All Forum Posts by: Carl Moore

I am looking at a purchase in the Amherst VA area and found Black mold in the kitchen. It looks to be confined to a single wall. I want to know how I can tell if the mold is still spreading. If it is spreading, how can if figure out what other areas might be affected? Since I found this mold, I will need to get it remediated. So, I am looking for a licensed Mold Remediation Contractor in the area too.

I was recently driving around an area I would like to make my first purchase in, and came across a boarded up home (built in 1925, 7 rooms total, 1 bath, 1372 sqft). Looking into the property records, I found the absent owner and a list of violations, including being Condemned: Vacant Housing (2017). The owner over the past few years has also been late paying the taxes (taxes show a zero balance but next instalment is now late too). The area comps, indicate the home could be worth $100 - $120K, with Rehab. It will need a new roof, windows, and possible a total gut inside (not been inside yet.) I was going to write a letter to the owner, offering to talk about purchasing but am concerned about the violations. What steps and advise would you offer to help make this purchase happen or would you run away from this purchase  Thank you all for your advise and assistance.

Be Safe,
C Moore

Hi Greg H,

Thank you for responding. I have been reading your post from a few years back about HUD and found it very interesting. As you noted and I did not know until reading your posts, I am still looking at the Owner Occupy time frame. As we do not want to live in it, I am just going to have to keep an eye on it going forward.

Thank you for explaining how HUD works in the post "The Best Kept Secret For Bidding On HUD Homes” I found the information very helpful in understand how HUD works and the best ways to make a winning bid.

Thanks Noreen Eddy, I appreciate the answer to my questions. After posting, I continued to do more reading on BP and found more information about HUD purchases.

Good Day All,

I am a beginner in REI and need some advice. I came across a HUD property (RE client portal) that is 3BD 2BA for around $90K. This home is in need of a renovation, so when I run my numbers, I can CF with an offer of $60K. (Appraise for $130K after renovation) I also know that my RE needs to put in the offer. Which need to be in by June 5, 2020

What I want to know is how firm on the list price is HUD? Do I need to get FHA loan to complete the purchase? Do I need to have an FHA per-loan approval, or can I find financing elsewhere later? How much for a down payment, do I need to put in the offer? And many more questions, I am looking for answers to. So, please provide more questions with answers, so I can learn. Thanks for your assistance in learning more about REI and HUD purchases.

C Moore

Ali,

I am new to BP myself but had my RE for a little bit. So, looking at your numbers I am little confused on how you came up with them. I came across a good form for crunching numbers as they make you look at it from the point of what you are providing for the rental. The information can be found in the Book "What Every REI needs to know about cash flow" by Frank Gallinelli. One thing to keep in mind, when looking at a live-in then rent-out, consider what you are willing to pay and what the renter is expected to pay. For example: The Electrical bill; if there are separate meters, the rental can pay, otherwise you will need to keep it as an expense. For most SFH, utilities can be gotten by the renter, just let the utility company know that it is a rental. They might be able to set up a main account with a sub account for the renter. This way the renter pay the bill during the lease but it reverts to you after they move out. Something to look into with your utilities.

Looking at your numbers, I went and put them into the spread sheet (attached). Along with adding some of my own numbers to help you evaluate REI in the future. I hope this helps.

Be Safe,

C Moore

This is an interesting post, as this is what I am looking at myself. I am looking at buying land in Virginia with timber; harvesting and trying to decide what to do with the land after. For I want to buy and hold but need the cashflow to keep the REI going. Was thinking of leasing the harvested land to a winery, but that would take a few years to establish a cash flow. So, do I make a few improvements (add a well, get a septic perk, make improved access, etc) and subdivide (to sell), or do some other lease (hunting, ranching or crop farming). Along with Michael, I would love to here what other people have done to make land cash flow. Michael, thanks for the post and look forward to hearing more great ideas.

Be Safe
C Moore

I just listened to BP Podcast 39 "Dire Cheap Land Flipping and Reaching Motivated Sellers with Seth Williams". This is what Seth is talking about. He calls up the county looking for a list of tax delinquents (behind on taxes). Not the tax auction list, that most people go too and bid up. But the list of people who are about to be evicted because of delinquent taxes. He makes them an offer to purchase the property, and covers the back taxes and closing cost. He seems to get people taking his offers and then resells the property for a percentage below assessed value. So, it might be worth a listening to the Podcast and reaching out to Seth Williams to get a better understanding of what you are getting into.

I hope this help get you going and best of luck

Hi Hud,

Let me start by saying what a great post. It is interesting to see how many public safety personnel are into REI across the country. As a new person to REI, I am always looking to expand my network. So, Yes I would appreciate the assistance in making introductions for connections with people in Virginia. Thank you in advance. 

To all the other people on this post, it is great to hear from you. Take care and be safe out there.

Be Safe,
C Moore

Volunteer firefighter/EMT (since 2008) to begin, now career (for the past 8 yrs) at the airports in the Washington DC area. Side note, my daughter at the age of 16, also volunteered. We took the training together, were we where the first father/daughter volunteer firefighter trainee to complete the program in the county, we live in Virginia. It was a great father/daughter bonding time too.

I am just getting back into RE and new to investing. Had my RE license (let expire in 2013) prior to accepting an opportunity to travel throughout Canada and the US, performing photometric inspections of runway lights for airport. I am looking at investing in land in the Southwest Virginia area. Trying to make my first investment by late spring 2020.

Be Safe,

C Moore