties on 30yr mortgages. You can also mix strategies and use the BRRRR method to flip a house, hold it as a long term rental, and pull your capital out to redeploy on other deals.

@Everett Baker, I agree with everyone's comments, technically it needs be reflect that way in the contract. However, you can always make the request that the washer/dryer be included since it was shown that way in the listing and see how the seller/agent respond. Worst case they say no, and you're back to where you are now. Other option is you could offer a couple hundred bucks to purchase the washer/dryer separately if you really want them.

@Keegan Shivers, you're crushing it, nice work getting started!

Hi @Jaleen Anderson, it really depends on the buyers long term goals and what they're looking for. For example, most of my current deals I try to have zero loan points because I care more about having enough capital towards future deals than I do about getting a 0.25 or 0.5 point reduction since rates are the lowest they've ever been historically. The other thing I look at is my exit strategy; for example, if I'm planning to refinance in the short term (a few years) then a point buydown doesn't make a lot of sense. However, if the buyer is looking to purchase with a 30 yr mortgage and hold the property for that term without refinancing or selling, then I'd say go for it. You'd just need to crunch the numbers and calculate the ROI duration based on the upfront points amount.

@Dareen Allie I think it highly depends on the HOA that governs the property and what their CC&Rs are as it relates to renting. I just sold a condo property that I owned for 5 years and it was a very good investment for me with little to no HOA related issues. The HOA was well managed which is a big factor. If you are doing STRs then I would definitely vet that HOA guidelines. As for rentals, my specific building didn't restrict rentals or STRs for that matter. Typically if you have a real estate agent you're working with, then they can find out pretty easily from the listing agent whether or not there are HOA restrictions (if it isn't already disclosed in the MLS listing).