All Forum Posts by: Justin K.

So I am looking to purchase my first bare land property. This property is FSBO so there will not be a realtor involved. I was making up a purchase agreement and wanted to add a contingency regarding septic approval. The wording I found in other purchase agreements was the following:

[ ] (A) Development Approvals. This offer is contingent upon Buyer obtaining all requisite approvals from any governing body having jurisdiction for construction or development of the property as *** ____________________. *** Buyer is to have until _____________ to obtain approval in final, nonappealable form, upon conditions acceptable to Buyer and Seller or this contingency shall be deemed waived unless BUYER shall notify SELLER in writing no later than _________ 20____ of Buyer’s inability to obtain said approval. If BUYER so notifies, then this Agreement may be extended by written mutual consent of the BUYER and SELLER or shall be deemed canceled, null, and void, and all deposits made hereunder shall be returned to BUYER. Buyer and Seller agree to make joint application by __________ and diligently pursue the application.

My question is what goes in between the stars?

Any help would be appreciated! 

Thanks.

@Drew Wiard currently looking a 3 bed 2 baths in the lake area. After listening to some podcasts, I might even be exploring a plex of some sort. Just trying to keep my cap rate above 7% if possible.

@Thomas M. any recommendations?

@Drew Wiard @Creig Leu This will be our first rental so while it would be great to get a home run, a base hit would be just as satisfying. What resources did you guys use to learn more creative ways of finding deals? I am searching zillow pretty regularly to keep an eye on the market but most of deals are coming in under 5% cap. I am willing to wait to find a good deal so I do not make a poor decision, it can be just hard waiting on the sidelines! 

Thanks again for your time.

Is it just me or is it becoming very difficult to find good deals in the Fort Wayne area that comes with a decent cap rate? Most of the things I keep running into are below 5%. Advice anyone? Is it time to explore other cities or am I missing something?

Also, any recommendations for CPA's and property management companies in the area? I have a few lined up but wondered who is real estate investor friendly that you guys use.

Thank you everyone for your information. I will absolutely love the opportunity to meet you two for lunch or something if you do not mind. The next month or so will be busy with some things but maybe I will reach out in May or so? I do feel that I am at the point of indecision because of so many options! Do I do a duplex or do I snag up a few homes that are on the lower in for 20k. The capital expenses was a concern of mine on  the cheaper homes but I could also pay these off free and clear faster. 

Thanks again everyone for the advice. 

One follow up question, why should I not worry about cap rates on a single family home? Just curious for my knowledge... 

Hello all,

I have been doing quite a bit of research lately and am within a few months of pulling the trigger on my first property. My question is, here in Fort Wayne, IN there are quite a few homes around the 15-30k range that pull 450-600/mo in rent. The cap rates on these run above 10% every time I calculate it. These properties are downtown but not in the worst part of town. Why would I not pursue these types of the deals with the high cap rates?

Any insight would be great!

Thank you,

J