All Forum Posts by: Jason Richey

Solid information Andrew Fidler, I remember seeing those $3,000 and $5,000 properties everywhere a few years ago and thinking to myself how crazy it was the people would sell so cheap and there must be something horribly wrong with it at those prices. Lot of people got rich buying up that property

Sage advice from the Real Estate Dingo himself! Your story on the BiggerPockets podcast was deeply inspirational to me, I hope you consider doing another one. 

Thanks for the responses and confirmation to avoid this property. @Andrew Fiddler, I might take you up on your offer. Not exactly a fan of Central Toledo but if the numbers work the numbers work

I am looking at a deal on a quadplex that has been scabbed together over the past hundred or so years. It's got three units rented, 2 @ 400 + 1 @ 360 with the 4th unit vacant. The seller is asking $80,000.

The carpets are old, the lead paint is peeling, the mold is taking over the bathrooms, the main boiler and radiator plumbing needs to be removed but has already been replaced by electrical baseboard and wall mounted radiators. The units all have electric hot water tanks that are wired to their respective units allegedly. The basement looks like something out of a horror movie, complete with knock down brick walls, dirt floors, and literal tree trunks used as floor joists for the first floor. Oh, and the second floor apartment has a walkout balcony that doubles as a rear entrance / exit in addition to the roof of the first floor.

Not knowing much about estimating rehab costs, I would ball park it at a $30,000 renovation minimum. With all four units rented my back-of-the-napkin math indicates it should cash flow about $800 as is while paying $800 for insurance taxes and mortgage

Am I a fool for even considering this? By all rights it sounds like a terrible idea everywhere except the money which is so intoxicating because I believe I can update the units and get significantly better rent out of them closer to the tune of $600 to $700 a month bringing this up to a 3% or better deal

Nice deal. What made you decide to go with a condo?

Welcome, and congrats! Interesting place here, lots of nice people, good ideas and great advice. Enjoy!

I'm interested in this as well. With a full time 60 hour job and only 2 days off a week it's not possible for me to take in-classroom courses. Hopefully they get this passed ASAP

Functionally speaking the 70% rule in my understanding is to what you should max offer, not necessarily what they are going to ask or accept.

You have a house with ARV 100,000 and are asking 90,000. I offer 70,000 or less and since you're desperate you accept.

Incredibly simplified and unlikely to ever happen that straightforward, but that's the general gist as far as I understand it

I went to a seminar in Toledo a few weeks before their split hit the media. Was an interesting presentation but nothing not already covered in the BP podcast and/or RichDad books. Got a free Mp3 player out it

Make the decision on your own, because you are the one paying for it. Would you buy a car just because someone told you to? What about a house? If no to both then why more specialized education that you'll likely never use? If you just want the college experience you can get that for free by just hanging out on campus at the college. Just my 2 cents