All Forum Posts by: Keegan Uderitz

hello all!

I made a big mistake and was too soft, let a tenant go for WAY too long without paying. We went to court, he did not show up and the courts gave me the judgement against him. The collections agency is telling me that because he is on Medicaid we cannot garnish his wages legally. Are there any more steps I can take or should I just assume I will be out the $,$$$.$$ and move on? He owes about $5k. This has been a learning lesson and I know now what I would do should this situation arise again - do not need that lecture ;) 

He is (or was) actually employed and I have his past employers information. This might be more specific to WI state laws but hoping to hear about some next steps I can take that have had success in the past. 

Thanks team!

Quote from @Dan V.:

@Keegan Uderitz In addition to what Scott said, find out how much are the current expenses, how many are vacancies, who owns the homes, who pays utilities, any room for expansion, and verify the zoning (and find out any restrictions). Find out the seller finance terms how much, what rate, for how long, and any balloon payment options. 

I will! Thank you. 

Quote from @Scott Wolf:

@Keegan Uderitz, find out the income and how much the owner is willing to finance.

Thank you Scott! I will compile a list of questions for when I meet with them or talk to them next. 

Quote from @Jonathan R McLaughlin:

why do you think this is an opportunity without knowing the numbers? Real question.

I think its an opportunity for a major retailer to ground lease the parcel. That is the reason I called on the property in the first place, I work with a QSR franchisee who wants to be in the market. To your point, the numbers could be garbage and I could be upside down from day one. I guess I got excited because the only real way I will get more valuable properties is if the seller finances them. 

Hello!

I ran into an owner who said they would sell for around $900k. I have no idea the income on the property (yet) but there are 7 mobile homes on the 1.4 acres. What do I do?! This could be a great opportunity for me. What are the first steps? How do I structure seller financing on a mobile home park?

Originally posted by @Kristen L Garner:

Congrats on your duplex Keegan! If you are qualified for a conventional cash-out refi then you can pull out 80% LTV. (Note: The interest rates go up as your LTV goes up.) If you are qualifying via non-QM then your max LTV is likely 75% LTV, depending on the program. Happy to answer questions for you if you want to PM me.

 How do I know if I am qualified for conventional cash-out? What is a non-QM? 

Originally posted by @Dean Wells:

@Daniel Kitt. I am a newer investor in the Racine area. I am filling my first BRRRR this month.

How did you do on your refinance? did you buy a duplex? currently under contract on a BRRR duplex and I am hoping to refinance in 6 months.

Hello BP!

Recently went under contract on my first property! It is a duplex in Racine WI. I made the purchase with a hard money lender who will help me with the rehab costs and I want to refinance and pull all my money out in 6 months (thats the goal anyway). I was wondering if anyone know what LTV to expect? I have heard 70% and I have heard 80%, this will be the difference between me walking away with no money left in deal or not. Obviously it still depends on the appraisal and if my rehab budget is accurate, but it would help to know what LTV to aim for as I might be able to boost up the rehab a bit more if the requirement is 80%.

Thank you so much for your answers! Looking forward to closing later this month!'

Also, happy to take any referrals for lenders who can get me 80-80+% LTV

Be great!

Need a PM in Chattanooga. Looking to put an offer in on a tri-plex basically right on the TN/GA line. Reach out direct.

Hello all!

We are currently on the market looking at deals in Tennessee, Georgia and some in Minnesota. How long is normal to make initial investment back? The deals I am looking at are 5-7 years to get that initial deposit back. We are looking to replace my income with income from rental investment properties. With "only" $55k to invest right now the cash flows are around $300-500/mo. Its going to take us a while to reach our goal of $10,000 in cash flow per month but I feel like we need to start somewhere. I am looking for advice on a first property, for something that is cash flowing. I have read 10-12% return is ideal, thats still a small number in the big picture of things. Looking to build confidence, and seeking advice on our first purchase.