All Forum Posts by: Chris Woods

If anyone is interested in hanging out tonite then hit me up. We don't leave until Sunday and will be grabbing dinner and drinks.

I purchased a fourplex using an FHA loan about 8 months ago and I think it's a smart move for your first purchase. It also depends on your market if this will make sense. One obstacle I did have with using an FHA loan is that I would lose properties to investors offering cash. Most of the properties in my area are bank owned and they didn't seem to want to mess with an FHA loan when there were cash offers on the table. I was able to get a good property from a bank that was looking for someone that would owner occupy. This also depends on your market and if the numbers make sense but I wrote offers slightly above asking and didn't ask for anything back. In regards to not letting the tenants know you are the owner, I think that is a very good idea. The
tenants think that I work for the owner so they don't really bug me that much. I worked out a deal with a property management company where they charge me a very small fee to "manage" the property since I am on-site and handle almost everything. Best of luck in your search and keep us updated.

Chris

I currently own and live in a fourplex. I am getting married and will be buying a house. After looking at houses our top choice is a HomePath property. I will be making an offer on this property but had a couple questions.

The property has been on the MLS for a couple of months and has had a couple of price drops. The property does need all of the carpeting replaced and new paint inside. However I will be putting tile in most of the house so this works out for me. I am assuming some of these fixes are what is keeping buyers away from the house.

I know FannieMae doesn't do appraisals so I wasn't sure if I should get one before I make an offer. I don't believe the house is overpriced from some comps I looked at but I am relatively new to real estate so I want to make sure I don't overpay.

Since the house as been on the market for awhile with a couple of price drops should I offer below asking?

Does Fannie Mae provide any credit towards closing costs?

Is there any advantage to using the HomePath financing product vs. getting a conventional loan?

The address of the property is 351 Trenton, Clovis,CA if anyone is interested in looking it up. Thank you in advance for your responses.

I got the keys on Friday and have been working on a few things this weekend. I am planning on moving into one of the units within the next two months. I ended up getting the fourplex for 195k and the bank gave me back 6k towards closing. The termite inspection showed that the fourplex needed to be treated for subterranean termites and a small section on the outside of one of the units needed to be treated for dry termites. I have called around and this will run me around $2400. The termite inspection also pointed that there were gaps in the tiles in one of the showers due to termites. On the other side of the wall there wasn't any visible damage but I do know that the wall is wet inside. The tenant will be gone for approx. 2 weeks visiting family so we are starting to work on this tomorrow. Any tips would be appreciated but I do plan on taking out anything that has moisture then getting rid of any mold and drying everything out before sealing up the wall again and sealing up the tile. I am excited to finally have my first place but I do have a list of things to do now.

Thanks Gene for the recommendation I just picked it up today and will begin reading. I need to look for insurance now. Should I go with a broker or directly with a company. Also any tips for insurance will be appreciated. I will be occupying one of the units and renting out the remaining 3.

Thanks guys. I'll probably go ahead without a management company then and save some cash. My main reason for wanting to use a management company is so people don't know that I own the units since I'm sure that can lead to some undesirable situations. I do want to make sure that I'm covered with insurance so wanted to get some advice on what I should be looking for in that area since I don't want to skimp there at all. Also I'll probably just move in and keep the rents the same for awhile.

I have been lurking for quite sometime but decided to make my first post now that I am in escrow with my first property. I live in Fresno,CA and am purchasing a REO fourplex that currently has 3 units occupied with 1 vacant unit. I am using an FHA loan and will be living in one of the units. I will also be using a property management company. I am purchasing the property for 200k and the current rents are $650 per unit and the tenants are Section 8 but all older/disabled people that have been there for 6+ years. The property management company says that I can put in a request to raise the rents since they are below market average and should be around $750 to $800. I did a walk through on all the units today and there doesn't appear to be any major issues. I'm having all my inspections done this Friday so I will see what those uncover. I know from looking at the forums that this property may not fit all the "rules" but I think this property is a good fit for a owner occupied fourplex. If anyone has any tips or advice I would appreciate it. Also if anyone is investing in the Fresno area I would really like to chat. Thanks!