All Forum Posts by: Eric Carr

Builders won't build if they can't get a return on their money, investors won't buy either. Rent Control also depresses property values and therefore property tax collected - which affects the entire area. Another issue is that owners will defer repairs and maintenance because it's a cost, and with artificially low rents, means low returns, and less budget to make needed repairs and maintenance. This creates a slum. Another issue with blanket rent control policies is that the people who can afford market rents, are not paying them. So the landlord is subsidizing their living costs - when they don't need it. 

I own rent controlled buildings in LA, there is a strategy to buying them, but here, multi family rentals built before 1979 falls under rent control and in hip areas that have high growth, we are seeing the people who actually need rent subsidies, being pushed out. Rent Control here has caused the destruction of multi family rentals in favor of condos and small lot homes - which look like condos. Less rentals. 

A few of them like Buildium and Renttech will let you demo, and are built for small medium

 Someone beat me to it, buy Bitcoin. It could drop into the $2k range, but no one knows for sure. There is a lot going on this year and as soon as the government opens up, we will see these come online over the next few months. 

Otherwise, pick a market, Pennsylvania, Tennessee, Indiana, buy a house for 25K, rehab, and rent it out 

 Good luck bother David 

 Good luck, you got this! Don't OVERTHINK it. Come up with a due diligence plan and proceed. 

 Don't over analyze but use the info and tools on the internet and these forums and come up with a profile and make it work. Go for it! 

Hardwood, bamboo, or laminate - depending on the market. Carpet is gross, will need cleaning, will show wear sooner, and I'm not sure carpet is seen as desirable in any market 

I'd seriously consider any of the three above over carpet

Depends on the area. Not everyone in a given market is looking for a 5 bed house to rent. And in other areas, maybe a family needs 5 beds.

If the area is younger, more transient, or has a lot of single people, probably 2 to 3 bedrooms and 2 baths. In areas that are more family oriented, probably 3 -4+ beds and 2-3+ baths. Same goes near colleges. Depending on the school, you might have several students wanting to poll together to rent a larger home and pay less individual rent. 

Find out who the renter population is and give them what they want. I also look at the overall rental market to see if there is an opportunity to fill in gaps. Will that 5 bed home find that one family that is looking to rent in the land of 2 bed rental homes? 

Are they actually on the same lot or are they 3 SFH on separate but contiguous spaces?

Multiple structures on a single lot, on a single title, is going to be multi family. 

FHA is for owner occupied loans, doesn't matter if it's for a single family home or multi - as long as you live there, the property might qualify for an FHA loan. If the cost for the property and the rents add up, sounds like it could be an awesome first transaction. Are any of the homes occupied now?

Liberty Mutual is a great place to start. Get the landlord policy and make renters insurance optional - your tenants costs. If they have pets, I'd make it mandatory

I allow dogs and it's good to have to cover yourself