All Forum Posts by: Fred Conway

Thanks jeff. I am taking the sellers word for it and need to get access to the rent roll. I was told hes bought low and wants to cash out and move on to another property. I havent spoken to the owner, just the property manager.

want to buy a property that currently has renters in place until november 1st. All indications are that they are great tennants and no problems but they are paying below market rent. In florida, you cannot remove them until their lease is up. My question is, how do i go about buying the property

Main questions around security deposit, how do i get it? Interactions w current tenant, do i reach out to them? Any advice is appreciated.

Thanks

 This is a great article and may be something that happens in 30 years but i just dont think the infrastructure is there for this to happen anytime soon. There would have to be so many changes as far as city codes, police, roads, consumer buy in, etc. This may happen in a very progressive city like san fran or austin but i cant see it happening across the US. For instance in florida, they've been working on a section of I275 in north tampa for 10 plus years and are still having trouble building it. It was supposed to be done years ago. Its not cold here, so no snow or weather issues, no one could tell you why its taking so long. 

Besides that, millenials dont want the long commute they've seen their parents do day after day, i know i dont and im 26. You can find plenty of articles on this topic. Most millenials want to live downtown and be able to walk to bars, restaurants, sporting events, etc. If this does tend to be the case, this only drives up property values further. 

I think something that's not talked about enough is housing prices compared to inflation and wages. Prices are going up substantially right now in many markets, not pre-crash prices but about 15-20% less, which is probably where they should stay. Home prices are currently rising 13 times wage growth. So either wages have to go up or prices have to come down. Considering wages have stayed around the same in terms of purchasing power since 1979, i tend to side with home prices coming down.The problem is, there is alot of competition for homes in larger metros, artificially driving prices up. So while people are paying 40-50% of their monthly take home pay to afford a home that is not really worth what they paid for it. 

thats awesome, thanks for the info. How does the break up fee or risk early termination clause work? Just charge more of a deposit at move in?

ryan raisley. Hes got a website w more info and pics of some of his work but very trustworthy guy. Does alot of commercial work and may be too busy but if hes got time, would absolutely recommend. Reach out to me if u cant get in contact w him. 

26, have been interested in real estate since college and always thought it was better than being stuck at a 9-5, which is what im doing currently. Im more interested in the lifestyle and being able to make my own schedule. Ive lived in 5 cities in 4 states over the last 4 years, which makes it tough to buy something right now, not interested in long distance landlording. Im trying to learn as much as possible and have met with a few people from BP. Im interested in SF and eventually MF buy and holds and will probably start with a live in fix and hold in B neighborhoods. Im interested to see what happens to prices once interest rates rise and hopefully opens doors for me to buy all cash. 

Its all about the numbers. If you cant make the numbers work with your current market, either pick a different market or wait it out until the market slows down. 

I have a question about buying materials up front, so if I buy the materials, how do I know if a contractor is taking materials from my job and using them on others?

Had a question regarding cost of building in medium and larger sized metros but not mega cities. This would exclude extremely large cities like LA, Chicago, NY, SF, PHI and smaller cities like Boise but include cities like Dallas, Houston, Atlanta, etc. I heard Grant Cardone talk about a strategy he has of finding out where it costs more in permits and time to build than it actually does to renovate and entire property. For example, I think he said something about a neighborhood he has 1 of his properties in SD costing something like 100k just for a permit to build and then you had to buy land, etc. That creates a barrier to entry that's hard to beat. Wondering if anybody knows on average which cities are cheaper and have less barriers to entry vs which are harder to build new construction.