All Forum Posts by: Jeremy Trier

Hi BP fam,

I purchased a triplex in Pawtucket that I intend to live in.  There are month-to-month tenants in the owners unit, I read that I had to give them 30 days notice, which I did (I gave them 42 days) so we could move in December 1st.  Today they handed me a piece of paper that they claim they got from a lawyer saying if a property comes under new ownership and the new owners are going to use the property as their residence they must give 90 days notice.

I'm talking to my lawyer tomorrow and I'm not asking legal advice but I wanted to know if anyone has ever heard of that or has read about that in Rhode Island legislature.  If this has happened to any of you, what was the outcome.

The tenant has refused to pay rent for this month and next month.  They claim they will move out December 15th and that they'll have to pay me back.  This is just a little background info.  I am mostly concerned with the 90 days notice.

Thank you all in advance.

Thank you everyone for weighing in.  The seller came down all of the way, I just had to let go of two things he was going to give after closing.  We love the house but there are plenty of nice houses out there.  I thought it was a little overpriced and really felt we could get a better deal.  We close TOMORROW!

Hi again,

I appreciate all the input.

@Russell Brazil no one is willing to buy the house on a conventional loan, at least so far (five months on the market). I tried to use a conventional loan but I didn't have the 20% down so could not meet the low income restrictions. We had to go FHA. The Seller told me to go back and get a conventional loan, when we informed him we couldn't. The seller is well-off and a real estate investor, however he is overvaluing the house and is currently cash poor. He needs the funds for this house to fix up several other properties so he can sell them.

I'm willing to compromise a little but I would walk away from what he is proposing.

This is all very helpful. 

@Lucas Duce, The mortgage insurance, homeowners insurance and taxes are all higher than the average triplex but it would still cash flow (it's a very old home in a historic district). We would live in the owner occupied side, but if we weren't the house would cash flow at about $200 a unit. The other two units cover all of the mortgage (premium and interest) and the majority of the insurance and taxes. We'd have to kick in a little for the rest, pay for the common utilities and save for CapEx, vacancy, repairs etc. Honestly it was an OK deal before but my wife loves it and we could make it work. But if the cost comes down $17K it's much better and I'm not willing to come up with extra cash or give up on the work that was agreed on after the inspection.

Thank you all!

Hi all,

I'm currently under contract buying a MF in Pawtucket. After negotiations we agreed on $404K, I was kicking myself for going above $400 when I thought it was worth $389 but it meet the 1% rule and my realtor said it would take this much.  Original asking price was $439.  This is my first time.

Well the appraisal came back and it was valued at $387... Since we have to buy this through FHA my loan stops at $387. Everyone I talk to says this is really in my favor but the seller is really pushing back and in my opinion my realtor is letting him. The seller said he would come down a little but is taking away several concessions too (fixing old windows, etc). What I'd like to do is tell the seller he needs to keep all agreements in place and come down or we walk, my realtor advises against that but I think he's just trying to close to get his commission. The appraised value is stuck on this house for the next 6 months so unless the seller finds a cash buyer or someone with a better down payment no one would buy the house for more than the $387. As far as I know no one else put in an offer.

I plan on living there and my wife really loves this house, but we are willing to walk if we have to.  It woiuld be hard, but we're willing.

Looking for experience, opinions and advice.

Thank you in advance,

Jeremy

@Anthony Thompson who did you go with for insurance with that property? I just received a similar quote from a second company. I’m being told it’s due to the age of the house. Older homes have a higher replacement value.

That was very helpful.  They are telling me it's not only the size, but the age.  It's old and in a historic district so the replacement value is twice the appraised value.  I'll work some magic.

Thanks!

@Andrew Albert did you get a few quotes?

I just got a quote for a three family home in Pawtucket that is under contract for much higher than I expected. Does over $3K a year for a triplex sound too high to anyone else?

4,700 sq ft. 3 car detached garage.

Hi All,

The tank is in the basement but not in the underground (very common in New England) .  We negotiated and it will be removed prior to closing.  Thank you all for your help!.

- Jeremy 

I am under contract for a multi-family in Pawtucket, RI and we are hammering out the details post-inspection.  The seller is pushing back on lots of the repairs I am asking for and I don't want to ask him to remove the oil tank no longer in use, but my father seems to think it's a terrible idea to leave it.  I have viewed many houses with oil tanks no longer in use that were capped and they weren't a problem. Both of my realtors said it should be fine, but I wanted to get feedback from you folks.  What do you think?  What's your experience?  FYI is was used this winter when they had to shut off gas due to separate circumstances.