All Forum Posts by: Eric Greenberg

@Eric Greenberg Gotta love L&I... I don't have experience with this particular situation but I know that their appeals process is a nightmare, so maybe if you appeal the fine it will drag out for a while and you can ultimately get them to grandfather it. Did you recently install it, or was it there when you bought?

Hey Rich,

There's always been a fence there but it was a 6ft chain link fence until a year or two ago.

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Philadelphia, Pennsylvania

Originally posted by @Michael Lyons:

@Eric Greenberg yes i also definitely don’t love the idea that 2 of the units would be occupied with everything going on.

It’s in South Philly, where i’m from. I’m 27. i wouldn’t walk by there at night when i was 15 and still don’t want to walk by there at night AKA it’s most likely going to stay exactly the way it is, but that’s just me personally. I’m sure there are going to be people willing to live in that general area, as it has gentrified a bit

Sounds like it may be a pass. Its doubtful that even in at $355k you wont have to put in more money. I think there are much better deals to be found with less risks in the city

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Originally posted by @Michael Lyons:

@Nathan Milholin yea i realize my numbers are off somewhere i’m not even really sure where i did it while at work as soon as i was told about it

i drove by it on my way home and it’s in a worse part of the neighborhood than i thought more of a C-/C, although the outside does look okay. so i’m starting to come to the conclusion that it’s not worth it, it seems like the rents are WAY off which leads me to believe the current owner is renting to probably D tenants and the inside is not in good shape

What part of the city is it in? Ie does the path of progress look to be heading that way? Id also be weary and get confirmation that the tenants are actually paying and thats not the reason for them selling. If you do want to move forward with the deal id think about buying the property with a contingency that its delivered vacant.

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Originally posted by @Sean Parno:

Hello all

Last night I was in a Webinar with @David Greene and we went over the Rental Calculator to analyze good properties. I understand how to use the calculator but every house I had saved on Zillow that I plugged in (price ranging 180K-230k) wasn't giving a good cash flow and COC ROI.

What is the average for Cash flow and COC ROI % you guys look for? I live in Philadelphia so I know this market fluctuates between "sections of the city but I am just trying to sharpen my Analyzing skills.

Any feedback is helpful!

Sean

Hi Sean,

What are you looking for cash flow and COC ROI wise? What areas are philly are you looking at?

-Eric

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That doesn't seem too far out to me in today's market. I just had a similar size back patio done for ~$3k and I assume something holding a vehicle would need more substantial/deeper crushed stone base.

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I recently received a fine from L&I for a fence on a vacant lot I own next to a property I own that spans between the front of two row homes (not on a corner) that is 6ft tall and made out of wood. I'm curious if anyone else has effectively convinced L&I to grandfather their fence in or if they had to remove it, go through zoning, then rebuild the fence. There is a 6ft wooden fence directly across the street spanning the front of a vacant lot this is very similar fwiw.

https://www.phila.gov/services...

-Eric

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Philadelphia, Pennsylvania

I dont know what part of the city this property is located in, but recent comps could be over predicting the ARV with the shortage of homes for sale in the area. Since this isnt a flip you may want a more conservative ARV based on pre-pandemic prices just to be safe.

Being close to the 1% rule in a nice part of philly to me is a good deal. But if its the not best area id walk away or negotiate further.

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Thanks Yuriy! It looks like closed sales are still half of what they were at the end of 2020. Are the homes for sale about half of what they were during Q4 2020 as well?

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Philadelphia, Pennsylvania

Originally posted by @Rich O'Neill:

@Eric Greenberg that kind of surprises me actually. Did you try to fight that at all or get an explanation?

Hah, yes I asked for the rationale and provided comps, but they weren't interested in listening. Eventually I had to move on to a different company for a refi where their appraisers came back +$90k over the previous.

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Originally posted by @Rich O'Neill:

@Dave Polykoff a 3 unit is usually still appraised using comparables. Most of the time appraisers will start using a cap rate on a 5+ unit building.

That being said, I don't think an appraiser will put much weight on outdoor amenities. Appraisers need metrics to adjust their values based on. Think adding sqft, or a new half bath, something with a number. A few benches out back or a paver patio doesn't give them a whole lot to work with.

Agreed, Ive had properties in the city with off street parking in the backyard that adjusters have barely cared about 🙂

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All Forum Posts by: Eric Greenberg

Eric Greenberg has started 3 posts and replied 606 times.

Post: Philadelphia Fence Zoning

Post: Need Figuring Out if It’s Worth It... Triplex

Post: Need Figuring Out if It’s Worth It... Triplex

Post: Analyzing a good rental

Post: Parking Pad Cost - Philadelphia suburbs

Post: Philadelphia Fence Zoning

Post: Should I buy a good deal w/ 2 non-paying tenants/squatters?

Post: Industry Watch: Philadelphia, 1st Quarter 2021

Post: How do I add home value with back patio?

Post: How do I add home value with back patio?