All Forum Posts by: Conor Meehan

@Jaysen Medhurst thanks again!  Lawn and Snow is $500/year - would've missed that one.   I've hit a snag with this one with flood insurance though but if I can figure it out I hope to move forward.   

Is it true that Lloyd's of London won't do flood insurance for buildings with more than 2 units?   I'm looking at a 4plex and my insurance broker said it was not doable and a regular policy would be $2700/ year which is a deal breaker.  The listing agent said the seller has a policy w/ LofL for $699/ year.  Does anyone have experience with this?  

Also, I'm considering looking into an elevation certificate to remove the property from the flood zone.  The building is right next to a river, but sits well above the water.  Does anyone have experience with this process?  

Thanks for any advice! 

@Jaysen Medhurst Thanks for the reply.  Here are my #s:

$189900 purchase price
$2600 monthly rent ($650 x 4) 

Monthly PITI = $1187.74

$242.74 - Taxes
$166 - Insurance (including flood)
$779 - Mort. Principal+Interest 

Other Monthly Expenses = $515.32 
$182 - 7% vacancy
$108.33 - 5% Maintenance
$108.33 - 5% Cap Ex
$116.66 - Water/Sewer (only utility I pay)

Total Monthly Expenses $1703.06 

Cash Flow = $2600-$1703.06=$896.94

This is for self management (w/ PM it would be closer to $650 CF).   Do you think the numbers look good?     

I'm looking at a 4-plex listed at 190k that earns $2600 monthly rent (a little below market rates, but still enough to cash flow nicely - about $200/door).  The property is in good shape with many recent rehabs - new roof, new boilers - and it's fully rented with very long term tenants who pay all their own utilities.  

My dilemma is having to put 25% down, which would be about a 50k cash basis.  This is a big chunk of cash to put in for my girlfriend and I who are just getting started (this would be our second property).  Does this deal seem worth it?  

Thanks for any thoughts and advice.  

Hey Derek - I have a couple of good recommendations - DM me and Ill send them along. 

Thanks for all the great feedback!  Gotta love BP.

I sent them a lease violation notice to let them know we're disappointed they purposefully broke our agreement and to set the president that we wont tolerate it in the future.  The ferrets are "elderly," very old and moving slow so I told them they could keep them as they are now - caged in the basement as long as they don't let them loose in the house.  In the end I want them to stay for a long time, so letting them keep them here will hopefully help make them feel at home.  

thanks @Raul R.  property is in western mass 

@John Underwood Thanks for the reply.  I should mention we found them last Friday when snowmelt and heavy rain from unseasonably warm weather caused our basement to flood (we have owner-occupied duplex).  When we went into their side to deal with the water we saw them.  I think they were as embarrassed by us finding them as we were disappointed.   

You're exactly right that I don't want to be a pushover but in the grand scheme, this is a minor issue for tenants who pay on time and take care of the place and I want them to stay.  Not sure I can charge a fee in MA - I'll look into that.  Do I need to amend the lease?  Issue a notice of violation?  Or just say we're disappointed but willing to let it go this time because we appreciate their being good tenants in other ways?  Thanks again.

I recently discovered our tenants are hiding their ferrets in the basement of our duplex.  They are otherwise good tenants - pay on time, responsible and friendly neighbors.  They were keeping them at his mom's until she moved in w/ her boyfriend and then they snuck them into our basement.   The ferrets are caged in the basement.  I'm just upset that they tried to hide it and in doing so violated our lease.  

What is the best way to handle this?  I want them to feel at home and stay for a long time because overall they are good tenants, but I also feel like I need to lay down the law here.