All Forum Posts by: Nicholas Weckstein

NYC is not the best investment if cash flow is your game.

I’m in a tipped industry as well. First I’d start by claiming all of your tips. It’s worth it . Second, and I’m sorry to say it. 20k won’t get you anything in NYC. So if I were u, which I kinda am, same age, in the restaurant industry. I would invest out of state but within a few hours. I invest in rentals in PA. I’d say save up another 5-10k first then get pre approved for a mortgage for about 80k. You can buy some decent multi family’s in my investment area for that price. I’m an agent as well so if you need any help I can be of assistance. You’d need a property manager though if your out of state. So be prepared. I can help you their also. Weather it be a referral or through my company. Best of luck

Yes I fired my property manager for this exact reason. They were supposed to requested written permission to spend anything in excess of $100.00. They spent 900$ on a dumpster to remove some odds and ends that a tenant left behind. I doubt the dumpster was even at the property. Then after me flipping out they would rack up a bunch of 70,80,90 charges. I had enough and fired them about 2 weeks after the dumpster incident. Lucky that their was no term contract. Just gave them 30 days and they quit on their own. Truth is that I don’t think I could ever trust a property manager again. I’ll tel you this, they are in the business of making money. Just as you are. And the bad part is they make their money off of your money. If you can’t self manage then your probably being taken for a pretty penny. Just my feeling.

Interesting, Yes I did know that PA is a tax deed state. So how would either of you recommend getting into this type of investing. I like the idea that say if a house has liens and encumbrances that totals 30k and I pay them to hold the deed, but the property is worth 90k.....I can come out pretty far ahead. But I guess it’s on a case by case basis and I’d have to determine if it’s worth it.

Interesting, so judicial sale is essentially the wild Wild West of tax lien investing. Would it be safer to buy at the upset sale? Say a property delinquent on property taxes. I have a friend who does this and has 3 liens up for foreclosure. I’m guessing with anything theirs still the due diligence.

Stephen Franco was looking into the repository list in Luzerne County and just came across this. I invest in the area as well. Haven’t done any tax lien investment yet. Was thinking about buying at these sales but am concerned with the whole idea of them maybe not being free and clear unless I buy at judicial/repository. Any insight ?

Also you didn’t consider sewer. So figuring your principle and interest payment, sewer, and lawn and snow care. Depending on what your putting down. I’d say your looking at more of $600-$800 per month profit. Still not bad !

As a few others suggested, just make sure your doing your underwriting properly. -PITI -sewer -water -electric -gas -maintenance/cap ex -property management -lawn care/snow removal. -vacancy Make sure your really calculating all expenses. Safer to over estimate Depending on the area and person, some take gross rental income and subtract 25% for CapEx, vacancy, and prop management. So if your saying 2800 in income x 75% your left with $2100 I took the expenses you said and added them up. They come out to $7850 a year or $654 a month. So subtracting that from your $2100 a month adjusted gross rental income leaves your with $1445.00 ! Which is great. But it didn’t seem like you considered lawn and snow removal or your mortgage I think as long as you feel comfortable self managing. And maybe dealing with some tough tenants this could be a good deal. For the right price..... Best of luck.

I love the 4runners ! They do hold they’re value extremely well.

But some options would be finding a co-signer, attempting a commercial loan. Using hard money to buy a rental and then use the income to qualify for a mortgage. When shopping around for properties find ones fully rented so u can use 75% of that toward your DTI.