All Forum Posts by: Christine Prelaz

Wondering the same.  I think they sent fake responses initially but hard to know.  This is room in my personal home so wanting to be as selective as one can be.  Not seeing much on CL that would fit the bill.  

Thanks Matt - sent you a PM

Hello - I am considering homes for a primary residence with potential to airBnB or short term rental some of the space.  I have seen one that may fit the bill (no pun intended).  I am seeing comps in the immediate area that are between $60-80k less than the asking price of this house.  This house has been remodeled however and some of the others have not; it is pretty move in ready.  I have seen square footage prices both higher and lower than this one - it is probably relatively reasonable for this house.

There is new construction right across the street with base price homes in the same price range as this house - but with >1000 sq ft less, 1-2 less BR/no basement etc and an HOA. This is in the Denver area. The area adjacent to the property is undergoing major development.

Is it reasonable that I may be able to use the adjacent property comps in the future?  This is a pretty decent house and my guess they could get full price or above - any suggestions on how to best assess this would be welcomed :)

Staying in touch with this thread - I am in Denver or surrounding areas as well

Hi Brett, Matt and James,

Great thanks for your helpful input!

One of the calculators I use is the one in BP where it is using the 50% rule - I wasn't quite sure what was appropriate for condos or if/how I should consider that particular number. I used 5% for repairs/maintenance, $20-30 for insurance (depending on the unit), 5% for vacancy and of course the HOA fees.

Some of the buildings I do look at are older - I like them but of course am concerned about the older infrastructure.

The info on OO ratios is helpful as well and will make sure I am even more diligent with this.

James - yes, I would definitely be interested in speaking with you since you are in Denver.  I am having a hard time making numbers work - tough market here, especially with limited experience.  

I will PM you.

Thanks again everyone - very helpful!

Hi, I am wondering what operating expense percentages people are looking at when considering condos.  I'm guessing 50% is too high in general but not sure what might be best for a quick analysis.

Also, I know this might be tough to answer based on area etc., but any guidelines on HOA fee limits that you consider would be helpful.

Thanks!

Thanks Derrick and Chris,

I decided to cancel the offer. We had not received any of the HOA info yet and had to make a decision based on our timelines. The inspection alone would cost close to $600 to include the additional asbestos and mold testing. It may have worked out OK but if it was present, the cost to migrate would put me at loss.

The owner is an elderly woman (whom I met) and she is not able of coming down at all in price and I understand that.

Your info was quite helpful, especially regards to checking the state laws - I am sure this won't be the first time I have to navigate this.

Thanks again!

I seemed to have hit the trifecta! I am in the process of putting an offer on a condo and the disclosure indicates lead paint (not too concerned about), mold from prior leak, and some asbestos. The mold and asbestos were mitigated by the HOA. We are in the process of obtaining more detailed information on the extent and mitigation so I don't currently have any specifics.

I am purchasing as my first rental with the intent of eventually  remodel and sell. The remodel should be relatively easy but that is where my concern about disturbing the asbestos comes in.  The margin on purchase may not be there to justify high costs of mitigation.
I need to decide whether to proceed or move on.  Any thoughts/advice/suggestions appreciated.  Thanks!

Thanks Joseph - that list will be quite helpful!

Hello - I am looking for a due diligence checklist and/or advice for private lending (as the lender).  Thanks!