All Forum Posts by: Jim Cummings

@Sam Horton

My vote is to get rid of pool for liability reasons. If tenants want a pool, ;et them have one or ask them if they want to buy this one from you. 

From your standpoint, No maintenance, No Liability.

Joe

You say you don't do COR - Not sure what COR means? 

All my current rentals have Mortgages, this one is small enough I could get it paid off in a few years. And I personally like the feel and Security of NO Debt! I'm not the type to cash out equity for other ventures. To each their own approach.

Dave

Question: Is it possible I could pay myself back for the additional funds and thereby reducing the 1031 rollover amount?

Always appreciate your insight.

Thanks.

Questions for the smart Money and 1031 Exchange folks on the forum. 

Background: 

Property was bought via 1031 & is held in personal name (NOT LLC or S Corp:

Small mortgage  - roughly $42K. 

Current value around $300K. 

Current P&I - $285 / Month. In addition, I've been throwing  $1000 / Month toward the mortgage to accelerate payoff. The $1000 / Month are funds generated by other rental properties. So nothing coming out of personal pocket to accelerate the payoff. 

My objective (at my age) is to payoff the mortgage on this property. 

I have sufficient personal funds making whatever the abhorrently low Money Market Rate (0.25% ???) to payoff the loan without affecting my lifestyle. 

Questions:

1. Is this a smart use of personal funds to accelerate the payoff of the existing mortgage?  

2. For 1031 Experts: Would using personal funds in way complicate a 1931 sale of this property in the future?  

Appreciate your insights.

@Collin Kilcrease. If there is new construction anywhere close to you - go study it - excellent guide to what people want. Look primarily at lighting, flooring, style, etc. 

If it's an infill lot (within existing neighborhood) stay within about 5% - 10% of what existing properties are selling for.

Know the rules for what you CAN build (permits, restrictions, HOA Rules, etc.) before you buy the lot.

@Mel Park. being your own PM is certainly something you can learn. A large measure of your success or failure will be your attitude and personality. 

I have been a PM for other people for other people (still manage a few) and also habdle my own properties. 

Message me if you want to discuss.  

@Melanie Moore. Welcome to BP. Lots of great opportunities to learn and DO NOT hesitate to ask questions. 

@Marek Berry. Your lease is the ultimate authority on what rights you have for access. I've extracted the appropriate paragraph from the Texas Association of REALTORS Lease for your perusal. 

As you can see the lease give you the authority (right) to access the property generally at reasonable times without notice. YES - you can access - but is it the best approach? NOT in my book.  

@Marek Berry. Totally agree it's your right and you are on solid ground by notifying tenant of need for access.

Having said that, If lease is expiring shortly, just wait until after tenant is out of house. Then your contractor will have unfettered access to do whatever needs to be done to ready the home for market expeditiously.  

@Ana Vhan. I would suggest you modify your lease, so that Landlord (YOU) are responsible for ALL maintenance. In most cases, if tenant is responsible for repairs or any portion of repairs, they will not report the issue because it will cost them money. 

YES - this will cost your money! Add some factor of dollars to your lease in order to cover repairs. You'll find the issues get reported, you'll get them fixed, your tenants are happy, and your property is better maintained, and costing you less in the long term.