All Forum Posts by: Chris B.

I work in tech and can appreciate the latest Ethernet wiring for gaming and file transfers. With that said, in the past 12 years of renting SFHs to numerous families and students, I've never had a family ask about high speed internet. Only on one occasion has one even asked about internet as he wanted to make sure the throughput was sufficient enough to do basic streaming and work from home. And yes, basic Cox service can more than handle that. What I have had, on multiple occasions, was tenants (or the provider installer) poke holes between walls and to the outside of the home to pull satellite and cable in rooms that were already wired with good, new coaxial connections, but the jack wasn't in the location they preferred or they simply didn't want to be bothered hooking the satellite into the existing system. On all occasions, the work was improperly done, with no weathering. They simply poked a big hole, pulled a cable through, and let it be. Occasionally they would screw a wall plate into the drywall providing the appearance it maybe was done correctly.

My advice is a) yes, absolutely install coax & b) make sure you have something in the contract explicitly stating any holes they make in the wall will be repaired at their cost.

My thoughts on your situation are borderline political but I’ll try to keep it clean. I lived in SF for ten years and I know the environment you cherish so much. Certainly no need for a car if you live in town. I've met more people from San Francisco than anywhere else in the US that truly believe it’s amazing and would never consider moving away, no matter what the substantial lost opportunity cost is. I even know a small few adults in SF that have never left the area throughout their entire lifetime; even to travel. It’s this mindset and excessive amount of disposable money (and other factors) here that have allowed the city to diverge into its own world with its own reality. The term “I reject your reality and substitute my own” was made famous by one such resident.

You are entirely correct summarizing housing prices are not in line with most of the rest of the country. It is a personal choice to stay and contribute to the struggle there or consider alternatives. The suburbs you considered are a partial transition and offer some savings without giving up everything SF has to offer. Going out farther provides greater opportunities, but more change. If someone can overcome their comfort zone and adapt; they will open the door to these new opportunities. Owning a car, light remodeling of a house, & sharing a kitchen may be significant hurdles for some people who have difficulty adapting even considering it may mean losing the opportunity to have others pay your mortgage which can easily be $4k a month. On the other hand, some may feel these "inconveniences" are nothing at all for this kind of financial opportunity. Some in the US may see this discussion as insane as they would house hack in a split second if it meant the difference of that kind of money every month.

We have substantial appreciation here in AZ because so many people are moving here yet costs are still affordable. Other parts of the mid-west have dirt cheap property because so many people have moved away in the past yet still have good rental income. These both are real opportunities, but take someone willing to be proactive and aggressive to capitalize on.

It’s up to each individual to determine for themselves what they want in life, are comfortable with, and what they are willing to sacrifice to get what they want. If you happen to consider house hacking outside your comfort zone, I think you may grow to be surprised with how happy you can be especially when you come to see your sacrifices early in life pay off later.

I've read Ozone generating machines can help, but have no personal experience with them.  Can you expand on how much it helped after many hours?  For example, would it only work on a light smell from an occasional smoker compared to a heavy smoker?  Also from what I read, you may need a larger ozone unith than whay $85 will typically get you.  We used Killz to paint the floor under the carpet after a tenant snuck a dog in that urinated everywhere and it seemed to help.

I've found all of my recent tennants through Zillow which automatically cross posts to their network.  As Bjorn said, there is a lot to learn.  Like real people and contract management things that will burn you good if you aren't prepared.  Learn as much as you can before you jump in.

One small down side with cash then refinance is you would have a "cash-out refinance" and interest rates are about a half percent higher than a refinance and I assume that holds for new purchase financing also. If you can get enough of a discount when buying with cash, and then having to sit on the property for 6 months in some cases before you can refinance, then consider cash. Unless you get a good deal, it seems going in with financing is the option. Regarding the mortgage rate you're being offered for investment properties compared to a HELOC, I'm seeing them pretty close so shop around some more. For example, I got a cash-out refinance on an investment property recently at 3.99%. I was concurrently investigating a HELOC on my primary home and was seeing around 4.50% at the same time. What you would qualify for would depend on your situation which may be quite different than mine.

This is really out of my realm, but how much can you sell the contract for?  If others are going for $1M, can you easily sell the contract for $950K without putting in your money?  Given the uncertainties / complex and different legal systems in other countries, I'd sell te contract if its as simple as it seems to avoid unforsceen pitfalls.

I would lower the rent 10% or even 20% to get more interest and take that loss for 6 months or a year before choosing this application.  Inevitably, sooner and not later, they aren't going to be able to come up with rent as they don't appear to have a good financial track record.

I think Mike is stating if you take a loan out on your property, its tax deductible. Not from a life insurance policy. How expensive is this insurance policy? I know term life and whole life aren't the same but I can get a million dollar term life policy for about $40 a month and I'm not young. The rest of the money can go into a 401k or IRA and you will do much better. Its not uncommon for people to have a 5 year IRA average return of 15% right now and you generally can borrow from a 401k should you want to do so also. Those pushing the selling of the policies are looking out for the commission and not necessarily for you. Do you really need whole life because when you retire if your investments will be plenty for the family?

Update: Greg, interesting.  Good observation on the policy interest deduction.

I'd not share any food at all.  Leads to problems.  I buy - you consume.  You buy food - I don't like it and you consume.  Have separate refrigerator space for everyone even if it means getting more than one.  If people have separate bathrooms, they cover their own expenses.  If a bathroom is shared, then share the cost of cleaning and supplies.  Dishes can be shared if everyone is OK.  Some people have different cleanliness standards and if its an issue, then get an old set of pots and pans from Goodwill and people need their own dishes, cups, and utensils.  Its not asking too much for others to purchase their own coffee for the machine.  As mentioned previously, if people get along well, there tend to be a lot less problems but I have rarely seen this when renting out to random people.

Keep verifiable documentation of your communications on the issue over the past several months.  Take pictures and videos.  File a report with the local housing authority.  Start looking for a new place and move when possible.  Ask for your deposit back and when the landlord says no, you may need to attend small claims court and likely would get at least your deposit back.  I wouldn't consider staying with this LL and I wouldn't consider hassling with fixing his issues and seeking some kind of reimbursement.