Skip to content
×
PRO
Pro Members Get Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
$0
TODAY
$69.00/month when billed monthly.
$32.50/month when billed annually.
7 day free trial. Cancel anytime
Already a Pro Member? Sign in here
Pick markets, find deals, analyze and manage properties. Try BiggerPockets PRO.
x
All Forum Categories
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

All Forum Posts by: Cara Lonsdale

Cara Lonsdale has started 25 posts and replied 1363 times.

Post: What to do if termites are found during inspection

Cara LonsdalePosted
  • Realtor and Investor
  • Scottsdale, AZ
  • Posts 1,403
  • Votes 1,471

In AZ, we only have 2 types of homes....those that have had termites, and those that will.  We don't do tenting like they do in California, but the companies out here drill sub-terranean holes all around the perimeter of the property.  If there is no flooring, or it's easy to pull up, they will even drill on the inside perimeter.  Since subterranean termites always go back into the ground every 24-48 hours to get back to their "home", they will be killed once they make their return.

The termite treatment company will issue a warranty, so if they return within a given period, they will come back out and spot treat or do full treatments.  You can usually renew the warranty for a reasonable fee annually.

My recommendation would be to call the termite company and ask for an estimate for treatment.  Get a figure before bailing.  Sometimes it isn't that bad, and most of the time, you can get the Seller to pay for it since it is their property, and now that termites have been disclosed, they would have to disclose it to any new Buyer anyway.

Post: Emotional support animals

Cara LonsdalePosted
  • Realtor and Investor
  • Scottsdale, AZ
  • Posts 1,403
  • Votes 1,471
Originally posted by @Robert Freeborn:

A friend of mine living in Utah is trying to get an emotional support animal, but her landlord is having issues. Besides being provided with letters from her doctor and psychologist for the need for the animal, he is demanding to speak with the doctors. (Which is totally illegal, right?)

My friend also claims that an ESA doesn’t need to be certified, just needs to have a letter from her doctor. I’ve looked, but can’t find any evidence supporting that.

Can anyone here point me to a source that says if she does or doesn’t need the animal certified?

 This came directly from the ADA website.

***********Emotional support animals, comfort animals, and therapy dogs are not service animals under Title II and Title III of the ADA. Other species of animals, whether wild or domestic, trained or untrained, are not considered service animals either.*************

Therefore, the Landlord can refuse the animal and/or treat it as a pet, not a service animal as it is not protected under the ADA.

Here is the complete link https://adata.org/publication/service-animals-booklet

Hope this helps!

Post: Does an undisclosed agreement between the seller obligate a buyer

Cara LonsdalePosted
  • Realtor and Investor
  • Scottsdale, AZ
  • Posts 1,403
  • Votes 1,471

This is about non-disclosure for sure.  The Seller had an obligation to disclose any material facts to you, and clearly, this is a material fact.  Additionally, this may present a cloud on title as it sounds like the adjoining land was not sold properly to the neighbor since they didn't formally address the metering.

I would recommend that ALL of your communication about this be in writing, AND you issue the Seller a cure notice to formally request the info.  Cure notices alert the violating party that they are in violation, and give them some time to remedy it (cure it).  If the Cure notice deadline passes, then the next step is to issue a cancellation based on the Seller's inability to cure.  The title company shouldn't have any issues refunding your earnest money under these circumstance as the documentation would support them releasing it back to you.

Sticky for sure....

Post: Letter of Intent & Proof of Funds

Cara LonsdalePosted
  • Realtor and Investor
  • Scottsdale, AZ
  • Posts 1,403
  • Votes 1,471
Originally posted by @Jeff Greenberg:

Hi Alisha,

I never show a proof of funds.  It usually means the broker does not feel that you are experienced, and can't close.  Jumping into a 300+ property that does not cash flow is a big project to bite off for a new investor.

Depending on where you are, POFs may be a common practice. In AZ, if you don't show POF with an offer, or upon request, your offer may be pushed aside. Sellers don't want to get to the closing table to discover that the Buyer is short on funds.

I don't know what it's like in ATL, but I wouldn't be offended to be asked for a POF. It's just the Seller looking out for themselves....and the agent looking out for their Seller.

Post: What should my max offer price be?

Cara LonsdalePosted
  • Realtor and Investor
  • Scottsdale, AZ
  • Posts 1,403
  • Votes 1,471
Originally posted by @Victor Barboza:

@Cara Lonsdale when I spoke to him, I knocked on his door and he didn't open. Than I figured there was no one there, went to my car and he came out barefoot/shirtless running out to the car waving at me. When I told him that I'm a RE investor he said he wants to sell his house quick and wants quick cash for it. When I tried to find a motivator he wasn't budging, and first said he wanted retail value, than started to chip it down a bit saying, he at least wanted 90k which is about 45k off of the ARV. I called him the following day to see what was going on and to get more information, but he didn't answer. Should I give it like a week or two and go to the house again? or give him a call?

Also, would it be ok if I PM you just had some questions regarding my purchase and sale agreement 

 Sounds curious!  I am interested.  Sure.  Go ahead and PM me.  I am happy to help with what I can.

Post: Investing in PV/Arcadia

Cara LonsdalePosted
  • Realtor and Investor
  • Scottsdale, AZ
  • Posts 1,403
  • Votes 1,471
Originally posted by @Dave Foster:

@Cara Lonsdale, having the tenant in place isn't such a big deal.  What is important is the intent and when she takes title.  If her intent is to hold it for productive use then it would qualify even though it might take a bit to get a tenant in place.  Her limitations are going to be the 180 day exchange period to complete taking title.  Or the 180 day window of the reverse construction exchange to complete the construction.

 Taking title shouldn't be a big deal since there is an existing property on it already, right?  We average 30-45 day COEs here in AZ.  My only question was about a tear down being like for like with rental properties.  Thanks for clearing that up.

Post: Investing in PV/Arcadia

Cara LonsdalePosted
  • Realtor and Investor
  • Scottsdale, AZ
  • Posts 1,403
  • Votes 1,471
Originally posted by @Dave Foster:

@Cara Lonsdale, good advice for @Sue Swami.  I wanted to clarify something you said regarding the 1031.  Actually all of the property types she mentioned would qualify for a 1031 exchange.  The like kind component is about use and not type.  Any type of real estate purchased with the intent to hold for productive use in investment can be sold and exchanged for any other type of investment also intended to hold. 

This does exclude fix n flips because the intent is not to hold.  And does exclude construction after the purchase of the land since you must be buying real estate not improvements to real estate you already own.

But her examples of type are perfectly fine.  So is her thought to sell three and buy one bigger piece (as long as the valuations work for her reinvestment target).

Sue, if you want to try to do construction at the beginning and roll it into a 1031 I'd recommend a reverse construction exchange.  These are a little bit more expensive and complex but could be your ticket.  Otherwise I do like your idea of buying just the right piece of land with an older building on it and then holding for a few years before scraping and rebuilding.

 Thanks for your clarification @dave foster.  I told her to seek advice from a 1031 professional because I wasn't sure, since she stated that she wanted to find something she could tear down and build new.  That made me question whether it was like for like since her previous properties were held as rentals, and this property would likely not be able to have a tenant occupy it for several months or even a year during construction. 

Tell me, what is the time frame for getting a tenant in place in order for this to still be like for like?  Does the Tenant in place matter?

Post: Getting Started in Wholesaling

Cara LonsdalePosted
  • Realtor and Investor
  • Scottsdale, AZ
  • Posts 1,403
  • Votes 1,471
Originally posted by @Tom Gimer:
Originally posted by @Cara Lonsdale:
Originally posted by @Tom Gimer:
Originally posted by @Cara Lonsdale:
Originally posted by @Tom Gimer:

Sorry, but I'm in charge of compliance at a title company... so I'm familiar with the subject matter.

When our marketing reps come to me with ideas like this, I nix them.

Best of luck to you.

So, are you telling me that your title company doesn't offer open house registers, sample contracts, Ways to take Title sheets, FSBO manuals and so forth??? These are not RESPA violations. They are marketing materials to help assist the public with real estate transactions. I am not sure why you think these are compliance issues. They are not.

We were discussing the provision of a list of pre-foreclosures to investors.

To assemble such a list in this part of the country we would need to scour land records for recordings of appointments of substitute trustees or visit courthouses to review dockets for new foreclosure cases. <--- these are things of value, imo

The thought of giving someone a sample contract gives me nightmares. No thanks. I keep our staff out of contract issues other than interpretation.

Choice of Tenancy forms are not "anything of value" under RESPA. They are a necessary element of our buyer information packet.

 So, you just proved @Jay Hinrichs point.

We all have different situations based on our location.  It doesn't make these RESPA violations that some states do things that other states wouldn't touch, it just means that we have different business practices based on our markets.

I'm happy to hear what @Jay Hinrichs instructor says about this. Side wager? :)

 Always up for a side wager... lol.  Thanks for the spirited debate.

Post: Getting Started in Wholesaling

Cara LonsdalePosted
  • Realtor and Investor
  • Scottsdale, AZ
  • Posts 1,403
  • Votes 1,471
Originally posted by @Tom Gimer:
Originally posted by @Cara Lonsdale:
Originally posted by @Tom Gimer:

Sorry, but I'm in charge of compliance at a title company... so I'm familiar with the subject matter.

When our marketing reps come to me with ideas like this, I nix them.

Best of luck to you.

So, are you telling me that your title company doesn't offer open house registers, sample contracts, Ways to take Title sheets, FSBO manuals and so forth??? These are not RESPA violations. They are marketing materials to help assist the public with real estate transactions. I am not sure why you think these are compliance issues. They are not.

We were discussing the provision of a list of pre-foreclosures to investors.

To assemble such a list in this part of the country we would need to scour land records for recordings of appointments of substitute trustees or visit courthouses to review dockets for new foreclosure cases. <--- these are things of value, imo

The thought of giving someone a sample contract gives me nightmares. No thanks. I keep our staff out of contract issues other than interpretation.

Choice of Tenancy forms are not "anything of value" under RESPA. They are a necessary element of our buyer information packet.

 So, you just proved @Jay Hinrichs point.

We all have different situations based on our location.  It doesn't make these RESPA violations that some states do things that other states wouldn't touch, it just means that we have different business practices based on our markets.

Post: Getting Started in Wholesaling

Cara LonsdalePosted
  • Realtor and Investor
  • Scottsdale, AZ
  • Posts 1,403
  • Votes 1,471
Originally posted by @Jay Hinrichs:

@Tom Gimer  @Cara Lonsdale  and in Vegas the Clark county trustee sales are held in the parking lot of a title company.. they have all the lists right there anyone can have them.. plus bottles of water LOL...

 You bring up a good point!  I appreciate your comments.

As RESPA is a national thing. I pulled this from the NAR website regarding our discussion. I thought it might be of help, or provide some clarity.

***********************************
3. Exceptions to RESPA's Prohibitions

Not all referral arrangements fall under RESPA’s referral restriction. In fact, RESPA and its regulation feature a number of exceptions. Three examples are:

  • Promotional and Educational Activities
  • Settlement service providers, such as mortgage bankers, mortgage brokers, title insurance companies, and title agents, can provide normal promotional and educational activities under RESPA.
  • These activities must not defray the expenses that the real estate broker/agent otherwise would have had to pay.
  • The activity cannot be in exchange for or tied in any way to referrals.

************************************

The post went on to other items that didn't relate to our topic here, but I thought I would post it. That can be found on the NAR site at https://www.nar.realtor/ae/manage-your-association...

Anyway, good discussion guys!  Thanks.