All Forum Posts by: Craig Jeppesen

There are no rule of thumbs. Your local market and economy will decide that not you.

You will not be doing an appraisal. That is for the buyers and their lender. You need to do your own research before you buy a flip to determine the ARV and use that to make your offer on the property. Your repairs won't really affect ARV as much as you think. Age, sf, number beds and baths and garages and area affect ARV. Your updating will mainly just make it more modern looking so you will have a nicer property for the area and sf etc bringing you more buyers but they won't pay more than market.

Only if you like paying the government a lot of fines and going to fair housing trainings on your days off

I would do a skim coat of joint compound then texture and you should be ready to paint.

Go talk to your city building inspector to find out. Usually the big things: new roof, new structure, ekectrical, plumbing, hvac. No for a lot of cosmetic things. Each city is different, and some items follow state code.

This is exactly why I only invest locally. I can’t imagine not being able to check up or just drive by the property just to check it out. 

I just google that form and it looks like a representation authorization form so no you don’t need that to file taxes. It looks like you would use that form if you needed your CPA to talk to the AZ tax department on your behalf or something similar like an audit.

Any loan gets paid off by one thing only: cash. To pay off a loan you need the cash. That cash can come from selling or refinancing the property.

The answer is it depends on your goals and risk tolerance. Personally, I would save to add a few more properties and then start paying them off.

It sounds like you don’t need the cash flow currently and are more concerned with retirement in 7 years. If I was in your shoes, I would come up with a plan to snowball the properties so they are all paid off in 7 years. 4 paid off rentals and no personal mortgage will create quite a bit of cash flow  to help subsidize retirement.