All Forum Posts by: Concepcion D.

I’ve come across properties that at first, look like a good investment. Basement issues scares me the most. What would be red flags or expensive projects in a rental property to stay away from?

1 Vote

Cleveland, Ohio

Quote from @Michael K Gallagher:

@Concepcion D. First if your location is correct and your market is in Cleveland then I would first and foremost go look up whatever municipality you fall under and find out if they have any inspection requirements. They may have a whole list of things you need to do. "rent ready" means a bunch of different things depending on the goal. If you are just looking to get someone in there for cheap to fill the time until you do a major renovation, then you can probably do less and just list it cheaper to let the price be the appeal. On the other hand I'm a huge fan of premium products attract premium candidates.

You mentioned asking several PM's for recommendations, are you going to use a PM or were you using them as a consultant on the front end? I only ask because if you are going to use a PM and have not settled on one yet, they I'd suggest describing your entire vision and timeline for the property to each of them to see if they can align with your goals and intentions for the home. They are going to be a key piece to your team, so having them bought into the project early will pay dividends down he line if you get aligned now.

There was a Point of Sale inspection that was done and repairs completed based on this.
You make a good point about the kind of tenants will depend on the quality of the rental. This is one of my biggest concerns as the last thing I would need as a new investor is to deal with evictions. The thing is I’m investing in Cleveland but live in Texas so I plan to hire a property management company. I wanted to get estimates because I don’t want to sign a contract and be bound to have repairs that I can’t afford at this time. I’ve talked to a few PMs but, I haven’t found a good fit.

2 Votes

Cleveland, Ohio

Hello.

I have a SFH that I recently bought. I've gotten different opinions from property management companies on the work that's needed. I want to limit the work to make the place rent ready but not break the bank as I'm planning for major updates in a year. It's zoned for multi family but the paperwork/process is complicated so I intend to rent it as a SFH for now.

Any suggestions?

2 Votes

Cleveland, Ohio

Would it help to add a clause that I’m getting an appraisal since I’m financing this? That is to avoid any legal repercussions/distance myself from what the seller wants.

0 Votes

Cleveland, Ohio

I have a rental property that I would like to purchase but the seller is adding a questionable clause to the purchase agreement. The seller wants to specify how much the land and the improvements are separately for tax purposes, and assigning a lower value to the house. My problem is if the house is valued less then there is less to claim for depreciation. Can a seller make these assumptions in price?

0 Votes

Cleveland, Ohio

All Forum Posts by: Concepcion D.

Concepcion D. has started 3 posts and replied 5 times.

Post: Properties to stay away from

Post: What makes a property rent ready?

Post: What makes a property rent ready?

Post: Real estate depreciation

Post: Real estate depreciation