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All Forum Posts by: Jamison Schweitzer

Jamison Schweitzer has started 7 posts and replied 30 times.

Post: Accountant, CPA in Cedar Rapids Area

Jamison SchweitzerPosted
  • Rental Property Investor
  • Iowa City, IA
  • Posts 31
  • Votes 7

Try Great Western bank in North Liberty. Melissa Schooley.  Shes been great to work with for me.  Good luck!

Post: Where can I get cheap appliance packages?? Besides the chain stores...

Jamison SchweitzerPosted
  • Rental Property Investor
  • Iowa City, IA
  • Posts 31
  • Votes 7

One more place to try is The Appliance Barn in Kalona, IA.  They are fair priced and service is excellent. 

Post: Real estate lawyer in IOWA

Jamison SchweitzerPosted
  • Rental Property Investor
  • Iowa City, IA
  • Posts 31
  • Votes 7

Need lawyer with experience facilitating subject-to and other creative deal structures in Iowa.  Does anyone know someone I could call?  Thanks ahead of time!

Post: Cabinets for a Flip - Cedar Rapids

Jamison SchweitzerPosted
  • Rental Property Investor
  • Iowa City, IA
  • Posts 31
  • Votes 7

Rebecca - looks great! Warm neutral colors really improve a place.  You must have used quite a few gallons of primer in that kitchen! Wow! 

The first thing I thought when you said "budget" cabinets is that you should check out the ReStore in Cedar Rapids (which is a Habitat for Humanity store.)  They often get whole kitchens worth of cabinets and sell inexpensively.  Sometimes I see solid wood construction and nice fronts there. But not knowing your final buyer market, used cabinets may not be what you want. 

I've used reused the existing cabinets before, especially if the layout is acceptable and they are good quality cabinets.  Updating the hardware makes a huge difference and I've also replaced cabinet fronts before which make them look next to brand new.  I used to live near an IKEA and they sell cabinet doors and drawer fronts that are solid wood and clean style...also cheap. Throw in a couple glass doors and it really takes it up a notch.

I also agree with Justin and Tyler in that Menards offers decent cabinets at a lower dollar, especially the in-stock cabs, and they don't look all that bad.  That is what I've used in my rental and in many projects I've done for other people.  You may consider "dressing" them up with crown on the top and/or valances on the bottom of the upper cabs and possibly under cab or above cab lighting. 

Another cheater tip is that you can order slow-closing latches that catch the drawers or doors before they slam and close them quietly.  That is a feature often found on higher end stuff.  Easy addition to a Menards cab...

Post: Will someone review this deal for me?

Jamison SchweitzerPosted
  • Rental Property Investor
  • Iowa City, IA
  • Posts 31
  • Votes 7

Thanks for your vote of confidence Rotimi.  

Post: Will someone review this deal for me?

Jamison SchweitzerPosted
  • Rental Property Investor
  • Iowa City, IA
  • Posts 31
  • Votes 7

Jesse - The 80% loan is from a commercial lender at a regional bank.  They lend up to 80% of assessed value to established investors.  The $7000 or so more that I would need is coming from equity in another property I own (or perhaps my own funds)

There are no seasoning requirement for purchasing this property.  I have know property seasoning to be in reference to refinancing?

I'm in process of getting the property appraised.  In the rare chance appraisal will come back lower than assessed I'll renegotiate with seller.

Post: Will someone review this deal for me?

Jamison SchweitzerPosted
  • Rental Property Investor
  • Iowa City, IA
  • Posts 31
  • Votes 7

Hi Bigger Pockets community,

Could I run some numbers past you just to see if I'm on the right track with this property? This is a duplex (recently illegally converted from a single family) - but that's another story...

Purchase price:  $95,000

Assessed value:  $147,500

Renovation/Repairs:  $25,000

Taxes: 2650 annually

Insurance:  900 annually

80% LTV loan, $118,600 at 4.75% (includes renovation expense) Based on assessed value.

I anticipate $2300 in acquisition costs and $2736 in holding costs before it is rented.

Rents:  Unit 1-$750  Unit 2-$600

I have no personally money in and a cap rate of 10% (if I calculated correctly)

If you could take a quick look I'd really appreciate it!

Thanks, Jamison

Post: House Flipping Chart of Accounts

Jamison SchweitzerPosted
  • Rental Property Investor
  • Iowa City, IA
  • Posts 31
  • Votes 7

I'm fairly new at long term rentals however I plan to have a separate LLC for each of my long term properties and as such, I will keep all accounting completely separate. I won't separate properties within one company file. If I am rehabbing properties however, I run all of them through my main company and separate with Quickbook's classes feature. You can pull P&L and separate by classes.

Admittedly setting up individual LLC's for each long-term property can create lots of work and money for accounting and state filings. (I'm fortunate that I live in a state that allows for the formation of series LLC's which makes business filings and taxes for multiple LLC's much easier.)

I use Quickbooks for my construction business and love it.  It has it's quirks but I've used others and they all do.

Best of luck!

Just did a quick search and this is helpful: http://support.quickbooks.intuit.com/support/pages...

Post: Land Contracts - Podcast 16

Jamison SchweitzerPosted
  • Rental Property Investor
  • Iowa City, IA
  • Posts 31
  • Votes 7

Brian

Thanks that is really good information. I like ROFR, however do you collect fee up front for giving the ROFR?

Your comments focused on lease-option but what I am talking about is selling via a land contract, and what I mean by that is where the buyer purchases the home, gets the deed  and full ownership while I collect a downpayment and monthly payment similar to a bank.   However in the background I am using the loan I obtained from my bank, plus equity I have in the home, to finance the buyer's purchase.   There is no "option to buy". It is sold and I am the lender.  If they do not perform I foreclose and take back the property.

Post: Land Contracts - Podcast 16

Jamison SchweitzerPosted
  • Rental Property Investor
  • Iowa City, IA
  • Posts 31
  • Votes 7

Podcast 16 has been removed because of Dodd Frank legislative issues, etc and I was wondering if someone could tell me what part of the podcast discussion is considered "illegal"?  I wan't able to listen to it before it was replaced.

Specifically are Land Contracts illegal?  I spoke to my real estate attorney and he said there is no problem in selling property in this manner.  I'm not sure if rules vary from state to state but I am located in Iowa.

Background: I own a house that I purchased as a long-term rental however my tenants love the house so much that they are begging to buy it. I'm considering selling it to them on contract. I have a loan at about 80% LTV. I know my banker pretty well and asked "hypothetically" if I were to sell on contract would the bank call the note due and she said "hypothetically", no she could find a work around to allow it. Basically if they continue to receive payments they look the other way. I like my bank! (local portfolio lender)