All Forum Posts by: Derrick E.

Ok. I have section 8 rentals as well as non section 8 rentals. There are good and bad tenants in each category.

No one can logically say Section 8 tenants overall are better than regular tenants. There’s a reason they are section 8. I know that will upset some people but it’s true.

HOWEVER, there are some really good people and really good tenants on section 8. I just screen these tenants a little better. I come from that lifestyle so I know and understand their struggles and mentality. Maybe that’s why I have had success with it, I’m not sure.

I have some properties that I would NEVER rent to section 8 tenants because they are way too nice for that kind of risk.

I agree that a lot of people buy section 8 properties then keep them as a dump. You know what happens, you get the worst of the worst section 8 tenants. I completely remodel my properties when I buy them, even section 8 properties. I put regular laminate countertops etc in them as they will be cheaper to replace, but the homes are nice section 8 homes. Because of this I get a lot more interest and I’m able to get the better class of section 8 tenants. So far so good for me. 

I have no data, but from my experience this is the key to section 8 rentals, buy and update a home which will attract the better quality section 8 tenants. Some of my section 8 tenants also have jobs. 

My biggest challenge is being in an area with lower priced homes. It’s hard to find fix and flip loans under $75-100k. Plus, most if not all of WV is considered “rural” even our cities. 

I think pre-approval letter is all that’s needed to prove you are a qualified buyer.

They probably want info such as, are you married with kids, how many bedrooms you looking for etc. This is all info they can use to help narrow out the homes they know you wouldn’t want.

If you have 4 kids you aren’t interested in a 1BR.

just send them the pre-qualification letter and ask specifically what other info they want. 

The amount needed is going to vary greatly depending on which state/area you want to invest.

 If nothing else, chalk it up as an expensive lesson/education. 

Keep grinding. You will look back on this in 10 years and laugh at this and other things you had to learn the hard way. 

To answer one of your questions, I doubt you will ever find someone willing to give a loan in 2nd position on an investment property. 

The obvious answer here is to somehow get some income and start paying down the credit card debt. 

Best of luck. 

You need to get a quote from a local handyman or contractor.

Not sure about every state, but in the states where I invest - If you do the work yourself you can only deduct the cost of materials. If you use a handyman or contractor then you can deduct the entire amount. 

Not worth it to do it yourself imo.

A local realtor would know more than those of us on here.

If you are wanting to increase ARV then it sounds like that's not going to happen.

If you just want a nicer home to potentially get a better tenant and keep them longer, then the 1/2 bath would probably help. How much? I’m not sure in your area. 

How much money would it cost to add the half bath? How much do you plan to rent the home for? 

Really depends on what they are looking for as well as long term plans. It sounds like this is their personal residence. If so, they can sell within 2 years and not pay capital gains taxes on the sell of the home.

They could take that money and buy multiple rental homes in other areas if they wanted, or use the money to downsize in to a different home while still having money left over.

Quote from @Joelle Chilazi:

Quote from @Derrick E.:

Quote from @Joelle Chilazi:

Quote from @Derrick E.:

Quote from @Dustin Tucker:

Hello Joelle, What are the laws like for landlords, how long does it take for an eviction to take place? Could you explain that process?

It’s New Jersey. I think you already know the answer to that question lol 

Have you been to NJ before?  Curious.  I see you are from West Virginia. How did you come to have expertise in the eviction rate in NJ? Which areas of NJ are you referring to?

 Yes I have been to NJ multiple times. I actually enjoy visiting there from time to time. 

I get that you are from there so you are getting emotional and taking my comments personal, which were not my intentions. 

NJ is very blue, liberal, tenant friendly state. Anyone with the capabilities to do basic research knows and understands this. 

Best of luck in your real estate adventures. 

 This is forum to discuss real estate not politics.  NJ is very diverse in many ways and there are areas that are tenant friendly and urban and there are areas with few tenants. I'm correcting the misinformation you are posting and trying to get further clarification on what you are posting. I have over 30 years professional experience so not taking anything personal.

You have corrected nothing. 

New Jersey is one of the least landlord friendly states in the country - FACT.

Liberal policies are not friendly towards landlords- FACT

New Jersey is a liberal blue state - FACT

I was nice in my original post. You were the one wanting to nitpick. You asked for clarification on MY OPINION. I gave you an answer, and you didn’t like it. Fine. I don’t care. 

I won’t be responding to this non-sense anymore. 

Best of luck investing.