All Forum Posts by: Daniel Dube

I currently have 2 properties with 23 rentals. They are cash cows with good interest rates. I net about 14k/mo thanks to 3.9% Interest rates. I want to increase my portfolio, but not sure if it makes sense. I have found a property I like for around 4MM. I could pull 1MM out of my 2 properties to purchase this but not sure if the numbers make sense. Refinancing, even at 6% would drop my monthly net to around $7,100. This new property would net me around $11,500 per month, but the net increase would only be around $4,400. I would essentially be taking on about 4.2MM in new debt to realize $4,400 gain. What are your thoughts considering I could increase rents and wait for rates to drop and when that happens refinance again and realize much bigger profits

Hey guys,

I know that a lease follows the property when it changes ownership, but what if the previous owner's lease says the lease is void upon sale? Is this legal, or do I still need to stick to his terms until their lease expires?

Thanks,

Hey team,

I remember @Brandon Turner saying that early summer (June 1) is the best time for leases to renew. I currently have a 10 unit and am under contract for another 13 units. When writing new leases, I make the end dates on 5/31. My question is should I stagger these dates in case a few of them don't want to renew at once? These are good tenants in a nice building so it's slightly less risky, but what is a good rule of thumb?

Is it best practice for all the leases to renew at the same time?

Hey guys,

This was my first year in real estate and it was obvious my existing accountant is not as versed in real estate as I had hoped. I have a pretty successful construction company and have now branched out to residential and commercial real estate. I'm looking for a crack shot accountant who knows the ins and out of all these aspects, understands the "gray" area and how to live inside, and can advise me on the best ways to grow my empire. Any suggestions would be greatly appreciated. My current accountant is not cheap, so I'm not looking for a great deal, I'm just looking for a great accountant.

Thanks in advance

Thanks Guys.

I appreciate your insight and sharing your experience.

Have a great day

@Michael Garofalo Those are all very good points. The tenants who are no longer on current leases do have expired leases from back before 2019, so I know the most recent tenant is September 2019. The owner is an old woman whose husband recently died and she has no interest in it. I've seen the rent rolls for the past 3 years. One tenant has been there for 15 years and another for 10. I also have estoppels from them all. I do like your idea of keeping them month-to-month and seeing if any of them are problematic though. I talked to my lawyer and she thought the same.

That being said, do you think I should have them fill out applications and do background checks? Just because they pay their rent does not mean they are fit to be in my building.

Thanks again,

Hey team,

I close on a 10 family on Friday. This is my first purchase. Every unit is filled and they have all been there for some time. Only a couple of them have current leases though. My question is should I have all the tenants who are month-to-month fill out new applications and send them through the whole process, or just sign new leases and let sleeping dogs lie? 

Thanks Team

Thanks guys,

I'm actually closing on a multi-family and the seller will be paying me prorated rents and I just want to make sure I'm not getting less than I thought while at the same time, not looking foolish by bringing it up needlessly. It sounds like there is no concrete answer, but 30 days seems to be the general consensus.

I appreciate your help

Hey team,

I was just wondering if there is a standard number of days used to calculate daily rent proration or is it based on the actual month it's in?

This month being 28 days means each day costs more than a 31 day month, but I don't want to look like an amateur if everyone uses 30 days as a standard month length. 

Thanks,

Thank you Waylon, I will look into that one.