All Forum Posts by: Jack Edgar jr

Go to their previous. 

more info needed: how much money u putting into the deal, what will be your Net profit be after the flip. Compare that to a lower cost deal and see that your % return comes out on each. 

Based on everything mentioned I really thought you were going to pick the 2nd option. This may be a better fit for you starting out. At least finding an investment and less of a project. To help with your decision process,  look at creating a short and long term strategy plan that focuses where you want to be down the road. Figuring this out will help you with your decision. In the meantime, if you really want to, and have the time to go with option 1; definitely read up on the construction books offered by the bigger pockets family as starters so that you know the ins and out of renovation. 

Finally, there are no quick fixes with real estate investing. One has to crawl before they walk.

There are several turnkey opportunities I'm seeing on the southside of town. A couple groups have renovated and stabilized them so if your looking at just buying there are some good options out there with a positive return. Pm me if you want more info. 

The analysis seems to be missing your taxes, insurance, Mgt, leasing fee,  yard maintenance. What are you looking for?

Like any property you buy, due diligence is key. Recently sold a 12 unit with existing tenants. Buyer is a seasoned property manager. They had all tenants fill out a tenant estoppel (shows amount they are paying, security dep. and lease term, etc.)  and credit application. Since this wasn't a performing building we didn't check financials. However if this was we would have asked for the last 2 years financial statements showing the receipts from tenants of rents paid and of course expenses. Depending on the records available I would at least get a history of payments from the owner. They should have some type of record.  Otherwise I would question the quality of the tenant and overall purchase for that matter. 

Remove and install Hvac? Gotta study the market and what is in with that a buyer wants. Do the homework and determine what will bring the best bang for the buck. 

What are your recommendations so that doesn't happen again? What have the courts said to help you as the landlord?

Check out Renterresume.co. I have used it for my rentals. What's really nice with this site is that it does all the money collection and analysis and puts the tenant info in a nice report for you. Just give ur prospect the link to your listing and it does the rest. 

If your doing fha, you will need to occupy to have the 3.5% down. At least one lease needs to expire by the time you close on the property (or at least, I think 60 days after closing) so that you can occupy. To do this,  I would suggest having in your purchase agreement a rider that states  at least one unit has to be vacant upon closing to meet purchase obligations.