All Forum Posts by: Kelly Reynolds

 I believe our contract stated that the funds did not need to remain in escrow and they could be released to the builder.  So I am assuming they used our deposits toward something hopefully related to the construction, hence why they are now trying to sneak into the cancellation agreements that they won't release deposits until another builder purchases the lots.  I just read up above that it looks like 27 lots may have already been purchased, so I guess there may be hope yet of getting our money back.  Crossing my fingers!

@Ani Chat from my reading this exception to separate meters it is only for attached units that are either entirely within an existing building footprint or don’t extend beyond the dimensions listed in the state legislation.  Just making sure I am reading it correctly? So detached units could very much require a separate meter? Just curious how your project ended up resolving this issue?  Thanks!

I don't have a response to your question, but we too are looking into the Raleigh / Durham area.  It keeps coming up as a top pick on our list of markets so I am curious to know what others have to say. We are looking for a buy and hold, likely a fixer upper where we can force appreciation.  

 @Darnell Lockett, I am curious what is considered enough investing experience to move up to multifamily?  My husband and I have 9 single family properties with a 10th under contract.  We are looking to move into multifamily somewhere in the range of 12-20 units.  Do we have to partner with someone?  Also, what type of documentation are investors required to provide to the lender regarding the actual property, to help "sell" the deal to the lender?  I figure if we know how to sell the deal to the lender, we will know how to underwrite it for ourselves.  Thanks!

@Bri Sawyer We did have a developer in SW Florida pass on construction costs to us for 4 new construction builds that we closed on last year.  They provided letters from their contractors that due to increases in material costs, they were issuing change orders.  We negotiated with the builder and paid a portion of the increases.  Technically the contracts we had didn't have a provision to even allow for material increases so we tried to push back pretty hard, but we locked in the prices in November 2020 so we didn't want to let the deals fall thru.  

We are currently under contract for another new construction SFH in central Florida and have been told there have been a dramatic increase in construction costs, but haven't received the numbers yet. Do you mind sharing what the original contract price point was and what increase they are asking for, as well as what state the property is located in? I am just trying to brace for what might be coming.

Good luck!

@Tom Price - what did you end up doing? We are under contract for a new construction SFH in a planned development in central Florida that was supposed to be completed last month (October 2022) and now they are saying March 2023. We have been nervously waiting while we watch the interest rates go on a roller coaster ride, and now they have sent us an email stating that construction prices have increased dramatically, probably due to hurricane Ian and other supply chain issues, but they haven't received any specific cost increases from the builder yet so we have no idea what it will be. Supposedly rent projections have increased since we entered into contract so that is one minor plus. My husband wants to run from the deal now, but I am wondering if we will be kicking ourselves for letting the contract go. Housing in Florida still seems to have a high demand. Just curious what your experience has been. Thanks!

Hello BP community! Over the past year my husband and I have gone from owning no rental real estate, to now owning 6 properties with 4 more under contract, all single family homes. Once we close on the remaining contracts, we will have 5 properties in SW Florida and 5 properties in Baltimore, Maryland. We have been talking about setting up two LLC's, one in Florida and one in Maryland with each LLC holding 5 properties. However, I just listened to the Bigger Pockets podcast about asset protection and now I feel like we should layer a general partnership on top of that! In addition, we have been saying we are going to set up a trust for our personal assets and 3 kiddos, should the worst occur. Is there a particular type of attorney that can help with all of these things, without having to hire multiple specialists? Is there anyone out there who has set this stuff up on their own? My husband is a die hard do-it-yourselfer and I know his first response will be to want to figure it all out on our own.

I am looking for guidance on the type of professional we might need, recommendations for a specific individual near Dublin, CA, and any thoughts or feedback you all might have on trying to figure this all out ourselves.  Thanks for your time! 

Hi!  My husband and I are somewhat in the same position, except that we have already done a cash-out refi on our primary to purchase investment properties, and are now asking the question about whether to refinance some of our investment properties to pull cash out or use a HELOC.  I will say that using our primary residence's equity to purchase investment properties has really worked out well for us and I couldn't be happier that we decided to do it.  Good luck!

Hello Bigger Pockets Community!  My husband and I decided to do a cash out refinance to raise capital for additional investment properties.  Our preference is single family homes for long term rental purposes and we have been trying to find properties that might cashflow 8-9% cash on cash return, but I am struggling to find anything on my own that meets that criteria (we are open to any markets, but are prioritizing landlord friendly markets).  I have started reaching out to real estate agents in some of our preferred markets but just thought I would ask the question to the bigger pockets community.  If you had $300,000 of capitol burning a hole in your bank account pocket, what would you do to invest it?  What markets would you choose and why?  I would have preferred to have had some deals lined up but I figured nothing lights a fire under your butt than having an increased mortgage payment that isn't earning you anything!