All Forum Posts by: Justin Miles

@Joe Villeneuve I’m green to this. When you say capes your referring to things like roof replacement. Ac goes out big items like that?

@Anthony Dooley thanks. great points and why I think my property currently would not warrant a rent as it’s an A. Just another check in the sell it column. That’s good to know that rent prices stay steady.

@Thomas S. Good point I think I’m sold on the sell. The 1200 months sounds great. Can you paint a picture of what that would look like. How many homes and what price range. My farm area will be north Georgia. Also if anyone can point me to the solid steps to find a good farm area without mls access I would much appreciate it.

So I see people on here doing case studies calculating scope of work and calculating cash on cash return and monthly cash flow but I see these numbers are based on the loan terms and fixed and projected cost of maintenance and vacancy. It also uses it uses the current rent comps of comparable homes. My question is with the market peeking out is anybody looking at the possibility of 5,10,15 years from now the rental comps being much less, And having a negative impact on the cash flow and cash on cash return. Should there be another line item under potential costs factoring in a potentially reduced rate of cash flow based on a reduced amount of rentable price in a downturn. Does anybody use this type of thought process when purchasing a rental or is it just a thought that if the market does start to pull back that the property would just be liquidated. Also is there any type of historical data or chart that would show how the rentable cost per square foot would be negatively impacted per percentage of downturn of market value of the property?

@Victor H nieves can some one tell me what the line item “cap rate” means?

@Adam Britt if you have 100k wrapped up at 12-15 percent you need to get aggressive and pay that off. If it were me and I don’t know your situation but I’d buy the war zone home cash and live in it rent free with no internet cable eating rice and beans for 2 years and get crazy with that debt or as others said restructure It somehow. Just think of the cash flow getting rid of that payment will be and the saved interest in the long term.

@Ayne C. When working the numbers I’m running into the same. Doesn’t help that when I refinanced for lower interest rate I converted to a 15 yrs mortgage. Maybe cash flow would be better in a 30yr

@Aaron T. Do you think the price goes up or down in the next year. Do I push the sale timeline up? Or list mid March of 2020

@Jason D. I like that you used the word no brainer in your response makes me feel more confident coming from someone in St Pete with knowledge of the citrus park market. I won’t be listing until March 2020 was the plan. Does the market cool off by then. Do I hurry the process and get listed ASAP?

@Frank Wong when you say 00 you mean properties exceeding 100,000 I’m assuming.