All Forum Posts by: Jason Waldo

So I have been talking with my wife about buying another property and we are not sure if we are ready. We are ready mentally but are we financially ready? I won’t be shy here about what we make and what we currently own so that you guys can tell us what your thoughts are about if we are ready to purchase a duplex to live in one side and rent out the other. Please let me know what you think about our current financial situation and if we are ready! Income: $45k from a w-2 and $30k from my business I own. One rental: rent $925/month after expenses $375/month positive cash flow. 2nd rental: we currently live in this one and are a couple of months from having it ready to rent. I have rented this house before I got married but once I got married we moved back into this property. At that time before I did some rehab it rented for $975/month. Now after rehab it will rent from $1,050/month after expenses paid we will be cash flowing $345/month. Total monthly income after taxes: $5,720 Our currently bills equal around $2600 (that includes food, gas for cars, utilities, groceries, Insurance, debt service and everything. I think our debt to income ratio is right around 27%) also i forgot to mention that we have 5k in both accounts for both properties as emergency funds in case the unexpected happens that we never touch. That is a little financial statement of our life and that doesn’t include my wife’s income which she is getting ready to start earning once she finishes her certification and starts her own practice which will make her income range anywhere from 20k -25k the first few years as she is getting some traction. We have not taken that into consideration since that income obviously hasn’t manifested yet. What do you think about our income? Have we done well? Or should we keep doing something else to get us into a better position so the bank will like us, lol. Any advice, feedback, constructIve criticism would be much appreciated. Thanks, Jason

@Bhaskar Pandey my wife and I just transferred our rental into an LLC we created 3 months ago. There was no issues. The chances are very very slim that they would call the note due. There is no one sitting at the recording desks going through all the properties to see what property is in what name. As long as you have made all your payments and are in great standing with your lender you should be just fine. Also since you have a 15 unit I am surprised it was purchased in an LLC to begin with. With a property of that size it definitely needs to be ASAP in case a dumb tenants wants to sue you for slipping on a blade of grass and spraining their ankle. Just do it and don’t worry about if they will call the note. If they do just sell the property and take that money and buy another property in your LLC with that 178k. Hope that helps! Jason

Kc home rental

Or

MGC property management 

My wife and I personally use Kc home rental for our places and they are great! My father and mother use MGC and like them too. Hope that helps!

Kc home rental not Kc hone(typo on my part, sorry!)

My wife and I use KC Hone rental here in Kansas City. The owners names are Dan and Kaye. They manage over 1,000 properties and own 30 themselves. We will never use anyone else. If you talk to them let them know that you heard about them from me. They will take care of you.

Carly,

 I know a few people that you should know. I have a few properties here in Kansas City and I can help you. Send me a private message and I will help you out 

So I have a townhouse that just went vacant due to the tenant buying her own home in the same community and we have a few applications in in less than a month for new tenants. It’s in an HOA Communtiy of townhouses to give you a better idea of our property’s location. My wife and I are trying to determine if selling the property now is a good idea or bad idea. I will lay out the details of the property and the city it’s in and what I think about that town. I’m hoping some of you out there can help me figure out the wisest thing to do. I’m open to all suggestions and opinions. Townhouse 1200sq 2 bedroom 1.5 bath with a bonus bedroom or office in the basement. Purchase price: $32,000($24,000 left on mortgage). Current market value:$67k Rent: $925/month Mortgage: $282/month HOA Fee: $194/month Water:$27/month Management fee: $50/month Cashflow : $372/month My wife and I are trying to decided if we should sell this property and reinvest into a different property that has a higher upside like a SFR or not. The cash flow is decent and we never have an issue renting this place because of a college that is right in the backyard basically. The area is in an area that started out good then went sour and over the last 7 years or so has started to make a come back with better shopping and restaurants and the town is putting more money into it to make it nice again. This area is in Grandview Missouri which is a suburb of Kansas City. There are some rough patches within the town as in every town but our property is in one of the better parts of the town. My thinking is that if we sell the property and walk away with a bunch of cash we could buy another property with around the same cashflow but with higher upside as far as a SFR growing in value more quickly than a townhouse would. My wife is thinking that she likes the cashflow and it rents really easy. She would like to potentially keep it and just buy another property some where else. Keep performing asset and buy more. I agree with both opinions. Mine and my wife’s. What do you guys think????

So I have a townhouse that is getting ready to go vacant and the next tenants want to maybe do a rent to own for this property. My wife and I are wanting to sell this property within the next year anyways to reinvest that money into another deal where there is no HOA fee.How do rent to owns actually work if we wanted to do this for our next tenants?

In Raytown you can find a SFR for 60k and get about the same amount in cash flow as you would that 4 plex. I wouldn’t do that deal you just mentioned. To much risk, not enough reward.

Kc home rental MGC property management I have had good experiences with both. Hope this helps! Jason waldo