All Forum Posts by: Jason Andler

@Jacob Beg

You need to write down your acceptance criteria. The first line of my criteria is no prior evictions. I would not (and could not) accept this tenant regardless of what excuse/reason they give. I also don't need to spend my time debating if I should accept a special case.

"Sorry, company policy is no evictions and making an exception for you may violate fair housing laws."

@Damein White

I'd take the money your looking to spend on bootcamp and use it toward your first deal. I can't image there is information in either one of those that you can't find online or in these forums.

Just my opinion..

@Kay M.

This is a popular strategy. It's not how I started but I have used a HELOC for a down payment and I would do it again.. A couple things to keep in mind.

1. Most HELOCs are variable interest. You can negotiate a maximum rate increase.

2. Have a plan to pay it back, so you aren't making interest only payments for eternity.

3. Learn how this will effect your credit (if it matters to you). It is classified similar to a credit card, not a mortgage.

As long as you have a good plan it's a great source for funds. Hope this helps!

@Annie Balagot

I absolutely agree with Jim. I would not let kids make financial decisions, but teach them why sacrificing a little now will pay off big in the future.

@Cesar Valencia

Without knowing your market I agree with the other that it seems like a lot for that small of a lot. Seems like the market agrees with that sentiment since it's not selling and he has dropped his price by 25k. I'd say to figure out what it's worth to you and offer that. Even if it's just 40k. If it's declined just tell him to contact you if he ever changes his mind.

If your assumption is correct in that it would be useless for anyone other than your or your neighbor, then you don't need to worry about. Just let it sit. If someone does build there how much will it bother you? How long do you plan to stay in your current house?

If the other alternative is to buy cash flowing assets and your goal is to obtain cash flowing assets... buy cash flowing assets.

Your first question of combining it.. if you do purchase don't. When you sell in the future you might be able to get more by selling the lots separately, or it could be more attractive for someone to buy both lots and sell off the lot themselves. I think more flexibility is always a plus.

@Pavan Krishna

5 of my 6 units are M2M. After the initial lease ends the rent automatically increases for the M2M agreement. It gives the tenant more flexibility to move but you more flexibility to adjust rents not renew if they can't pay or start causing trouble in other ways.

Most people don't want to move in the winter, which I assume is why it's not ideal for you to fill it during this time. With it still being May, why do you assume they will move in the winter? I think it's way more likely they are thinking of moving this summer. If they moved in July or August would that be ok for you?

Have you directly asked if they are thinking of moving and if so why? That could give you some insight into thier situation. At that point maybe you sign a 3 month lease? Or a 9 month lease?

@Britt Smith

The harder/riskier the deal is the less competition you will have to get it. But I would definitely make sure the contract gives you some way to back out so you don't end up losing money.

@Tony Kaider

Have you gotten any feedback from the buyers as to why they backed out? That's your first step.

If so, are they still deals? I see fsbo marketing online that I assume the reason is because a reasonable realtor will not list the property at the price they feel they can get.

I was talking to a local fsbo lead and if I bought it for 50% of asking it would have been a bad deal for me.

@Gage Coffman

I agree with most others, you want to know who is living there.

In addition to what they said, if she doesn't want him on the lease you can just have him do a background and no credit check and be listed as an additional occupant. I would offer this as well as an alternative for her to move out by the end of the month, or whatever you feel is a reasonable time. Hopefully she picks one of those two options and you can avoid eviction.

@Michael Gessner

From the original post I didn't get the sense that she hadn't done anything you asked. If she had been difficult to work with that changes things, but would lead me to think she wouldn't then agree to take less. I certainly wouldn't list properties with her in the future.

If you feel that she has neglected her responsibility as your agent then you can try to talk to her broker about commision or try to get out of the contract altogether on the basis that she violated the contract.

I wouldn't try to negotiate based on you knowing the seller and negotiating a deal direct with them. That's just me.