All Forum Posts by: Dawn Curry

Hey all! So I occasionally look for preforeclosed, foreclosed, and for sale properties down the (south) Jersey shores. What are the typical expenses when evaluating vacation properties? 1. Mortgage 2. Interest 3. Taxes 4. Insurance - ball park figure? 5. PM - ball park figure? 6. Cleaning - ball park figure? 7. Maintenance - ball park figure? 8. Utilities - ball park figure? Obviously vacancies, turnovers, etc need to be put into the equation as well! Input? Advice? Experience? Thanks all!

@Jack Clough funny about your story. There was a quad near me that the lady was asking over 100k for it. She was backed up on her taxes (which we knew) and offered her 40k — all the places needed a gut job!! Apparently at the time she was offended by our offer but we tried telling her the amount of work needed to be done. Needless to say, months after.. she ended up selling the place for 40k. Talk about frustrating!

Jack Clough how did you come about his deal? Was it on the market? I’m super jealous of those numbers but def a lot of sweat equity in that!!

Yea those aren’t that bad.. I mean, I’m not saying I would want to encounter this every time a tenant moved out, but be thankful that no huge property damaged was done! It just amazes me how much stuff people can leave behind!!

When we finally got our tenants to move out last year.. I actually offered to move his stuff onto my trailer and unload it at his new apartment.. that was the only way we could get him out! But I made it seem like we were being nice to him when in reality we just wanted him OUT! 

I basically just told my realtor that we’re gonna start giving them a taste of their own medicine. We’ve cooperated with them, told them we would Do all the repairs by licensed professionals.. like they requested. We’re giving them all the permits. Do they want the house or not.. plain and simple? If they want to use all this other nonsense as an excuse... fine! We will put it back on the market!

Still waiting for their response!!

It’s not technically off the market.. the sign is still up in the yard but we had to take it off online because we are under contract. I agree with you! My realtor said last night that he’s trying to save the deal. Now they’re telling me they want plumbing and electrical permits. I told my realtor that I’ll send them copies (which I think it totally crap), but if they pull anymore nonsense.. the deal is off! I know that we shouldn’t be playing into their hand because ultimately we get the final say... but the only thing that’s keeping me to want to save the deal is that we already have another property lined up, but can’t get that until we get the money from this flip.

So we just recently put our flip up for sale.. within 18 hours, we received a full price offer with them asking to immediately take the House off the market. Obviously our realtor said we’re going to wait until all the showings are through and wait until we sign contracts. Well after a few days we decided to accept their offer, sign contracts and take it off the market. Everything was going great. 2 weeks went by and the home inspector came. Of course, they find things.... it’s their job. They’re going to knit pick! The “buyers” put on their repair list to upgrade heater (which has been working great and was serviced), install sliding basement windows (which is an upgrade and we told them no because that could get pricey), our kitchen shelves in (we didn’t get to that just yet), put screens in windows (I was getting some broken screens re screened and didn’t put them in bc of the weather), etc. Well anyway.. we said we would repair about 85% of their repair list. Well they came back today and said they wanted to see all the permits because they were concerned about the “quality of the work.” I sent the permits over to my realtor and my realtor sent them over..... next thing you know my realtor calls me up saying the “buyers” are backing out of the deal because their concern of the quality of the work and the lack of permits! It’s funny because our construction company is very well known around the area (the buyers were from out of town) and have complete multiple prestigious builds, remodels, additions, etc. Oh well! Can’t dwell on it, but thought I would share! I’m thinking it’s a cop out from first time home buyers thinking they’re going to get Taj Mahal in a little town!

Tell your wife to think of it as a duplex that you own could very well be your tuition assistance for your kids.... if they plan on attending college. My wife and I are doing just that. We have a duplex that is intended for our 2yr olds tuition, House DP, etc. when he gets older. Obviously the money goes through us first and he won’t just get a lump sum, but as soon as he starts understanding.. we are going to explain to him that he will get a share of it (all the specs aren’t laid out just yet)... hopefully giving him an interest to take care of the property and eventually learning from passive income and getting his hands into it when he is able to as well! It will also teach him that he’s going to have to work a little and stuff doesn’t get handed to him!

I’m totally with you on having a great team, but I’m just concerned with your situation/predicament! Somewhere in that equation, I think, you have to try to cut costs.. whether that is trying to do some of the rehab yourself or maybe PM your own properties (since I think you said you only have 1 rental). Again, I don’t know your exact situation but that’s what I would try to do. Once you get a few more rentals.. then seek a PM.

Or.. you’re gonna have to look into out of area rentals or just go the same route as you’ve been taking.. saving up until you have enough cash to buy another property.

@William S. do you have a PM or do you act as that?