All Forum Posts by: Chris Carollo

I have a very detailed application that I send to them when I set up the time for the showing.  I tell them to print it, fill it out and bring it with them to showing.  If they like the place, they can hand it to me and if they don't they can tear it up. I tell them that I process tenants on the order that I receive the applications.

Once I receive the app I then can send them the email link to mysmartmove.com where everything is then taken care of. They pay mysmartmove directly so I'm not dealing with any $$ during this process. 

I also let them know on the credit app that all payments must be made via chase quick pay.

In Chicago I always paid attention to what type of retail, bars and restaurants were going in. More starbucks than dollar stores, probably an area that is getting gentrified. I also would drive the alleys to see what types of cars were parking behind the buildings.  

Does that include the solar attic fan(make sure it has a thermostat so it doesn't run in winter) and the attic fan? If so, I think it doesn't sound horrible.  How hard is it going to be to install? Is there much room to work? The hassle factor of working in a tight space might be driving up the cost. 

What do other rentals in the area offer? 

 I've personally always included appliances for a couple main reasons... in my markets tenants expect them and it keeps wear and tear to a minimum.  Moving and installing appliances can lead to a lot of quick wear and tear on your place. 

Welcome and glad to hear that you are getting started!  We only have one condo, its been the easiest to maintain of all our properties but the most hassle factor. Assessments, move in/move out fees, insurance regulations, etc.  Not saying that its'a bad investment but a different type of investment other than single family/mutlifamily.

Some things to think about...

HOA-What does this cover? How are the reserves of the building?

Can you even rent it out? Some buildings have strict guidelines on rentals

What is your target audience for it? Students, Young Professionals, etc. In my experience turnover seems greater than my single family properties.

 How much are others renting units for? Take a look at Zillow.com for current units for rent in area. 

Good luck!

Cash out Refinance on the value of the house today? Yes, you'll have closing costs but you can take out the money and use it for the next project, etc. 

A year to tear it down? That alone would lead me to any of the other options. 

@Rayshad Gibson-Sorry it took me a couple days to follow back up with you. So multi family it is!! Are you looking at Multi Family Under 5 units or over 5 units? Under 5 will allow to get residential financing whereas anything over 5 units puts you into commercial financing.   

Let's say you pick under 5 units for example..

I'd start to look to see what they are listed for in the cities you are interested in. You can sometimes also see what they are being rented for.  You can also search CL or Zillow to see what other properties are renting for too.   Once you have a good idea of these two things you can start to plug in the numbers into the BP Calculators(under Tools) to get a sense of what type of return they could potentially deliver.   Depending on your market, I'd consider evaluating 20-30 properties this way so that you can start to identify anomalies between properties and cities. For example, I won't invest in certain cities right by my house as they have a much higher tax bill than houses one town over and the houses don't generate any more rent. 

It doesn't hurt to start to understand Rehab costs or financing but I'd spend a majority of my time looking at actually deals right now. 

CC 

Welcome to BP! What do you want to be doing? Residential Rehabs, multi unit investing, commercial, BRRR deals or ??

Once you have a clearer idea of  what you are looking to do, you can start to develop a plan that will help you get their AND be able to ask the right questions. You'll also be able to spend more time on those forum topics, blog posts or podcasts that you want to focus on.  I'm a firm believer in continuing to read and learn more everyday. 

Good luck on your journey!

If you are new to landlording pick up two books immediately. The book on Managing Rental Property by BP and Landlording on Autopilot. My wife is a realtor so we use the standard Multiboard contact with some additions to it.