All Forum Posts by: Harman N.

Hi all,

Wondering what bank you use for your business accounts, and what the fees are like. I went to open accounts with US Bank, which I already have some of my personal accounts with, but they have monthly charges for what are pretty basic services like wire transfers, viewing deposited check images, downloading data to Quickbooks, etc. 

Wasn't sure if business accounts tend to have more charges than the consumer side, or if it's just US Bank. 

- Harman

Hi all,

If you're aggressive about deducting repairs & improvements in-year on your taxes (as opposed to capitalizing over time), could that have a detrimental impact on DTI and therefore future ability financing ability for buying more rentals? Or do lenders back out the repairs like they do with depreciation?

- Harman

Hi all,

Next year I want to do a half-dozen or so flips to raise capital. I'm investing out of state. For those operating at a similar scale, I'd like to understand what your systems and processes look like:

• What software and tools do you use? 
• Do you use a GC or subs? Do you use multiple contractors, or the same one for all the jobs? How many bids do you get? 
• What does the funnel from ballpark estimates to offers to deals look like? 

I want to strike a balance between doing things efficiently vs overkill for my level of scale.

- Harman

Hey everyone,

My portfolio right now is all C-class / gentrifying parts of Columbus. I'm thinking of balancing it a bit with some solid, stable, B-class locations: not too rough, but not too expensive either. Areas that are family-friendly and attract tenants that tend to stay a while.

What are some such areas you've had success with? I'm curious especially about Grove City, Reynoldsburg, Clinton Estates (north of Linden), Gahanna. 

Thanks!

- Harman

Thanks @Ryan Beam & @Account Closed for the inputs! 

During the re-assessments, do the assessed values and fair market values diverge over time such that the assessed value grows slower than the FMV?

Hey everyone,

I had a few questions about how property taxes work in Franklin County:

1. I know there's a triennial reassessment, but can the taxable values change in between the 3-year periods, like maybe when permits are pulled? 
2. The taxable value is 35% of the assessed market value. But how much does the assessed market value differ from the actual market value? Comparing a few recent sales on the MLS to the 2020 assessed values, it seems like there's a 20-40% discount in the assessed value
3. If there's a sale, does the sale price factor into the assessed value in any way? This is common in some municipalities, but doesn't seem to be the case in Franklin County
4. What does the "non-business credit" apply to: is it whether the property is held in an LLC/corp?
5. Last one -- for property tax abatements, I assume the assessed market value is frozen at the most recent assessed value? 

Thanks!

- Harman

Thanks Dustin! How long does the process take? Also, what neighborhoods have you done the condo conversions in? 

I'm interested to hear others' experiences as well!

+1 to all the comments about using Zillow. I would also take note of how long properties have been listed. Even if you can get a certain rent amount, if it takes many months to get it rented it's no bueno. 

The other thing to keep in mind is that many Columbus neighborhoods are gentrifying, so within a small radius you can have vastly different quality rentals: from total dump to rental grade to fully rehabbed. So it's important to analyze the condition of the comps closely. 

Is it always the case that Section 8 sends the money directly to the owner, or is it just the local Section authority? Though having a reliable rent stream outweighs the inconvenience, that is pretty annoying that not everything goes through the PM.