All Forum Posts by: Cosmo Iannopollo

@Jack Barkow Are you sure they're not talking about co-mingling security deposits? 

Wish I could help but if I had bought something there I'm pretty sure the wife would've made us spend all of our rent checks at the roulette wheel, haha. Good luck. 

@Jaclyn P. It is in New Haven, in the annex. 

@Johann Jells One thing I liked doing was listing a little high and then offering to reduce the rent. This way, good tenants feel like they're getting a deal, making the apartment all the more attractive. 

I'm looking to sell my duplex and am wondering if anyone has had any experience with We Buy Houses? I'm going to assume that they don't exactly offer top dollar, but am wondering the process and if it's even worth pursuing. 

@Brandon Yeager Thanks for weighing in. Made the decision to list it. My biggest fear is being short sighted but at the same time, a property manager for one property doesn't make sense, and landlording from a distance has always made me uneasy. 

Plus, that extra 25-30K could be a huge boon for us. 

My two:

If you have a lot, diversification makes sense. 

If you don't, diversification will ensure you never have enough to where diversification makes sense. 

@Heather M. L. As @Tim Puffer said, don't let PMI scare you. Consider that if PMI is the difference between positive and negative cashflow, it's a bad deal.

I also wouldn't consider it dreaded. It's the cost of buying into a property-producing income at an absurdly low price. If the property is a good buy after running the numbers, your tenant(s) will more than absorb this cost for you. And then when you get 20% into the home (which also could be aided by appreciation, mind you), you refinance into a conventional loan, wipe out the PMI and have instantly increased your cash flow.

Now, when you consider that you'll be making money during this time versus saving up for years just to put 20% down to avoid PMI, PMI doesn't sound so dreaded, does it?

@Jimmy Ready

1) No, it's not a good idea. It's a great idea. I bought a duplex as my first home and it was a tremendous move. Just be sure to familiarize yourself with the rental laws and rental market. Also, some may say to put the 20% down but I think if you can do 5% or less, go for it. You will have to pay PMI but that is spread out and paid for by your tenant. Spending so much money upfront limits what you can do going forward.

2) Best advice is that if you limit your thinking, you'll always have limited results. Don't be afraid to take risks or non-traditional paths. Most people will tell you why they wouldn't be a landlord or invest their retirement account into a property, and these are the people who are hoping to retire at 65 if the stock market allows. 

3) Dear 25-year old me, get invested in something! Learn about the many ways you can make money beyond a paycheck. Yes, this includes stocks, real estate, freelancing, self-publishing on Amazon, etc. 

I bought my duplex with an FHA and it was a tremendous deal. Even borrowed from my retirement account to do it. On a 200K purchase, my downpayment was 7K. Yes, the PMI stinks but it's a small price to pay to buy into an income-producing property (that's assuming it is producing positive cash flow).