All Forum Posts by: Joseph Pietrzak

What kind of work do they do? Is it a salary or commission based that could fluctuate month to month. Who are the other 2 people that will be living there? Are they dependent minors or just people without income at the moment?

I would have your agent reach out to the listing agent and ask for more background information. Was the property under contract before and it fell through? If so, why? Do they have an inspection report available they can share with you? What's your ultimate goal with the property? Are you looking to cut your cost of living and house hack? Are you renting both units? Are tenants already in place and if so, are they current on rent? There are a lot of questions that need to be answered before anyone can provide more guidance. 

Hi Randy,

What does your time line look like. I have a number of new construction projects in West Philadelphia near University City and I know of a few others that are available. If you are ok with developing the property there is a bunch of opportunity there. Let me know if you would like to discuss

Quote from @Kristin Feerst:

Hi everyone,

Just went into eclipse to renew a rental license and it came up with a new statement saying either the property must be managed by a PM in the city or we must have an address of an office in the city.  

What is this?  I live 20min from my property just over the bridge in NJ.  If I lived in west or far NE Philly I’d actually be further away.  What is the point of this new requirement?

I think I am done with Philly, let me know if you are realtor and want to help me exit this ridiculous landlord hostile place!

TIA!

It feels as if the city will do anything to make to landlord process as difficult as possible anymore. I would be happy to assist with the disposition of your properties. Feel free to reach out when time permits.

Does your $1250 include water, gas, electric etc? You also have to figure in sewer trash and other operating expenses. Will you self manage or hire a property manager? Where in the city is this property located? Your insurance number seems high as well.

Norristown can be a great place to invest, but you need to understand how the town and municipality work regarding landlords and inspections There are many requirements in place that can sometimes be costly and cumbersome to solve. The taxes are also something to consider as it is quite common to have a good deal up front only to find a 7-8k tax bill. I would start here. 
https://www.norristown.org/188...

Unfortunately Covid has changed a lot of things. I just closed on a property that we were unable to use any of the rental income for qualification. I am in the process of working with another lender and it has not been an issue, which leads me to believe it depends on the lender being used. I would ask the lender if the 1007 wasn't ordered because they wont use the income or if it was missed.

The other problem here is that you will not be able to put just 3.5% down. Your looking at 20% minimum most likely, maybe as high as 30%. That is a huge difference in cash needed ($35,000 vs $250,000 or $300,000) just for a down payment.

Is there any opportunity to add value to the properties? If you can add value then you can do a cash out refinance after adding that value to pay off your HELOC.

Reducing your credit card balance should also help to drastically increase your credit score. Your right at the  threshold as far as minimun score requirmnents. I would work on reducing the credit debt and watch your credit score go up as an effect of paying down the debt. After that you would have an easier time financing a deal.