All Forum Posts by: Jack Krusinski

Hi Sylvie! I have a great DSCR lender I recommend. I just sent you his contact information. I personally use him for all of my investments and recommend him to all of my clients.

The GC should provide you with a contract. Here are the things I would recommend looking for in that contract. 

1. Scope of Work: Clearly define the tasks and responsibilities the contractor will undertake. I can't tell you how many times I have heard, "That was never in the bid." Put it in writing so there is no miscommunication. 

2. Payment Terms: Outline how and when payments will be made. There will be an initial deposit, progress payments tied to milestones, and a final payment upon project completion and satisfactory inspection.

3. Project Timeline: Specify the start and completion dates, including any deadlines for specific milestones. Include clauses for delays and how they will be managed.

4. Change Orders: Detail the process for handling any changes to the scope of work, including how they will be documented, approved, and the impact on the timeline and budget. This is a big one! Change orders will most likely happen! 

5. Permits: Clarify who is responsible for obtaining necessary permits! Contractors should do this, but to be safe, I would outline it in the contract. 

6. Termination Clause: If things don't work out, define the circumstances under which either party can terminate the contract.

7. Lien Waivers: Require the contractor to provide lien waivers from themselves and all subcontractors to prevent any future claims against the property.

Hi Josh. I have some Section 8 rentals; no, I have never had this happen. When I asked for a bump in the past, I have received a slight increase in rent. It isn't always what I want, but it is more than what is currently in place. It has never been less. 

Hi Anna, I just sent you a lender that I use and recommend. I am NOT a lender, so I do not know all the ins and outs, but the gentleman I sent you does. I would recommend reaching out to him to see what options you have. If you ever need any deals sourcing, I would be happy to help. 

Hi Damein. I would say it all depends on the difference in HVAC quote. Does it have a boiler already, and you are considering putting in a mini split and keeping the boiler? Or what is the situation/current set up? 

Hi Christian, I have a good plumber I recommend. I just sent you a DM with this information! 

Hi Zach! I invest and flip in the Cleveland market and the Cleveland market only. Cleveland is a good hybrid market where we have seen both cash flow and appreciation. There are certain areas within Cleveland that are better for cash flow and certain areas within Cleveland that are better for appreciation. The price point is very attractive for many out-of-state investors, too. 

Hello. I am born and rasied in the Cleveland area and own rentals here. Cleveland can be tricky as you can be in a good up-and-coming area, and then a few blocks over, you can be in a tougher location. Some areas, like Ohio City, Tremont, and the Edgewater area, are great, up-and-coming neighborhoods with good potential for appreciation. Other areas are better for cash flow such as Garfield Heights and Eullid but will most likely see less appreciation. Right now, as in halfway through 2024, there is very low inventory and a lot of demand. 

Hi Luka, Cleveland has its pros and cons for sure. Where are your properties located? That will likely make the biggest difference on if it cash flows or not. I invest in Cleveland (BRRR and flip) and am a realtor. The sewer expense is a big hit. For deals I do, I try to write in under the inspection section in the purchase agreement, "any and all recommend by home inspector including but not limited to inspections checked no above." This will then allow me to do a sewer scope if/when the inspector finds a sign of a potential backup. Not bulletproof proof, but it helps!

I am an investor here in the Cleveland area, and we have small, turn-key multi-family homes with around 5% to 10% cash-on-cash returns. For example, right now, I have an off-market deal that is fully occupied by Section 8. The gross rent is $2,000 monthly, and the seller wants around 160K for it.