All Forum Posts by: Jennifer Petrillo

I did everything by myself online using the website. Took about 20 minutes. You have to remember to file an annual report through the same website which also only takes a few minutes, it is an online form. Every 6 months we have to print out a "short form standing" letter from the state and send it to our hard money lender to let them know the LLC is still an active business. And I used the same website to change our home address when we moved earlier this year. Did not use an attorney or a CPA.

Either large multifamily (10+ units) with totally outsourced property mgmt. or mixed use business/residential or straight commercial (strip mall, etc). Also considering self-storage if the right deal were to come along. Very uninterested in being a landlord so looking for something big enough that we can hand off mgmt. to someone else.

YES, prices are dropping here in Hunterdon County. It used to be that only the 400K+ houses sat on the market for months but now I see that more modestly priced homes are sitting longer and houses are coming on the market for lower asking prices than we would have seen a year or two ago. We sold two houses last year for full asking price in 3 and 5 days. We just put our latest flip house under contract after a measly six showings in two weeks and are selling it for 35K less than listing price. Granted, that house had some challenging features but we were surprised by the lack of traffic. We also sold our own home earlier this year, took three weeks to go under contract, then fell through four weeks later (on the buyer's end), sat on the market for another three weeks and we went under contract for 45K less than original asking price. This is definitely making us shift our strategy. For one thing, we are looking to move into commercial buy and hold. We also have to be tighter with the numbers on our flips, has to be an even better deal for us to carry the risk moving forward. I think it is related to the high property taxes, high cost of living in NJ in general, the new SALT law and creeping mortgage interest rates...those who don't buy with big profit margins built in will be challenged to make money when they exit the deal. 

We are each 50% owner/managing member of our LLC. I understand that some couples set up 51% female owned to qualify as a "woman-owned business," don't know much about what this does for you, anyone else?

We use @Anthony Lee for our flips.

@Thomas S. and @Kelly Arthur are right, don't go down with the ship, the situation is too dangerous for you to handle alone. Who will take care of him if he is living next door? Sounds like potential for spousal arguments right there. My ex-mother-in-law caused thousands in damage to the apartment below her by leaving the sink running, building management "strongly encouraged" us to move her out so they would not have to evict. What if he leaves the stove on and burns down your asset? Yes, you love him, but that does not obligate you to take care of him in old age nor figure out how to manage his dementia, which is a medical condition that needs the proper attention, nor risk your marriage or family finances to "help him out." It is a sad situation but you should separate his needs from your own, what is best for him and what is best for your family are two different things. Best of luck.

I don't see a breakdown of your repair costs. Has your GC looked at it yet? And where do you get the ARV of 699K from? Seems like you're adding a lot of value (250K?) to the property, though I don't know your local market. How did you determine what it will rent for?

We list through Realmart, an online MLS listing broker, $500 does the trick. They handle all paperwork. My husband takes excellent photos with his DSLR camera. If a Realtor calls (which is usually the case), we give them the lockbox code. If an individual buyer calls, my husband "shows" the house, but doesn't hover over them. We offer 2.5% commission to the buyer's agent. Most listings are found by the buyers these days anyway, not their agents. We have saved thousands in commissions this way.

What is happening in your local market does not indicate what is happening anywhere else. We have noticed prices cooling where we are too (Hunterdon County) and houses sitting on the market a little longer, I believe it is property taxes and general HCOL in NJ that is effecting this. More people move out of NJ every year than move in (negative migration) because of these factors. Figure out where the people are moving to and you may find greater long term potential there.

He lacks the self-belief to see beyond his current situation and needs inspiration, give him the books As a Man Thinketh and Think and Grow Rich.

Also, the MRI was unnecessary, he has mechanical back pain from lack of movement and poor posture and needs PT, chiropractic, massage and regular exercise (preferably including yoga, not high impact until he is doing better). Maybe you can get him to commit to walking with you once weekly to start.