All Forum Posts by: Coles Mercier

@Ned Carey , the first property is located in Better Waverly (21218) with comps ranging from 85k - 135k for properties within a .25-mile. The second property is located in Glen Oak (21239) with comps ranging from 163k - 274k within a .25-mile; however, it's important to note in the immediate vicinity of property 2, there aren't any comps because this neighborhood is largely renters (i don't know if this is good or bad).  However, I am not looking to sell, I want to buy and hold properties for the long term.  I believe both properties have great rent potential and neighborhoods are like a renter's utopia.

@Scott Weaner , and hence my dilemma.  being new to the real estate investing industry, I want to make sure I don't misstep and make correct decisions....I wish it was clear which deal is better.  maybe after inspections, I will have more information to make an informed decision.

@John Leavelle your guess is as good as mine as to why it's been sitting for so long.  I know it's in Baltimore City, and truth be told, not many want to invest in certain areas.  I actually drove by the neighborhood and I wasn't worried for my safety or anything. it's on a quiet street next to a historic district and parts of the neighborhood are increasing in value.  I definitely plan to have it inspected for all issues (termite, lead, home etc.). and the rehab needed would be cosmetic (new paint, updated kitchen, and bath).  Probably the biggest rehab consideration is to turn the 1/2 bath in the basement into a full. it just seems like a really good deal...almost too good to be true.

@Karen O. , there isn't immediate work needed for the #1 because there is a current tenant who wants a long term lease; I figured I wouldn't make any improvements until he leaves.  I didn't think to ask the seller for tenant history of rent...i will do that today.  I assumed, and based on what I read here on bigger pockets, it's better to have a paying tenant at a lower rent, then increase rent and have to deal with unpleasant tenants. I believe the $1,200 just a little under market rent and I wouldn't need to house hack. 

@Filipe Pereira , thank you for your response. honestly, I am thinking the SFR is a better deal, but the duplex keeps tugging at me, consider how much money I would save from house hacking (approximately 1,200/month). Ultimately, I would like to have a portfolio of rental units for the long term, hence the reason why I believe property 2 is the better deal. As it pertains to renovations on the second property, the plan is to make all the repairs and renovations up front and keep my fingers crossed that nothing unforeseen occurs.

@Patti Robertson , thank you for your response. I was thinking the SFR is a better deal, but the duplex keeps tugging at me, considering how much money i would save from house hacking (approximately 1200 on rent alone). Ultimately, I would like to buy and hold these properties....so I'm definitely thinking long term as I prepare to make my first purchase.

Good Morning Bigger Pockets Family, I'm a relatively new member to BiggerPockets; I've been hanging around the site reading posts and listening to blogs. Because of Bigger Pockets, I became a real estate agent (licensed in MD) to gain experience on property acquisition and knowledge of market trends. After listening and reading for about a year, it's time for me to acquire my first property, however, I'm faced with a dilemma and I'm hoping and turning to you for advice on how to proceed. Property #1: It's a single family ( 3 bed, 1.5 bath, 1024 sq ft) unit that is on the market for 152 days. Original list price was $105k, but I've been able to negotiate it down to $70-75k. As a positive, this unit already has a tenant and he's paying $1200/month and would love to stay and want a long term lease. Lastly, to obtain this property I plan to put 20% down and finance the rest. Property #2: It's a multi unit with 2 (2 bed, 1 bath, units upstairs and downstairs) at 1496 sq ft that just listed. The list price is $110k and I doubt there is any room to negotiate at this point. There is a tenant on the bottom unit that is paying $750/month and would also love to stay long term. This property requires some work to spruce it up, therefore I was thinking of going FHA 203k route. I would "house hack" for about a yr, then move out to collect rent on the top unit. After I move out, my thought is the top unit can bring in $900-$1000 per month because of the updates.....probably more if I go section 8. Any Recommendation: Any advice on which you believe is a better deal. Both properties are in the city, therefore the taxes are comparable, however I'm not so sure about the insurance though. Thank you in advance for any help you can provide. Coles Mercier

Good Morning Bigger Pockets Family, I'm a relatively new member to BiggerPockets; I've been hanging around the site reading posts and listening to blogs. Because of Bigger Pockets, I became a real estate agent (licensed in MD) to gain experience on property acquisition and knowledge of market trends. After listening and reading for about a year, it's time for me to acquire my first property, however, I'm faced with a dilemma and I'm hoping and turning to you for advice on how to proceed. Property #1: It's a single family ( 3 bed, 1.5 bath, 1024 sq ft) unit that is on the market for 152 days. Original list price was $105k, but I've been able to negotiate it down to $70-75k. As a positive, this unit already has a tenant and he's paying $1200/month and would love to stay and want a long term lease. Lastly, to obtain this property I plan to put 20% down and finance the rest. Property #2: It's a multi unit with 2 (2 bed, 1 bath, units upstairs and downstairs) at 1496 sq ft that just listed. The list price is $110k and I doubt there is any room to negotiate at this point. There is a tenant on the bottom unit that is paying $750/month and would also love to stay long term. This property requires some work to spruce it up, therefore I was thinking of going FHA 203k route. I would "house hack" for about a yr, then move out to collect rent on the top unit. After I move out, my thought is the top unit can bring in $900-$1000 per month because of the updates.....probably more if I go section 8. Any Recommendation: Any advice on which you believe is a better deal. Both properties are in the city, therefore the taxes are comparable, however I'm not so sure about the insurance though. Thank you in advance for any help you can provide. Coles Mercier

@Ned Carey @Nick Patel, it's also my understanding the money that goes into that account need to accrue interest (i believe 3% (don't quote me), by the time deposit is return to tenant)

@Russell Brazil Thank you for sharing these 2 important pieces of legislation.