All Forum Posts by: Carini Rochester

What's going on? Screaming deal sounds interesting. Is this on your website?

My entire 40 year career has been in the Rochester area with a lot of experience in the City of Rochester. Rochester has no motivation to disallow a legal pre-existing nonconforming use. I can think of two situations that would trigger making the nonconforming use no longer legal. 1) The building, or one unit stays vacant for two years or more. 2) The repairs/rebuilding that you apply for a permit for is so extensive that you basically destroy the nonconforming use and then try to rebuild it (ie you tear down the building then try to get a permit to build a new duplex.) If you keep the building in good condition, and keep it occupied with no lengthy gaps in occupancy, then you have nothing to worry about.

I strongly agree with @Josh Robertson 's assessment that, "if you make the investment in the, now, non-conforming use property, and handle all of the business associated with the non-conforming use property according to another section of the City of Rochester, NY's governing code, then the property you are looking to invest into will not become, "illegal." It will simply remain a non-conforming use."

It sounds like you are describing exactly how it works. As the date of the balloon payment approaches, get financing and pay off the seller/lender, then continue to pay off the new mortgage. You might take some cash for yourself at that time. Maybe enough for a down payment on another property!

Hello Juan! That's very exciting that you have made your first purchase. Would you mind sharing a little info on this purchase? Is it a single family? How many bedrooms? What does it rent for? What was the tenant selection process like?

In my experience Section 8 is only a way to help the tenant financially in paying all or a portion of the rent. It gives the tenant no additional rights than any other tenant would have. The tenant has to abide by the lease just like anybody else.

One thing really bugging me in this post is the OP repeating that the realtor gets a fee that he thinks is part of his closing costs. NO! The realtor(s) makes (earns) a commission. This commission of, say, 6% is in the sale price of the property. It's paid by the seller, not the purchaser. You pay the seller 100% of the agreed on purchase price through some combination your money and the banks money. The seller has 100% of the money. He/She gives 6% to the realtor(s) and keeps 94%. I know this isn't the question you're asking, but it seems relevant to how you are doing your calculations.

The move-out routine should be no different than any tenant. Communicate with your tenant your expectations (consistent with your lease), inspect, subtract damage beyond normal wear and tear from the security deposit, issue any remaining balance.

move out checklist

I think that recovering lost pet rent is water under the bridge. However, the damage as described is greater than normal wear and tear and so, deducting from the security deposit for repairs is reasonable. Take pictures. Get a written statement from the carpet cleaners.

Sounds like some really good moves. Glad to hear of you continued success in Nashville!

You could probably go as high as borrowing up to 80% of the after repair value (ARV.) 0.8*165,000=$132,000. But you don't have to borrow that much. If having a lower monthly payment is more important to you than getting as much equity (money) out of the property as you can, then borrow less. It's not that the bank "offers" you a certain mortgage amount, it's that you apply for a mortgage of a certain amount. The maximum is the bank's decision (80% of the ARV), but the amount you apply for is your decision.