All Forum Posts by: Edward R.

Oh Boy, I went browsing today......and I found an old building with reatil space (leased) on first floor and 2 separate attached Studios, and a 1 bedroom apartment.  The charm and uniqueness of it captures me.  Current owner is asking WAY too much (2.5 assessment), and they do Airbnb with it.  Reading the reviews they are 150 5* . owners have had it for 20 years.  The place could also survive on LT rent or seasonal rental, which is popular in this quaint village on the water for Summer and shoulder seasons.

It's one of those two-story old 1890 brick buildings. It seems to be in good shape, with updated electrical, mechanicals, and roo. The basement is dry as hell, and it's nicely decorated.

QUESTION:  What types of financing, financial assistance and tax benefits does one get from being a registered landmark in a historical district?  Currently looks like some small cosmetic exterior painting is needed on word parts and windows.  who knows what else (looking at it tomorrow).  I am just wondering about the value financially the landmark thing can bring.  I'd likely finance 70% of it.  

I know in my tiny village three business owners recently received grants $100K (think they match) for outsideimprovements (windows, parking, roofing, patio)  Must be nice; that's what I want!  LoL THEN they got another round 2 years later.  Village Mayor real good at finding money.  

So update on this....  It looks like She's willinging to just do a hold 5 year mortgage.  $120 Sales price with $75K cash thus $45000 mortgage with her.  She inherited at 120K.

Quyestions.  her kids are 17 nd 15 so college on her mind.  any scenarios to think of from her perspective and qualifying for Ed loans and scholarships?  (parents make $200K) student ai A+++ and then I think the grade point owes...joking shes that smart in school. 

but it look s like home mortgage 5% and 5 years in 6 month payments

been a while... thanks for that information.  I only mentioned it to her casually and I don't think she fully understand.  School break is this week so we'll see each other and then I can review my ideas with her.  Not worried about default, just freeing up cash.  worst case scenario rearrange things and pay it off.  

Kind of what I wondered, likely easier and no expensive costs of a hard loan; which have never taken out but looked into it years ago for our other property nd decided against it unless absolutely necessary.  

Did speak to a RE Attorney we used several times (super nice guy and friends with my good friend who is a RE Broker)  Attorney said it's fairly easy and mentioned she might want to file with the county for protection in case of default.  

Just gathering investor information & Ideas to be better informed.  thanks everyone. 

Thanks.  yes it's pretty much the same thing; except the interest I'd give her would be alot lower. 

Hi! This is a 4thhome I'm buying; kept two others and do STR. My sister is looking to unload our childhood home that she inherited 7 years ago. she had it rented out (kind of) and because she's living out of town and so much work needs to be done and she can never do it. We talked and I told her I'd be interested in it (1800 sq built in 1952; 1+ acre fields behind that are forever wild; mid-century feel to it newer vinyl siding/newer windows/new roof). I told her not sure what my end game would be yet; STR or maybe sell in a few years depending how it turns out.

Offering $120K whcih is pretty good for the conditions and worse/smaller homes selling for that. I'll likely put 60K of work into it. ARV is likely $250-280K. What would be a good option for financing it? Getting a mortgage on it, having her hold A mortgage on it, promissory note or other ways to work it? Our credit is excellent; we could pay it all in cash by shifting finances around. I like the cushion idea of giving her $50-75K and pay it back within 5 years.

For our previous investment properties we used a home equity loan and cash to buy and paid it off in a few years.  Houses in our area still sell fast and limited inventory and future growth is anticipated to continue marching higher.  I'm not worried about the house selling or losing value; Well always worried but anticipate and manage costs and calculated risk. 

A Friend contacted me about a coworker who suffered a small fire at their house so needs a temporary place for 3 months. She put me (my 5* Airbnb) in touch with the person and he checked things out online and my virtual walkthrough page and He's  likely renting it.  He mentioned his USAA insurance does work with  ALE  Relocation Plus he has a publice Adjustor (a reputable local firm) (I worked with two others before)   Should I have ALE pay me directly or have the customer pay directly instead?  (thinking tax purposes). It's a semi-retired couple, Very trustworthy and financially secure (I know his work position, and prestigious enough to have his own Wikipedia.  (impressive credentials).

His contractor said 2- 2.5 months but I'm going to request ALE do 3 month minimum lease. 

Also, I think ALE may even pay the 3 months in full in advance if pushed.

I also implement my own short-term lease with guests that stay an extended time

Well Foreclosure sales are finally picking up and one I've been following for a year+ is going to the courthouse soon  $128K is the debt amount I'm hoping the upset will be around $115 anyone have thoughts?  If nobody else bids due to be high then it'll go to Auction.com or something. Then might actually get a higher bid than the courthouse sale.  I see it potential, know about the property and have the numbers worked up so at the right price it'll be good.  THis area is VERY HOT even before Covid and it's a larger lot.  

Also the last house I sold in 2020,  Many my CPA is awesome because I thought the taxes would be much higher and they weren't. worth every penny to have a CPA.  

I am eyeing a good-looking property that the family moved out of for almost a year.

I've emailed back and forth with law office representing bank during the foreclosure (taking forever due to court delays).  The bank involved is Quicken and Five-Star bank.  I am wondering about trying the short sale approach to the former owner (remember they moved out) as she was worried about being removed from the home during the foreclosure proceedings and wanted to move on with her life.  

What does Quicken & Five Star (which one owns it? quicken is just a servicer right?) typically do with their nonperforming assets?  courthouse sale?   Would I be better off having a real estate attorney approach homeowner about a short sale?  

This would be my fourth purchase, the other three were from courthouse sales.

True, there are worse "crappy" houses But just having it sit there for 4 years so far.  In the end though, IT could be rented out for $1,200 max month and who knows how long he'll hold it for. Genrally  this neighborhood is mostly owned vs rental.  I agree with other comment, If you hold it you want cash flow.   I included a pic (inside has nothing but ripped through walls, pulled wires/piping, it's a gut job.  I know a neighbor that saw i

t) 

Yeah, I just don’t get the angle!  I would if it was an up and coming neighborhood but it’s changing like that.  It’s not in livable condition.  The owner (looking at other property records) seems to like tax forclosed properties (owns 5).  I was just curious how it’s beneficial financially holding onto; such as writing off the loss of rents not having it rented.  Either way; I’m sure he’s doing something righ