All Forum Posts by: Jamie Labrec

@Brad Perkins

In Wisconsin, a "periodic tenant" is one that holds possession (rents the place) without a valid lease (i.e. lease is expired or there wasn't one) and pays rent on a periodic basis. By what you described he had a year lease which then expired and wasn't renewed. At this point he went to the defaulted month to month renter. Looking at the definition he appears to fit the 'periodic tenant' definition. In your scenario the length of notice required (SS 704.19(3)) is at least 28 days.

I would except him moving out and work on finding another renter. You don't want to hold them there on a technically as they may damage the place which would ultimately cost you more to fix.

I'll end by saying I'm not an attorney so you may want to seek legal advise.

@Korey Enstad. I'll start by saying I am not a fire inspector. A single family dwelling only needs one exit (required) and exits from a second story or basement may go through adjoining rooms providing the means of egress meets the code standard (stairs must meet minimum code at time of construction). The biggest thing is to check your local area for their "means of egress" standard. A local fire inspector could answer this for you.

I would also check your insurance for the property to make sure there is nothing specific they are requiring you as a landlord.

@Kyle Root you can check with the local county (Outagamie, Winnebago, Brown, etc) and see if they keep any kind of record for out of state owners. This will likely have a cost associated. The Tax parcel department would be a good start. You can also go to Listsource and have them pull information for you. Again there is a cost but well worth it. You do need to provide specifics in either scenario, such as: I'm looking for SFH owned by out of state owners in the City of Appleton.

@Anthony Baillie, best way would be to contact a contractor in the Racine area that deals with such a thing. Talk to them over the phone so you can educate yourself on the matter. Then ask them to give you a ballpark price given XX amount of square feet. A good person should be able to give you a close estimate without having to physically see a property. Be clear with them that you are only looking for ballpark estimates (not a quote) so you can input that into future evaluations.

@Jack Medford

Some of these data pieces shocked me as well. I am presuming you have your realtor license to obtain your data points? I ask as I would be interested to see how this data was pulled together so I could get one done for the Baraboo and The Dells; this is where I'm looking to start my investment.

@Chris Elkendier

Your investors (aka future partners) and you need to sit down and figure out your goals and what you want the business to achieve for you. Is it to provide some side cash or replace your full time job down the road? Once you have some of that business plan figured out you will be in a better position to determine if you do one purchase or several purchases.

Investing out of state can be tricky. Once you have a city you want to invest in I believe it is critical to have someone their that is reliable. This affords you the ability to know what part of the city to buy in, what rents are going for, and what PM companies carry a good reputation, etc.

It doesn't sound like to want to be making lots of flights per year to your REI property.

@Sefa Demirtas

Many people will do just what the attorneys you talked to stated. And that is, they will get a loan in their own name then do a transfer of deeds once the property note is obtained. The clause does allow the bank to call the note because of such a transfer; however, a vast majority would not do this if you have built a relationship/partnership with the bank. Having a history of paying the monthly note on time is helpful.

You could try asking the bank what they would do in such a situation. If you are worried what the bank that holds the note would say, I would recommend asking another local bank.

@Calvin Ozanick what kind of license is required in WI for doing property management? Would that license be a requirement if the son was an owner in the company or added as a member (assuming it is a llc business).

Bringing a contractor with you to every property will not work unless you have an extremely good relationship with one. What you could try to do is take photos (if allowed) along with your notes and meet with a contractor to discuss potential rehad costs. Now they won't be able to give you an exact number at that point but should be able to provide you with a ballpark number. Then if one of the many properties that you look at fit into your BRRRR strategy, you could do another showing at the house and bring the contractor with this time to get a solid number. Over time you will get a sense of what repairs/rehab will cost in your area.

A private lender may be an option.  (I.e. family member, friend, co-worker).  Most of the bigger hard money lenders want to be the only note (mortgage holder) on the property.  Going with them typically means 20% down payment.  A local/small hard money lender may be more flexible.

Also do some calling and shopping around with other banks to see what your best financing could be.