All Forum Posts by: Brian Zaug

@Faraz Hemani. I would wait until the lease eggspires, then using eggtra careful language and documentation, I'd ask her to eggzit the premises.

Does the second floor have any porches or decks on the exterior wall side of where this knocking sound is coming from?   
Perhaps you have an exterior deck/porch near that wall that is expanding/contracting due to the weather and making the popping sound.   I Had a house with a deck that popped all the time when it got cold...

Russell Brazil, Amen to that!  

Apartment for rent-  Come check out this diamond in the rough.     House is in a beautifully gated community in walking distance to the local methadone clinic.    Apartment includes access to a beautifully landscaped yard where some previous families used as the backdrop to there wedding pictures.  This is going to rent fast so sell off the rest of your stash and bring on over that deposit.  

Seems like a pretty good deal but I have a few questions. 

Who pays for water?  

Who pays for lawn/garden maintanance?  

Tenants pay electric, does the building have electric heat?

Any cap-ex projects coming up in the next 5 years? 

Perhaps after a few years and some rent increases, you can get the appraised value over 180K allowing you to pull all you money out.  But even still, leaving 21k in a deal that cashflows over 600 a month seems to be good in my opinion...

Brian

Poughkeepsie investor

Eric Hrlbock The current taxes are based off of a 110k assessment so yes, if I were to purchase it, I'd be looking at a small tax increase in the near future.  The apartments are 1100 sqft with 2 good size bedrooms and a big kitchen.  In my opinion, I shouldn't have a hard time renting them for 1100.  That would be a 200$ per month increase in rent which would cover any tax/insurance increase......
I really like arlington but haven't gotten any deals there yet.  I'm fairly new to the game (just under 3 years) so i'm not giving up yet  on it.  I guess you are scooping up all the deals there...lol...

Separate utilities?   What are your expenses?  

Chris Szepessy  

I walked from the deal.  We had a structural engineer come in and he really ripped the house apart.  I was very disappointed as I new it was great deal.  House has major foundation issues along with 2 x 6 floor joists that are over spanned and 24 inches on center.  House felt like a trampoline.

I found this deal off market through a guy that's tired of being a landlord.   These are the numbers...curious if this is considered a good deal in whatever market you are in.  I think it's a great deal but be honest and please share what type of deals are in your neck of the woods....

Purchase Price- 135K

Financing- 75% @ 97Kish at 6%- 576$ monthly'

Taxes 3700      Insurance 1400      

Duplex Grossing 2000$ monthly (IMO, room for rent increase based off the size of the units)

No work needed (updated apartments, 2 new furnaces, 2 new water heaters, 12 year old roof)

Utilities are separate

House is in an OK area, i'd say on the fringe of the ghetto

Cap rate around 9% most likely a little more...

It's in Poughkeepsie which is buzzing right now with investors.  Very hard to get a deal anywhere near 135K that doesn't require significant work especially off the mls....

Thanks for any insight

Not sure about lease options but owner financing is pretty simple.   You give them the down payment (20-25% down) and they hold the note for the rest of the money.  Usually, the loan is a short term (1-5 years) with a balloon payment at the end.  I have done this a few time and when the balloon payment comes, I do a refinance and pay off the seller.  To prevent any issues with the refi, you need to add value to the property to assure the appraisal comes in a bit higher than you bought it for.  Updating the apartments, increasing rents, adding additonal living space, etc are just some of the ways to increase the value of a multi.