All Forum Posts by: Chance Cooper

I think buying something cheap and working my way up is a great idea. I also want to continue growing my asset column...

Chance

So I am finishing up my tour here in Egypt, and close on our 3rd house on June 27th. One rental is paid off with a cash flow of 850, the second is rented with a cash flow of 200, and this third house we plan on living in for a year.

I have no debt other than real estate debt, and they are cash flowing. My salary at work is right at $85k (take home)...When I get home next week I will need a truck. I was thinking of just getting a nice little Ford Ranger extended cab that will get me to and from point a to b. No more than 6-8k. 

OR

Get something nice like a big Chevrolet Silverado 1500, which will require truck payments (20k)....So far I been doing well by keeping my liabilities low, and my assets high. What are your thoughts on purchasing a vehicle?

Chance

@Account Closed Thanks for the advice, I did not know that!

Chance

@Marcia Maynard @Chris Ramos Yes, that is my plan. I am going to tell the tenant that they need to send me a notarized letter explaining that they don't plan to move in on the 1st of July before I sign another agreement with someone else. 

But, I will try to get somebody else in there and give them their money back. Its the right thing to do, a little more work, but whoever I put in the house I want to make sure there's a good relationship from the start.

I have a tenant that signed a notarized lease for one year, and gave me an $1100 security deposit. They were supposed to move in on July 1st 2016...They just called today and said they wanted to back out. Ive had the check since May 27th, and have turned many,many other applicants down because i had a signed agreement with them...We agreed that they would not move in until July 1st because I had some repairs that needed to be done, to include a new A/C install...

Legally do I have to give them the security check back? My lease states that if they forfeit the contract then they dont get it back, however they have not moved in yet. I feel if I give it back to them, I have go through the whole process again which will take longer to get a tenant, costing me more money cause Im paying the mortgage...

Thoughts???

Team

Have not been on here in a while, but wanted to tell you all that I am closing on my third home. This is going to be a primary residence while I keep my other two rented out…Once I am done with closing (June 27th), I will come back and fill all of you in on the details, numbers, etc....

3 down, 2 more to go!!! My goal is 5 houses purchased, and completely paid off by the time I retire out the Military in 11 years…

More to follow!!!

@Dustin Beam yes, but that would mean I have a much higher interest rate. Not sure that the juice is worth the squeeze on that one. And I believe on a commercial loan the interest rate goes up after like 5 years or something like that.

So I just put an offer on my third home we close next month, I will live in it for a year and then turn it into another rental property...This rental thing that I have created is starting to grow, so I think I may need to get protected...

If I start an LLC, and try to put my properties in that LLC, wouldn't the banks stop it? I am thinking they may make me restructure the loan because now its a rental property, and charge me more interest or may not even agree to allow me to put into an LLC. The home started out as a primary residence but transitioned into a rental. How do I slide all three homes into an LLC without the bank stopping me, or calling my loan due? Is it even possible?

I have watched a few videos on the LLC process but I have not seen them answer this question yet. Any help would be great.

Thanks

I am in the Military, and I move around a lot but I want to grow. Its tough because I am not there to manage them and really that's the only thing stopping me from growing. I have a tenant in my rental back home that has been there for about 5 years, always pays, no issues...

I found a duplex there for 75k, and rents for a 1000 a month total, if I bought it, it would cash flow well... The renters in the duplex have been there for 5 years also, so it has good rental history. I really want to buy it, but this will now give me 4 rentals total. I am scared I want be able to manage them all from bouncing around in the Military so often, right now I am in Sinai Egypt...I was thinking about having my tenant manage my properties and paying him the normal 10% I would have to pay a property manager. I would also groom, and train him how I want him to do it.

I looked into hiring a property manager, but it seems the only thing the property managers from around that area specialize in is vacation rentals (Myrtle Beach). What do you guys think?

Ok folks, here is my update...

Last time I checked in I believe I was in Afghanistan and was near paying off my first rental house...Well now I am about 3 months from leaving Sinai Egypt, my second deployment. I am nearly debt free, have about 20k liquid, and a house that I owe about 15k on that generates $850 a month income (this is my only debt)...

I called my bank today and they said that I could get right at $68k for the house on a refinance and the payment would be $587 to include taxes and insurance... I am thinking about refinancing it, and taking that money and paying cash for my next house at my next duty station.

This means that the 3 years that I am at my next duty station, I wouldn't even have a mortgage to pay every month...What do you guys think? My dream is to own about 10 houses that cash flow and to manage them once I step away from the Army...

What move would you make next?