All Forum Posts by: Dustin Tucker

The best advice I ever received "Trust but Verify"

 I was mentioning bitcoing mining, where the solar company who is leasing your property would have an outlet to sell the power without a substation nearby.  The bitcoin farm would be on the same property, no transmission.

 I guess you are doing a net land lease where the solar company is paying 100% of the property tax. I know from researching tax roles this year, that the appraiser's in Texas have valued the Solar panels farms very high and I don't know if there is litigation regarding the taxes, but there are several solar farms with unpaid taxes.

I would think that with an eviction or even the start of an eviction process that would severely negatively impact her ability to get a new lease. You might be able to get an agreed judgement if she doesn't move out on the agreed date.  This is something that you would have her sign when you paid for the new lease.  I haven't done this before, just a thought. 

Also, you should have her security deposit, so you could also use that to pay for the new lease, and tell the new landlord that you are paying it out of her security deposit.

I would start by asking some probing questions to your tenant, such as, I'm considering paying for your 1st month to move out by xx date, do you have a new location picked out?

Its the warren buffet investing model, buy when everyone is selling, and sell when everyone is buying. As long as you are cash flowing or have the capacity to stick it out in the higher interest rate market buying at a lower price is always a win.

You can't beat that deal.

1. What types of properties do they lend on?

2. What is their leverage, what is the combined Loan to Value that you will be lending on?

3. How much skin in the game is the borrower providing? In some cases it could be 0, I would try to stay with a fund that required a minimum of 10% from the borrower regardless of the actual LTV.

4. What types of loans are they making?  Fix and Flip, Bridge Loans, New Construction, etc.

5. What is their current default rate if any?

6. What States are they lending in?

7. Historical returns for clients? Do they have more than 1 fund? What were the actual returns?

1. I would check the market rents to see how your property compares.

1a. If your property with the "Ridiculous Rent" is under the market, I would create a list and send it to the tenant and tell them that the landscaping is not included.

1b. If your property is leased for more than market rent, I would see if the landscaping/mowing would negate the rent increase.  

At the end of the day having a vacant property for 1-2 months negates $100/mo of rent increases.

I hope you make the best business decision for your property.

Hello Mario, me too, what are you looking for? what have you done in the past?

Hello Elsa,

I have flipped over 50 properties, and 1 of the inspectors I was using told me an intersting story when lead based paint started being a problem in 80's.  He told me he was going to start a lead based paint remediation company.  He quickly realize that the solution to the Lead problem was actually to encapsulate the Lead paint with another paint.  I don't know if the area in question is being demolished, but encapsulation is typically the solution. https://greenorchardgroup.com/what-is-lead-encapsulating-pai...