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All Forum Posts by: Jonathan Dempsey

Jonathan Dempsey has started 20 posts and replied 149 times.

Post: Instances worthy of Prorated Rent

Jonathan Dempsey
Agent
Property Manager
Posted
  • Rental Property Investor
  • Pocono Pines, PA
  • Posts 152
  • Votes 117
Hello BP Community, I have an interesting scenario to throw at you. A tenant moved in on the 28th of April, and there was an issue with the HVAC system. The lease did not start until April 30 at noon (I let the tenant move in on the 28th as it was a weekend and wanted to show a kind gesture). The HVAC was repaired by noon on May 1st. The tenant had asked prior to its official repair for prorated rent during the period the issue was being fixed. I agreed, stating that hot water in some capacity is a required living condition. To repair the HVAC, piping had to be redone in the walls, including walls in the tenant’s room. Two 1’x1’ holes and a 2’2’ hole were left in the wall and were not repaired til the 7th of May. The repair still needs paint. My tenant appears to be under the assumption that rent is being prorated for the entire cosmetic repair of the wall. However, it is my understanding, and I thought I was clear in the original discussion, that only days with no hot water would be prorated. What is the best way to handle this situation? I am heavily leading toward prorating just the one day accompanied by a written explanation of the prorated day including “living condition language”. Am I totally out of line to say the cosmetic issue is no reason for any prorated rent? Note: The house is under warranty, so the builder’s have shown low urgency to these matters, but none the less the repairs are done free. Otherwise I would just paint it myself. Thanks in advance, JD

Post: How to best finance the next move?

Jonathan Dempsey
Agent
Property Manager
Posted
  • Rental Property Investor
  • Pocono Pines, PA
  • Posts 152
  • Votes 117
Matt, thank you for the kind advice. PMI would automatically drop off after I am able to build 5% more equity though correct? Depending on the loan product of course. I will contact some local lenders. Just curious if I was over looking any simpler options.

Post: How to best finance the next move?

Jonathan Dempsey
Agent
Property Manager
Posted
  • Rental Property Investor
  • Pocono Pines, PA
  • Posts 152
  • Votes 117
Harjeet, thank you for the reply and thorough explanation. So it is possible to do 15% as an investment on a SFH? Roughly what kind of interest rate should I be expecting on this? By reserves, is this a requirement to have per lender rules, or a recommendation as to not spread too thin? Thanks!

Post: How to best finance the next move?

Jonathan Dempsey
Agent
Property Manager
Posted
  • Rental Property Investor
  • Pocono Pines, PA
  • Posts 152
  • Votes 117
Hello BP community, Any help or advice on how to proceed next on my real estate journey would be much appreciated. I currently own one property with just over 3% equity. I would like to keep moving (albeit at a comfortable as opposed to hasty pace) and create a plan on how to finance the next property. Do I have to wait until I have 20% equity in this property to be eligible for another bank loan? And if so will that loan require 20% down or will I be able to highly leverage the next property? What are some other routes I could take? Perhaps seller financing? How would I find these types of deals and what are the pros and cons here? I live well below my means and have decent cashflow from my first property, so additional debt does not scare me as I can pile up reserves & work extra hours if needed to scrape up any extra cash needed. Thanks in advance for your help, JD

Post: Homeowner's Insurance - House Hack vs Normal Residence

Jonathan Dempsey
Agent
Property Manager
Posted
  • Rental Property Investor
  • Pocono Pines, PA
  • Posts 152
  • Votes 117
@marlon, what Marc said is great advice. I would also advise your roommates get renters insurance as well. Or at least for you to suggest this to them. PM Me. I am in a pretty similar situation and would love to chat about yours!

Post: New member in Pottstown, PA

Jonathan Dempsey
Agent
Property Manager
Posted
  • Rental Property Investor
  • Pocono Pines, PA
  • Posts 152
  • Votes 117
Hi Adam, I grew up in that area and would be happy to chat with you and bounce ideas or be a second pair of eyes on any deal. I am also new to real estate and am closing on my first property next week. Cheers and welcome, Jonathan

Post: Jersey City best property to purchase year 2018

Jonathan Dempsey
Agent
Property Manager
Posted
  • Rental Property Investor
  • Pocono Pines, PA
  • Posts 152
  • Votes 117
Stu Basham I’ll be there

Post: Jersey City best property to purchase year 2018

Jonathan Dempsey
Agent
Property Manager
Posted
  • Rental Property Investor
  • Pocono Pines, PA
  • Posts 152
  • Votes 117
Hey Marc and Stu, keep me posted on the details of this meet up. I am a newbie closing on my first property in 2 weeks and would love to chat with you guys. Currently live in Bayonne.

Post: What Books have Inspired You?

Jonathan Dempsey
Agent
Property Manager
Posted
  • Rental Property Investor
  • Pocono Pines, PA
  • Posts 152
  • Votes 117
Hello BP community! I am curious what books you would recommend an investor read. Whether it be real estate specific or general investing. Recently I have read Rich Dad Poor Dad, The Millionaire Next Door, You Are a Badass at making Money, and Brandon Turner’s book on real estate. Let me know what books you have found helpful and or inspiring along your journey. Cheers, JD

Post: Utilities included? Furnished? Pros and cons

Jonathan Dempsey
Agent
Property Manager
Posted
  • Rental Property Investor
  • Pocono Pines, PA
  • Posts 152
  • Votes 117

@Mike McCarthy, thanks for the input.  I have had the property listed for about a week now, and I have generated decent interest with utilities included.  If needed, I might switch to listing at a $100-$200 lower price without the utilities to get more foot traffic.  For the future, I will probably start without the utilities.  Makes estimating income trickier, although having the utilities included is a nice incentive to go with signing the one year lease.