All Forum Posts by: Bryan Reid

@Joedocei Hill 

My favorite home inspectors are:

-Steve Nance with Pruitt Property Inspections

-Carlo Barone with Talon Home Inspections

Contractor recommendations will depend on what you need done. There are plenty of good folks out there, and I would recommend slowing building your contact list as you start needing things done and find good people for each specialty (plumbing, electrical, HVAC, general handyman work, etc.) Definitely hit up the local REIA for advice, too - it is great.

I second @Jordan Moorhead 's opinion that neither of these sound like stellar rates of return.  Not terrible, just nothing to become overly excited about either.  (As a caveat, my home market is Lexington, not Louisville, so perhaps my perceptions are skewed a bit.  But at least for Lexington I would not bite on either of those deals.)

@David Acosta

I see this request is a few days old, but if you're still interested in a contractor to build out some basement units, send me a message.  There is a local guy that divides his time between flips and apartment rehabs - he could likely help you with your MF expansion.

good luck!

And remember a property is not sold until it's closed.

Brokers will absolutely take backup offers - happens all the time just for instances like this one.

Great topic, @Jarrod Williams.  Very interested to hear folks' experiences.  Would also be interested in getting an informal 'poll' to see how many folks use an outside PM vs those who self manage.

@Jarrod Williams Congrats on the 14% cap rate - sounds like you're definitely making this work well here!  If you don't mind my asking - how do you handle the cleaning/restocking between guests?  Are there companies locally that provide those services (similar to what you would find in a tourist locale with greater #s of vacation rentals?

Great - wish you lots of success!

When I reject an applicant for a reason other than income/credit/etc. (something concrete) I usually just write my rationale on the lease application.  Date it and save it as documentation.  You don't have to provide any reason for rejection to the applicant - just be sure you have a valid reason in the very unlikely event you would actually need it.

Your 'valid reason' can be almost anything OTHER than protected class.

I frequently reject applicants because they didn't show up on time for a showing appointment, were rude or obnoxious, etc.  My application has an 'office comments' box just for me to write notes to myself about why I rejected said jerk even though his income and credit were good.

@Joe Xie

I don't recall ever being asked what the purpose of the loan was for.  But really I don't think the bank cares.  If the answer is as a down payment for another investment I can't imagine they would have any issues.

Most banks are still reluctant to do HELOCs on investment properties.  But some do.  Check with smaller local banks in your area.

We just got a HELOC on one of ours. 70% LTV.

On a primary residence you can usually get a HELOC with 80% LTV (more with good credit), but most banks will limit LTV on investment properties at around 70%-75%. I've even seen as low as 65%.

The only other upper limit is your debt-to-income ratio.