All Forum Posts by: Ryan Camenisch

I have an OZ package deal available in the heart of downtown Lexington, KY within the designated OPPORTUNITY ZONE of Lexington. These properties are within walking distance of many popular restaurants, West 6th brewery, several parks, Transylvania University, and everything downtown Lexington has to offer. The city of Lexington just broke ground on their state of the art Town Branch Park (see link at bottom) that is 0.6miles/10 minute walk (straight shot down Jefferson st to main st where the park will be located, directly next to RUPP Arena). The park will be completed by 2025. This package also neighbors three recent new construction single family homes (see link at bottom).

430 Jefferson St - rented single family 

434 Jefferson St - rented single family 

438 Jefferson St - vacant single family 

440 Jefferson St - vacant lot 

444 Jefferson St - vacant lot

• 434, 438, 440, and 444 Jefferson are contiguous.
• LFUCG Zoning: R-4 - High Density Apartment.
• Town Branch Park: https://www.townbranchpark.org/ Recent New Builds neighboring these properties: https://www.ryanandlukas.com/
  
  Full Package offered at $825,000, but willing to sell just the single family's. We have approved plans and have already built 2 of the 5 already designed and approved.

Thank you all for your comments and advice. I really appreciate it.
 

As for my property manager, he is an in-house guy (one man show) employed directly by me and manages only my properties. It is unfortunate the tenant was able to find my name and reach out to me directly but I don't blame him. I own the property under an LLC but that LLC is registered under my name with the state and since I'm a realtor I'm easy to find online.

All that to say we have records of nearly 12 months of consistently late/delinquent rent payments on top of a very poor communication from the tenant, if any at all, so it seems like I’m in the clear. 

Law requires 30 day notice, we gave 60.

My PM is an in house guy and he is handling it, but the tenant was able to track down my name and since I’m a realtor my phone number and email address are readily available online so she’s been able to contact me repeatedly.

Anyhow, my PM has followed necessary protocol, I just want to make sure I’m not at risk of “violating human rights” as my tenant claims

Law requires 30 day notice, we have 60. 

My PM is an in house guy and he is handling it, but the tenant was able to track down my name and since I’m a realtor my phone number and email address are readily available online so she’s been able to contact me repeatedly.

Anyhow, my PM has followed necessary protocol, I just want to make sure I’m not at risk of “violating human rights” as my tenant claims 

In May of this year I told a tenant I would not be renewing her lease due to a variety of issues my PM has had with her, primarily being late on rent every single month and not communicating or responding to his correspondence. 

Anyhow, she went absolutely nuts and started calling and texting me day after day and has now filed a complaint with the Fair Housing Council and has taken to attacking/harassing me online. 

As a realtor, I know I am not discriminating based on any protected class and I do want to lease her unit out to a family friend who needs a place to live. Is this a sufficient reason for not renewing her lease? Do I even need to provide a reason for non-renewal? 

Am I in the wrong and do I need to worry about any legal recourse?

Any real estate attorneys or seasoned landlords who can weigh in, I will be very grateful.

My CPA does a great job for me and is very familiar with investing etc. 

Jacob Sizemore 

Sizemore Tucker 

Feel free to reach out to me if you need contact info

@Axel Ragnarsson,

This is a great post! Love the breakdown of the lessons you've learned. Especially appreciate the point about focusing on equity vs. cashflow, and cash being critical. Highly valuable post, I'm sending to several clients/colleagues. Thank you for sharing! 

Investment Info:

Single-family residence buy & hold investment in Lexington.

Purchase price: $100,000
Cash invested: $9,000

3 bed 1 bath brick ranch in a quiet neighborhood. Large fenced yard and vaulted ceiling in the living area.

What made you interested in investing in this type of deal?

Property was in really rough shape, dog/cat smell, horrible listing photos, overpriced but was a simple brick ranch on a slab

How did you find this deal and how did you negotiate it?

Purchased directly off the MLS using a cash (heloc) quick close offer and allowing the seller to live rent free for a couple months to assist her with the transition to her new home. It was overpriced and had some offensive pet odors so it sat on the market for a few weeks which, combined with the post-closing occupancy, allowed me to make a lower offer that didn't offend the seller.

How did you finance this deal?

Used a HELOC

How did you add value to the deal?

Completely renovated the interior, all new cabinets, floors, paint, countertops and appliances.

What was the outcome?

Immediately rented at a premium due to the high level of finish and location.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

As an agent, I handled all the negotiations and paperwork regarding the offer and the post closing occupancy.

@Ben McMahon, I definitely think the question needs to asked and as an investor myself, I appreciate the perspective. Like others have said, the public on average doesn’t deal much with real estate and the guidance/advisor role of a realtor can be hugely valuable. That being said, there are still way to many realtors who treat the job like a glorified locksmith who opens doors and gets people to sign documents. Realtors need to evaluate their value proposition in this era and approach their role more as an advisor. Yes, we have a network of lenders, contractors, attorneys, etc., but more importantly we study our specifics market trends and provide information accordingly and we need to also help people understand the basic components of their home and how they operate and what it takes to be a successful homeowner.

If a realtor is just unlocking a door and writing a contract, they can and will be replaced by technology.

@Spencer William Quesenberry, Let me know if I can help with something Spencer