All Forum Posts by: Jeremy Harris

@Amin Ali If the property is still available, I will give you a call in the a.m. to show proof of funds and schedule a viewing.  

@Mark Ainley @@Ray Harrell Thanks for the feed back. I put an offer on the property and looks like we will settle sometime in the next couple days. Hopefully things work out well. Talking to my exterminator, he’s confident he can manage it. We WILL SEE IF THE PROBLEMS GO AWAY, EVEN WITH THE TENANT. ILL POST AN UPDATE.

I found a solid 2 flat in a good area on the south side of Chicago.  The location is on a block with majority single family homes and close to transportation.  Needs a little TLC but nothing major....well structurally at least.  Second floor vacant and first floor is occupied by a long term tenant. I usually don't like taking on prior tenants but the numbers work well.  

Problem is it is obvious evidence of roaches in the building.  Typically that can be a little work to get rid of but manageable, with renovation, cleaning, and extermination. The dilemma is the long term tenant's lease is not up until the end of the year, and I'm positive the roaches will not be rid of until the tenant is gone.  

Should I walk away from the deal or fight the uphill battle of managing the roaches. Cleaning up the second floor and not renewing the lease on the 1st floor. Leaving me with a hand full of months until I can get it fully cleaned out. It would cash flow great after. 

@Matt Shields Matt and Ronald thanks for the reply, Matt you do make a good point it is very front end heavy with inspections and for someone to transfer their voucher can take 2 to 3 months. In my properties my 1 section 8 tenant I never worry about, government pays on time and their portion of a few hunred comes on time. My cash tenants are usually good accept for around Christmas lol. I KNOW SECTION 8 HAS A HOME PURCHASE PROGRAM, JUST LOOKING TO SEE IF LEASE OPTION IS VIABLE. OR IS IT TOO MUCH RED TAPE.

@Ronald Starusnak While vetting section 8 tenants, I’ve learned not to put them all in the same basket. Of course their are tenants that, you would never want to work with, and that’s when you hear horror stories. What’s happening now is an incredible amount of reform with section 8. The government is assessing a lot of current vouchers and reducing them. This couple’s situation is, wife does not work, and the husband does. They have bad credit, but the husband has now worked an ok job for a solid amount of time. Their voucher was re assessed with his current income and was reduced in half and will probably be cut completely in the future. A lease option would give them the opportunity to lock in a property price, and give them 3 to 5 years to work on their credit. The voucher covers a big chunk of rent, and theIr is down payment assIstance. As far as down payment, I work with properties in the Midwest ranging from 70k to 100k. Lease option is 3 to 6k upfront. USUALLY CAN PAY WITH TAX REFUND AND ASSISTANCE PROGRAM HELPS WITH 1000 OF IT. WORST CASE IS I HAVE TO EVICT, FIX DAMAGES AND KEEP THE NON REFUNDABLE LEASE OPTION.

I am in the chicago are suburbs and have a potenential tenant that has section 8. They are interested in a lease option (rent to own) on a single famIly home. From what I’m reading, it is difficult. Has anyone had any experience with this?