All Forum Posts by: Kole Kingslien

@Dave Corfman I'm always game for looking at properties! Those are the only two that I think would be worth looking into (In my opinion anyway). Although I must ask what your motivation/reason would be for coming to do that? The reason I ask is because I need to disclose that I am working with an agent already. He has invested a fair amount of time and energy into working with me and has been a great help, so if/when I do decide to buy a property, I will be going through him (I feel a moral obligation to do so). I don't want to give anyone false ideas haha

Kole

@Luke Chung thanks for the advice, I came up with the same numbers. I would be basing my decision based on the higher rents (they need to be 3300 before future rehab), that would bring my ROI to 20%. @Dave C. It's great to hear that there are like minded people on this website, and in my area! I am really excited about getting started in investing, but am getting impatient haha. It's awesome to have people around that also enjoy these discussions, and giving advice! Note- I just flagged 2 in Evansville today (one right around the corner), but there is really not much here in my opinion.

Alright guys, I was hoping you could give me some help on weather you think this is a good analysis or not, I am looking at a 4 Unit in Madison, and it would be my first purchase. Here are the details:

Purchase Price: 310,000

Down Payment: 15,500

Property Inspection: 500

Closing Costs: 4000

Monthly Expenses:

Water/Sewer: 200

Maintenance/Repairs: 200

Vacancy: 150

Cap Ex: 150

Misc: 100

Property Tax: (5500/yr) 459

Insurance: (1200/yr) 100

PMI: 205

Mortgage: 1389

Total: 2953

Rental Income: 3000

Alright, so do you guys think this is a good deal, and a good analysis? My problem is that the rents are under market value for the area, they should be at 3300. Also, how do I go about raising rents up to market value after taking possession (if I choose to buy it)? Is it legal to raise rents right away? The tenants are all on a year lease. The places are in good structural condition, but the units are messy and need some updates in the future (new flooring, cleaning, paint jobs, and a couple new bath tubs), its in a low income area. I eventually want to get the units looking nice, and new renters in there. Also we will be getting an FHA loan, and putting 5% down, so we will be living in it (I did my analysis as if we were renting out all 4 units, for when we move out) Any thoughts, comments, or advice?

I'm worried about not being able to find a deal, this is pretty cheap compared to what I've been seeing in regards to 4 units. How much waiting should I do before making my first purchase?

All input is appreciated, Thanks,

Kole

@Jack Medford I am not getting a reply from the meeting hosts with information about this "Slack" account thing, did you have to do it/can i attend without it?

@Jack Medford Thanks so much for the link! I will be there this Wednesday, and do my best to make the meetings (I get up at 3 a.m for  work so I go to bed early, thus making it difficult to attend many meetings). Thanks for sharing this info with me!

Hello everyone! just had some quick questions. I am close to purchasing my first 4 unit property which I will live in, and there are already tenants in place, does anyone have advice and resources for inheriting tenants, how to start switching them to my policies, adjust rents, and so on? Also I am very young (22), and worried about being resented/not being treated with respect. the place is in a decent, but low income area, if that makes a difference. Any advice and resources is appreciated, thanks!

@Jack Medford Thanks for the heads up! How can I find a location and meeting times? Also, does it cost anything to attend a meeting/become a member? What goes on in these meetings? I would love to attend! I am very interested in meeting like minded people and getting advice/increasing my knowledge and networking! Thanks for the help!

Hello there, I am a beginner at this, and thought someone might be able to help me with a few things. To give you a perspective on where I'm at: I'm 22, my wife is 20, we live, and work, right outside of Madison Wisconsin, and we are hoping to start out by house hacking a 4plex. We have $18,000 saved up to start investing. At this stage I have secured lending for an FHA loan, and have been looking at properties. We eventually want to keep investing in buy and hold properties and eventually maintain enough cash flow to quit my job. I'm looking for any guidance you might be able to offer about strategies to reach these goals. Things that are in my mind are questions about being able to obtain multiple financing, is this possible? Can I have multiple loans, even though I carry an average job? Also I am confused about the legal aspect of it, I hear people throw names around like LLC, CORP., TRUST, but I'm pretty confused on this. Also, creating a lease, rental application, and things of similar nature, am I supposed to/can I do these on my own? What about accounting and finances, can I do these things on my own? I want to make sure I'm doing things wisely, legally, and safely, while remaining profitable and protecting myself legally. Also, even though I plan on doing this where I live for a while, I am still curious how owning out of state rentals works? Thank you for taking the time to read this, any information would be helpful. Respectfully, Kole

@Luke Aubut

 @Luke Aubut Thanks for the advice! At this point I'm just trying to get as many opinions and ideas as I can.  I have been looking for about 2 months. I have been considering that idea,  it's just been the cost/nervousness holding me back.  Do you have any comments/ideas about the negotiation scenario I mentioned? 

Thanks! 

Kole