All Forum Posts by: Jeff Rogers

@Patti Robertson great article, thanks for sharing the info!

@Gustin Schumacher welcome to BP! A wealth of info here, and lots of knowledge folks willing to help out. Cheers!

Thanks everyone, I appreciate the advice, information, and things to think about! I think it sounds like a great program and clearly has it's benefits. I like to collect as much information as possible in my decision making and I want to make sure I know what I'm signing up for. I've inspected the property and based on what I've seen, the tenant is great - takes care of the place, is pretty low key, and has lived there a long time. From what I can tell they're month to month, I wasn't provided a lease at this point, so I'll have to create one. I'm playing phone tag with the local HUD representative to ask additional questions about the program, etc. I do have written in the purchase agreement that seller and tenants will provide an estoppel. Also very good to know it could take a few months for the payments to catch up! Thanks again!

@Alex Gordon I never knew there were ductless bathroom fans, how interesting!  Out of curiosity, which direction/option did you end up going with?

Hi BP friends!  I have a property under contract and have found out one of the tenants is section 8. I'm still a relatively new investor and have not yet considered the program, so I don't know much about it.  I'm in the contingency period and trying to decide if it's a good idea to pursue the deal or not. I've met the individual during my initial property tour and at the property inspection.  The tenant isn't what I would consider the stereotypical bad section 8 tenant, so on the surface of it all, I don't see any red flags that would push me away.  I just really don't know much about the program, and want to learn more before I can make a decision.  What are some resources to educate myself? I tried searching on the google machine for local resources but couldn't find much other than contact information and really basic navigational type information.

If I close on the property, is there anything required of me as the new landlord to be part of the program?  Are there limits on how high I can raise rents?  If this tenant moves out am I able to opt out of the program? Any rules on lease renewal or denying renewal?

Thanks!

@Sean Blomquist Much appreciated!

@Yonah Weiss Thank you for the info, that's very cool!

@Blake Dennis Welcome! I lived in Rochester for a number of years, and Winona is a great place. Sounds like you're making some great first steps. Practice analyzing deals, analyzing properties listed on MLS, just like Brandon Turner does in his webinars. Use this site to meet other local investors to build your network. I don't know if there are and REI meetups in Winona, but I believe there is one (or was pre-covid) in Rochester. Good luck!

@Connie Tang I think going with an umbrella policy makes sense for the first handful of properties, and that's my approach so far. In one of Brandon Turner's how-to-real estate books he gave the example of a new investor who really wanted to find his first deal but was struggling to save up enough money for one....yet he had a multiple LLC structure ready to go but was costing him money. The structure was creating financial and mental barriers to even get the main asset in the first place. I say wait until at least 2nd or 3rd property before setting up an LLC, and then transfer the deeds.

@James Thiel Yes! I've heard similar, one property per LLC. Layer in the parent LLC and nobody knows what you're up to, haha! Its amazing to me the possibilities of how to structure a business.

@Rumen Mladenov Yeah, the magic number 10, haha! Curious what the advantage of a commercial loan to a sole proprietor is versus residential loan? I'm guessing the loan is based on income revenue of the property versus personal credit and cash on hand?