All Forum Posts by: Dave Chapa

@Yenlan Patton I checked with our management co, they said it's still in process. However, we are still at 100%, the tenant was being proactive in filing, so, there are no late payments at this time. We will see how it goes with the whole process.  

@Vijaianand Thirunageswaram We were fortunate to not have any major damage. Just some minor issue with a washing machine hose leaking at our apartments, it caused some minor damage to our laundry room.

We had one house that was vacant at the time. I should have had my maintenance man shut the water off, instead of letting the water run. However, it was re-piped with PEX, so it was fine.

Like you, my take way is as followed.

1. Shut off main water valve and drain all lines.

2. Always have some plumbing parts on have. People were driving hrs to our small town, where we live, wiping out our local stock. I could even find one PVC coupling. So, now I will keep a small stock of different size PVC fittings, that way if my maintenance man is out, I will have some on hand. 

@Shiloh Lundahl Country living and rural investments.

My wife and I love living in the country on acreage, far away from the city. Over the years we stated to venture out seeking, and buying, properties in rural towns. Some with populations of as low as 4k. It’s worked out great, not as profitable as our larger city properties, however, easier to find and more convenient.

Our management co helped one of our tenants apply, they were very proactive. Other than that, we have been blessed with 100% occupancy, and 100% collections. 

All good advise from from @Mark Brown, @William Beck and @Ridge Tullos.

Some of the suggestions are very expensive, like building a pond, renovation, etc., to very inexpensive.

Ask your gust, what would have made the experience better? Then with that info, you can start building up your property, because return on your investment is still in play. 

@Axel Norvell Glad it worked out for you.

I went through a similar situation with my first house we built. The lender set up an escrow account, even though we were putting 20% down, and I did not realize until we were at closing. It would have delayed closing to change, so we went ahead and closed with the escrow account in place. Biggest mistake I made when buying that house. HCAD appraised the house wrong, that effected our escrow account by a significant amount, that greatly increased our payment by $450.00 a month. It took over 6 months to rectify the account, and almost a year to refund the money.

It's become a practice to never include an escrow account in our RE investment and personal home. 

I have seen an uptick in rural areas too. 

@Michael Montana The real question is, what is your risk tolerance level?

Each step you take in RE, you will find your risk tolerance level growing. What I worried about 15 years ago, to today, is totally different. The "fear of not being able to rent" is now, not a concern.

@Steven Moore When I started many years ago, I focused on 3 things, building my credit, saving for a down payment and growing in my W2. With great credit, a good W2 and a down payment, you should be able to buy your first deal, even with a primary residence. Otherwise, banks will not even look at you. So, I would suggest building your financial foundation first.

@Steven Moore I would suggest you find a mortgage broker, they can shop the banks for you, especially on your first deal. All the other questions will come up during the process. Credit worthiness, down payment, etc...

"Also, does anyone here have a problem property they are looking to get rid of?" It never hurts to ask! I was in a meeting with a banker looking to refinance my apartment complex. During the meeting I ask if he had or new of anyone that had a property for sell, and he did, a nice triplex. So, I walked away with refinancing and a new property.

Hope this helps.