All Forum Posts by: Jeff B.

What you need is a homeowners policy but you need to notify them that this will be a rental.  The standard is $300,000.00 on the liability.  Additionally if you have a windstorm mitigation inspection report or devices you can receive a discount on the premium.  

I'm with Linda it is a minimum of every 3 month's, in Florida you have to place pan tablets/change filters in the A\C to keep the slime build up out of the drain line.  In addition I checked for any visible plumbing leaks, water heater, overall condition of property when I visit.

I don't like finding surprises when they move out.  Additionally in the past if anything happened it was on Friday afternoon when you can't get a repair person until Monday or pay an exorbitant fee for weekend service.

Did you have a "Time is of the essence" clause in the contract with a penalty for finishing beyond the specified date?

If they are not dragging on to long and are doing satisfactory work it might be better to let them finish this project and select a different contractor for the next. Your holding costs will eat away at your profit if the next contractor can't start for a couple of weeks.

You could fire this guy and out of spite he places a mechanics lien on your property to screw with you and delays your ability to sell the property until you can clear it up.

There is a lot of good advice from others.  The only thing I can add is that it depends on your financial goals and investment strategy.

If you are investing $100,000.00 at 4% for 30 yrs than you are paying a total of $71,896.15 in interest or $171,896.15 for the property.  Same amount for 15 yrs is $33,143.83 in interest.

As you know if you come into some extra money you can either pay down the mortgage or locate another cash flowing property to purchase but it still depends on your strategy.

At 24 yrs old I would look at the 30 yr loans and look to build my portfolio for the future.
Regardless it is always good practice to have at least 3 - 6 months reserves for each property in case you or a spouse becomes unemployed or you suffer a financial burden.

Here Kevin,  just use the rental investment worksheet that Josh posted to run the numbers

https://www.biggerpockets.com/forums/88/topics/255...

You are asking for hypothetical numbers on what you could sell it to a buy and hold investor for.  No disrespect but as a someone who is new to the rental side no one can be sure how accurate your projected numbers are and if you have performed your due diligence on the property.

What you are talking about is just an expense.  Throw it in your calculations and see if the numbers make financial sense.  It does Not make any difference where the property is located if the numbers work, the demand is present, it meets your financial goals as an investment and you can find a quality team on the ground to manage it or self manage it then it makes sense.

To help make it easier just use this worksheet that Josh posted to run the numbers.

http://www.biggerpockets.com/forums/88/topics/2551...

I have wanted to do this also but self manage everything (payments) which makes this more difficult.  I know Experian has the option with "Experian Rent Bureau" that uses rent payment services who report to Experian to build the credit history.

It seems like a viable business opportunity for the credit reporting agencies as long as the info is coming from legitimate verifiable sources.

I stand by my post.  Sometimes the truth hurts and the reality of the situation is Not what you want it to be.  

If it is Not the price than why isn't rented?  The economy in Florida is a lot better than it was 4 years ago.  CAM for that small an area to cut grass and pickup trash in the parking lot once a week can't be more than $200.00 a month max.

If OK Beauty Supply did Not leave because of lack of business than why didn't you call
there manager and work a deal with them.  All of OK Beauty Supply's florida license's have expired, the last one in 2011.  Are you really looking for guidance to resolve your problem or just venting your frustration?

I checked loopnet and you are at $12.75 a sq ft.  You need to determine how many more month's you can float this property before you lose it to foreclosure.  I know I am harsh when I speak but I've had to give this reality check to my commercial property partners before.

This is one of the best looking buildings from the outside compared to the surrounding buildings but that does Not mean you will find the right tenant easily.

1st you need to put a sign out front of the building on sq ft, price, agent to call. I hate the signs with just the agents name and phone number, what are they selling with a sign like that? Next you need to realize you lost $72,000 in 2 years at $3000.00 or approx $11.50 a sq ft which is probably where you need to be. Your NNN lease will have the yearly increases in there but you can't execute until you have a tenant.

Lastly you need to ask the agents how many showings they have had and what sort of feedback they are getting from prospective tenants.  Everyone knows it is about trying to work a deal that is fair for all and makes good business sense for both businesses.

Welcome Ryan,

As a professional athlete you know what hard work is so applying that trait to Real Estate is a good start. Everyone thinks it looks easy on TV until they realize what it takes to run successful business.

I see you are playing forward for Seoul E-land this year. My friend is in his last year of contract playing for FC Barcelona basketball.
It is wise to start building your wealth and income streams long before you are nearing the end of your professional playing career.

In the off season where do you plan on living? In general it is best to have a solid knowledge of your market, target areas, and access to a good team on the ground to assist you.